MN CEO Tried To Hide Airplane Hanger, Vacation Homes From IRS: Feds

MOUNDS VIEW, MN — The CEO of a medical device company was sentenced Wednesday to 24 months in prison, U.S. Attorney Andrew M. Luger announced.

Larry Wallace Lindberg, 68, of Mounds View pleaded guilty in federal court to one count of tax evasion in April. In addition to prison time, Lindberg will serve two years of supervised release and must pay $6,058,980 in restitution.

In an effort to hide assets from federal authorities, Lindberg put belongings in the name of his children, including an airplane, airplane hangar, and two vacation homes in Florida, according to investigators.

Background on Lindberg's case

Lindberg was a pharmacist and the CEO of Midwest Medical Holdings LLC. As the company owner, Lindberg failed to pay the Internal Revenue Service several hundred thousand dollars in federal payroll taxes each quarter, according to authorities,

In all, Lindberg owes more than $6 million to the IRS, investigators said.

In 2011, the IRS launched a years-long effort to collect the tax debt. However, Lindberg took steps to evade the collection efforts by hiding his assets from the IRS, according to authorities.

He diverted money from his company so he could purchase real estate assets and fund his personal lifestyle, investigators said.