PITTSBURGH, PA – Simone Prater, 29, of Pittsburgh, Pennsylvania, will spend three years on probation after being sentenced in federal court for her involvement in a brazen tax fraud scheme that netted over $200,000 in illicit refunds. The sentence, handed down by United States District Judge Mark R. Hornak, also includes a hefty $25,000 restitution order payable to the Internal Revenue Service.
The scheme, orchestrated from inside a prison cell, was led by Sean Brooks, currently serving time on unrelated charges. Brooks allegedly prepared and filed over one hundred fraudulent tax returns on behalf of fellow inmates and outside contacts. The operation wasn’t about small change; authorities say the fraudulent refunds totaled more than $200,000. The refunds were then cashed through a network of banks and check-cashing businesses after the checks were illegally endorsed.
Prater wasn’t just a bystander. Court documents reveal she actively participated in the conspiracy, handling key logistical tasks. She’s accused of mailing the fraudulent tax returns to the IRS, collecting the refund checks, and then delivering them to co-conspirators for cashing. Further, Prater allegedly distributed the ill-gotten gains amongst the members of the scheme and provided Brooks with the names and addresses of defunct businesses to use as fake employers on the bogus tax filings – a crucial component in concealing the fraud.
Assistant United States Attorney Brendan T. Conway led the prosecution, building a case that clearly demonstrated Prater’s knowing involvement. While Prater was held pending sentencing, the court acknowledged her role as a facilitator in a sophisticated operation designed to steal from American taxpayers. The investigation began months ago, and authorities are still looking at potential additional players involved in the larger scheme.
United States Attorney Scott W. Brady praised the collaborative effort of multiple federal agencies. The Internal Revenue Service – Criminal Investigation, the United States Postal Inspection Service, and the Department of Homeland Security – Homeland Security Investigations all contributed to the investigation that ultimately led to Prater’s conviction and sentencing. “This case demonstrates our commitment to prosecuting those who attempt to defraud the federal government,” stated Brady in a press release.
The sentencing of Prater marks the second conviction in this case, signaling a continuing crackdown on tax fraud schemes operating in the Pittsburgh area. Authorities warn that anyone involved in similar activities faces serious federal charges and potential imprisonment. The investigation remains ongoing, and further indictments are possible.
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Key Facts
- State: Pennsylvania
- Agency: DOJ USAO
- Category: White Collar Crime
- Source: Official Source ↗
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