A former IRS employee has been convicted of a brazen $326,000 tax refund fraud scheme in Missouri.
Demetria Michele Brown, 38, of Birmingham, Ala., pleaded guilty to two counts of wire fraud and one count of aggravated identity theft in federal court.
The scheme involved Brown submitting hundreds of false and fraudulent state and federal income tax returns between 2008 and 2011 to generate refunds.
Brown, a former resident of Fairview Heights, Ill., worked at an IRS office in St. Louis, Mo., during the fraud scheme.
The scheme resulted in a loss of approximately $326,000, with Brown filing more than 120 fraudulent federal tax returns and at least 236 fraudulent state tax returns.
Under federal statutes, Brown is subject to a sentence of up to 20 years in federal prison without parole for each wire fraud count and a mandatory consecutive sentence of two years in federal prison without parole for aggravated identity theft.
The case is being prosecuted by Assistant U.S. Attorney Anthony P. Gonzalez and was investigated by the FBI, IRS-Criminal Investigation, the Missouri Department of Revenue – Compliance and Investigation Bureau, and the Missouri Department of Revenue – Criminal Investigation Bureau.
A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
The scheme involved Brown obtaining personal identification information, including names, Social Security numbers, and dates of birth of other persons without their knowledge or consent.
Brown completed U.S. individual income tax returns and Missouri state income tax returns for persons using the personal identification information she had obtained, adding other information which was false and fraudulent, including the address, place of employment, wages earned, taxes withheld, and the fact that a refund was due.
Key Facts
- State: Missouri
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release ↗
ðŸâ€â€™ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News