SAN FRANCISCO - Cynrithia Gary was sentenced on Dec. 18, 2013, to 18 months in prison and ordered to pay restitution of $180,452 for conspiring to file false tax returns, United States Attorney Melinda Haag and Internal Revenue Service, Criminal Investigation, Special Agent in Charge José M. Martinez announced.
According to the plea agreement, beginning in June 2008, Gary helped obtain tax refunds based on false tax returns that were filed with the IRS. As part of the scheme, Gary recruited others to provide their personal identifying information for use on the false tax returns. Gary knew the returns were false because the person whose name appeared on the tax returns did not supply the information used to support the refund.
On the false tax returns, Gary listed bank accounts that were used to receive the fraudulent tax refunds. When the fraudulent tax refund was issued, the money would be withdrawn by the account holder, who would split the proceeds with Gary.
Gary 41, of Sacramento, was indicted on July 12, 2012. She was charged with one count of conspiracy to file false claims and pleaded guilty to the charge.
Gary also pleaded guilty to filing a false 2007 tax return in her own name on August 7, 2008. Gary admitted the return was false because it indicated that she received Social Security benefits in an amount that she knew was inflated. The return also falsely stated that she had Form 1099 withholdings and that she was employed as a childcare provider.
The sentence was handed down by the Honorable Charles R. Breyer, United States District Court Judge.
Thomas Newman is the Assistant U.S. Attorney who is prosecuting. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation.
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Source: U.S. Department of Justice, Office of the United States Attorneys
