Cup team co-founder Larry McClure to plead guilty on tax charges
By Bob Pockrass - Associate Editor
Tuesday, January 06, 2009
Morgan-McClure Motorsports co-founder Larry McClure will plead guilty to tax fraud, according to documents filed Tuesday in U.S. District Court in Abingdon, Va.
McClure is scheduled to enter the guilty plea Jan. 15. A sentencing date has not been set.
According to a plea agreement signed Monday by McClure and filed with the court, McClure will plead guilty to five counts, including the filing of false tax returns for 2002, 2003 and 2004, as well as making false statements to Internal Revenue Service investigators.
According to the indictment, McClure did not report $325,000 of income obtained for the use of race cars in the Automobile Racing Club of America series.
By pleading guilty, McClure will have charges dismissed stemming from an alleged fraudulent invoice of $59,852 for the painting of show-car trailers.
According to the plea agreement, McClure states that he realizes “there is a substantial likelihood I will be incarcerated” and that the United States “will recommend I receive a substantial sentence.” He states that he understands that he could be sentenced to a maximum prison term of 15 years (three years per count), but the U.S. district attorney will request reductions in the sentence. He will not be allowed to appeal his sentence. He also could be fined a maximum of $1.25 million.
McClure, who was scheduled for trial Jan. 20, has agreed to pay $25,000 to the IRS for investigative costs and $59,852 to Eastman Kodak for the show-car trailer invoices. He also agreed to pay $125,000 prior to entering his guilty plea to go toward any fines that will be imposed as part of the sentence.
He also agreed to file amended tax returns for the three years in question.
As part of the agreement, the U.S. district attorney in western Virginia agrees not to prosecute McClure or the race team for any crimes it has knowledge about prior to the guilty plea.
Morgan-McClure Motorsports competed in NASCAR Cup racing from 1983 to 2007 and won 14 Cup races. The team did not field a Cup car in 2008 but still had about 15 people working in the shop.
The race team was not mentioned in the indictment.
An e-mail to McClure’s attorney seeking comment was not immediately returned.
Popular News
-
PRESEASON PREDICTIONS: Which Sprint Cup star will snap his long winless streak first?
Comments (188) -
For Dale Earnhardt Jr., life as an Earnhardt is not easy, especially when you're not winning
Comments (139) -
Jeff Owens: Should RCR’s black No. 3 return to NASCAR’s Cup series?
Comments (120) -
Hendrick Motorsports’ Mark Martin more prepared mentally and physically for 2010
Comments (105) -
Dale Earnhardt Inc. plans for Jeffrey Earnhardt still in flux
Comments (96)
Recent Headlines
-
SEASON PREVIEW: Mike Skinner optimistic about 2010 prospects
Comments (1) -
SEASON PREVIEW: Camping World Truck Series top-20 rankings
Comments (4) -
Josh Wise to drive in Nationwide Series for Specialty Racing
Comments (2) -
HBO’s ‘24/7 Jimmie Johnson’ documentary series expected to shift into high gear tonight
Comments (27) -
SEASON PREVIEW: Roush Fenway Racing’s Carl Edwards hungry to regain place among Sprint Cup’s elite
Comments (15)
Poll PositionView All
After qualifying and the Budweiser Shootout, who is the favorite to win the Daytona 500?
Promotions
-
Tweet your thoughts about each race and join the conversation with other fans.
-
Drive an authentic NASCAR Sprint Cup car at the NASCAR Racing Experience.
Comments
10 responses to "Cup team co-founder Larry McClure to plead guilty on tax charges". Post a Comment.
Bernadette Motherway said:
Jan 7, 2009 at 5:01 PMWe're going to see more garbage uncovered. This is starting to look like the State of Illinois government.
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportWerner Boehmert said:
Jan 7, 2009 at 5:24 PMthat makes 2 Cup owners who are crooks...any more out there?...
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportGALEN SHIPP said:
Jan 7, 2009 at 7:35 PMOk, what was it Rick Hendrick went on in-home-detention for back in the late '90s? Wasn't it something about fraud concerning one of his dealerships?
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportBernadette Motherway said:
Jan 7, 2009 at 7:49 PMInteresting, Galen. I hadn't heard that!
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportWerner Boehmert said:
Jan 7, 2009 at 7:59 PMIn 1997, Hendrick pleaded guilty to mail fraud. In the 1980s, Honda automobiles were in high demand, and Honda executives allegedly solicited bribes from dealers for larger product disbursements. Hendrick admitted to giving hundreds of thousands of dollars, BMW automobiles, and houses to American Honda Motor Company executives. Hendrick was sentenced in December of that year to a $250,000 fine, 12 months home confinement (instead of prison, due to his leukemia), three years probation, and to have no involvement with Hendrick Automotive Group or Hendrick Motorsports during his year of confinement. In December 2000, Hendrick received a full pardon from President Bill Clinton.
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportWerner Boehmert said:
Jan 7, 2009 at 8:00 PMalso...In 1956, federal tax agents found Junior Johnson working at his father's moonshine still in Wilkes County; they arrested him. Many local residents believed the raid was done in revenge for the agent's inability to catch Johnson delivering moonshine on local highways. Johnson was convicted of moonshining and was sent to the federal prison in Chillicothe, Ohio. He served 11 months of a two-year sentence. He was also pardoned i believe...
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportJerry Stanton said:
Jan 7, 2009 at 8:48 PMHe was pardon by President Reagan
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportJerry Stanton said:
Jan 7, 2009 at 8:48 PMHe was pardon by President Reagan
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportJim Branham said:
Jan 8, 2009 at 8:58 AM"As part of the agreement, the U.S. district attorney in western Virginia agrees not to prosecute McClure or the race team for any crimes it has knowledge about prior to the guilty plea." I wonder what is being covered up? It seems from the numbers that he is basically already paying back the amount owed, paying a fine, paying the IRS back the cost of their investigation, and possibly even getting jail time. Seems like he gave an awful lot in this negotiation...did he get something in return???
Report as AbuseReport Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse ReportGary said:
Feb 9, 2009 at 5:01 PMFYI, I have known Larry McClure for many years and worked for him at the race shop for more than three years during the time this was going on. He isn't always agreeable or even friendly. However, Larry has supported this community vigorously and has a huge heart for his family, friends, employees and his home town. Granted what he did was wrong, but Larry McClure is a good and decent man and that is a hell of a lot more than I can say for the new guy in charge of the IRS whom also evaded tax payment until he was caught, but instead of going to jail, he got a new fat job, as would have two other of Obamas picks had they not been busted for tax evasion and stepped down.So before you go playing armchair race team owner, consider getting to know the guy before you pass judgement. Larry McClure isn't perfect by any means, but I'm proud to call him my friend.
Report as AbuseGary Dunn - Abingdon, VA
Report Abuse
This feature is intended to allow you to report comments that are abusive in terms of foul/vulgar language, harassment, racial/religious prejudice and any words/phrases of a related nature. This feature should not be used to report users who simply make a comment about your favorite driver, with which you do not agree. Commenting is a forum in which we can all express our opinions. Reporting abuse of others should be done with this in mind.
» Confirm Abuse Report