Business owner of Belgrade company admits tax evasion

Date: Jan. 14, 2025

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MISSOULA - The owner of a business that operated in Belgrade admitted today to failing to pay federal income taxes, U.S. Attorney Jesse Laslovich said.

The defendant, Guy S. Cook of Dripping Springs, Texas, pleaded guilty to tax evasion. Cook faces a maximum of five years in prison, a $100,000 fine and three years of supervised release.

U.S. Magistrate Judge Kathleen L. DeSoto presided. A sentencing date will be set before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Cook was released pending further proceedings.

In court documents, the government alleged that from about January 2014 to Nov. 18, 2021 in Belgrade, Cook willfully attempted to evade paying income taxes for calendar years 2014 and 2015. Cook owned Bacterin International, Inc., a business that developed clinical medical laboratories. In 2014, Cook sold his shares in the company and obtained $2,467,176 in capital gains. Cook reported this income in 2014 and 2015 including taxes due of $604,574 and $39,310 respectively. Cook did not pay these amounts to the IRS, though his tax preparer advised him he was required to do so.

Between 2017 and 2021, Cook took steps to avoid paying his taxes, including using business bank accounts and a company credit card to pay more than $300,000 of his personal expenses and debts; using nominee bank accounts to remove more than $380,000 from his business for personal use; and converting more than $600,000 in his salary to stock in his business.

The U.S. Attorney's Office is prosecuting the case. The IRS Criminal Investigation (IRS-CI) conducted the investigation.

IRS-CI is the criminal investigative arm of the IRS, responsible for conducting financial crime investigations, including tax fraud, narcotics trafficking, money-laundering, public corruption, healthcare fraud, identity theft and more. IRS-CI special agents are the only federal law enforcement agents with investigative jurisdiction over violations of the Internal Revenue Code, obtaining a more than a 90 percent federal conviction rate. The agency has 20 field offices located across the U.S. and 12 attaché posts abroad.