Timberlanes ex-owner pleads guilty to tax counts
CLEVELAND – Melissa Snively-Pallard, the former Timberlanes Restaurant and Motor Inn owner and general manager, faces up to five years in prison and a fine of up to $250,000 after pleading guilty to two of seven counts of a federal income tax indictment in Cleveland on Thursday.
Craig Casserly, a spokesperson for the Internal Revenue Service, said Snively-Pallard’s pleading “will constitute two counts of failure to account for and pay over employment taxes.”
The case was before Judge Patricia Gaughan and prosecuted by Assistant United States Attorney John M. Siegel, following an investigation by the Internal Revenue Service criminal investigation unit in Akron.
Casserly had no details regarding the plea agreement, but said Snively-Pallard, 33, who was indicted on seven counts by a federal grand jury last September, will be sentenced at 11:30 a.m. April 25.
He said details will be forthcoming.
Steven M. Dettelbach, United States Attorney for the Northern District of Ohio, charged Snively with with failing to report and pay employment taxes owed by the corporation she previously owned.
The indictment said that Snively-Pallard, also known as Melissa Snively and Melissa Pallard, was the owner, president, chief executive officer, and general manager of Timberlanes and that for the seven calendar quarters, from the second quarter of 2006 through the end of 2007, she failed to report and pay to the Internal Revenue Service federal income taxes and Federal Insurance Contributions Act (FICA) taxes that Timberlanes withheld from its employees’ wages with a combined total of approximately $93,927.
She ran the restaurant and motel, a Salem landmark, for several years in the early to mid-2000’s before it wound up being purchased in a sheriff’s auction in July of 2012.
Federal tax liens of $33,945, $602,809 and $348,346 were released from the property’s record for that transaction.
In September of 2006, Snively-Pallard received a $2.13 million loan from Kennedy Funding, a New Jersey-based direct private lender, to renovate the facility and offered it as collateral.
The Kennedy Funding company said it assists hotels and restaurants refinance and consolidate debt.
The indictment said if she is convicted, her sentence will be determined by the court after review of factors unique to the case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation.
Court records show that she currently resides in New Springfield.
Last March, Snively-Pallard’s father, Wade C. Snively of Canton, was charged in the Northern District of Ohio federal court with three counts of filing false income tax returns, two counts of corruptly endeavoring to obstruct and impede the due administration of the tax laws, and three counts of bankruptcy-related offenses.
Larry Shields can be reached at firstname.lastname@example.org