Criminals Create Rap Label to Hide Their Tax Fraud Scheme

While you are diligently preparing all of your paperwork to have filed before the tax deadline approaches, the IRS has remained dedicated to identifying those who may be involving themselves in more than just the act of having their tax return processed. While the IRS has been known to prosecute many for committing tax fraud, a recent case they have uncovered has broken records. It seems the individuals involved managed to take hold of a much larger amount, more than the IRS has seen in years.

Tax attorneys in Florida share with you a recent case reported by ABC News on April 5, 2016, where three individuals have been sentenced to prison for collecting nearly $100 million as they used identity theft as their form of filing fraudulent tax returns. The three stood before a South Florida judge just last Tuesday where they were faced with the consequences for their unlawful actions. Tax fraud has been a rising issue for the IRS and many have fallen victim to having their identities stolen with a tax return processed in their name. The only way they learn of this is when it comes time for them to actually have a legitimate return processed, and the IRS rejects it.

Florida tax fraud lawyerTax fraud lawyers in Florida note that while the state is “one of the nation’s hotbeds for tax fraud using stolen identities,” this has been one of the larger schemes the IRS has managed to uncover. The three individuals involved used a residence in the city of Miramar, which is home to many South Floridians, and was identified as a “fraud factory.” The house had at least 10 laptops set up, and were being used between July 2011 through May 2013 to file fraudulent income tax returns on behalf of those in prison as well as the deceased.

Tax fraud legal representatives highlight that instead of these criminals collecting the money and tucking it away, they created a rap label titled “GroundUp111,” serving as a cover for the tax scheme they had going on. The leader, who has been identified as Harlan Decoste, 27, was responsible for creating this “label” and reportedly had individuals “signed” under it, although no music was ever released.

The investigation took a positive turn for the IRS when a robbery call was placed to local police, which is when the computers were identified. After a thorough inspection was completed, it was discovered that the home contained “stacks of cash, closets filled with expensive shoes and jewelry,” drugs, as well as “prepaid debit and credit cards.” The individuals who conducted this scheme attempted to take hold of approximately $108 million, and succeeded by receiving at least $28.2 million thus far.

The sentencing for each ranged from 2 years, and extended up to 11 years behind bars. The defendants better hope they can retain a reputable Florida tax fraud lawyer to support them throughout their case, and possibly reduce the charges they all are facing.