Press Release
FOR IMMEDIATE RELEASE
Date: September 21, 2007
Contact : Sue McKinney
CONSPIRACY TO FILE FALSE CLAIMS
Maxwell Wood, United States Attorney for the Middle District of Georgia, announces the sentencing of JOSEPH JORDAN, SR., of Warner Robins, on September 21, 2007, in Macon, Georgia, by the Honorable C. Ashley Royal, United States District Judge for the Middle District of Georgia. JORDAN’S codefendants, ERETTA NELSON, formerly of Fort Valley, OZEE ROGERS, SR., of Macon, and HEWIS CROSS, of Leesburg, were previously sentenced by Judge Royal on September 7, 2007. JORDAN, NELSON, ROGERS and CROSS were convicted following a jury trial on January 30, 2007 of Conspiracy to File False Claims for refunds with the Internal Revenue Service, a violation of 18 United States Code, Section 286, and with multiple counts of filing or causing false claims for refunds to be filed with the IRS, violations of 18 United States Code, Section 287. JORDAN was sentenced to a term of imprisonment of 135 months; ROGERS was sentenced to a term of imprisonment of 108 months; NELSON was sentenced to a term of imprisonment of 70 months; and CROSS was sentenced to a term of imprisonment of 51 months. They were also ordered to pay restitution to the IRS in the amount of $530,663.27, and to serve a term of 3 years on supervised release following their terms of imprisonment.
Evidence at trial proved that the defendants were the promoters and recruiters for a scheme to file false claims for refunds with the IRS. Defendants recruited taxpayers to file false amended tax returns with the IRS, wherein the taxpayers would claim tax refunds to which they were not entitled ranging from $33,913.00 up to $89,612.00. Recruited taxpayers were falsely told by the defendants that the IRS secretly places taxes paid by individual taxpayers into interest bearing accounts, and that the defendants had access to inside information relating to how these funds could be obtained through the filing of amended tax returns claiming refunds. Evidence at trial showed that 95 of these false claims were filed with the Internal Revenue Service totaling $5,672,093.00, and that 10 refunds were actually paid before the scheme was stopped by the IRS.
The case was investigated by the Criminal Investigation Division of the Internal Revenue Service, and prosecuted by Assistant United States Attorneys Paul C. McCommon III and George R. Christian. Inquiries should be directed to Sue McKinney, Public Affairs Specialist, United States Attorney’s Office at (478) 621-2602.
