White Plains Accountant Sentenced To 22 Months In Prison For $23 Million Tax Fraud Scheme
Joseph Cervone, a White Plains CPA, pleaded guilty to obstructing the IRS and filing false tax returns to fraudulently claim $23 million in energy and coal credits for clients and conceal personal income from the scheme, resulting in a 22-month prison sentence, one year of supervised release, and a $15,000 fine.
Joseph Cervone, a certified public accountant from White Plains, was sentenced to 22 months in prison for orchestrating a $23 million tax fraud scheme between 2009 and 2012 by filing false tax returns that claimed fraudulent energy and coal credits on behalf of his clients. He also filed false returns for himself, failing to report personal income derived from funds obtained through the fraudulent refunds. Cervone pleaded guilty to one count of endeavoring to obstruct the IRS and one count of subscribing to false tax returns, and was additionally ordered to serve one year of supervised release and pay a $15,000 fine.
Joseph Cervone, a certified public accountant based in White Plains, New York, was sentenced to 22 months in prison for orchestrating a $23 million tax fraud scheme between 2009 and 2012. He filed false tax returns on behalf of his clients claiming fraudulent energy and coal credits to secure illicit tax refunds. In addition, Cervone filed false personal tax returns for the years 2010 and 2011 that concealed income he used to pay for personal expenses funded by the fraudulent refunds. He pleaded guilty on March 29, 2017, to one count of endeavoring to obstruct and impede the due administration of the internal revenue laws and one count of subscribing to false tax returns. In addition to his prison term, Cervone was sentenced to one year of supervised release and ordered to pay a $15,000 fine. The case was prosecuted by the U.S. Attorney’s Office for the Southern District of New York’s White Plains Division, with critical support from IRS-Criminal Investigation and the Department of Justice’s Tax Division. The fraud was uncovered through IRS audits and led to a federal conviction that underscored the government’s focus on tax professionals who abuse their positions to facilitate large-scale fraud.
Extracted insights
- $23.00M $23 Million $10M–$100M
- $23.00M $23 million $10M–$100M
- $15K $15,000 $10K–$100K
- person Joon H. Kim
- person joseph cervone
- agency the outstanding efforts of the internal revenue service - criminal investigation
- Joon H. Kim Announced JOSEPH CERVONE was sentenced to 22 months in prison on tax fraud charges
- JOSEPH CERVONE Plead Guilty to one count of endeavoring to obstruct and impede the due administration of the internal revenue laws and one count of subscribing to false tax returns
- JOSEPH CERVONE Filed False Tax Returns claiming more than $23 million of energy and coal credits on behalf of his clients in order to obtain tax refunds
- JOSEPH CERVONE Filed False Tax Returns for the tax years 2010 and 2011 that failed to report income relating to personal expenses paid on behalf of CERVONE from funds obtained as a result of his clients’ false tax returns
- Mr. Kim Praised the outstanding efforts of the Internal Revenue Service - Criminal Investigation
- Mr. Kim Thanked U.S. Department of Justice’s Tax Division for its significant assistance in the investigation
- Assistant U.S. Attorney John P. Collins Jr. Is In Charge Of the prosecution
Press Release White Plains Accountant Sentenced To 22 Months In Prison For $23 Million Tax Fraud Scheme Wednesday, October 25, 2017 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that JOSEPH CERVONE was sentenced to 22 months in prison on tax fraud charges. CERVONE plead guilty on March 29, 2017, to one count of endeavoring to obstruct and impede the due administration of the internal revenue laws and one count of subscribing to false tax returns before U.S. District Judge Nelson S. Román, who imposed today’s sentence. According to the Information previously filed in White Plains federal court and court proceedings: From 2009 through 2012, CERVONE, a certified public accountant with an office in White Plains, obstructed and impeded the IRS by filing false tax returns claiming more than $23 million of energy and coal credits on behalf of his clients in order to obtain tax refunds. In addition, CERVONE also filed false tax returns for the tax years 2010 and 2011 that failed to report income relating to personal expenses paid on behalf of CERVONE from funds obtained as a result of his clients’ false tax returns. * * * In addition to the prison term, CERVONE, 64, of White Plains, New York, was sentenced to one year of supervised release and a $15,000 fine. Mr. Kim praised the outstanding efforts of the Internal Revenue Service - Criminal Investigation. He also thanked U.S. Department of Justice’s Tax Division for its significant assistance in the investigation This case is being handled by the Office’s White Plains Division. Assistant U.S. Attorney John P. Collins Jr. is in charge of the prosecution. Updated October 25, 2017 Topic Tax Component USAO - New York, Southern Press Release Number: 17-346
Press Release White Plains Accountant Sentenced To 22 Months In Prison For $23 Million Tax Fraud Scheme Wednesday, October 25, 2017 Share FacebookLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. XLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. LinkedInLinks to other government and non-government sites will typically appear with the “external link” icon to indicate that you are leaving the Department of Justice website when you click the link. Email For Immediate Release U.S. Attorney's Office, Southern District of New York Joon H. Kim, the Acting United States Attorney for the Southern District of New York, announced that JOSEPH CERVONE was sentenced to 22 months in prison on tax fraud charges. CERVONE plead guilty on March 29, 2017, to one count of endeavoring to obstruct and impede the due administration of the internal revenue laws and one count of subscribing to false tax returns before U.S. District Judge Nelson S. Román, who imposed today’s sentence. According to the Information previously filed in White Plains federal court and court proceedings: From 2009 through 2012, CERVONE, a certified public accountant with an office in White Plains, obstructed and impeded the IRS by filing false tax returns claiming more than $23 million of energy and coal credits on behalf of his clients in order to obtain tax refunds. In addition, CERVONE also filed false tax returns for the tax years 2010 and 2011 that failed to report income relating to personal expenses paid on behalf of CERVONE from funds obtained as a result of his clients’ false tax returns. * * * In addition to the prison term, CERVONE, 64, of White Plains, New York, was sentenced to one year of supervised release and a $15,000 fine. Mr. Kim praised the outstanding efforts of the Internal Revenue Service - Criminal Investigation. He also thanked U.S. Department of Justice’s Tax Division for its significant assistance in the investigation This case is being handled by the Office’s White Plains Division. Assistant U.S. Attorney John P. Collins Jr. is in charge of the prosecution. Updated October 25, 2017 Topic Tax Component USAO - New York, Southern Press Release Number: 17-346