Boston Advisor Found $50 Million In Fake Refunds For Clients, Tried To Pay His Own IRS Bill With Fake Checks

Friday, January 27, 2012 09:35
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Boston Advisor Found $50 Million In Fake Refunds For Clients, Tried To Pay His Own IRS Bill With Fake Checks

Tags: IRS

An especially ambitious advisor has been convicted on nine tax counts as well as contempt of court for filing fake IRS returns for his clients while skipping his own taxes.

This Website Is For Financial Professionals Only


 

Kevin Mahoney seems to have generated more than $50 million in false tax refunds, including some six-digit checks for himself.

 

That was when he filed a personal return at all.

 

IRS records showed that he skipped 1996 through 2001 and then tried to pay a $2 million assessment with fake checks, third-party loans, and other worthless paper.

 

The activities were especially egregious given the fact that Mahoney had already been banned from tax work since 2002. 

 

He has yet to be sentenced but could face jail time.

 

Mahoney dropped all his securities registrations in 2006 in the wake of a bankruptcy filing but went on practicing "estate planning" and other specialties under various corporate identities

 

 

 

 

Comments (2)

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bramsay
Scott did you mean to link to a nutjob (and possibly also criminal) site? Right below the info you linked to, the site operators say

"Those of us who have done the hard research know that most Americans are not required under any law, if you give the IRS any legitimacy at all, which I don't, to file these so called income tax returns."

And at the end

"There are legitimate trusts that are "allowable" under IRS guidelines if one chooses to play ball with a rogue agency that has zip authority to operate in its current capacity under a law that doesn't even exist."
bramsay , January 27, 2012
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ScottMartin
Thanks for the heads up! I was having browser trouble this morning so failed to do enough due diligence on the links. No endorsement or political stance implied.

Now that my machine is working again, I've gone back to the source to link to the original USDOJ statement on Mr Mahoney's estate planning activities.
ScottMartin , January 27, 2012

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