Cleveland city employee gets prison time for tax return scam
CLEVELAND (AP) – A former Cleveland Water Department employee who admitted to his role in a scam that recruited people from homeless shelters to file fraudulent tax returns has been sentenced to more than two years in prison.
Forty-one-year-old Muhammad Hague pleaded guilty in July to conspiracy to make false claims in a scam that involved four other people. Cleveland.com reports the U.S. Attorney’s Office says the group filed over 700 false returns – seeking more than $3 million in tax refunds.
Authorities say Hague was recruited into the scam through his sister, and carried out his part through a company he formed for his tax preparation activities.
He was sentenced Tuesday to 33 months in prison and to pay over $1.6 million in restitution. He apologized in court for his actions.