FOR IMMEDIATE RELEASE:

June 30, 2004

John Yembrick   
Public Affairs Specialist          
P. O. Box 61129 Houston, TX 77208
Phone: 713/567-9388 Fax: 713/718-3389
E-Mail: usatty.txs@usdoj.gov

MEMBERS OF FALSE INCOME TAX REFUND SCAM CONVICTED

Contact AUSA: David Peck

Phone: 713/567-9000

(HOUSTON, TX) United States Attorney Michael Shelby announced today that four persons involved in a fraudulent income tax refund scheme that netted them hundreds of thousands of dollars have pleaded guilty. Today, Peter Kolo, 48, and Guyitri Ramsook, 41, admitted their involvement in a conspiracy to present false claims for income tax refunds. Michael Motilal Maharaj, 49, pleaded guilty to the same conspiracy charge on June 24, 2004. The following day, June 25, 2004, Martha Tekletsion, 43, pleaded guilty to conspiracy to present false claims for income tax refunds. All four now face a maximum of ten years in federal prison, without parole, and a $250,000 fine for their convictions at sentencing.

As stated in the written plea agreements, between 1999 through 2001, Maharaj, a former certified public accountant, practiced accounting with an emphasis on tax. Maharaj did business in Houston under the company names of Nation's Accounting and Tax Service, and Nation Tax and Accounting Service. Peter Kolo and Michael Motilal Maharaj were business associates, who shared the same office space beginning in 1997 through the end of 2001.

Maharaj prepared false federal income tax returns in his name and in the name of others, claiming large income tax refunds based on wages and withholding tax amounts reported on false I.R.S. Forms W-2 Wage and Tax Statements. No withholding tax was

paid to the I.R.S. Maharaj prepared fraudulent income tax returns showing that the taxpayer was entitled to a refund of most of his or her withholding tax. Mr. Maharaj filed a false tax return in his own name for the tax year 1998 in which he received a fraudulent tax refund check of $14,187.58. He also filed false tax returns in his own name for the tax years 1999 and 2000 claiming fraudulent tax refunds of approximately $73,821 and $90,152, respectively.

Peter Kolo participated in the conspiracy by supplying to Maharaj the names of his Houston business entities, Penndi Group, Inc., Nnalcom, Inc., and Sunrise Mortgage Company LLP, to be used as the purported employers for the false IRS Forms W-2. Kolo filed a false tax return in his own name for the tax year 1998 in which he received a fraudulent tax refund of approximately $26,301. He also filed false tax returns in his own name for the tax years 1999 and 2000 in which he claimed fraudulent tax refunds of approximately $115,195 and $82,332, respectively.

Knowing that the returns prepared would be false, Guyitri Ramsook arranged for Maharaj to prepare a false tax return in her own name for the tax year 2000 claiming a fraudulent tax refund of $16,110. At her request, Maharaj prepared a false tax return for Ramsook in her mother's name for the tax year 2000 fraudulently claiming a refund of $141,929. This refund was routed to Ramsooks' credit union account. Ramsook withdrew approximately $35,000 to pay off a car loan on a 2000 Mercedes Benz ML 320 purchased in February 2001.

Martha Tekletsion, knowing that the return would be false, also arranged for Maharaj to prepare a false tax return in her name for the tax year 2000. She received a fraudulent tax refund of $75,860. She also used Maharaj to prepare a false tax return in her father's name for the tax year 2000. The IRS Form W-2 falsely reflected that Tekletsion's father worked for Tekletsion's Houston based business, Therapeutic Centers of Texas. She gave her father's tax refund of approximately $85,019 to Maharaj. Maharaj also prepared a false amended 2000 tax return in the name of Tekletsion's father fraudulently claiming an additional tax refund in the approximate amount of $39,404.

The defendants will be sentenced during the third week of September 2004 by Judge Hittner. Maharaj will be sentenced on September 20; Tekletsion on September 21; Ramsook on September 22, and Kolo on September 23.

This case was investigated by the Criminal Investigations Division of the Internal Revenue Service and Assistant Unit and being prosecuted by Assistant United States Attorney David Peck.

# # #

040630-Kolo