HOUSTON – With the deadline for filing income tax returns rapidly approaching, Acting U.S. Attorney Abe Martinez and Special Agent in Charge D. Richard Goss of IRS – Criminal Investigation (CI) have jointly announced seven newly-charged tax return preparers as well as a significant sentencing and delivered a warning to those who are thinking about breaking the law by committing tax crimes.
“Federal law requires everyone to pay their fair share of taxes,” said Martinez. “False tax returns are an attempt to cheat the system, the U.S. Treasury and ultimately the American people. Return preparers have an obligation to seek only the refunds their clients are entitled to and charge a reasonable fee in doing so. Those who abuse their filing privileges will be investigated, caught and prosecuted to the fullest extent of the law. All taxpayers should exercise caution in selecting preparers on whom they rely in seeking an appropriate refund. If a preparer promises financial dividends that are too good to be true, it may well be and could require a much greater repayment than the excess received.”
“Society places tax practitioners in a position of trust. Their customers provide them with some of their most sensitive personal information. When that trust is violated and the information is abused for fraudulent purposes, it causes significant harm not only to the individuals who are directly victimized but to the entire community,” said Goss. “IRS-CI special agents are working tirelessly to protect taxpayers from fraud and investigate potential unscrupulous tax return preparers.”
One such notable recent case involved a local tax return preparer who was ordered to federal prison for a second time for preparing false tax returns and obstructing the IRS in its enforcement of federal income tax laws. Cedric Keith Oliphant, who was previously charged and convicted of preparing dozens of false 2006-08 client tax returns, was released on bond in that case under a condition that he have no involvement in the preparation of tax returns other than his own. However, while awaiting sentencing, Oliphant resumed preparing fraudulent tax returns, attempting to hide his activity by putting the business and bank accounts in other people’s names.
He was sentenced 33 months on the earlier case and released from prison Aug. 26, 2016. A week later, he was taken into custody on the second case and ordered into custody. He later pleaded guilty to those charges and is now serving another 28-month federal prison sentence. He was further ordered to pay more than $725,000 in restitution for both cases. The Financial Litigation Unit of the United States Attorney’s Office has already seized $205,000 in cash, three cars worth $32,600 and Oliphant’s personal residence in Huntsville as partial satisfaction of his restitution obligation.
In addition to this significant sentencing, the U.S. Attorney’s Office has recently filed cases against seven other tax return preparers for aiding and assisting in the preparation and electronic filing of materially false U.S. Individual Income Tax Returns.
Yesterday, authorities arrested Ryan Damont Akers following the return of an indictment charging 15 counts of willfully aiding and assisting in the preparation of false U.S. Individual Income Tax Returns for others. He is expected to make his initial appearance before U.S. Magistrate Judge Nancy Johnson at 2:00 p.m. today. The U.S. Individual Income Tax Returns listed in the indictment cover years 2012 through 2014. The false items variously claimed on the returns include, among others, false amounts of gifts to charity by cash or check, false unreimbursed employee expenses, false losses from sole proprietorships and false Schedule D net long term capital losses, according to the indictment.
Also arrested yesterday was Dale Bradford Harding, charged with 15 counts of willfully aiding and assisting in the preparation and electronic filing of false U.S. Individual Income Tax Returns for others.
A separate indictment charges Cedric Keith Oliphant with 15 counts of willfully aiding and assisting in the preparation and electronic filing of false U.S. Individual Income Tax Returns for others, for the years 2010 through 2014. Oliphant is expected to make his initial appearance before U.S. Magistrate Judge Nancy Johnson at 2:00 p.m. today. The U.S. Individual Income Tax Returns listed in the indictment cover years 2010 through 2014.
The U.S. Attorney’s Office also charged Cedric Keith Oliphant with 10 counts of obstruction of justice. According to the indictment, Oliphant attempted to hide his fraudulent activities by putting the business and bank accounts in other people’s names, and by lying to the IRS under oath.
Oliphant is currently serving a 28-month federal prison sentence in connection with the second case. He is expected to make his initial appearance before U.S. Magistrate Judge Nancy Johnson at 2:00 p.m. today. The indictment alleges that Oliphant prepared false tax returns for dozens of clients, claiming false deductions and credits, and then laundered the proceeds through a series of bank accounts and transactions.
The indictment further alleges that Oliphant attempted to conceal his activities by using false identities and aliases, and by creating a complex web of shell companies and bank accounts to hide the proceeds of his crimes.
Oliphant faces up to 20 years in prison on each of the 15 counts of willfully aiding and assisting in the preparation of false U.S. Individual Income Tax Returns, and up to 5 years in prison on each of the 10 counts of obstruction of justice.
Related Federal Cases
- Craig J. Schexnaider, Tax Evasion, Beaumont TX, 2023 · Iowa
- James Pavlounis, Social Security Administration Fraud and Tax Evasi… · Ohio
- Karen McGinnis, Tax Theft, Mountain Top PA, 2023-2025 · Virginia
- Tren de Aragua Leaders Unsealed, Terror Cartel Crimes, Texas, 2023 · New York
- Pam Bondi, Money Laundering, Texas, 2023 · North Carolina
Key Facts
- State: Texas
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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