Ex-Governor's Son Charged With Tax Fraud
By: Carson Walker
NEW UNDERWOOD -- A rancher and his wife from this town just east of Rapid City should find out Monday if they'll lose their freedom again for not paying federal taxes.
Randy and Mary Miller pleaded guilty in 2003 to federal tax charges. He also admitted to illegally selling mortgaged wheat.
He spent 16 months in prison, she was placed on home confinement for six months and they both were placed on probation.
The Millers were complying with the terms of their release until last year when their probation officer discovered they had not filed all past tax returns and had not paid all past tax debts to the Internal Revenue Service, according to federal court documents.
They "would justify their behaviors by either saying they were in negotiations with the IRS or their accountant was working on it," their probation officer, Willie Tiller Jr. wrote in court documents.
U.S. District Judge Charles Kornmann earlier concluded the Millers violated the terms of their release. On Monday in Pierre, the judge will decide whether their supervised release should be revoked and if he does, impose a sentence.
In a court document, Assistant U.S. Attorney Bob Mandel urged Kornmann to incarcerate the Millers because they still owed more than $615,000 in taxes as of Dec. 27, have not filed all tax returns and have not disclosed all income.
"In plain English, the defendant believes that he is above the law and in no way has to comply with the dictates of this court," Mandel wrote.
In his sentencing memorandum, Assistant Public Defender Gary Colbath argued the Millers should not have been found to be in violation of the terms of their release and should not be incarcerated.
"The court ordered Randy Miller to pay what can only be characterized as restitution to the IRS, even though the bulk of such monies, interest and penalties had no relation to his offense of conviction," Colbath wrote.
Besides not paying the IRS, the probation officer also wrote that Randy Miller had run up debts with various merchants but that after being confronted about it last June, he paid everything he owed -- except to the IRS.
One businessman who said he was surprised to hear Miller was in trouble with the federal government again was Steve Brandtsted, who owns Steve's Super Store in New Underwood.
"I was under the impression that he was complying with everything he was supposed to do," he said. "Randy Miller in the past has done business with me for 18 years and has always done right by me."
Miiller is the son of former Gov. Walter Dale Miller, who testified at the earlier hearing in Aberdeen.