Garland Couple Indicted on Tax Fraud Charges
DALLAS — A federal grand jury in Dallas returned an indictment last week, charging Garland, Texas, residents, Tammy Boulyaphonh, aka “Tammy Doan” and “Tuyet Thi Doan” and Khamlor Boulyaphonh, with one count of conspiracy to defraud the United States and four counts of false statements on income tax returns, announced John Parker, U.S. Attorney for the Northern District of Texas.
Special Agents with Internal Revenue Service (IRS) Criminal Investigation (CI) and the Federal Bureau of Investigation arrested Tammy Boulyaphonh, 49, and Khamlor Boulyaphonh, 48, on those charges, and they made their initial appearance in federal court this week.
According to the indictment, which was unsealed today, the defendants owned, operated, and controlled a chiropractic business that purported to provide medical care principally to patients injured in motor vehicle accidents. The chiropractic business operated under various corporate names, including Garland Rehab Center, LLC, Chiro Care LLC, and K Spinal Rehab Center LLC (collectively, “K-Spinal”). The majority of K-Spinal’s income came from payments received from insurance companies and payments received from attorneys who had received insurance claim settlement payments on behalf of K-Spinal’s patients. In addition to the chiropractic business, Khamlor owned, operated, and controlled K and B Custom Builders (KB), a home remolding and painting business from approximately 2005 to 2009.
The indictment alleges, for tax years 2010 through 2013, the defendants did not provide all of the 1099s they received from insurance companies and did not provide records concerning payments received from attorneys in connection with their patients’ insurance claims settlements to their tax preparer. Tammy diverted significant amounts of payments made by attorneys to her personal bank account and failed to report them as income of K-Spinal.
The indictment further alleges, for each tax year, the defendants falsely inflated the amount of K-Spinal’s business expenses, claiming, for example, to have paid several thousands of dollars to KB each year for remodeling K-Spinal’s offices.
A federal indictment is an accusation by a federal grand jury, and a defendant is entitled to the presumption of innocence unless proven guilty. The conspiracy count, upon conviction, carries a maximum statutory penalty of five years in federal prison and a $250,000 fine. Each of the false statement counts carry a maximum statutory penalty of three years in federal prison and a $100,000 fine. Restitution may also be ordered.
Internal Revenue Service Criminal Investigation and the FBI are investigating. Assistant U.S. Attorney Douglas Brasher is in charge of the prosecution.
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