Fraud Friday: Fraudulent returns for a former Massachusetts senator - Spidell

Fraud Friday: Fraudulent returns for a former Massachusetts senator


A CPA is serving prison time for filing fraudulent returns for a former Massachusetts senator in a scheme that lost the IRS $600,000 in tax. The CPA reported income that should have appeared on the senator’s corporate tax return on his personal tax return, and created a SEP for the senator and his wife (which they were not entitled to) followed by an illegal rollover of the SEP account to purchase stock in a private company. The senator also pled guilty to racketeering, money laundering, mail fraud, conspiracy, and scheming to defraud the IRS, in addition to the especially egregious crime of accepting hundreds of pounds of free coffee from a local Dunkin’ Donuts owner. (www.justice.gov/usao-ma/pr/former-state-senator-s-accountant-sentenced-tax-fraud; https://en.wikipedia.org/wiki/Brian_A._Joyce)

CPAs, get four hours of fraud CPE with our 2021 Fundamentals of Fraud Prevention & Detection Live WebinarClick here for more information.