FOR IMMEDIATE RELEASE
January 31, 2003

TWO PERSONS INDICTED FOR STEALING IDENTITIES
OF CHILDREN IN TAX FRAUD SCHEME

Alice H. Martin, United States Attorney for the Northern District of Alabama, and C. Andre Martin, Special Agent in Charge, Criminal Investigation Division, Internal Revenue Service, announce that a federal grand jury has returned an indictment against ROSHANDA D. JOHNSON, 32, of Killeen, Texas, and LISA WESTON COOK, 36, of Hoover, Alabama.

According to Martin, the indictment charges that JOHNSON and COOK conspired in a tax fraud scheme to steal the personal identities of children whose names appeared on lists maintained by the Alabama Institute for the Deaf and Blind in Talladega, Alabama, and The Children's Hospital in Birmingham. The names, social security numbers and dates of birth of the children were to be used to claim false exemptions on Federal income tax returns. Earnest Baskin of Birmingham was convicted last year on tax fraud charges relating to his income tax return preparation businesses under the names, XPRESS RAPID REFUND, RAPID REFUND EXPRESS and XPRESS TAX KINGSTON. This indictment charges that Baskin obtained lists of children from JOHNSON and COOK in order to claim false dependant exemptions on tax returns of clients. JOHNSON and COOK were paid $100 for each child's name successfully used to claim a false exemption. In all, the scheme cost the Internal Revenue Service about $700,000. Alice Martin stated, "People, especially unsuspecting children, have a right to privacy in the information collected by businesses. Although the collection of such information is necessary to conduct business, we will vigorously prosecute those individuals who violate individual privacy interests for personal gain."

Members of the public are reminded that the indictment contains only charges. A defendant is presumed innocent of the charges and it will be the government's burden to prove a defendant's guilt beyond a reasonable doubt at trial.

The case is being investigated by Special Agents of the Internal Revenue Service. Assistant United States Attorney Ronald R. Brunson is prosecuting the case.