FARGO - United States Attorney Drew Wrigley announced today that Michael Volk, formerly of Fargo, North Dakota, was sentenced before United States District Court Judge Ralph R. Erickson for providing false financial statements and failure to pay employment taxes.
Volk, 39, pleaded guilty on June 8, 2007, to overstating his financial condition to obtain loans from Ramsey National Bank, Gate City Bank, and the Small Business Administration. In 2001 Volk submitted financial statements to the above-named financial institutions, when at the time Volk knew that his 1996, 1999, and 2000 individual tax liabilities were omitted on the financial statement. In addition to these omissions Volk overvalued several items on his financial statement, including, but not limited to, the valuation of his interest in Prairie Psychiatric Center, LLC, and Blue Sky Holdings, which created a false impression as to his financial net worth.
Volk Sentenced
Volk also pleaded guilty to willfully failing to pay federal withholding and employee employment taxes with respect to businesses known as Advanced Training Solutions, Biz Services, and R & D Group.
Judge Erickson sentenced Volk to six months at a halfway house, to be followed by six months of home confinement. Volk was ordered to pay restitution in the amount of $634,121.00, and to pay a $200 special assessment to the Crime Victim's Fund.
The case was investigated by the Federal Bureau of Investigation and Internal Revenue Service - Criminal Investigations.
Assistant United States Attorney Nick Chase prosecuted the case.
-end