Billy Gene Jefferson, 52, of Richmond, Virginia, has been sentenced to 20 years in prison for his role in a nearly $13 million tax fraud scheme that involved the rehabilitation of historic properties in Richmond.
According to officials, Jefferson pleaded guilty to conducting a major fraud against the United States and engaging in unlawful monetary transactions for his role in orchestrating a multimillion dollar rehabilitation tax credit scheme between 2009 and 2012.
The scheme involved Jefferson applying for and receiving millions in state and federal historic tax credits in connection with the rehabilitation of a former tobacco manufacturing plant in the Manchester Industrial Historic District of Richmond and ten historic buildings located in the Fan District of Richmond.
Jefferson then sold many of those tax credits to corporate investors, but grossly inflated the rehabilitation costs on the properties at issue, resulting in a loss of $5,754,616 in federal tax credits and $7,193,270 in state credits, for a combined total of approximately $12,947,886.
After pleading guilty, Jefferson was released on bond, but law enforcement discovered that he was stealing and spending funds that could have been used to repay his victims, including orchestrating hundreds of covert transactions designed to spend and conceal over $7 million.
Jefferson also stole his brother’s identity and attempted to flee the country to avoid justice, but was caught and pleaded guilty to unlawfully transferring a false identification document and aggravated identity theft.
As part of his plea agreement, Jefferson has agreed to pay full restitution for the tax credit scheme.
Billy Gene Jefferson, Defendant: Billy Gene Jefferson, Jr.
Criminal Charges: Engaging in a multimillion dollar rehabilitation tax credit scheme, conducting a major fraud against the United States, and engaging in unlawful monetary transactions.
City and State: Richmond, Virginia
Exact Date: December 19, 2013 (plea), September 9, 2014 (hearing), and February 28, 2014 (attempt to flee)
Sentence: 20 years in prison
Dollar Amounts: $12,947,886 (combined loss in federal and state tax credits), $7 million (stolen and spent funds)
Related Federal Cases
- Timothy Nolan, Tax Fraud, West Virginia 2020 · New Hampshire
- Cindy Shearer, Wire Fraud and Filing False Income Tax Return, West Virginia 2013 · Washington
- Lara Coleman, Mail and Wire Fraud, Virginia 2023 · Florida
- Sandra Ball, Wire Fraud, West Virginia 2013 · New Hampshire
- Reba Marcelle Myers, Willful Failure to Collect/Pay Over Tax, Virginia 2024 · Virginia
Key Facts
- State: Virginia
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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