Tolland Man Accused of $6.7M Tax & Benefits Scam

NEW HAVEN, CT – George Davis Telford, Jr., 36, of Tolland, is staring down the barrel of serious federal charges after a grand jury indictment revealed a brazen scheme to defraud both the IRS and the Connecticut Department of Labor. Federal prosecutors allege Telford concocted a multi-million dollar tax refund scam and simultaneously pilfered unemployment benefits, racking up a combined total of over $6.7 million in alleged fraudulent claims.

According to the indictment unsealed today, Telford allegedly created phony trust entities as a vehicle to claim false refunds from the IRS. Between 2019 and 2020, he filed five bogus federal tax returns, demanding a staggering $6.2 million in refunds. The IRS, unfortunately, took the bait, wiring Telford a single refund of $564,758 connected to a 2018 return filed on behalf of the “Telford Asset Family Trust.”

But Telford’s alleged greed didn’t stop there. In 2022 and 2023, he allegedly turned his attention to the Connecticut Department of Labor (CT DOL). He established “High Class Grads LLC,” a company prosecutors say existed only on paper, and submitted fraudulent unemployment insurance claims. These claims, filed in his own name and on behalf of two other individuals, falsely stated they had earned wages from the nonexistent company and were victims of layoffs. The CT DOL disbursed $48,792 in benefits based on these fabricated claims.

U.S. Attorney David X. Sullivan was quick to clarify the legal standing of Telford, stating, “An indictment is not evidence of guilt.” Sullivan emphasized that the charges are merely allegations and that Telford is presumed innocent until proven guilty beyond a reasonable doubt. However, if convicted on all counts, Telford faces a lengthy prison sentence. The indictment charges him with five counts of making and subscribing a false tax return, each carrying a maximum term of imprisonment of three years. He also faces three counts of wire fraud, each carrying a maximum sentence of 20 years behind bars.

The investigation was a joint effort between the Internal Revenue Service – Criminal Investigation Division and the U.S. Department of Labor – Office of Inspector General. Assistant U.S. Attorneys Stephanie Levick and Susan Wines are prosecuting the case. What’s particularly notable is that Telford is already behind bars – currently incarcerated in state custody for unrelated alleged criminal conduct, suggesting a pattern of behavior.

Grimy Times will continue to follow this case as it unfolds. This isn’t just about numbers; it’s about a calculated effort to steal from taxpayers and a system designed to help those genuinely in need. The feds are sending a clear message: fraud, in any form, will be aggressively pursued and prosecuted. The next court date has not yet been announced.

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