The Grimy Times has uncovered a shocking case of tax return cheating in New Orleans. Donald Stewart, a 59-year-old former tax preparer, has pleaded guilty to stealing $37,809 in tax refunds from the federal government.
According to court documents, Stewart operated under the business names Stewart’s Tax Service and Stewart LTD from 2001 to 2008. The IRS suspended his Electronic Filing Information Number during this time, but Stewart continued to file false tax returns using the means of identification of individuals, including their names and social security numbers.
Between January 2011 and February 2012, Stewart caused the IRS to deposit the stolen refunds into bank accounts under his control. He also admitted to cashing or depositing U.S. Treasury checks totaling $539,393, payable to other individuals at a bank in the New Orleans area.
Stewart’s crimes have caught the attention of federal authorities, who have charged him with one count of theft of public funds and one count of aggravated identity theft. Under the law, Stewart faces up to 10 years in prison for the theft charge and a mandatory two years for the identity theft charge, which must be served consecutively.
The case was investigated by special agents of IRS-Criminal Investigation, with Assistant U.S. Attorney Hayden Brockett and Trial Attorney Lauren M. Castaldi of the Tax Division prosecuting the case. Acting Assistant Attorney General Caroline D. Ciraolo and U.S. Attorney Kenneth A. Polite, Jr. for the Eastern District of Louisiana have thanked the agents for their tireless efforts.
Stewart is set to be sentenced on March 17, 2006, by U.S. District Judge Eldon E. Fallon. As part of his plea agreement, Stewart also faces a fine of $250,000, or twice the gross gain or loss caused by the offense, and terms of supervised release.
The Grimy Times will continue to follow this case and provide updates on Stewart’s sentencing and any further developments.
Additional information about the Tax Division and its enforcement efforts can be found on their website.
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Key Facts
- State: Louisiana
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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