Farley pleads guilty to four counts; faces 38 years in prison, $1 million fine

From: The Gazette-Virginian

by Ashley Hodge

DANVILLE — Kathy Crabtree Farley, the former president of Cherokee Tobacco and Firebird Manufacturing and the target of a federal tax evasion and wire fraud prosecution, pleaded guilty in U. S. Federal District Court in Danville Thursday morning to four counts stemming from a 47-count indictment for tax evasion, wire fraud and violations of the contraband cigarette act.

After carefully reviewing the charges with Judge Jackson L. Kiser, Farley admitted guilt to counts 1, 23, 35 and 43 of the 47-count indictment involving tax evasion, knowingly making a false statement, wire fraud and money obstruction, engaging in a monetary transaction greater than $10,000.

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