U.S. Department of Justice
Commerce St., 3rd Fl.
Telephone (214) 659-8600
|FOR IMMEDIATE RELEASE||
MAY 17, 2002
United States Attorney Jane J. Boyle announced today that Robert David Neal, a Certified Public Accountant and a resident of Trophy Club, Texas, pled guilty this morning in federal court to presenting a false claim to the United States Treasury Department, Internal Revenue Service (IRS), in violation of Title 18, United States Code, Section 287. He faces a maximum statutory imprisonment of five years and a $250,000 fine. He is scheduled to be sentenced by the Honorable United States District Judge Barbara M.G. Lynn on August 2, 2002.
Robert David Neal had previously been indicted on five counts of filing false claims to the United States Treasury Department and then later indicted for health care fraud, in violation of Title 18, United States Code, Section 1347. Neal was scheduled for trial next week before Judge Lynn on the five-count false claims indictment.
According to the factual resume filed in court, the false claim of $283,940 was the 1995 Individual Income Tax Return for Robert and Debra Neal. This 1995 return contained a false Form 1099 prepared by Neal, purportedly issued by LMB Industries, Inc. to Robert D. Neal claiming $438,692 in non-employee compensation and $438,692 in withheld taxes. As a result of Neal's false representations, IRS credited Neal's outstanding balance with the IRS in the amount of $283,940.
According to the filed plea agreement, the government agreed to dismiss the remaining four counts in the false claims indictment and the health care fraud indictment. Robert David Neal has agreed to voluntarily forfeit all licenses and to not seek or attempt to reestablish licenses dealing with the businesses of insurance, securities, financial advisement, and the like. Neal also agreed that he may be subject to pay restitution related to losses sustained by Dallas General Life Insurance Company as outlined in the health care fraud indictment. This indictment stated that Dallas General Life Insurance Company's loss was a result of Neal's false representations and pretenses by omitting known adverse medical conditions on employer and employee applications for medical coverage.
The investigation was conducted by Special Agents of the Internal Revenue Service - Criminal Investigation. Trial Attorneys Michael Yurkanin, Jr. and D. Troy Sellars with the United States Department of Justice Tax Division, Criminal Enforcement Section and Assistant United States Attorney Michael Gill of the United States Attorney's Office, Northern District of Texas, prosecuted the case.
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