Bakersfield owner of Catholic Online accused of tax evasion
FRESNO, Calif. (KBAK/KBFX) The Bakersfield-based owner of Catholic Online has been charged with tax evasion.
Michael Galloway, 59, was indicted last week by a grand jury and arraigned Thursday in federal court in Bakersfield, according to the U.S. Attorney's Office in Fresno.
Eyewitness News has previously investigated alleged business fraud and employee mistreatment by Galloway. His website, Catholic.org, generates revenue by with advertising and hosting for faith-based businesses.
An IRS investigation found that Galloway allegedly improperly deducted personal expenses as business expenses, as well as under-reporting his income.
Investigators believe he owes $234,473 because of tax evasion from 2003 to 2006.
If convicted, Galloway faces a maximum statutory penalty of five years in prison on each count of tax evasion.