Charlotte’s Gets 5 Years Probation, To Pay Fine For Violations

El Paso company Charlotte’s, Inc. Was placed on probation for five years and ordered to pay a $250,000 fine for federal structuring violations.

Charlotte’s, Inc., represented by its owner Melissa O’Rourke, pleaded guilty Tuesday morning to a one count Information charging the company with structuring transactions involving more than $630,000 in order to evade financial reporting requirements.

After accepting the guilty plea, United States District Judge Kathleen Cardone sentenced the company to five years probation and fined it $500,000 with $250,000 of that amount suspended.

O’Rourke admitted that on 15 different occasions from May 2005-Oct. 2006 one or more of the company’s employees separated cash transactions for merchandise with each transaction ranging from $22,000 to $50,000. Each transaction was separated into multiple receipts.

No receipt amounted to more than $10,000 so that IRS reporting requirements could be avoided.

The IRS’ criminal investigation division investigated the case. Assistant United States Attorney Steven Spitzer prosecuted this case on behalf of the government.