WASHINGTON — The United States has sued a Greensboro, N.C., man in federal court, seeking to permanently bar him from preparing federal income tax returns for others, the Justice Department announced today. The government complaint, filed in U.S. District Court for Middle District of North Carolina, alleges that Marcel Thomas and his business, Refund Recovery Group (RRG), prepare fraudulent federal income tax returns containing bogus information such as fabricated businesses and business deductions and false Earned Income Tax Credit information.
Thomas, who claims to be an ordained minister, allegedly directed the Internal Revenue Service (IRS) to deposit his customers’ tax refunds without their permission into his personal and business bank accounts, and then took his fee from those funds without first negotiating the fee amounts with customers. The government complaint also alleges that Thomas improperly guarantees prospective customers that they will receive tax refunds.
In addition to seeking to bar Thomas from preparing federal income tax returns, the suit further asks that a judgment for the amount of erroneous tax refunds allegedly paid directly to Thomas. The suit also asks the court to order Thomas to provide the government with a list of his customers’ names, mailing and e-mail addresses, and telephone, and Social Security numbers.
Since 2001, the Justice Department has obtained injunctions against more than 230 tax preparers and tax-fraud promoters. More information about these cases is available on the Justice Department Web site at www.usdoj.gov/tax/taxpress2007.htm. More information about the Justice Department’s Tax Division can be found at www.usdoj.gov/tax.
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