Tuesday, February 12th, 2019 @ 4:47PM

CFEG reports that on May 31, 2018, in a federal district court in the District of New Jersey, an Internal Revenue Service (IRS) employee pled guilty to one count of making false representations and documents in violation of Title 18, United States Code § 1001. She was previously charged with the offense on June 13, 2017, for making and using false documents in order to defer the repayment of student loans provided by the United States. Special agents of the Treasury Inspector General for Tax Administration and the U.S. Department of Education’s (ED) Office of the Inspector General investigated this matter jointly. https://www.treasury.gov/tigta/oi_highlights.shtml

According to the court documents, the IRS employee, while employed full time by the IRS, knowingly and willfully signed and submitted multiple false Federal Family Education Loan Program (FFELP) Unemployment Deferment Request Forms, on which she falsely represented that she was unemployed and was diligently seeking but unable to find full-time employment, in order to defer the repayment of student loans. https://www.treasury.gov/tigta/oi_highlights.shtml

The IRS employee’s child was enrolled as a student in a college education program during the time that ED was administering the FFELP to assist families with students in college to obtain financial aid. She signed and dated a completed Direct Plus Loan (DPL) Application and Master Promissory Note on or about June 16, 2008, for her child’s college tuition, which resulted in a disbursement of approximately $49,179 in FFELP funds. The repayment of the loan was deferred while her child was enrolled in college; however, on or about April 28, 2011, following her child’s completion of the college program, the IRS employee began submitting deferment applications that falsely represented that she was unemployed or was working less than full time, when, in fact, she was gainfully employed full time at the IRS. The outstanding balance on the DPL loans owed by her is approximately $86,348. https://www.treasury.gov/tigta/oi_highlights.shtml

Sentencing in the case was scheduled for October 30, 2018. The IRS employee faces a possible maximum statutory sentence of five years’ imprisonment, and a fine of not more than $250,000. As part of the plea agreement, she will be ordered to pay a $100 assessment fee, as well as restitution. https://www.treasury.gov/tigta/oi_highlights.shtml

Posted by cfegov
Categories: Criminal Convictions of IRS Employees for 2018