News and Press Releases

Honolulu Tax Preparer Sentenced For Tax Crimes Related To Hawaii Clients And Her Own Tax Return

Tuesday, January 21, 2014

HONOLULU - United States District Court Judge J. Michael Seabright today sentenced Honolulu tax preparer Merla Balubar, age 59, to 24 months imprisonment for falsifying information on an income tax return she prepared for another person and for falsifying her own tax return. Judge Seabright ordered Balubar to pay restitution totaling $326,799 to the United States.

Florence T. Nakakuni, United States Attorney for the District of Hawaii, said according to documents filed in connection with the case:

- Balubar a resident of Ewa Beach, provided tax preparation services while doing business as Filcom Tax Services LLC. Balubar would prepare returns for clients for a fee and her activities covered tax years 2006 through 2009, with specific returns being prepared and submitted to the Internal Revenue Service (IRS) from 2007 through 2010. The returns contained materially false information that resulted in refunds, to which the clients were not entitled, or reduced the tax liability for the filer. This was accomplished by including within the returns false overstatements of deductible expenses.

- Balubar also prepared a Joint United States Individual Income Tax Return, Form 1040, for herself and her husband, for tax year 2007. This tax return contained materially false statements of fact by under reporting income from business operation, income from rental property, and gambling income. In addition, the return also contained false itemized deductions. Balubar also admitted to filing false returns for tax years 2008 and 2009.

The case resulted from an investigation conducted by IRS - Criminal Investigation. Assistant United States Attorney Ronald G. Johnson handled the prosecution.

Return to Top

 

USAO Homepage
USAO Briefing Room
StopMedicareFraud.gov
Justice 101
Victim Witness Assistance

Making sure that victims of crimes are treated with compassion, fairness and respect.

Law Enforcement Coordinating Committee

Training and seminars for Federal, State, and Local Law Enforcement Agencies.