Related Federal Cases
- Amy Evangelista, Tax Return Fraud, California 2023 · California
- Amy Evangelista, Tax Fraud, California 2023 · Louisiana
- Aramais Airapetian, Mortgage Fraud, California 2023 · Colorado
- Dorothy Matsuba, Mortgage Relief Fraud, California 2005 · Colorado
- Louis Joseph Vadino, Tax Evasion and Passport Fraud, California 2023 · Alaska
Crime Pays Dearly for Scammer
A San Jose woman’s get-rich-quick scheme ended in disaster when she was sentenced to 22 months in prison for committing tax fraud and bank home mortgage fraud.
Elena Moreno, 40, was also ordered to pay $422,962.13 in restitution and to forfeit $3,328,000 as well as her interest in two pieces of real property. Prior to pleading guilty in this case, Moreno and her co-defendants, Arturo and Fidencio Moreno, paid more than $200,000 in restitution to the Internal Revenue Service (IRS) for losses associated with their fraud.
According to court documents, beginning in 2005 and continuing through at least 2010, family members Arturo Moreno, Elena Moreno, and Fidencio Moreno conspired to defraud the United States by failing to report all of the gross receipts from their charter bus company, Quality Assurance Travel (QAT), on the corporate tax returns for QAT and on their personal income tax returns that they filed with the IRS.
The total amount of unreported gross receipts during those years exceeded $966,908. Arturo and Fidencio Moreno were each 50 percent owners of QAT. The unreported income consisted primarily of cash receipts that were paid by passengers as they boarded the bus, but were not deposited into the business bank accounts or disclosed to the Moreno’s tax return preparer.
Additionally, Elena Moreno and her co-defendants conspired to commit bank fraud and wire fraud by submitting false and fraudulent loan applications that overstated the applicants’ income and assets in order to acquire and refinance homes in San Jose. In total, the defendants fraudulently obtained more than $3.3 million in loans through their conspiracy.
The case was investigated by IRS-Criminal Investigation. Trial Attorney Todd P. Kostyshak of the Tax Division and Assistant U.S. Attorneys Thomas Moore and Katherine L. Wong prosecuted the case.
Moreno’s scheme ultimately fell apart when the defendants fell behind on loan payments, and they attempted to avoid foreclosure by submitting false and fraudulent applications to modify these loans.
Mandatory Facts:
- Defendant: Elena Moreno
- Criminal Charges: Tax Fraud and Bank Home Mortgage Fraud
- City and State: San Jose, California
- Exact Date: Not specified
- Sentence: 22 months in prison, followed by three years of supervised release
- Dollar Amounts: $422,962.13 in restitution, $3,328,000 forfeiture, and $200,000 in prior restitution payments
Key Facts
- State: California
- Category: 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