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Alabama Man Gets 30 Years For Tax Evasion, Mail Fraud And Drug Charges

Last Friday, the Middle District of Alabama branch of the U.S. Attorney's Office announced the sentencing of Kenneth Cherden Glasgow. The 58 year-old resident of Dothan, Alabama will serve the next 30 years in federal prison for tax evasion, mail fraud and drug conspiracy charges. The sentencing follows Glasgow’s guilty plea which was entered back on February 24, 2023.

As the report details, court documents established that Glasgow founded both The Ordinary Peoples Society (TOPS) and Prodigal Child Project (PCP). These two nonprofit organizations were used to solicit donations from other nonprofits and foundations. Glasgow reported these donations to the IRS, claiming he would use them for charitable purposes. Nevertheless, in just 2018 alone, he withdrew $407,450.00 in cash for himself.

Glasgow used the money for his own benefit.

As a result of using donated funds for personal reasons, Glasgow was required to report them as income on his tax return. He failed to do so, not even filing a return in 2018. Instead, to conceal his actions, Glasgow provided erroneous information to his tax preparer. This caused the preparer to complete IRS forms for Glasgow’s nonprofit organizations greatly understating the incomes of both TOPS and PCP.

The preparer also omitted the financial benefits Glasgow received from the funds. “From 2016 to 2019, Glasgow withdrew a total of $1,300,848.54 in cash from TOPS and PCP, never accounting for that money on the nonprofits’ IRS forms or on any tax returns of his own,” details the U.S. Attorney’s Office report.

Glasgow also mailed documents containing false statements.

He sent the documents to the Social Security Administration in an effort to keep receiving Social Security disability benefits. Glasgow’s bogus documents also sought to secure related health benefits under the Medicare and Medicaid programs. The statements he submitted described his physical abilities and daily activities as being significantly limited. Meanwhile, Glasgow reported working 50 to 60 hours per week for his nonprofits on the nonprofits’ IRS forms.

“In some SSA forms, Glasgow claimed that his physical limitations were so severe that he had difficulty driving and had to ride with someone,” the report reads, “These statements were not true. Court records show that Glasgow admitted to leasing a vehicle using funds from one of his nonprofits and listed himself as the sole authorized driver. In addition, Glasgow received traffic citations relating to approximately 27 different traffic stops,”

Glasgow’s sentence also included a charge for a co-conspirator.

50 year-old, Willie Frank Peterson was Glasgow’s co-defendant. Also from Dothan, Peterson was charged with possession of cocaine with intent to distribute. He pleaded guilty to his involvement in the drug conspiracy on March 14, 2023. Peterson’s plea agreement reveals that Glasgow agreed to purchase cocaine from him in both 2018 and 2019. Peterson’s sentencing hearing is currently scheduled to take place on August 2, 2023.

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