Midland businesswoman pleaded guilty to tax charge


Date: January 24, 2022

Contact: newsroom@ci.irs.gov

MIDLAND — A Midland woman pleaded guilty last week to not paying federal payroll taxes.

According to court records, Lydia Evaro Madrigal was the president and chief executive officer for EXN, Inc. Starting in 2013 through 2015, EXN withheld payroll taxes from its employees' paychecks but did not make the required payroll tax payments to the Internal Revenue Service (IRS). In all, Madrigal failed to account for and pay $637,594.35 in payroll taxes withheld from EXN's employees. Madrigal also failed to pay the employer portion of the $249,536.35 in FICA taxes for 2013 through 2015. Instead Madrigal used the money for her own personal benefit.

As of today, Madrigal has voluntary paid losses to the IRS in full.

Madrigal pleaded guilty to one count of willful failure to collect and pay over tax. She is scheduled to be sentenced at a later date and faces a maximum penalty of five years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

U.S. Attorney Ashley C. Hoff of the Western District of Texas and IRS Special Agent in Charge Ramsey E. Covington made the announcement.

The IRS-CI is investigating the case.

Assistant U.S. Attorney Glenn Harwood is prosecuting the case.