Medical Device CEO Charged With Tax Evasion

Larry W. Lindberg is a bit behind in his taxes.

More than a decade behind, actually.

Lindberg, of Mounds View, Minn., has been charged with tax evasion for failing to pay several years’ worth of payroll taxes, U.S. Attorney Andrew M. Luger said.
 
According to court documents, Lindberg, 68, is a pharmacist and the CEO of Midwest Medical Holdings LLC, a Mounds View-based pharmaceutical and medical equipment company. As the owner and CEO of the company, Lindberg was required to file tax returns and pay taxes on behalf of the 41-year-old firm. Despite being aware of his company’s tax obligations, Lindberg failed to pay the Internal Revenue Service (IRS) several hundred thousand dollars in federal payroll taxes each quarter. Beginning in 2011, the IRS spent years attempting to collect on the tax debt. Lindberg entered into several installment agreements with the IRS in which he agreed to make regular payments towards the tax debt, but ultimately failed to make the payments and defaulted on each of the agreements. In attempt to evade the IRS’s collection of the tax debt, Lindberg diverted funds and assets to other business entities he controlled. In total, Lindberg and Midwest Medical Holdings owes more than $6 million in federal income taxes.
 
Lindberg is charged with one count of tax evasion. He made his initial appearance in U.S. District Court before Judge Katherine M. Menendez.
 
This case is the result of an investigation conducted by the IRS Criminal Investigation Division. Assistant U.S. Attorney Joseph H. Thompson is prosecuting the case.