Neways founders sent to prison for tax evasion

Published: Thursday, Sept. 14 2006 12:00 a.m. MDT

A judge has sentenced the founders of an international cosmetics and health-supplement company based in Utah County to federal prison time.

During sentencing hearings Wednesday, Thomas E. Mower Sr. and his former wife, Leslie DeeAnn Mower, were sentenced to just under three years and just over two years respectively for cheating the Internal Revenue Service out of more than $1 million in taxes by failing to report the cashing of an estimated $3.2 million in overseas commission checks.

A federal jury found them guilty in March 2005, of one count of conspiracy to defraud and six counts of tax evasion. However, attorneys for the pair argued Wednesday to keep their clients out of prison.

Thomas Mower's attorney, Max Wheeler, argued that the court would be punishing the employees of Neways Inc., based in Springville, by denying them Mower's ability to manage the business.

Wheeler pointed out that Neways is in the process of building the largest office building in Utah County, one that could employ more than 1,200 people with an estimated $55 million in income. Neways sells cosmetics, skin-care products, health supplements and other personal care items in the United States and at least 35 other countries.

Wheeler urged the court to give Thomas Mower consideration for his reported history of charitable contributions to orphans in Costa Rica and handicapped children in Russia, as well as the support of an Olympic wrestler.

DeeAnn Mower's lawyer, Anneli Smith, said sending her client to prison would deny Mower's 30-year-old emotionally "disabled" son the one person central to his life. "He finds the world terrifying," Smith said. "She is the center of his universe. ...She's the sun in his world."

But assistant U.S. Attorney Caryn Mark pointed out that Thomas Mower made hundreds of thousands of dollars in charitable contributions at a time when he only reported $100,000 in personal income to the IRS.

Mark alleged that DeeAnn Mower was responsible for opening several bank accounts with false information and fake Social Security numbers, including using her 30-year-old son's Social Security number, off by one number.

Regarding the son's dependence, Mark pointed out that he has a driver's license and a hunting license and has attended out-of-state hunting trips without his mother's supervision.

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