Women Sentenced to Imprisonment for Conspiring with Tax Preparer to File More Than $1.5 Million in Fraudulent Refunds
RALEIGH – The United States Attorney’s Office for the Eastern District of North Carolina announced that today in federal court, Chief United States District Judge James C. Dever III sentenced alicia johnson jenkins, 35, of Kinston, to 60 months imprisonment followed by 3 years of supervised released and was ordered to pay $1,759,830 to the IRS. KIAWANNA MONIKA LANGLEY, 33, of Greenville, was sentenced to 24 months imprisonment, followed by 3 years supervised release, and ordered to pay $20,322 in restitution to the IRS. On November 7, 2016, JENKINS and LANGLEY pled guilty to Conspiracy to Defraud the United States With Respect to Claims.
The Indictment alleged that JENKINS and LANGLEY conspired with Isaac Augustus Blount, III, and others, to file false income tax returns (Forms 1040 and 1040A) with the Internal Revenue Service for tax years 2009, 2010, 2011, and 2012. During the course of the scheme, LANGLEY would refer clients to JENKINS, who would prepare false W-2 forms which reflected false income and withholdings amounts. JENKINS would then refer the clients to Blount, who prepared and filed the false income tax returns electronically through his tax business, Enriched Tax Services in Greenville, North Carolina. Based on the false information in the returns, the clients were issued tax refunds to which they were not entitled. JENKINS, LANGLEY, Blount, and others usually split $1,500.00 in cash from each refund check.
Blount pled guilty to False Claims Against the United States and False Statements Related to Health Care Matters on June 20, 2016. On November 9, 2016, Chief Judge Dever sentenced Blount to a total of 27 months imprisonment, 3 years supervised release, and ordered to pay restitution in the amount of $1,645,788.00 to the Internal Revenue Service and $131,915.68 to the North Carolina Fund for Medical Assistance.
“Individuals like Langley and Jenkins who commit refund fraud of this magnitude deserve to be punished to the fullest extent of the law,” said Special Agent in Charge Thomas J. Holloman III of the IRS-Criminal Investigation. “These individuals demonstrated a blatant disregard of the integrity of the United States tax system. IRS-Criminal Investigation remains committed to the pursuit of refund fraud and, together with our partners at the U.S. Attorney’s Office, we will hold those who engage in similar conduct accountable.”
The criminal investigation of this case was conducted by Internal Revenue Service Criminal Investigation and the North Carolina State Bureau of Investigation, Medicaid Criminal Investigations Unit. Assistant United States Attorney Susan Menzer handled the case on behalf of the Government.