Mobile Tax Preparers Indicted for $177 Million Tax Fraud Scheme

MOBILE, AL - The United States Attorney's Office for the Southern District of Alabama announced an indictment charging six defendants in connection with an alleged tax fraud scheme that sought more than $177 million in fraudulent federal tax refunds. The investigation is part of ongoing enforcement efforts led by the Justice Department's National Fraud Enforcement Division, the Internal Revenue Service (IRS), and IRS Criminal Investigation (IRS-CI), in collaboration with the Federal Bureau of Investigation (FBI), to combat tax fraud and related offenses.

According to the indictment, Jennifer Beverly, 47, of Mobile, Alabama, owned and operated JB Accounting Tax Service LLC, a tax preparation business that provided tax preparation services in Mobile from approximately 2022 through 2024. Beverly's employees included defendants Jadasha Bowman, 28; Kennedy Lawrence Stovall Winston, 42; Solida Lucille Green, 36; Paris Lovett, also known as Paris Johnson, 30; and Shermeka Benjamin, 38.

The indictment alleges that, from approximately 2021 through 2024, the defendants participated in a scheme to prepare and submit false and fraudulent federal tax returns to the IRS. The allegedly false items included Schedule C statements, COVID-19 credits, fuel tax credits, credit repayments, estimated tax payments, Schedule A statements, Schedule 3 statements, and education credits.

According to the indictment, the scheme involved more than 9,000 allegedly fraudulent federal tax returns seeking more than $177 million in refunds. Approximately $81 million in refunds were issued.

"The allegations in this case reveal a staggering abuse of the federal tax system, involving more than 9,000 allegedly fraudulent tax returns, over $177 million in refund claims, and approximately $81 million in refunds issued," said Maisha Horton, Acting Special Agent in Charge of IRS Criminal Investigation's Atlanta Field Office. "Tax return preparers are entrusted with sensitive financial information and have a responsibility to uphold the integrity of our nation's tax system, not exploit it for personal financial gain. Those who seek to enrich themselves by manipulating tax credits and defrauding the American taxpayer should understand that IRS Criminal Investigation, along with the FBI and the U.S. Attorney's Office, is committed to uncovering these schemes, following the money, and holding those responsible accountable. This indictment underscores our unwavering commitment to protecting taxpayer dollars and preserving public trust in the integrity of our tax system."

"Today's coordinated arrests highlight the strong partnership between the FBI and IRS Criminal Investigation," said Christopher R. Flowers, Special Agent in Charge of the FBI's Mobile Field Office. "These allegations involve a serious breach of trust, and our agencies worked closely to identify the extent of the fraudulent activity and ensure accountability. Rebuilding public trust is one of the FBI's core priorities, and we will continue to pursue anyone who exploits our financial and tax systems for personal gain. We remain committed to working alongside our federal partners to protect the public and uphold the integrity of the institutions they rely on."

All six defendants are charged with conspiracy to commit wire fraud. The defendants were also charged with the following number of wire fraud counts: Beverly is charged with 63 counts; Bowman with 11 counts; Winston with five counts; Green with 11 counts; Lovett with 11 counts; and Benjamin with four counts.

Upon conviction, the defendants face the penalties authorized by law for the respective offenses, including imprisonment, supervised release, fines, special assessments, and restitution, as applicable. The indictment also includes a forfeiture notice identifying assets subject to forfeiture. These assets include a money judgment representing the proceeds each defendant allegedly obtained from the charged offenses, as well as 12 real properties belonging to one or more of the defendants.

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division ("Fraud Division"). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department's work to combat fraud supports President Trump's Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.