Gary L. Johns Pleads Guilty to Kickback Scheme and Subscribing to a False Tax Return

Source-  http://www.fbi.gov/richmond/press-releases/2011/virginia-contractor-pleads-guilty-to-kickback-scheme-and-subscribing-to-a-false-tax-return 
WASHINGTON—A Virginia contractor pleaded guilty today to participating in a scheme to steer contracts to him for repair, maintenance and renovation work at healthcare and nursing home facilities owned by Medical Facilities of America Inc. (MFA), the Department of Justice announced.

According to a two-count felony charge filed today in U.S. District Court for the Western District of Virginia, Gary L. Johns, a resident of Salem, Va., conspired with other individuals to steer contracts for repair, maintenance and renovation at MFA healthcare and nursing home facilities throughout Virginia from about March 2006 until at least December 2006. The department said that as part of the conspiracy, an MFA employee who oversaw the bidding process for repair, maintenance and renovation contracts at MFA facilities steered contracts to Johns’ company, Salem Commercial Design, in return for kickbacks. According to the plea agreement, which is subject to court approval, Johns has agreed to cooperate with the department’s ongoing investigation.

According to the court document, the MFA employee created fictitious competitor bids that were higher than the quotes submitted by Johns and other co-conspirator venders, to create the false appearance of competition. The MFA employee directed subordinates to solicit quotes only from Johns. Johns paid more than $124,000 in kickbacks to the MFA employee and received MFA contracts totaling more than $1 million. The department said that as a result of the kickback scheme, MFA was deprived of competitive pricing to its financial detriment. Johns was also charged with making and subscribing to a false 2006 tax return, which is the year in which Johns received payment on the MFA contracts.

Johns is charged with conspiracy to commit mail fraud for the kickback scheme, which carries a maximum penalty of 20 years in prison and a $250,000 criminal fine. Johns is also charged with making and subscribing to a false tax return, which carries a maximum penalty of three years in prison and a $250,000 criminal fine, together with the cost of prosecution. The maximum fines for each of these charges may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximums.

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Richard Stewart Pleads Guilty for Failing to Pay Employment Taxes

Source- http://www.justice.gov/opa/pr/2011/December/11-tax-1649.html

WASHINGTON – Richard Stewart, a resident of Mitchellville, Md., pleaded guilty today for failing to pay over employment taxes in connection with his ownership of Montgomery Mechanical Services, the Justice Department and Internal Revenue Service (IRS) announced today.

According to the plea agreement and criminal information, from at least 2003 through 2008, Stewart owned and operated Montgomery Mechanical Services, a company that installed plumbing, heating and air conditioning in commercial buildings and that had offices in Baltimore and Capitol Heights, Md. From 2003 through at least 2008, Stewart did not collect, truthfully account for and pay over approximately $3,969,337 of Federal Insurance Contribution Act (FICA) taxes and federal income tax withholdings, commonly known as trust fund taxes, from his employees’ wages. According to the terms of the plea agreement, Stewart is required to pay restitution to the IRS in the amount of $5,414,647, which encompasses both the trust fund taxes that he failed to pay and his obligation, as an employer, to pay over a matching portion of FICA taxes.

Stewart faces a potential maximum sentence of five years in prison and a fine of up to $250,000.

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Federal Court Has Permanently Barred Carmen Gonzalez From Preparing Federal Tax Returns for Others

Source- http://www.justice.gov/opa/pr/2011/December/11-tax-1644.html

WASHINGTON - A federal court has permanently barred Carmen Gonzalez from preparing federal tax returns for others, the Justice Department announced today. The civil injunction order, to which Gonzalez consented without admitting wrongdoing, was signed by Judge Joel A. Pisano of the U.S. District Court for the District of New Jersey. According to the government complaint, Gonzalez, of Allentown, Pa., operates Carmen Tax Services in New Brunswick, N.J.

The complaint alleged that Gonzalez repeatedly failed to comply with due-diligence requirements imposed by federal law on tax preparers who claim the earned income tax credit (EITC) on their customers’ returns. According to the complaint, Gonzalez also falsified deductions and listed bogus dependents on her customers’ returns in order to claim the maximum EITC for them.

The court order requires Gonzalez to send a letter to all customers for whom she prepared a federal tax return since Jan. 1, 2005, informing them that she has agreed to the injunction and is no longer permitted to prepare tax returns for others.

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Pamela J. Whitson to Serve 30 Months in Prison and Pay $1.2 Million in Restitution for Embezzlement and Not Filing Income Tax Return

Source- http://www.fbi.gov/oklahomacity/press-releases/2011/norman-woman-to-serve-30-months-in-prison-and-pay-1.2-million-in-restitution-for-embezzlement-and-not-filing-income-tax-return?utm_campaign=email-Immediate&utm_medium=email&utm_source=oklahoma-city-press-releases&utm_content=54783

OKLAHOMA CITY—PAMELA J. WHITSON, of Norman, Oklahoma, was sentenced yesterday to serve 30 months in federal prison for forging a check and failing to file a federal income tax return, in connection with her embezzling more than $960,000 from an Oklahoma City oil and gas company, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma.

At her plea hearing on July 7, 2011, Whitson admitted that she worked for several years as the office manager at an oil and gas company in Oklahoma City. From 2002 through 2008, she forged the signatures of authorized signers on checks drawn on the oil and gas company’s accounts. Whitson admitted she wrote many of the forged checks payable to herself or to cash, and used the embezzled funds mostly for gambling. At the plea hearing, Whitson also admitted that she did not claim any of the embezzled funds as income on tax returns. She pled guilty to forging a check and not filing an income tax return for the 2007 calendar year.

Yesterday, Chief United States District Judge Vicki Miles-LaGrange sentenced Whitson to 30 months in federal prison, followed by three years of supervised release. Whitson was also ordered to pay $965,333.47 in restitution to the local oil and gas company, and $252,293.27 in restitution to the Internal Revenue Service.

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Eddye Lovely Pleaded Guilty Today to Three Counts of Aiding and Assisting in The Preparation of False Tax Returns

Source- http://www.justice.gov/tax/txdv111621.htm

WASHINGTON – Eddye Lovely of Tomball, Texas, pleaded guilty today to three counts of aiding and assisting in the preparation of false tax returns, the Justice Department and Internal Revenue Service (IRS) announced. Lovely appeared before U.S. District Judge Nancy F. Atlas in Houston.

According to the plea agreement, Lovely owned and operated a Houston return preparation business, called “The Tax Master,” at which he prepared false income tax returns that included certain false Schedule A itemized deductions that the client did not make and fraudulent Schedule C business losses that the clients did not operate.

After Lovely was indicted in April 2011 on 14 counts of aiding and assisting in the preparation of false tax returns, he persisted in the preparation of false tax returns despite a court order requiring him not to prepare any tax returns while on release in the case. According to the plea agreement, after his release, Lovely aided and assisted in the preparation of materially false 2010 tax returns for two additional clients. These tax returns were materially false in that they featured fabricated Schedule C losses for businesses that the taxpayers did not own or operate, as well as false or inflated Schedule A deductions for charitable contributions and/or job search costs.

The tax loss associated with the three counts to which Lovely pleaded guilty is $74,964. Lovely faces a maximum prison sentence of nine years and a fine of up to $750,000. Judge Atlas set sentencing for Feb. 29, 2012.

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Sharon Angulo and Claudia Zuloaga Allegedly Helped Customers Seek More Than $3 Million in Fraudulent Tax Refunds

Source- http://www.justice.gov/tax/txdv111611.htm

WASHINGTON - The United States has sued Sharon Angulo and Claudia Zuloaga to bar them from promoting an alleged tax fraud scheme and from preparing federal tax returns for others, the Justice Department announced today.

The civil injunction suit, filed in the Southern District of Florida, alleges that Angulo and Zuloaga, both of Miami, help customers use Internal Revenue Service (IRS) Forms 1099-OID to report fictitious income tax withholding. According to the government complaint, the customers file federal tax returns claiming tax refunds based on the fake withholding. The complaint states that the defendants have prepared or assisted in the preparation of at least 19 tax returns reporting false withholding and claiming fraudulent tax refunds totaling more than $3 million.

The government’s complaint asks the court to require Angulo and Zuloaga to pay the U.S. Treasury the funds they received from customers who paid them a percentage of the tax refunds received through the scheme. The complaint also asks the court to order the defendants to provide the government with a list of all persons who have purchased any products, services or advice from Angulo and Zuloaga in the past three years as part of the scheme.

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Silford Warren Pleaded Guilty to Failing to Pay Over Employment Taxes

Source- http://www.justice.gov/tax/txdv111616.htm

WASHINGTON – Silford Warren, of Queens, N.Y., pleaded guilty to failing to pay over employment taxes in connection with his ownership of Silford Warren, CPA PC, the Justice Department and Internal Revenue Service (IRS) announced today.

U.S. District Court Judge William F. Kuntz presided over the plea hearing in the U.S. District Court in Brooklyn, N.Y. The plea agreement and filed criminal information indicated that Warren under-reported his employees’ salaries to the IRS from 2006 through 2008. Moreover, Warren did not collect, truthfully account for, and pay over employment taxes of approximately $108,000.

According to the plea agreement, Warren is required to pay restitution to the IRS in the amount of $184,263. The restitution amount includes taxes owed by his failing to pay over the employment taxes due to the IRS and the amount of tax resulting from Warren’s filing of false corporate income tax returns for 2005 through 2008.

Warren faces a potential maximum sentence of five years in prison and a fine of up to $250,000. Sentencing is tentatively scheduled for May 4, 2012.

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Seven Charged in Florida in $120 Million National Tax Fraud Scheme

Source- http://www.justice.gov/tax/txdv111583.htm

WASHINGTON – Seven individuals have been charged with participating in filing false tax returns that resulted in a $120 million tax fraud scheme, the Justice Department announced today. Penny Jones, a resident of Rigby, Idaho; Christopher Marrero of Davie, Fla.; Michael D. Beiter, Jr., formerly a resident of Coral Springs, Fla.; David Clum Jr. of Whites Creek, Tenn.; Dale Peters, a resident of San Mateo, Calif., Laura Barel, a resident of Lauderhill, Fla.; and John Michael Smith, Jr. of Hidden Hills, Calif., have been charged with participating in the scheme to file false tax returns.

Jones and Marrero appeared in federal court today in Fort Lauderdale, Fla. Both entered not guilty pleas before U.S. Magistrate Judge Lurana S. Snow. Barel had been previously charged by a criminal complaint in May 2011. Arraignments are pending for Beiter, Clum, Peters and Smith.

According to the indictment, the false return scheme was national in scope, causing the filing of tax returns for at least 180 clients from 30 different states, requesting more than $120 million worth of fraudulent tax refunds. The indictment alleges that the defendants and clients of the scheme collectively filed more than 380 tax returns, mostly from tax year 2008 but also for other tax years, reporting the amount of their personal debt obligations as both income and as federal tax withholding.

The indictment also alleges that the defendants held seminars in Florida and Tennessee in which they recruited potential clients. The indictment and other publicly filed documents allege that clients paid $750 to have defendants prepare a tax return reporting this type of “OID” income, and that clients agreed to share 10 percent of their tax refund with defendants.

Previously, in a separate case in Fayetteville, Ark., a client of the scheme, Philip Butcher, formerly of Rogers, Ark., was charged with filing false claims for tax refunds. According to the indictment in that case, Butcher filed two tax returns reporting his loans as OID income and tax withholding, claiming tax refunds totalling $1,456,696. The Internal Revenue Service (IRS) paid Butcher $672,781.

Jones was previously enjoined by a federal court from preparing tax returns.

If convicted, Jones, Beiter, Clum and Peters each face 215 years in prison, Barel faces 25 years, Marrero faces 30 years and Smith faces 75 years. All of the defendants are also subject to fines and mandatory restitution if convicted.

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Louis Alba Pleads Guilty to Failure to Pay Over Employment Taxes

Source- http://www.justice.gov/tax/txdv111592.htm

WASHINGTON – Louis Alba pleaded guilty today in U.S. District Court in Central Islip, N.Y., to failing to pay over to the IRS employment taxes, the Justice Department and Internal Revenue Service (IRS) announced today.

According to court documents, Alba owned and operated CDJ Builders Corporation, a construction business in Melville that operated at construction sites in the New York Metropolitan area. Alba admitted that between 2004 and 2010, CDJ failed to pay over to the IRS approximately $779,387 in Federal Insurance Contributions Act (FICA) taxes and federal income taxes that CDJ withheld from its employees’ paychecks.

Alba faces a potential maximum sentence of five years in prison and a $250,000 fine. Judge Leonard D. Wexler, who is presiding over the matter, has not set a sentencing date.

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Robert G. Murdock the Operator of Detroit School and Day Care Pleads Guilty to Tax Evasion

Source- http://www.justice.gov/tax/txdv111594.htm

WASHINGTON – Robert G. Murdock, 64, of Southfield, Mich., pleaded guilty today to tax evasion, the Justice Department and Internal Revenue Service (IRS) announced. According to documents filed with the court, Murdock owned and operated a children’s day care center in Detroit called Kids Expectations, a Detroit elementary school called Metropolitan Academy of Detroit, and a payroll company called Metro Teaching Staff at various times from 1997 through 2007. During this period, Murdock accumulated unpaid federal payroll tax liabilities for his three businesses. When the IRS attempted collection actions such as levying on the corporate bank accounts, Murdock would incorporate new entities, often with similar names, obtain new Employer Identification Numbers for them from the IRS, and open new bank accounts, all for the purpose of moving assets out of the reach of the IRS.

According to the plea agreement, Murdock also evaded his personal taxes by filing false documents with the IRS and paying for personal expenditures out of business bank accounts and providing false information to IRS employees.

Murdock faces a potential maximum prison sentence of five years, a fine of up to $250,000 and restitution to the IRS of $200,000. Sentencing was set for Feb. 14, 2012.

Barbara McQuade, U.S. Attorney for the Eastern District of Michigan; John A. DiCicco, Principal Deputy Assistant Attorney General for the Justice Department’s Tax Division; and Erick Martinez, Special Agent In-Charge, IRS-Criminal Investigation made the announcement.

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Richard Jaensch Convicted for Filing a False Refund Claim Based on Fraudulent IRS Forms

Source- http://www.justice.gov/tax/txdv111594.htm

WASHINGTON – Richard Jaensch, a self-employed plumber residing from Annandale, Va., was found guilty today by a federal jury sitting in Alexandria, Va., of one count of corruptly endeavoring to impede the Internal Revenue Service (IRS), one count of filing a false claim for a refund, and four counts of failing to file tax returns for 2004 through 2007, the Justice Department and the IRS announced today.

Jaensch faces a potential maximum prison sentence of 12 years and a fine of up to $900,000 when he is sentenced on March 2, 2012.

According to evidence introduced at trial, Jaensch failed to file personal income tax returns between 2002 and 2007, despite the fact that he was required to do so by law. The first tax return he filed after 2002 was a false 2008 tax return claiming a $774,052 refund based on false Forms 1099-OID that the defendant submitted to the IRS. Over the years, to obstruct the IRS, Jaensch filed numerous frivolous documents and pleadings in Fairfax County, Va.; provided false information to the IRS; and filed a false 2008 federal income tax return, IRS Form 1040.

The evidence also showed that Jaensch caused his wife to present letters to her employer directing them to stop withholding federal income taxes from her salary. The IRS began levying his wife’s paycheck and bank accounts to satisfy her outstanding tax liability and Jaensch continued his obstructive conduct by filing or causing his wife to file correspondence with the IRS claiming that the IRS could not instruct her employer to withhold taxes from her paycheck.

Jaensch’s wife, Janet Jaensch, was a former high-level civilian employee in the Department of the Navy during the time that she was not filing tax returns at her husband’s direction. She pleaded guilty to willfully failing to file a tax return and will be sentenced on Dec. 13, 2011.

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Robert Todd McKinney and his brother John Quinn McKinney both Sentenced on Tax Fraud and False Statement Offenses

Source- http://www.fbi.gov/springfield/press-releases/2011/metro-east-men-sentenced-on-tax-fraud-and-false-statement-offenses

Two Metro-East residents were sentenced today in the United States District Court in East St. Louis, for participating in a conspiracy to defraud the United States and evade the payment of federal income taxes, the United States Attorney for the Southern District of Illinois, Stephen R. Wigginton, announced. Robert Todd McKinney, 43, and his brother John Quinn McKinney, 40, were both sentenced to 57 months’ imprisonment.

Court documents indicate that the McKinney brothers owned and operated McKinney Hauling, a construction business located in East St. Louis, Illinois. In 2003, the Internal Revenue Service (IRS) began pursuing the brothers for unpaid taxes. The McKinney brothers evaded the payment of their tax obligations for the tax years 1999-2000, and 2002-2006, by diverting business income from McKinney Hauling into nominee bank accounts, which were used to pay personal and household expenses. Robert and John McKinney also admitted lying to federal officials about their business income and their home addresses. Belinda and Chamethele McKinney each pled guilty to falsifying mortgage loan documents while purchasing real estate—solely in their own names—so that business income earned by the husbands could be diverted into assets owned exclusively by their wives, thereby avoiding a combined IRS tax lien of $2,465,089.74, including penalties and interest. The home owned by John and Chamethele McKinney was featured in a Belleville News-Democrat feature dated October 28, 2007, entitled “The McKinneys of Autumn Oaks: Living in a Dream Home.”

Robert Todd McKinney was also sentenced to three years of supervised release, ordered to pay restitution in the amount of $952,705.52 to the Internal Revenue Service, and ordered to pay $300 as a special assessment to the court.

John Quinn McKinney was further sentenced to three years of supervised release, ordered to pay restitution in the amount of $1,512,384.22 to the Internal Revenue Service, and ordered to pay $500 as a special assessment to the court.

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Shelton DeWayne Tanner Pleads Guilty to Tax Return Scheme That Victimized Disability Recipients

Source- http://www.justice.gov/usao/az/press_releases/2011/PR_10262011_Tanner.html

PHOENIX, Ariz. – Shelton DeWayne Tanner, 40, of Tucson, Ariz., pleaded guilty yesterday to conspiracy in connection with a tax return scheme that relied on stolen identities of disabled individuals.

As part of his guilty plea, Tanner admitted that he and others used the identities of individual taxpayers receiving disability benefits to file more than 150 tax returns and falsely claim more than $800,000 in bogus tax refunds. Tanner also admitted that he and others concealed their fraud by filing the tax returns electronically using their neighbors’ unsecured wireless networks, directing the refunds to prepaid debit card accounts they had obtained under false identities, and recruiting friends and associates to receive the prepaid debit cards by mail at various addresses.

Tanner and two others, Latricia Williams and Gezelle Amaechi, were charged by indictment on December 28, 2010. The indictment alleges that Amaechi worked during 2008 for an organization that provided services to disabled people, and that the identities of some of the organization’s clients were used in the scheme. A trial date of November 29, 2011, is set for Williams and Amaechi.

A conviction for conspiracy carries a maximum penalty of five years of imprisonment and a maximum fine of $250,000. In determining an actual sentence, Judge Frederick J. Martone will consult the U.S. Sentencing Guidelines, which provide appropriate sentencing ranges. The judge, however, is not bound by those guidelines in determining a sentence.

Sentencing for Shelton DeWayne Tanner is set for set before Judge Martone on February 6, 2012.

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William A. Herder Arrestested Today on Federal Tax Charges

Source- http://www.justice.gov/tax/txdv111556.htm

WASHINGTON - William A. Herder of Mifflin Township, Ohio, was arrested today on federal tax charges, the Justice Department and Internal Revenue Service (IRS) announced. On Nov. 9, 2011, a federal grand jury sitting in Cleveland returned an indictment against Herder, charging him with corruptly endeavoring to impair and impede the due administration of the internal revenue laws, tax evasion and failure to file tax returns.

According to the indictment, Herder, an insurance salesman, has not filed a timely or valid tax return in more than a decade. For the 2000 tax year, Herder allegedly filed a tax return on which he falsely claimed that he had not earned any income. Herder failed to file any tax returns for the 2001-2009 tax years, despite receiving numerous warnings and notices from the IRS.

The indictment further alleges that, to prevent the IRS from collecting his unpaid taxes, Herder attempted to conceal his assets and income. In 2003, Herder allegedly transferred title to his house to a fake foundation he established in Utah called the “Mentor Foundation.” Herder cashed out an Individual Retirement Account and a life insurance policy to further frustrate IRS collections activity. Herder also allegedly attempted to use a fake financial instrument to pay his taxes for the years 2000-2002 as well as a civil penalty that the IRS assessed against him for the year 2000.

 In addition to failing to file valid tax returns and hiding his assets from the IRS, the indictment alleges, Herder submitted numerous obstructive letters and documents to the IRS and the companies for whom he sold insurance in an effort to prevent the IRS from assessing and collecting his taxes. In these letters, Herder falsely claimed, among other things, that the tax laws were not applicable to him.

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Ronald James Davenport Convicted of Filing $ 20 Billion in False Liens Against Former US Attorney and Other Federal Officials

Source- http://www.justice.gov/tax/txdv111555.htm

WASHINGTON—Ronald James Davenport, of Chewelah, Wash., was convicted Tuesday of filing more than $20 billion in false liens against four federal government officials, the Justice Department and the Treasury Inspector General for Tax Administration (TIGTA) announced today. A federal jury in the Eastern District of Washington in Spokane returned guilty verdicts on all four counts of filing false retaliatory liens against government officials. The conviction came after a two-day trial before Judge Garr M. King of the District of Oregon, sitting in Spokane by special designation.

According to the evidence presented at trial, in December 2009, Davenport filed false liens against the then-U.S. Attorney and the Clerk of Court for the Eastern District of Washington, as well as an Assistant U.S. Attorney and an Internal Revenue Service Revenue officer. The liens were filed in the public records of Spokane County and Whatcom County, Wash. The defendant claimed in each lien that the victim owed him $5.184 billion and purported to attach all of the victim’s real and personal property as security for this debt. As proved at trial, the defendant chose these four victims on account of their service as government officials, namely their involvement in a civil lawsuit against Davenport for about $270,000 in unpaid tax liabilities.

Following his conviction, Davenport faces a potential maximum sentence of 40 years in prison and a fine of up to $1 million. Judge King has not set a sentencing date.

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Doctor William Paul Pleads Guilty and Convicted of Tax Fraud

Source- http://www.justice.gov/tax/txdv111562.htm

WASHINGTON – William Paul, formerly of Montgomery, Ala., was convicted today by a federal jury in Montgomery on four counts of tax evasion for the tax years 2004 through 2007, and of one count of failing to file a tax return, the Justice Department and Internal Revenue Service (IRS) announced. Pauls’ wife, Donna Paul, a board-certified rheumatologist, pleaded guilty to one count of tax evasion and one count of filing a false federal income tax return on Nov. 16, 2011.

According to evidence introduced at trial, Donna and William Paul owned and operated a medical practice in Montgomery. The Pauls attempted to evade the assessment and payment of Donna Paul’s income by falsely characterizing her income as loans, by making false statements to IRS employees, and by deliberately causing the non-profit organizations to not file tax returns. Evidence further showed that Donna Paul did not timely file federal individual income tax returns for the years 2004 through 2007. On April 5, 2011, the day IRS-Criminal Investigation special agents arrested her, Donna Paul filed four false tax returns for tax years 2004 through 2007. She testified at trial that each tax return did not include the money she earned from her medical practice.

Based on testimony at trial, William Paul had not filed a federal income tax return since the 1980s. Donna Paul also testified that William Paul ran the business side of the medical practice, initially called “Rheumatology Specialists of Central Alabama,” then “Rheumatology Specialists Arthritis and Osteoporosis Center,” then “Children and Adult Arthritis and Osteoporosis Center.”

Donna Paul faces a potential maximum of eight years in prison and a fine of up to $500,000. William Paul faces a potential maximum of 21 years in prison and a fine of up to $1.1 million.

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Matthew Rogers Pleads Guilty to Filing a False Federal Income Tax Return

Source- http://www.fbi.gov/albany/press-releases/2011/former-mcginn-smith-co.-inc.-senior-managing-director-pleads-guilty-to-filing-a-false-federal-income-tax-return

ALBANY, NY—United States Attorney Richard S. Hartunian, Special Agent in Charge Charles R. Pine of the New York Office of the Criminal Investigation Division of the Internal Revenue Service, and Special Agent in Charge Clifford C. Holly of the Albany Division of the Federal Bureau of Investigation, announced that Matthew Rogers, 46, of Vero Beach, Florida, pled guilty today before United States District Court Judge David N. Hurd to one count of filing a false federal income tax teturn, in violation of Title 26, United States Code, Section 7206(1). Sentencing is scheduled for April 21, 2012 in Utica, New York. Rogers faces up to three years in prison and a $250,000 fine.

As part of the guilty plea, Rogers admitted the following:

In 2006, Matthew Rogers, who was working for USBX Advisory Services, LLC, a Santa Monica, California investment bank, began working with McGinn, Smith & Co. Inc. (“the broker-dealer”) on business deals related to the alarm industry. In the fall of 2006, the broker-dealer hired Rogers as a senior managing director, and he began working for the broker-dealer in January 2007.

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Diana Kay Erickson Sentenced for Mail Fraud, False Tax Returns; Embezzled $247,448 from Her Employer

Source- http://www.fbi.gov/kansascity/press-releases/2011/aurora-woman-sentenced-for-mail-fraud-false-tax-returns-embezzled-247-448-from-her-employer?utm_campaign=email-Immediate&utm_medium=email&utm_source=kansas-city-press-releases&utm_content=49997

SPRINGFIELD, MO—Beth Phillips, United States Attorney for the Western District of Missouri, announced today that an Aurora, Mo., woman was sentenced today in federal court for mail fraud and filing false tax returns in a scheme to embezzle $247,448 from her employer.

Diana Kay Erickson, 46, of Aurora, was sentenced by U.S. District Court Judge Gary A. Fenner on Friday, November 18, 2011, to two years and nine months in prison without parole.

In her guilty plea, Erickson admitted that she embezzled $219,606 from Superior Lifts, Inc., between Sept. 7, 2006, and April 2, 2008, and that she embezzled $34,242 from Goolsby Rental Properties between March 14, 2006, and Dec. 18, 2006.

In 2006, Erickson was employed as a bookkeeper at Superior Lifts, which sold automobile lifts and other products. Superior Lifts, which is no longer in business, had its office in Aurora in 2004 and later moved to Nixa, Mo., in 2009. The owners of Superior Lifts also operated Goolsby Rental Properties, a second business that managed rental properties in the Wichita, Kan., area. Erickson also performed bookkeeping duties for Goolsby Rental Properties.

When customers of Superior Lifts mailed bank checks as payments, Erickson repeatedly intercepted those checks and deposited them in her own personal bank account.

Erickson also admitted that she filed false U.S. Individual Tax Returns for tax years 2006, 2007 and 2008. These returns were false because Erickson failed to report income she embezzled from Superior Lifts and Goolsby Rental Properties. As a result, the tax loss to the government (without penalties and interest) was $57,801.

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Walter Allen Johnson, aka Beau Johnson Sentenced to 92 Months in Prision for Filing False Tax Claims for Prison Inmates

Source- http://www.justice.gov/tax/txdv111517.htm

WASHINGTON – Walter Allen Johnson, aka Beau Johnson, a former Tennessee Department of Correction inmate, was sentenced today by Chief U.S. District Judge Todd J. Campbell of the Middle District of Tennessee to 92 months in prison for his role in a conspiracy to submit false tax returns on behalf of prison inmates, the Department of Justice announced. Johnson was also ordered to pay restitution in the amount of $57,880.80.

During a plea hearing on Feb. 28, 2011, Johnson admitted that, from February 2006 through January 2007, while incarcerated by the Tennessee Department of Correction, he conspired with others to defraud the United States by submitting false tax returns that claimed refunds on behalf of other inmates. To execute the scheme, Johnson collected Social Security numbers from other inmates and recruited other inmates to collect Social Security numbers for him. Johnson and his co-conspirators then used those Social Security numbers to file false income tax forms with the Internal Revenue Service (IRS), in the names of inmates, claiming refunds to which the inmates were not entitled.

The government presented evidence at sentencing that, as a result of the scheme, Johnson and his co-conspirators collected approximately 87 U.S. Treasury checks totaling approximately $57,880.

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Andrew Isaac Chance Convicted of Filing a False Retaliatory Lien Against a Federal Prosecutor and Filing Three False Claims for Income Tax Refund

Source- http://www.justice.gov/tax/txdv111515.htm

WASHINGTON – Andrew Isaac Chance of Clinton, Md., was convicted of filing a false retaliatory lien against a federal prosecutor and for filing three false claims for income tax refunds, the Justice Department, Internal Revenue Service (IRS) and Treasury Inspector General for Tax Administration (TIGTA) announced today. U.S. District Judge for the District of Maryland Alexander Williams Jr. presided over the federal jury trial in Greenbelt, Md.

According to testimony and evidence presented at trial, Chance was convicted in 2007 for filing a false claim for an income tax refund for the tax year 2005. Shortly after he was released from prison for that crime, he filed a UCC Financing Statement with the Maryland Department of Assessments and Taxation, falsely claiming that the federal prosecutor, who prosecuted the 2007 case, owed him $1.313 billion. The evidence showed that Chance filed a similar lien against a Maryland state prosecutor for her role in prosecuting him for crimes relating to his attempts to cash the fraudulently obtained U.S. Treasury check for the 2005 tax return. According to the evidence, Chance admitted to a federal agent, when arrested in December 2010 in relation to the current indictment, that he had filed the liens because the prosecutors had “done him wrong.”

The evidence at trial established that a year after filing the false lien, Chance filed three false claims for tax refunds for tax years 2007, 2008 and 2009, seeking a total of $900,000. These three false tax returns were almost identical to the 2005 return for which he was previously convicted. On the 2005 tax return, Chance claimed he was the Andrew Chance Trust. On the 2007-2009 returns, he claimed he was the Andrew I Chance Trust. On each return in the current case, Chance claimed $300,000 in refunds based on completely false income and withholding amounts. The government introduced evidence that, despite having claimed withholdings on the false returns, Chance had no withholdings and, in fact, had demanded that Metro, from which he retired as a station manager in 1999, not withhold taxes from his retirement pay.

“This verdict is a clear message that filing false retaliatory liens against federal officials, including federal prosecutors who are simply doing their jobs, is illegal and will be punished,” said Deputy Assistant Attorney General Ronald A. Cimino of the Justice Department’s Tax Division.

Chance was on federal supervised release and state probation at the time of the conduct giving rise to this indictment. He still faces court actions related to those release violations.

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Kansas City Lawyer Rosie M. Quinn Sentenced on Tax Charges

Source- http://www.justice.gov/tax/txdv111514.htm

WASHINGTON – Rosie M. Quinn, 55, a lawyer from Kansas City, Kan., was sentenced to 36 months in prison on tax charges, the Justice Department and Internal Revenue Service (IRS) announced today.

On March 15, 2011, following a jury trial before U.S. District Judge John W. Lungstrum, Quinn was found guilty on seven counts of failure to pay over employment taxes and two counts of failure to pay individual income taxes.

According to the evidence presented during the trial, Quinn was the sole proprietor of Rosie M. Quinn Attorney At Law, where she usually employed three to five people to assist with her practice. For calendar years 1995 through 2008, Quinn withheld more than $235,600 in payroll taxes from employees while submitting only $10,232 in payroll taxes to the IRS. In addition, the evidence at trial proved that Quinn failed to pay $8,435 in personal income taxes in 2002 and $19,905 in personal income taxes in 2003. Altogether, Quinn failed to pay more than $1 million including interest and penalties, for payroll and personal income taxes since 1995.

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Report IRS Tax Fraud by Calling 1-888-482-6825 or by visiting

www.irsrewards.com