Quincy Healthcare Company Hides $3.5 Million From IRS: Feds

QUINCY, MA — The co-owner of a Quincy healthcare company were sentenced in federal court Thursday after prosecutors proved they hid over a $3.5 million worth of income from the IRS. Hannah Holland, 51, of Quincy, and Sheila O’Connell, 51, of North Weymouth, the co-owners of Erin's Own Home Healthcare Inc., were sentenced each sentenced to six months in prison with three years probation. Both were also ordered to pay $1,126,112 in restitution.

In November 2018, Holland and O’Connell pleaded guilty to one count of conspiracy to defraud the United States and three counts of aiding and assisting in the preparation of false tax returns.

Holland and O’Connell co-owned and operated the healthcare business from 2010 to 2014. Prosecutors said that during that time, Holland and O’Connell cashed over $3.5 million of Erin’s Own Healthcare's business checks through nominee bank accounts controlled by a third-party. Holland also personally cashed over $77,000 of the company's business receipts.

None of this was ever reported to the IRS or accounted for in the company's tax filings. Prosecutors said instead, Holland and O’Connell provided their tax preparer with a limited set of the financial records. By under reporting the company's income, the IRS lost over $1 million in taxes, prosecutors said.