Written by Shari R. Pogach, Regulatory Paralegal
Te Department of Justice, along with the U.S.Attorney’s Office for the Middle District of Alabama and the Internal Revenue Service (IRS) announced the resolution of a more than $700,000 stolen identity tax refund fraud scheme.
Tarrish Tellis, 38, of Montgomery, Alabama, and his co-conspirator, Nakia Jackson, obtained approximately 700 names, dates of birth and social security numbers from an employee of the Alabama Medicaid State Agency to file false tax returns. Then to hide his involvement and conceal where the funds originated, Tellis recruited several friends and relatives to open up bank accounts for the purpose of receiving fraudulent tax refunds. When a tax refund was deposited into their bank accounts, Tellis then had them withdraw the money and provide it to him. More than $300,000 flowed through these accounts.
Tellis also recruited a bank teller, Laquanta Clayton, who used her position to open up bank accounts in the name of fictitious individuals and in the name of her daughter’s father. Around $200,000 went into the accounts that Clayton controlled. Clayton then withdrew the money and gave the majority of the money to Tellis.
Tellis faces a statutory minimum sentence of two years in prison and a statutory maximum sentence of 125 years in prison, plus fines and forfeiture. Jackson was sentenced to serve 87 months in prison and Clayton was sentenced to serve 21 months in prison.
BSA Blast - The January 2015 quarterly issue of the BSA Blast is now available (NAFCU login required). The main focus of this edition is FinCEN’s case against a former chief compliance officer for BSA violations but we also review NCUA’s MSB guidance. In addition there is a new BSA quiz that focuses on the updated suspicious activity reporting section of the BSA/AML Examination Manual.
NAFCU’s Regulatory Compliance School – Enroll and reserve your seat today! You still have time to save $100 with promo code SCHOOLSAVINGS. But do hurry as this offer ends January 23, 2015.