Defendant Ordered to Pay Over $85,000 in Restitution to the IRS

COEUR D'ALENE – Gary Raymond Harvey, 71, of Peck, Idaho, was sentenced today to 36 months in prison for making false claims for refund from the Internal Revenue Service, U.S. Attorney Wendy J. Olson announced. Chief U.S. District Judge B. Lynn Winmill also ordered Harvey to serve three years of supervised release following his prison term and pay $ 85,217.94 in restitution. Harvey pleaded guilty to the charges on November 1, 2012, during his trial.

During the trial, evidence showed that Harvey created and filed tax returns for the entity The Organic Assembly of Circle JB, claiming that the entity was entitled to tax refunds ranging from $8,851.80, to $54,080, for tax years 2002 through 2010. During Harvey’s cross-examination on the fourth day of trial, he admitted that he knew he was not entitled to the refunds and changed his plea to guilty on all counts charged in the indictment. A federal grand jury had indicted Harvey on August 23, 2011, on ten counts of making a false claim for a refund.

“All citizens have a solemn obligation to pay taxes,” said Olson. “Those who claim false refunds cheat not only the government but also other taxpayers. This sentence sends the strong message that those who fail to pay their equal share will be punished.”

The case was investigated by Internal Revenue Service-Criminal Investigation.