IRS REVENUE AGENT CHARGED WITH CONSPIRACY,
STRUCTURING, CAUSING THE FAILURE TO FILE REPORTS, AND BRIBERY

WASHINGTON, D.C. - Assistant Attorney General Christopher A. Wray of the Criminal Division announced today that a federal grand jury in San Francisco, California, returned a four-count indictment charging Clarence Walker, a revenue agent for the Internal Revenue Service, with conspiracy, structuring, causing the failure to file Currency Transaction Reports (“CTRs”), and bribery.

The indictment alleges that Walker, 54, of San Jose, California, worked as a revenue agent for the IRS and was responsible for educating businesses that cashed checks, such as liquor stores, groceries, and used car dealerships, about the requirement to file CTRs. Walker then monitored their compliance.

The indictment alleges that despite his obligation to educate businesses about and ensure their compliance with the CTR laws and regulations, Walker entered into a conspiracy to hide cash transactions. Walker allegedly cashed checks written by his co-conspirators at the businesses he monitored and instructed the owners of those businesses not to file CTRs. The indictment alleges that Walker received payments for cashing checks in this manner. Walker also allegedly directed his co-conspirators to write checks below $10,000 to avoid the CTR requirement. Through this conspiracy, Walker allegedly provided his unindicted co-conspirators with more than $400,000 in underground cash. CTRs enable the government to track cash transactions in an effort to detect tax violations and other criminal activity.

The indictment specifically charges Walker with conspiracy, structuring, causing the failure to file CTRs, and bribery, in violation of 18 U.S.C. §§ 201(b)(2)(B) and 371 and 31 U.S.C. §§ 5324(a)(1) and (a)(3).

An indictment is a formal means of accusing someone of committing a crime. All defendants are presumed innocent until proven guilty.

This case is being prosecuted by trial attorneys Howard R. Sklamberg and Sabrina A. Houlton of the Public Integrity Section of the Criminal Division, headed by Section Chief Noel L. Hillman, and investigated by the Treasury Inspector General for Tax Administration and the IRS Criminal Investigation Division. The Treasury Inspector General for Tax Administration (TIGTA) was established in 1998 to provide independent oversight and protection of the IRS. Through its law enforcement and investigative programs, TIGTA protects against threats to federal tax administration.

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