Three Persons Charged with Assisting Individuals to File False Tax Returns
Las Vegas, Nev. –Three persons have been indicted by the Federal Grand Jury for assisting individuals to receive fraudulent income tax refunds from the IRS, announced Steven W. Myhre, Acting United States Attorney for the District of Nevada.
The Indictments, returned against Keith Carthon, Ramona Brock, and Jerrod Campbell, on Tuesday, March 20, 2007, allege that from about January 2003 to February 2004, Carthon, Brock, and Campbell (Carthon and Brock together, and Campbell independently), recruited individuals to submit false income tax returns and claims to the IRS. The defendants prepared false W-2 forms using false or legitimate businesses for whom the individuals never worked or for whom they worked less hours than reported in the W-2s. The individuals then submitted the false W-2 forms to tax preparers for the preparation of fraudulent tax returns. When the individuals received the fraudulent income tax refunds and credits, they split the proceeds with the defendants.
The Indictments allege that Carthon and Brock assisted ten individuals in the filing of false claims totaling approximately $36,900, and that Campbell assisted five individuals in the filing of false claims totaling approximately $23,290.
If convicted, the defendants face up to five years in prison and a $250,000 fine for each false claim submission.
Carthon is scheduled to appear before United States Magistrate Judge Johnston on Friday, March 30, 2007, at 8:30 a.m. for an initial appearance and arraignment. Campbell and Brock are fugitives.
The case is being investigated by IRS Criminal Investigation and prosecuted by Assistant United States Attorney Christina M. Brown.