Diego Rojas, Tax Fraud, PA 2017

SCRANTON, PA – Diego Rojas, 42, of Dunmore, Pennsylvania, is facing a hefty prison sentence after admitting to running a sophisticated scheme to defraud the United States government. Rojas pleaded guilty on March 7, 2017, before United States District Court Judge James M. Munley to making false claims against the government, a crime that saw over $1.6 million in fraudulent tax refunds flow through his business.

The operation centered around Dunmore Check Cashing, the business owned and operated by Rojas. Federal prosecutors revealed that Rojas knowingly deposited more than 350 United States tax refund treasury checks, at least 250 of which were confirmed as fraudulent, into company accounts. The sheer scale of the fraud is staggering, painting a picture of a deliberate and calculated effort to exploit the tax system for personal gain.

United States Attorney Bruce D. Brandler’s office emphasized the severity of the crime. As part of the plea agreement, Rojas has agreed to full restitution of $1,669,864 to the Internal Revenue Service – a significant sum, but unlikely to fully compensate for the damage inflicted on the system. The Department of Justice has made combating Stolen Identity Refund Fraud (SIRF) a priority, recognizing its widespread impact on legitimate taxpayers.

SIRF schemes like Rojas’ are not isolated incidents. They are often orchestrated by criminal enterprises that specialize in stealing Social Security numbers and other personal identifying information. These stolen identities are then used to file false tax returns, with individuals like Rojas acting as crucial facilitators by cashing the fraudulent refunds. The IRS estimates that over 5 million tax returns were filed using stolen identities during the 2013 filing season alone, resulting in approximately $30 billion in fraudulent refund claims.

The investigation, conducted by the Scranton Office of the Internal Revenue Service, Criminal Investigation, was bolstered by assistance from the Pennsylvania State Police and multiple local police departments – Hazelton, Taylor, Dickson City, Dunmore, and Olyphant. The Lackawanna and Luzerne County District Attorneys’ Offices also contributed to the case, demonstrating a unified front against financial crime. Assistant United States Attorney Evan Gotlob is leading the prosecution.

While a sentencing date has not yet been scheduled, Rojas faces a maximum penalty of 10 years’ imprisonment, a term of supervised release, and a $250,000 fine, in addition to the required restitution. However, Judge Munley will consider a range of factors when determining the final sentence, including Rojas’ criminal history and the specific circumstances of the offense. The Grimy Times will continue to follow this case and provide updates as they become available. # # #