PROVIDENCE, R.I. (AP) The outgoing deputy speaker of the Rhode Island House and his business partner have agreed to plead guilty to conspiracy and tax fraud for cheating the federal government out of more than $500,000 in tax payments.
Rep. John J. McCauley, Jr., who represents Providence, was charged Friday in federal court along with his partner in their insurance adjuster business, William L'Europa. Both indicated in court filings that they plan to plead guilty.
Both were charged with one count of conspiracy to defraud the United States and one count of filing false tax returns.
Prosecutors say they underreported nearly $1.8 million dollars in receipts for tax years 2007 to 2010. They face a maximum penalty of eight years in prison.
McCauley, who is 54 and was first elected in 1990, didn't run for re-election.
