Nash Sonibare - criminal contempt for violating injunction

[jcolvin2]

http://www.usdoj.gov/tax/txdv08691.htm
FOR IMMEDIATE RELEASE
TUESDAY, AUGUST 5, 2008
http://WWW.USDOJ.GOV
TAX
(202) 514-2007
TDD (202) 514-1888

FEDERAL COURT CONVICTS TAX RETURN PREPARER OF CRIMINAL CONTEMPT

Minnesota Man Violated Court Order Barring Him From Preparing Returns

WASHINGTON – A federal court in St. Paul, Minn., found Nash Sonibare guilty of criminal contempt for violating a preliminary injunction order entered against him in 2006, the Justice Department announced today. The injunction prohibited Sonibare from preparing federal tax returns and required Sonibare to post a sign at his offices indicating he was not allowed to prepare returns. The court found that Sonibare violated the terms of the injunction beyond a reasonable doubt.

The court concluded that Sonibare prepared or directed others to prepare three tax returns just one month after the court barred him from preparing federal tax returns in 2006. To cover his actions, Sonibare fraudulently stamped or directed others to stamp the returns as “Self-Prepared.” Sonibare also violated a provision of the preliminary injunction requiring him to post a sign at his Little Canada and Roseville, Minn., offices informing visitors that he was not permitted to prepare tax returns.

The court’s opinion consistently stated that Sonibare’s testimony and the testimony of his witnesses was neither truthful nor credible. The court also dismissed as unfounded Sonibare’s allegations that the government’s request for an injunction and his prosecution for criminal contempt amounted to harassment or entrapment.

Sonibare now faces up to six months in prison and a $10,000 fine at a future sentencing date.

“Sonibare's criminal contempt conviction should serve as clear notice that the government will vigorously monitor and ensure that injunctions issued against fraudulent tax return preparers are complied with to their fullest exent,” said Nathan J. Hochman, Assistant Attorney General of the Justice Department’s Tax Division.

Assistant Attorney General Hochman thanked Tax Division trial attorney Michael Pahl for prosecuting the case and Internal Revenue Service Agent Nona Bosshart for her investigative work.

Since 2001, the Justice Department’s Tax Division has obtained injunctions against more than 350 tax-fraud promoters and unscrupulous tax preparers. Information about these cases is available on the Justice Department Web site. Information about tax scams and tax return preparer fraud can be found on the IRS Web site.

The Court's Opinion:
http://www.usdoj.gov/tax/Sonibare_Conte ... iction.pdf

[Dr. Caligari]

I never heard of this guy before. Did he prepare TP returns? Or was he just an ordinary fraudster?

[Nikki]

federal judge on Wednesday ordered the locks changed on the front door of a St. Paul tax preparer who ignored a court order to stop preparing federal income tax returns.

The case is United States v. Sonibare & Liberty Financial Group, Inc., Civil No. 06-497 (D. Minn. 3/15/06). Here is the relevant portion of the court's order:

That in order to secure compliance with the Court’s Order of March 7, 2006, the Court finds it necessary to direct that the United States Marshal’s Service, in consultation with the Internal Revenue Service, specifically Agent Nona Bosshart, and any other designated individuals, to immediately proceed to Defendant Nash Sonibare’s place of business, known as Liberty Financial Group, Inc., 1821 University Avenue, Suite N942, St. Paul, Minnesota, to change the locks without further order of this Court and to prominently post an order on the door or widow [sic] of the Defendant’s business, consistent with the Court’s March 7, 2006 Order and in consultation with the Internal Revenue Service.

He's been active for quite a while, but just as a small-time crooked preparer.

[VinnyZ]

From wcco.com:

A local tax preparer is accused of filing false federal tax returns that overstated deductions for recent immigrants, causing the IRS to lose an estimated $8 million in taxes.

A lawsuit filed Monday by the U.S. Justice Department seeks to bar Nash Sonibare, 46, from preparing federal tax returns. Sonibare is the sole shareholder of Liberty Financial Group Inc.

According to the complaint, Sonibare prepared an estimated 3,373 federal income tax returns from 2002 to 2005. Many of his customers are nursing assistants and licensed practical nurses from various African countries. The Justice Department said many of his customers have limited English-language skills and are unaware of the false claims.

Probably the old..."add a Schedule C with a pre-determined loss or profit to hit EITC sweetspot" scam.