TAX FRAUDSTER SENTENCED; USED DEAD PEOPLE’S INFORMATION
September 21, 2011
ATLANTA, GA - DALAWNI HOLLOMON, 42, of Snellville, Georgia, was sentenced today by United States District Judge Willis B. Hunt, Jr. to federal prison on charges of mail fraud, false claims, and aggravated identity theft, as part of a repeating scheme to file hundreds of fraudulent tax returns.
“In these challenging economic times, this defendant used the Internal Revenue Service as her personal piggy bank, diverting scarce tax dollars from necessary government services to her pocketbook to fund her elaborate lifestyle,” said United States Attorney Sally Quillian Yates.
“Tax refund schemes are especially egregious when identity theft is used to expand the scheme. IRS Criminal Investigation will respond to these schemes using every legal resource at our disposal,” said Reginael D. McDaniel, IRS Criminal Investigation Special Agent in Charge.
HOLLOMON was sentenced to 6 years in prison to be followed by 3 years of supervised release, and ordered to pay restitution of $288,230. HOLLOMON was convicted of these charges on February 28, 2011 upon her plea of guilty.
According to United States Attorney Yates, the charges and other information presented in court: Between January 2008 and January 2009, HOLLOMON filed over 700 federal and state tax returns containing identifying information for individuals who actually had died in 2007 and 2008, and used information of the filer, the income, and withholding claimed. HOLLOMON obtained the identities used in the fraudulent returns from publicly available Internet databases. HOLLOMON obtained names, Social Security numbers, dates of birth and death for individuals deceased during 2007 and 2008 from data published by the U.S. Social Security Administration. Although HOLLOMON filed fraudulent tax returns requesting $488,872 in refunds, she actually received $378,548 in that scheme.
In July 2011, four months after HOLLOMON’s guilty plea to wire fraud, false claims, and aggravated identity theft, the IRS received evidence that she was continuing to engage in tax fraud and related criminal conduct. Specifically, in March and April 2011, HOLLOMON submitted seven third-party checks, totaling $25,600.00 as payment towards two Ford Motor Credit auto loan accounts in her name, one for a 2006 BMW 325i, and the other for a 2006 Volkwagen Beetle. When contacted by Ford Motor Credit about the checks, HOLLOMON stated that the payments were donations made on her behalf by members of her church. HOLLOMON later faxed a letter from a minister to Ford Motor Credit indicating that the payments were made by church members. In fact, the third-party checks submitted by HOLLOMON were written from accounts using funds deposited from fraudulently obtained federal and state tax refunds. The IRS found that HOLLOMON’s “new” fraud conduct involved 28 fraudulently filed returns, resulting in $38,173.00 in refunds being issued. Further investigation by the IRS revealed that a friend of HOLLOMON paid a minister to write the letter to Ford Motor Credit on HOLLOMON’s behalf, and that the letter was false to the extent it suggested that members from the church were responsible for the third-party checks submitted to Ford Motor Credit. HOLLMON’s bond was revoked by the Court as a result of this additional scheme.
This case was investigated by Special Agents of the Internal Revenue Service-Criminal Investigation.
Assistant United States Attorneys Jamila M. Hall and Steven D. Grimberg prosecuted the case.
For further information please contact Sally Q. Yates, United States Attorney, or Charysse L. Alexander, Executive Assistant United States Attorney, through Patrick Crosby, Public Affairs Officer, U.S. Attorney's Office, at (404) 581-6016. The Internet address for the HomePage for the U.S. Attorney's Office for the Northern District of Georgia is www.justice.gov/usao/gan.