It was $25,000 that Kimmy stole from her employer which is why she is on parole in the first place.
With all that "tax free" income she claims in her interviews, she should have paid that back long ago!
"Escort service raid may not lead to prostitution charges", by Steve Swindell, N&O March 30, 1996.
The nationwide Internal Revenue Service sting that led to searches of five Triangle residences this week describes a thriving prostitution business under the guise of escort services, but the operation might not lead to charges other than money laundering.
The sting, however, did uncover some interesting details of how escort services operate.
Although undercover IRS agents met or talked by phone with the five Triangle people named in an affidavit that led to the searches, took bags of trash from each location and collected mountains of banking, phone, credit card and delivery records, none of it may lead to local prosecution.
Prostitution is a local, not a federal, offense. The IRS set up the sting to uncover violations of federal laws concerning money laundering and racketeering.
"It's too early to speculate what will come of this," said Mike Quinn, public information officer for the IRS in the Carolinas.
Prosecutors probably will present the case to a federal grand jury in two to four months, but no local agencies were involved in the sting, he said.
"They never called us - before, during or after the fact," said Lt. M.R. Teem of the Raleigh police vice investigation unit. There are no plans to follow up on the IRS sting at this time, he said.
Neither Wake County Sheriff John Baker nor Hillsborough Police Chief Larry C. Biggs, whose jurisdictions include the searched residences, were informed of the IRS investigation, they said Friday night. Arrests on prostitution-related charges were filed in other cities elsewhere in the country.
Named in the Triangle affidavit are Curtis D. Peeples of 5115 Clearview St., Donna M. Barber of 5230 Trestlewood Lane and Tonia Marie Lavigne of 7301-C Leesville Road, all in Raleigh; Suzanne (Chelsea) L. Mulligan of 8700 Kildee Court in Apex; and Lisa M. Moore of 300 W. Hill Ave. in Hillsborough.
Peeples was linked to the largest share of the $102,000 worth of Triangle credit card business that the IRS says was handled by its own bogus money laundering operation in Dallas, which was set up as part of the sting. Peeples allegedly had almost $82,000 laundered; amounts for the others ranged between $1,400 and $8,000.
Among the local escort services named in the affidavit were AAA Action, Absolute Class, CDR Associates, Class Act, Girls Girls Girls and Professional Escorts
Peeples, who told IRS agents that he had more than 60 phone lines in operation, allegedly helped Moore and Mulligan set up their own escort businesses.
Discussions with Peeples also led to surprising details in the two-year IRS operation known as "Operation Out Call." Peeples told one agent that a third of the women who work for him are married, and some of their husbands don't know they are working, the affidavit said.
When Peeples received complaints from customers that one of his workers would not perform oral sex, he "instructed her to buy mint-flavored condoms," the affidavit said.
Snared in the sting nationwide were 1,000 escort services and more than 200 pimps and madams in 75 cities in 42 states, the affidavit said. More than $2.3 million worth of Visa, Mastercard and American Express charges was laundered by undercover IRS agents; such charges are laundered because the credit-card companies refuse to honor charges from escort services.
Boston, with close to $1 million in charges, led all cities, with only Dallas, Manhattan and Houston also having more activity than the Triangle.
Most of the 7,000 customers involved in the operation were "out of town businessmen in their hotel rooms," the affidavit said. The rest were locals.
Becoming a customer of an escort service is not easy, according to the affidavit. After calling for an "escort," the customer typically must answer a return call, show a photo identification and present a business card, airline ticket or car rental invoice to prove that he is not a law enforcement officer.
Unless they pay in cash, they must fill out a "credit verification form," which includes name, work and residence addresses and telephone numbers.
The escort service calls for verification from the credit-card company, and the "escort" imprints the card on an invoice with a portable imprinting machine
Copyright 1996 by The News & Observer Pub. Co.
Record Number: RNOB96089130
Centerfold's address is a phone company building.