Seven People Charged in Tax Fraud Case Based on Secret Bank-Account Conspiracy Theory
That theory, however, led to seven people -- three of them from South Florida -- being charged with participating in a $120 million tax-fraud scheme.
The U.S. Attorney's Office announced the indictments today, in which Christopher Marrero of Davie, Michael Beiter of Coral Springs, Laura Barel of Lauderhill, and four others allegedly "helped" 180 people across the country file tax returns requesting $120 million worth of tax refunds.
"The indictment alleges that the scheme was premised upon the fraudulent 'redemption theory' argument that individuals are not responsible for their common, personal debt obligations such as home mortgages, unpaid credit card bills, and lines of credit and may instead seek money from the IRS to repay these outstanding obligations," the feds say. "As part of the scheme, defendants prepared and caused to be prepared false IRS Forms 1099-OID, Original Issue Discount, and 1099-A, Abandoned Property, on behalf of the scheme's clients."
It's almost as legit as the government-regulated toilet paper scam: Show up to the seminar, pay $750 and 10 percent of your tax-return total to one of the "experts" named above, and suddenly, the IRS owes you money.
Part of this specific alleged scam has evolved from the imaginary-Jew theory, according to the IRS, as the Form 1099-OID part of the scam includes requesting funds from an imaginary account that's managed by the Treasury, not an international Jewish banking conglomerate.
Still, our three South Floridians -- Beiter, Marerro, and Barel -- face 215, 30, and 25 years in prison, respectively.
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