DALLAS — A Colorado porn magnate convicted of federal obscenity and tax fraud charges was sentenced Thursday to 13 months in prison and ordered to close his adult stores in Texas, authorities said.
Edward J. Wedelstedt, of Littleton, Colo., pleaded guilty in November to evading taxes and illegally distributing a pornographic video deemed obscene by a grand jury.
Wedelstedt’s company, Goalie Entertainment Holdings Inc., has operated Texas stores in Abilene, Amarillo, Merkel, Terrell, Hillsboro, Wichita Falls, Lubbock and Dallas. Goalie Entertainment is headquartered in Colorado and operated out of an industrial building near Interstate 70 in Denver.
The corporation runs a porn business out of stores like Romantix, located at Colfax and Washington in Denver, along with 60 other shops in 18 states across the country.
Federal authorities alleged that customers bought pornographic magazines, videos and other materials and paid to watch sexually explicit movies in the back of his stores.
Wedelstedt admitted that he kept two sets of accounting books and withheld large sums of cash from the IRS, authorities said.
Arthur Boten, a regional manager for Wedelstedt in Des Moines, Iowa, was sentenced Thursday to two years probation on tax charges.
Leroy Moore of Arlington, Wedelstedt’s former business partner, is scheduled to be sentenced March 30. He has pleaded guilty to conspiracy to distribute obscenity.
Wedelstedt is best known in Denver for his non-profit foundation, Eddie’s Kids, which provides professional sports tickets to poor children.