Ex-Charlotte businessman used funds meant for taxes to travel and buy property, feds say

A former Charlotte businessman pleaded guilty in federal court in North Carolina Tuesday to failing to pay more than $2.5 million in employment taxes, according to a U.S. Department of Justice news release.

Peter Thomas, 63, owner of Sports One Bar and Lounge, ClubONE and PT Media, caused his Charlotte businesses to collect $640,000 in certain taxes related to Social Security, Medicare and income from employee wages between 2017 and 2022, the Justice. Department stated.

Thomas did not account for or pay these funds to the IRS, but instead used the trust fund taxes for cash withdrawals and travel, real estate and retail purchases, the U.S. Attorney’s office for the Western District of North Carolina said in its news release. The office said details of those purchases were not in the public record.

Thomas operated ClubOne as a nightclub and bar on North Carolina Music Factory Boulevard and sports One Charlotte, also known as Sports One Bar and Lounge, a bar, restaurant and lounge on N. College Street, court records show.

Thomas used to live in Charlotte and now lives in Miami, authorities said.

He also caused his businesses outside of Charlotte to collect $1.1 million in trust fund taxes from employee wages that he neither accounted for nor paid to the IRS, the U.S. Attorney’s office stated.

In total, his businesses failed to pay over $2.5 million in employment taxes, including $1.7 million in trust fund taxes from employee wages, the U.S. Attorney’s office stated.

Thomas was released on bond after his plea hearing.

A sentencing date has not been set, but the tax charge carries a maximum sentence of five years in prison.