MEMPHIS, Tenn. - The Special Investigations Section of the Tennessee Department of Revenue conducted the investigation that led to yesterday’s arrest of Hugh Simonton, age 51.

On September 7, 2023, a Shelby County Grand Jury indicted Simonton on two felony counts of tax evasion and one count of theft of property for failing to remit sales tax.

If convicted, Simonton could be sentenced to a maximum of two years in the state penitentiary and fined up to $3,000 for the count of tax evasion. For the theft charge, he could be sentenced to a maximum of four years in the state penitentiary and fined up to $5,000 for the count of theft. 

“The Department of Revenue strives to promote voluntary compliance of Tennessee’s tax laws by educating taxpayers and consistently pursuing criminal sanctions for fraudulent activity,” Revenue Commissioner David Gerregano said. “This arrest underscores the department’s efforts to ensure a level playing field and a fair administration of Tennessee’s tax laws.”

The department is pursuing the criminal case in cooperation with District Attorney Steve Mulroy’s Office. Citizens who suspect violations of Tennessee's revenue laws should call the toll-free tax fraud hot line at (800) FRAUDTX (372-8389).

The Department of Revenue is responsible for the administration of state tax laws and motor vehicle title and registration laws, as well as the collection of taxes and fees associated with those laws. The department collects around 87 percent of total state revenue. During the 2022 fiscal year, it collected nearly $20.9 billion in state taxes and fees and more than $4.3 billion in taxes and fees for local governments. To learn more about the department, visit www.tn.gov/revenue.

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