Ladue Resident Jailed for Tax Evasion

The United States Attorney’s Office announced that Marilyn Francel was sentenced to 12 months and a day for tax evasion involving joint income tax returns filed with her husband for the years 2003-2006. The unpaid taxes for each year are $89,473 for 2003; $92,766 for 2004; $69,863 for 2005; and $92,019 for 2006.

Francel, 60, resident of Ladue was sentenced to 12 months and a day in prison before United States District Judge Stephen N. Limbaugh, Jr. She pled guilty on August 30, 2011 to four felony counts of tax evasion. Francel was also ordered by the court to pay $344,124 to the IRS in restitution.

“No one is above the law,” said Stephen Boyd Special Agent in Charge of IRS Criminal Investigation, St. Louis Field Office, “and we will investigate those who commit tax fraud.”

According to court documents, Francel agreed that she was the practice manager of her husband’s plastic surgery medical practice – Thomas J. Francel M.D. Plastic Surgery P.C. The practice offered discounts for non-insured cosmetic surgeries when the patient paid by cash or cashier’s check.

These discounted payments were recorded in a green ledger book maintained by the office business manager and not in the normal financial records of the practice. Francel agreed that these receipts were not deposited into the business bank account for the practice.

Francel admitted in the court filing that cash and cashier’s check receipts ranging in amounts from $193,000 up to $264,000 were not reported on each of the joint federal income tax returns filed by her and her husband from 2003 through 2006. She was given or had access to these receipts. Francel admitted that she attempted to evade her taxes for those years.

This case was investigated by Internal Revenue Service Criminal Investigation. Assistant United States Attorney James E. Crowe, Jr., prosecuted the case for the U.S. Attorney’s Office.

On August 31, Francel pled guilty to charges related to her husband's medical practice.

Information was provided by the Attorney General's office of Eastern Missouri.