Related Federal Cases
- Kalena Winston Pleads Guilty to $70K Tax Fraud Scheme · Kansas
- Amgen Pays $71M for Pushing Drugs Off-Label · Washington
- Amgen Inc. $71M Settlement · Washington
- Western Union Scam · Washington
- 23andMe Faces Legal Fire for Genetic Data Sale · Washington
Colorado Woman Sentenced for Tax Fraud Scheme
Kalena Latoya Winston, a 41-year-old woman from Colorado Springs, has been sentenced to five years and three months in federal prison without parole for her role in a tax fraud scheme.
Winston, who operated a return preparation scheme for tax years 2011 and 2012, solicited clients from Colorado, Kansas, and Tennessee, and prepared and submitted false returns electronically to the IRS service center in Kansas City, Missouri.
The scheme involved claiming false Schedule C businesses on the clients’ returns to increase the amount of refunds by qualifying them for or maximizing the Earned Income Tax Credit. On two occasions, Winston used the personal identifying information of clients to file returns without their knowledge or permission.
Winston received debit cards containing the tax refunds from the false returns, which she used to fund her own activities. The money was often withdrawn from the cards before it was distributed to the taxpayers.
Co-defendant Pete Scott, 38, of Spring Hill, Florida, pleaded guilty to his role in the conspiracy and awaits sentencing. Scott admitted to distributing the refund debit cards to the taxpayers after money had already been withdrawn from the cards.
The case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by IRS-Criminal Investigation. The court ordered Winston to pay $254,893 in restitution to the IRS.
The scheme has had a significant impact on the community, with many taxpayers affected by the falsified returns. The sentencing of Winston is a significant step in bringing closure to these victims and their families.
Kalena Latoya Winston was sentenced by U.S. District Judge Beth Phillips on [insert date]. Winston has remained in federal custody since her arrest in Colorado in February 2016.
Key Facts
- State: Missouri
- Category: White Collar Crime|Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News