Former state senator gets 33 months in federal prison for tax crime

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Kevin Shibilski, 61, of Merrill, a former state senator and state tourism secretary, has been sentenced to 33 months in federal prison for failing to pay employment taxes, according to a report from the Wisconsin Rapids Tribune. Shibilski pleaded guilty to the charges last May.

As part of the plea agreement, Shibilski will spend three years on supervised release after his prison sentence for failing to truthfully account for and pay the Internal Revenue Service the federal income taxes withheld and the FICA taxes owed on behalf of his employees at two of his businesses, Pure Extractions and Wisconsin Logistics Solutions.

Shibilski was CEO of 5R Processors, a Ladysmith-based company that recycles electronic waste, and he formed Wisconsin Logistics Solutions and Pure Extractions to take over 5R Processors’ trucking, logistics, and recycling operations. However, the new companies did not take on 5R’s debts.

The companies failed to pay $858,101 in employment taxes to the IRS for tax years 2014 through 2016, according to a United States Attorney Office in the Western District of Wisconsin news release.

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