February 17, 2017

Three people were found guilty by a jury in the U.S. District Court for the District of Columbia of federal charges for participating in a scheme to file false federal income tax returns in order to fraudulently obtain tax refunds to which they were not entitled. All three defendants were found guilty of one count of conspiracy to commit theft of government funds and to defraud the United States. According to the government’s evidence, members of the conspiracy participated in a massive and sophisticated stolen identity refund fraud scheme that involved an extensive network of more than 130 people, many of whom were receiving public assistance. The conspirators fraudulently claimed refunds for tax years 2005 through 2012, often in the names of people whose identities had been stolen, including the elderly, people in assisted living facilities, drug addicts and incarcerated prisoners. Returns were also filed in the names of, and refunds were issued to, willing participants in the scheme. The returns filed listed more than 400 “taxpayer” addresses located in the District of Columbia, Maryland and Virginia. DOJ

Tagged in: Tax Fraud,