So. Couple Pleads Guilty to Fraud & Tax Charges
Kenneth Johnson, 62 and Diana Arredondo, 56, pled guilty to federal charges stemming from their work at the Super 8 Hotel in Central Point. Johnson pled guilty to wire fraud and filing a false tax return. Arredondo pled guilty to filing a false tax return.
Johnson was a partner in the Central Point hotel since it opened in October of 2005. He was in charge of the hotelís daily operations and reported the financial figures to his partners in Montana. Johnson hired his girlfriend, Arredondo, as the hotel manager and they worked together from 2005 through 2011.
Johnson defrauded his partners by providing false information regarding cash collected by the Hotel, diverting approximately $500,000 in cash and checks from the Super 8 for his personal use.
Both Johnson and Arredondo filed fraudulent tax returns, knowingly underreporting the cash they took from the hotel.
They are to be sentenced in Medford by Judge Owen Panner on February 24th of next year.