Former NASCAR team owner pleads guilty to federal charges

CHARLOTTE, N.C. — Former NASCAR team owner Ronald Devine pleaded guilty in federal court Wednesday to failing to pay payroll taxes, the latest legal setback for the former BK Racing owner who faces millions in court judgments.

Devine, 68, admitted to failing to account for and pay hundreds of thousands of dollars in payroll taxes between 2012 and 2017 while operating BK Racing, which competed in the NASCAR Cup Series. The case was prosecuted in the U.S. District Court for the Western District of North Carolina

According to court documents, Devine transferred more than $2 million in payroll tax funds to other businesses he owned and controlled instead of paying the required federal taxes. The funds were supposed to be held in trust to cover income taxes and Social Security and Medicare contributions withheld from employees’ paychecks.

Devine was released on bond following his plea. The charge carries a maximum penalty of five years in prison and a $250,000 fine. A sentencing date has not been set.

The guilty plea adds to Devine’s mounting legal troubles. In April, a federal appeals court upheld a $2.5 million judgment against Devine and associate Michael DiSeveria in a case involving the sale of a NASCAR charter to Front Row Motorsports.

In January, the same appeals court upheld a $31 million fine against Devine for failing to comply with court orders in bankruptcy proceedings.

BK Racing operated from 2012 to 2018, fielding cars for drivers including current Hendrick Motorsports driver Alex Bowman, Corey LaJoie and Matt DiBenedetto. The team’s best finish was a sixth-place result at Bristol with DiBenedetto in April 2016.

The team filed for bankruptcy in 2018, with its assets, including NASCAR charters sold at auction.

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