May 28 , 2004

Return Preparer Pleads Guilty in False Tax Claims Case

Memphis, TN - Terrell L. Harris, U.S. Attorney for the Western District of Tennessee, and Sherree W. Preston, Special Agent in Charge of Internal Revenue Service Criminal Investigation Division, announced today that Tenika Finnie, 26, of Memphis, pled guilty today before U.S. District Judge Jon P. Mc Calla to nine counts of filing false claims against the government. She faces up to 45 years in prison when she is sentenced on August 25, 2004.

According to testimony during the plea hearing Finnie worked as a tax return preparer for three separate tax preparation firms from January 2000 until February 2002. Finnie falsified her clients' individual income tax returns to earn extra cash for her by inflating Form W-2 wages and federal tax withholding amounts and preparing fictitious Schedules A, Itemized Deductions and/or Schedules C, Business Profit/Loss Statements. By inflating tax withholdings and decreasing taxable income, her clients obtained larger refunds than which they were entitled to receive. Upon receipt of their inflated refund, Finnie solicited and received a portion their refund once the check was negotiated.

According to the indictment, thesefalse returns pertained to calendar years 1999, 2000, and 2001 and the refunds claimed ranged from $565 to $7,694.

This investigation was conducted by IRS Criminal Investigation. Assistant U.S. Attorney Rae Oliver prosecuted the case for the government.

# # # #

Note: Charges brought against a person through an indictment are accusations only. That person is presumed innocent until and unless proven guilty.