Adam Earnest, False Tax Return Conspiracy, Mississippi 2024
A group of tax return preparers in Jackson, Mississippi, have been sentenced to prison for their involvement in a conspiracy to prepare and file false tax returns.
According to a federal jury, Adam Earnest, James Klish, and John Wells were found guilty of conspiring to defraud the United States by preparing false tax returns at Sunbelt Tax Service, a return preparation business that operated in Jackson.
Earnest was sentenced to 100 months in prison, Klish received 50 months, and Wells was sentenced to 15 months in prison. Each was also ordered by U.S. District Court Judge Daniel P. Jordan III for the Southern District of Mississippi to serve three years of supervised release and to pay restitution to the United States in an amount the court will later determine.
Two other conspirators, Christopher Rendell and Jonathan Barefoot, will be sentenced at a later date.
According to court documents, Earnest, Rendell, Klish, Barefoot, and Wells worked together at Sunbelt to claim inflated tax refunds for clients by reporting false education credits, itemized deductions, and business profits or losses on their clients’ tax returns. Over the years, they prepared thousands of fraudulent returns, causing over $3.5 million in tax loss to the IRS.
The case was investigated by IRS Criminal Investigation, with Trial Attorneys Patrick Elwell, Zachary Cobb, and Mary Frances Richardson of the Tax Division prosecuting the case.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Tax Division made the announcement.
Key Facts
- State: Mississippi
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →