Three Indicted in Million Dollar Texas Tax Fraud Scheme

As the saying goes, only two things in life are certain:  death and taxes. No matter how clever you believe your scheme to be, the government will find a way to get you to pay in the end.  A Texarkana native and two associates found that out the hard way recently when they were indicted for alleged tax fraud to the tune of over $1 million in unpaid taxes.  Read on for details about the case, and contact a dedicated Texas tax fraud defense attorney with any questions or for help with an IRS tax problem in Dallas or Tyler, Texas.

Tax scheme involving aliases, stolen identities, multiple banks and fake W-2s

A federal indictment was recently unsealed in the Texarkana division of the Eastern District of Texas that accuses two men and a woman of perpetrating an elaborate scheme to defraud the federal government into doling out undeserved tax refunds.  The 19-count indictment details a multitude of crimes over several years beginning in 2011 involving at least a dozen banks.

The defendants are accused of stealing federal funds by filing 153 false tax returns netting over $1 million in 2011, 2012, and 2013.  The defendants allegedly used stolen identities and fake W-2 forms to claim tax refunds that they were not actually owed. They funneled the ill-gotten tax returns through multiple banks including Domino Credit Union and Red River Employees Credit Union in Texarkana.  The defendants are charged with conspiracy to commit theft of public money by obtaining tax refunds to which they were not entitled from the IRS, as well as multiple counts of theft of government money, aggravated identity theft, and money laundering. The defendants face up to five years in prison for the conspiracy count, up to 10 years for each count of theft of government money, up to two years for each count of aggravated identity theft, and another 10-20 years for each count of money laundering.

Two of the defendants appeared in court and entered pleas of not guilty to all 19 counts.  The third alleged co-conspirator, charged only for conspiracy in the first count of the indictment, has yet to appear in court.  The defendants resided in Dallas, Houston, Louisiana, and Nigeria during the time the crimes were allegedly committed.

If you’re facing a complicated tax issue involving back taxes, tax fraud, tax evasion, or false returns, get skilled legal help with your case from a Texas tax lawyer at the Scammahorn Law Firm, PC at 903-595-1000, with offices in Dallas and Tyler.