Florida Man Pleads Guilty to Obstructing the IRS and Stealing Government Funds
Used $485,000 in Illegal Tax Refunds to Buy House and Luxury Vehicles
A Boynton Beach, Florida resident pleaded guilty today to corruptly endeavoring to obstruct the administration of the internal revenue laws and theft of government funds, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division.
According to documents filed with the court, from 2010 to 2015, David R. Andre, 41, filed fraudulent personal tax returns with the Internal Revenue Service (IRS) that sought more than $5.6 million in refunds to which he was not entitled. As a result of these returns, which falsely reported income earned and income tax withheld, the IRS paid Andre more than $485,000 in refunds. He used the funds to purchase his residence and multiple vehicles, including a Jaguar and Mercedes Benz. In late 2012, the IRS began trying to collect the taxes Andre owed and placed a lien on his residence. Days after the lien was recorded, Andre filed a form with the IRS that falsely claimed he was making a substantial payment, and the IRS released the lien. After Andre did not make the payment, the IRS revoked its release and re-filed the lien. In 2015, Andre also made false statements to IRS agents and told them that he purchased his residence with money he inherited, did not recall receiving any large refunds from the IRS and had not filed a tax return since 2008.
Sentencing is scheduled for Sept. 8. Andre faces a statutory maximum sentence of three years in prison for corruptly endeavoring to obstruct and impede the due administration of the internal revenue laws and a statutory maximum sentence of 10 years in prison for theft of government funds. He also faces a period of supervised release, restitution, forfeiture and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg commended special agents of IRS Criminal Investigation, who conducted the investigation, and Trial Attorneys Daniel McGraw and Charles Edgar, Jr. of the Tax Division, who are prosecuting the case. Acting Deputy Assistant Attorney General Goldberg also thanked the U.S. Attorney’s Office for the Southern District of Florida for its substantial assistance.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.