Minnesota Man Pleads Guilty to Conspiring to Defraud IRS

A Minnesota man pleaded guilty today to conspiring to defraud the Internal Revenue Service (IRS).

According to court documents and statements made in court, Abdulkadir Koosaar, of Pelican Rapids, Minnesota, conspired with others to defraud the IRS for the years 2020 and 2021 by aiding and assisting the preparation and presentation of more than 150 false and fraudulent income tax returns for clients. The conspirators, including Koosaar, included COVID-19 related sick and family leave tax credits on the income tax returns that they knew the clients were not entitled to claim and that resulted in the returns reporting falsely inflated tax refunds. The false and fraudulent income tax returns prepared and filed by the conspirators caused a tax loss of more than $750,000.

Koosaar pleaded guilty to one count of conspiring to defraud the IRS. He faces a maximum penalty of five years in prison. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division and U.S. Attorney Daniel N. Rosen for the District of Minnesota made the announcement.

IRS Criminal Investigation is investigating the case.

Trial Attorney Charles A. O’Reilly of the Fraud Division’s Tax Section is prosecuting the case.

On April 7, the Department of Justice announced the creation of the Fraud Division. The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.