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.

************************************************************************

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

www.irsrewards.com

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.

************************************************************************

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

www.irsrewards.com

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.

************************************************************************

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

www.irsrewards.com

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.

************************************************************************

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

www.irsrewards.com

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.

************************************************************************

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

www.irsrewards.com

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.

************************************************************************

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

www.irsrewards.com

Chiquita Q. Broadnax Sentenced to 18 Months for Preparing False Income Tax Returns

Source- http://www.justice.gov/opa/pr/2011/November/11-tax-1510.html

WASHINGTON - Chiquita Q. Broadnax, a resident of Montgomery County, Ala., was sentenced today to 18 months in prison by Judge Mark Fuller of the Middle District of Alabama for her involvement in a fraudulent tax return perpetration scheme, the Justice Department and the Internal Revenue Service (IRS) announced.

According to the court documents, Broadnax was employed by James E. Moss as a tax return preparer at a tax return preparation business, known as Flash Tax, from December 2004 through January 2007. During her employment at Flash Tax, Broadnax prepared and filed at least 900 tax returns, the majority of which contained false information designed to illegally obtain higher refunds to which her clients were not entitled. Moss trained Broadnax to prepare false tax returns in order to obtain higher tax refunds for Flash Tax clients by inflating or deflating specific numbers and/or by adding totally fictitious numbers to the return. Moss was convicted early this month by an Alabama jury for orchestrating this fraudulent tax return preparation scheme.

************************************************************************

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

www.irsrewards.com

Onuoha “Iggy” Nwokoro Sentenced to Three Years for Preparing False Returns

Source- http://www.justice.gov/tax/txdv111511.htm

WASHINGTON – Onuoha “Iggy” Nwokoro was sentenced today in federal district court in Washington, D.C., for willfully aiding and assisting in the preparation of a false income tax return for 2004, the Justice Department and Internal Revenue Service (IRS) announced today. U.S. District Judge Richard J. Leon sentenced Nwokoro to 36 months in prison and ordered him to pay $510,389 in restitution to the IRS.

On Aug. 30, 2011, Nwokoro pleaded guilty to willfully aiding and assisting in the preparation of a false tax return for 2004. According to court documents, from January 2005 through April 2007, Nwokoro operated BBC Tax Services, also known as BBC Tax and Medical Billing Services, a tax preparation business in Washington. For tax years 2004, 2005 and 2006, Nwokoro prepared and electronically filed tax returns for his clients that included fictitious business income and expenses for what purported to be a computer systems business. Nwokoro admitted to preparing at least 41 false returns, causing a tax loss of more than $530,000. According to the plea agreement, Nwokoro also admitted that his own 2004, 2005 and 2006 personal tax returns were false in that they under-reported his income by $585,537.

************************************************************************

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

www.irsrewards.com

Chiquita Q. Broadnax Sentenced to 18 Months for Preparing False Income Tax Returns

Source- http://www.justice.gov/tax/txdv111510.htm

WASHINGTON – Chiquita Q. Broadnax, a resident of Montgomery County, Ala., was sentenced today to 18 months in prison by Judge Mark Fuller of the Middle District of Alabama for her involvement in a fraudulent tax return perpetration scheme, the Justice Department and the Internal Revenue Service (IRS) announced.

According to the court documents, Broadnax was employed by James E. Moss as a tax return preparer at a tax return preparation business, known as Flash Tax, from December 2004 through January 2007. During her employment at Flash Tax, Broadnax prepared and filed at least 900 tax returns, the majority of which contained false information designed to illegally obtain higher refunds to which her clients were not entitled. Moss trained Broadnax to prepare false tax returns in order to obtain higher tax refunds for Flash Tax clients by inflating or deflating specific numbers and/or by adding totally fictitious numbers to the return. Moss was convicted early this month by an Alabama jury for orchestrating this fraudulent tax return preparation scheme.

************************************************************************

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

www.irsrewards.com

Ashvin Desai Indicted for Tax Evasion and Faling to Report Foreign Bank Accounts

Source- http://www.justice.gov/tax/txdv111504.htm

WASHINGTON – A federal grand jury in San Jose, Calif., Wednesday indicted Ashvin Desai of San Jose on three counts of tax evasion, two counts of willfully aiding the preparation of materially false tax returns and three counts of failing to file Reports of Foreign Bank and Financial Accounts (FBARs), the Justice Department and Internal Revenue Service (IRS) announced.

According to the indictment, Desai, the owner of a medical device company, his wife and his two adult children maintained millions of dollars in undeclared bank accounts in India at The Hongkong and Shanghai Banking Corporation Ltd. (HSBC). During 2009, Desai maintained approximately $8.8 million in his undeclared accounts at HSBC in India. Desai attempted to evade his income taxes for tax years 2007-2009 by filing false tax returns that failed to report $1,306,810 of interest income, and that falsely reported that he did not have an interest in, or signature authority over, bank accounts located in a foreign country. Desai also prepared false tax returns for his children for tax year 2009 that failed to report approximately $189,000 of interest income paid by HSBC in India, and that falsely reported that the children did not have an interest in bank accounts located in a foreign country.

The indictment further alleges that during 2009 Desai closed an account he maintained at HSBC in England and directed that the funds from that account be transferred to a bank account maintained at HSBC in Dubai in the name of one of his children, and that, for tax years 2007-2009, Desai failed to file FBARs to report his foreign bank accounts to the Department of Treasury.

As alleged in the indictment, U.S. citizens have an obligation to report to the IRS on Schedule B of their U.S. Individual Income Tax Return, Form 1040, whether they had a financial interest in, or signature authority over, a financial account in a foreign county in a particular year by checking “Yes” or “No” in the appropriate box and identifying the country where the account was maintained. They further have an obligation to report all income earned from foreign financial accounts on the tax return and to pay the taxes due on that income. Separately, U.S. citizens with a financial interest in, or signatory authority over, a foreign financial account worth more than $10,000 in a particular year, must also file an FBAR form with the Treasury disclosing such an account by June 30 of the following year.

Each tax evasion charge carries a maximum penalty of five years in prison and a $250,000 fine. The false tax return charges each carry a maximum penalty of three years in prison and a $250,000 fine. The failure to file an FBAR charges each carry a maximum penalty of 10 years in prison and a $500,000 fine.

************************************************************************

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

www.irsrewards.com

Scott Keith Voss Pleads Guilty to Bank Fraud and Failure to Pay Payroll Taxes

Source- http://www.fbi.gov/littlerock/press-releases/2011/jonesboro-man-pleads-guilty-to-bank-fraud-and-failure-to-pay-payroll-taxes

ITTLE ROCK—Christopher R. Thyer, United States Attorney for the Eastern District of Arkansas announced that Scott Keith Voss, 43, of Jonesboro, Arkansas, has pled guilty to one count of bank fraud and one count of willful failure to pay over tax. Voss faces a maximum penalty of 35 years in prison and a fine of $1,250,000 when he is sentenced.

Voss, who served as pastor and president of First Pentecostal Church of Jonesboro, pled guilty to a two count Information filed for the hearing. The information states that from September 2007 until June 26, 2010, Voss devised a scheme to defraud the First Bank of Owasso. As part of the scheme, Voss applied for a loan from the First Bank of Owasso, pledging as collateral the Jonesboro Worship Center real estate. Voss, it states, failed to obtain appropriate Board of Directors’ authorization to so encumber the church real estate. The information charges that Voss used the funds to retire previous unauthorized loans, for his own personal use and to obtain additional funds for expenditures not approved by the Board of Directors of the Jonesboro Worship Center.

Additionally, the information charges that from 2006 through 2010, First Pentecostal Church of Jonesboro withheld tax payments from its employees’ paychecks. However, through this same period, the church failed to make any payments to the Internal Revenue Service (IRS) of these withholdings. The information states that Voss was the person responsible for the collection and pay over of the church’s payroll taxes.

As part of his plea agreement, Voss agreed to an entry of an order of restitution to the First Bank of Owasso of $450,000 and to the IRS of $148,564.94.

************************************************************************

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

www.irsrewards.com

Natalie Wisneski Indicted for Filing False Non-Profit Tax Returns, Making Campaign Contributions in the Names of Others

Source- http://www.fbi.gov/phoenix/press-releases/2011/former-fiesta-bowl-chief-operating-officer-indicted-for-filing-false-non-profit-tax-returns-making-campaign-contributions-in-the-names-of-others

PHOENIX—A federal grand jury in Phoenix returned a nine-count indictment yesterday against Natalie Wisneski, 47, of Tempe, Ariz., for making campaign contributions in the name of another, causing false statements to be made to the federal election commission, filing false tax returns and conspiring to commit the above offenses.

The indictment alleges that Wisneski, as an officer and high-paid employee of the Fiesta Bowl, solicited campaign contributions from Fiesta Bowl employees for federal, state, and local candidates for elective office, and arranged to reimburse the employees for their contributions with Fiesta Bowl money.

Reimbursement for federal campaign contributions is prohibited under the Federal Election Campaign Act, and it also causes the political campaigns to file false information with the Federal Election Commission as to the identity of the true donor. The federal campaigns identified in the indictment have cooperated in the investigation, and no evidence suggests that the campaigns knew that the Fiesta Bowl reimbursed its employees.

The indictment also alleges that Wisneski filed false tax returns on behalf of the Fiesta Bowl when she denied in the tax returns that the Fiesta Bowl had any lobbying expenses or political expenditures. Wisneski will be summonsed to appear for her arraignment on Nov. 30, 2011, at 10:30 a.m. The overall investigation continues, and the Fiesta Bowl organization continues to cooperate with the investigation.

A conviction for conspiracy carries a maximum penalty of five years, a $250,000 fine or both. A conviction for making campaign contributions in the names of others in an amount greater than $10,000 in a single calendar year is punishable as a felony, and carries a maximum penalty of two years, a $250,000 fine or both; A conviction for making campaign contributions in the names of others in an amount between $2,000 and $10,000 in a single calendar year is punishable as a misdemeanor, and carries a maximum penalty of one year, a $100,000 fine or both.

A conviction for false statements carries a maximum penalty of five years, a $250,000 fine or both, and a conviction for filing false tax returns carries a maximum penalty of three years, a $250,000 fine or both.

************************************************************************

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

www.irsrewards.com

Marsha Elmore Pleads Guilty to Using Stolen Identities to Obtain Tax Refunds

Source- http://www.justice.gov/opa/pr/2011/November/11-tax-1494.html

MONTGOMERY, Ala. – Marsha Elmore of Wetumpka, Ala., the owner of a tax preparation business called Community Tax, pleaded guilty today to charges related to her use of stolen identities to fraudulently obtain tax refunds, the Justice Department and the Internal Revenue Service (IRS) announced. Elmore pleaded guilty to one count each of filing a false claim, wire fraud and aggravated identity theft. On Aug. 31, 2011, she had been charged with those crimes as part of a 32-count indictment returned by a federal grand jury in Montgomery, Ala.

According to her plea agreement and other court documents, Elmore’s fraudulent activity ran from 2009 until July 2011, when she was arrested by the IRS on a criminal complaint. She unlawfully obtained the names, Social Security numbers and dates of births of various individuals and used them to file false tax returns through Community Tax. Those tax returns claimed refunds that were directed to bank accounts and debit cards that Elmore controlled. Elmore also filed false tax returns using online filing websites. Altogether, Community Tax and Elmore were linked to almost 1,400 tax returns during this time period. In her plea agreement, Elmore admitted that she personally filed many false returns through Community Tax.

Sentencing has not yet been scheduled. Elmore faces a minimum of two years and up to 27 years in prison, as well as up to three years of supervised release, mandatory restitution and a fine of up to $750,000 or twice the loss caused by her offenses.

************************************************************************

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

www.irsrewards.com

Certified Public Accountant Ronald Simons Pleads Guilty to Delivering and Disclosing a False Federal Income Tax Return

Source- http://www.fbi.gov/albany/press-releases/2011/certified-public-accountant-pleads-guilty-to-delivering-and-disclosing-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 Ronald Simons, 58, of Vestal, New York, pled guilty today before United States Magistrate Judge David R. Homer to one count of delivering and disclosing a false federal income tax return, in violation of Title 26, United States Code, Section 7207. Sentencing is scheduled for February 6, 2012 in Albany, New York. Simons faces up to one year in prison and a $100,000 fine.

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

From in or about 1987 through the present, Simons, a certified public accountant, was a partner at the accounting firm of Piaker & Lyons. From in or about 1992 through 2008, he prepared audited financial statements for McGinn, Smith & Co., Inc. (“McGinn Smith”). He also prepared tax returns for David L. Smith and other McGinn Smith entities.

In the fall of 2007, Simons prepared the 2006 U.S. Individual Income Tax Return for David and Lynn Smith (“the 2006 Return”) and, at Smith’s request, caused the return to be filed. The 2006 Return was received by the Internal Revenue Service on or about October 17, 2007 in Andover, Massachusetts.

The 2006 Return did not report $407,000 in fees distributed to David L. Smith from TDM Cable Funding LLC during 2006: $350,000 on October 3, 2006 (the “October Transaction”) and $57,000 on December 21, 2006 (the “December Transaction”). As a result, the 2006 Return, including line 22, “total income,” was not accurate.

************************************************************************

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

www.irsrewards.com

Federal Court Has Permanently Barred Dorthea Alexander From Preparing Federal Tax returns for others

Source- http://www.justice.gov/opa/pr/2011/November/11-tax-1480.html

WASHINGTON – A federal court in Philadelphia has permanently barred Dorthea Alexander from preparing federal tax returns for others, the Justice Department announced today. The civil injunction order, to which Alexander agreed without admitting the government’s allegations, was signed by Judge R. Barclay Surrick of the U.S. District Court of the Eastern District of Pennsylvania.

The government complaint in the case alleged that Alexander, of Leola, Pa., claimed bogus dependent exemptions, charitable donation and other deductions, and tax credits on customers’ tax returns during her employment as tax supervisor at Pawn Plus Inc. in Lancaster, Pa. The injunction order requires Alexander to send a copy of the order to all customers for whom she, or anyone under her direction, prepared a federal tax return since Jan. 1, 2005, and to give the government a list of those customers.

************************************************************************

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

www.irsrewards.com

Immigration Services Provider Kenia Marrero Allegedly Files Fraudulent Tax Returns for Customers

Source- http://www.justice.gov/opa/pr/2011/November/11-tax-1483.html

WASHINGTON – The United States has sued Kenia Marrero seeking to bar her and her business, Kenia Immigration Services, from preparing federal tax returns for others, the Justice Department announced today.

The civil injunction complaint, filed in U.S. District Court for the Southern District of Florida, alleges that Marrero of Miami prepares federal income tax returns for customers that fraudulently understate their tax liabilities by using fabricated deductions, business expenses and first-time homebuyer tax credits. The lawsuit alleges that Marrero offers immigration services through her business, including assistance in obtaining work permits and visas, and uses that customer base to obtain tax preparation customers.

According to the complaint, an Internal Revenue Service (IRS) investigation revealed that 98 percent of the income tax returns prepared by Marrero and audited by the IRS resulted in tax deficiencies. The lawsuit alleges that the tax harm caused by Marrero’s misconduct could be as much as $1.4 million.

************************************************************************

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

www.irsrewards.com

Ronald Simons Pleads Guilty to Delivering and Disclosing a False Federal Income Tax Return

Source- http://www.fbi.gov/albany/press-releases/2011/certified-public-accountant-pleads-guilty-to-delivering-and-disclosing-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 Ronald Simons, 58, of Vestal, New York, pled guilty today before United States Magistrate Judge David R. Homer to one count of delivering and disclosing a false federal income tax return, in violation of Title 26, United States Code, Section 7207. Sentencing is scheduled for February 6, 2012 in Albany, New York. Simons faces up to one year in prison and a $100,000 fine.

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

From in or about 1987 through the present, Simons, a certified public accountant, was a partner at the accounting firm of Piaker & Lyons. From in or about 1992 through 2008, he prepared audited financial statements for McGinn, Smith & Co., Inc. (“McGinn Smith”). He also prepared tax returns for David L. Smith and other McGinn Smith entities.

In the fall of 2007, Simons prepared the 2006 U.S. Individual Income Tax Return for David and Lynn Smith (“the 2006 Return”) and, at Smith’s request, caused the return to be filed. The 2006 Return was received by the Internal Revenue Service on or about October 17, 2007 in Andover, Massachusetts.

The 2006 Return did not report $407,000 in fees distributed to David L. Smith from TDM Cable Funding LLC during 2006: $350,000 on October 3, 2006 (the “October Transaction”) and $57,000 on December 21, 2006 (the “December Transaction”). As a result, the 2006 Return, including line 22, “total income,” was not accurate.

************************************************************************

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

www.irsrewards.com

Arthur Lee Ong a Hawaiian Firearms Business Owner Convicted of Federal Tax Offenses

Source- http://www.justice.gov/opa/pr/2011/November/11-tax-1470.html

HONOLULU – Arthur Lee Ong of Honolulu was convicted by a federal jury Monday of conspiracy to defraud the United States and tax evasion, the Justice Department and Internal Revenue Service (IRS) announced today. District Judge Leslie Kobayashi presided over the case.

According to evidence introduced at trial, Ong, the owner and operator of Thunder Bug Inc., doing business in the state of Hawaii as Magnum Firearms, failed to report to the IRS millions of dollars of income he earned from the sale of firearms and related products to federal, state, county and military agencies, as well as to the general public. The evidence at trial showed that Ong, with the assistance of others, created multiple sham trusts in 1990 for the purpose of hiding his income and assets.

The evidence further showed that Ong stopped filing personal income tax returns beginning in 1994 and also filed false tax returns on behalf of the sham trusts that fraudulently reported to the IRS that the income from his businesses was attributable to these trusts and not to him. The evidence at trial established that Ong evaded more than $600,000 in federal income taxes from 2000 to 2006.

District Judge Kobayashi set sentencing for March 1, 2012. Ong faces a maximum prison sentence of 35 years and a fine of up to $1.75 million.

************************************************************************

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

www.irsrewards.com

Ronald Simons Pleads Guilty to Delivering and Disclosing a False Federal Income Tax Return

Source- http://www.fbi.gov/albany/press-releases/2011/certified-public-accountant-pleads-guilty-to-delivering-and-disclosing-a-false-federal-income-tax-return?utm_campaign=email-Immediate&utm_medium=email&utm_source=albany-press-releases&utm_content=45532

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 Ronald Simons, 58, of Vestal, New York, pled guilty today before United States Magistrate Judge David R. Homer to one count of delivering and disclosing a false federal income tax return, in violation of Title 26, United States Code, Section 7207. Sentencing is scheduled for February 6, 2012 in Albany, New York. Simons faces up to one year in prison and a $100,000 fine.

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

From in or about 1987 through the present, Simons, a certified public accountant, was a partner at the accounting firm of Piaker & Lyons. From in or about 1992 through 2008, he prepared audited financial statements for McGinn, Smith & Co., Inc. (“McGinn Smith”). He also prepared tax returns for David L. Smith and other McGinn Smith entities.

In the fall of 2007, Simons prepared the 2006 U.S. Individual Income Tax Return for David and Lynn Smith (“the 2006 Return”) and, at Smith’s request, caused the return to be filed. The 2006 Return was received by the Internal Revenue Service on or about October 17, 2007 in Andover, Massachusetts.

The 2006 Return did not report $407,000 in fees distributed to David L. Smith from TDM Cable Funding LLC during 2006: $350,000 on October 3, 2006 (the “October Transaction”) and $57,000 on December 21, 2006 (the “December Transaction”). As a result, the 2006 Return, including line 22, “total income,” was not accurate.

At the time that Simons prepared the 2006 Return, he knew that:

(1) before in or about April 15, 2007, Smith characterized the October Transaction as income,

(2) both the October and December Transactions were initially booked by the McGinn Smith controller as origination fees,

(3) in October 2007, Smith told Simons that the October Transaction was a “loan,” causing Simons not to include it on the 2006 Return,

(4) in October 2007, the McGinn Smith controller reclassified the October Transaction from origination fees to “Loan-DLS,”

(5) in October 2007, the McGinn Smith controller told Simons that the fees paid to Smith and others should be “loans,” and

(6) before on or about October 11, 2007, Simons reclassified the December Transaction from origination fees to “Loans-other” by making an adjusting journal entry.

As a result of Simons’ reclassification of the December Transaction, as Simons knew, the 2006 Return did not report $407,000 in fees distributed to Smith from TDM Cable Funding LLC during 2006.

************************************************************************

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

www.irsrewards.com

Mikel D. Jones and Dona Nichols Jones Convicted in Scheme to Defraud Lender

Source- http://www.fbi.gov/philadelphia/press-releases/2011/lawyer-and-wife-convicted-in-scheme-to-defraud-lender?utm_campaign=email-Immediate&utm_medium=email&utm_source=philadelphia-press-releases&utm_content=45056

PHILADELPHIA—Mikel D. Jones, 55, and Dona Nichols Jones, 54, of Boynton Beach, Florida, were convicted today in connection with a scheme to defraud a New York venture capital fund which financed the operation of Mikel Jones’ Philadelphia law firm. Jones, a personal injury lawyer, was convicted of conspiracy, money laundering, 14 counts of wire fraud, and 14 counts of mail fraud. His wife, Dona Nichols Jones, was convicted of conspiracy, money laundering, and 14 counts of wire fraud. Jones was acquitted of several counts of mail and wire fraud involving thefts from the City of Philadelphia. Mrs. Jones was not charged in those counts. U.S. District Court Judge Berle M. Schiller scheduled sentencing for February 7, 2012.

Jones owned and operated a law firm at 1831 Chestnut Street. In February 2006, Jones obtained a multi-million-dollar line of credit from Stillwater, a lender in New York, agreeing that he would only use the proceeds of the line of credit for legitimate expenses related to the operation of his law firm. Jones and his wife then used his a shell company they controlled and the name of another media corporation located in the Philadelphia to steal money from the Lender. They created fraudulent invoices on the letterhead of Strata-Tech, the company they controlled, and Philadelphia-based Comcast-Spectacor, falsely claiming that these companies had provided goods and services to Jones’ law firm. The companies provided no services to the firm. The Joneses used the fraudulently taken business-loan funds to pay off personal credit card debts and to buy 76ers basketball tickets from Comcast-Spectacor. The defendants were also convicted of laundering approximately $160,000 in fraudulently gotten funds through Mrs. Jones’ and their daughter’s Florida bank account, then using the fund to replenish funds Jones took from his law firm trust account. The Joneses obtained more than $350,000 using fraudulent invoices and false representations to the Lender during 2008 through 2009.

************************************************************************

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

www.irsrewards.com