The Price is Wrong

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This 34-year-old fraudster was able to commit tax refund fraud and other types of fraud while in federal prison or on supervised release, according to a press release issued by the U.S. Attorney’s Office, Southern District of Ohio. According to court documents, this Buckeye State bilker filed false personal income tax returns, false personal amended income tax returns and false corporate income tax returns. Reportedly creating fictitious W-2 and 1099 forms, he claimed false tax refunds through fraudulent federal income tax withholdings. Better yet, he was already incarcerated during this time; while in prison, he mailed paper returns and while on supervised release (supervised?), he electronically filed the returns. (At least he stepped up his filing mechanism game.)

Three false forms claimed a total of $94,134 in bogus refunds, while the other three were false forms associated with his business, claiming $422,185 in false refunds. (But wait, there’s more…)

This individual didn’t stop with the feds, he also used personally identifiable information of other individuals in order to file false, fictitious and fraudulent unemployment insurance applications with the Ohio Department of Job and Family Services (ODJFS) for a total, according to the government, of $77,168. He listed seven individuals as employees with wages from the first quarter of 2014 through the first quarter of 2015. The kicker? Those seven individual ”employees” were all incarcerated before and during the aforementioned wage period. (So, this guy not only defrauded federal and state government programs, he also targeted his fellow inmates? C’mon down, you’re the next contestant on this guy’s fraud radar.)

Due to this individual’s actions, he received the ultimate ”Showcase Showdown”—he was charged with one count each of mail fraud and presenting false claims to the Internal Revenue Service and sentenced to 36 months in prison, three years of supervised release and was ordered to pay $90,297 in restitution to the IRS. (This could all be yours if the Price is Wrong.)

Source: Today’s ”Fraud of the Day” is based on, ”Columbus Man Sentenced for Filing False Tax Returns While in Federal Prison,” a press release issued by the U.S. Attorney’s Office, Southern District of Ohio on April 28, 2016.

Malek B. Aliane, 34, previously of Columbus, was sentenced in U.S. District Court on one count each of mail fraud and presenting false claims to the IRS. According to court documents, from 2013 through 2015, while in federal prison or on supervised release, Aliane filed six returns in total which claimed false tax refunds through fraudulent federal income tax withholdings. Aliane created fictitious W-2 and 1099 forms setting forth large federal tax withholding amounts.

In 2013 and 2014, while in prison, Aliane mailed paper returns to the IRS. In 2015, while on supervised release, he electronically filed the returns.

Aliane was sentenced to 36 months in prison, three years of supervised release, and was ordered to pay $90,297.26 in restitution to the IRS.

 

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Larry Benson, Senior Director of Strategic Alliances, LexisNexis Risk Solutions - Government

Larry Benson is responsible for developing strategic partnerships and solutions for the government vertical. His expertise focuses on how government programs are defrauded by criminal groups, and the approaches necessary to prevent them from succeeding.

Mr. Benson has 30 years of experience in sales and business development. Before joining LexisNexis® Risk Solutions, he spent 12 years founding and managing two software technology startups. During the 1990s he spent 10 years as a Regional Director helping to grow a New England-based technology company from 300 employees to 7,000. He started his career with Martin Marietta Aerospace working on laser guided weapons and day/night vision systems.

A sought-after speaker and accomplished writer, Mr. Benson is the principal author of “Fraud of the Day,” a website dedicated to educating government officials about how criminals are defrauding government programs. He has co-authored WTF? Where’s the Fraud? How to Unmask and Stop Identity Fraud’s Drain on Our Government, and Data Personified, How Fraud is Changing the Meaning of Identity.

Benson holds a Bachelor of Science in Physics from Albright College, and earned two graduate degrees – a Master of Business Administration from Florida Institute of Technology, and a Master of Science in Engineering from Lehigh University.