Feds Announce Major Tax Fraud Case

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Montgomery, Ala.

Federal prosecutors have indicted 10 people from Alabama and Georgia on charges accusing them of conducting a $20 million tax fraud scheme using stolen identities.

U.S. Attorney George Beck says the group used identities obtained from the Fort Benning military hospital, a call center and the Alabama Department of Corrections to file fraudulent tax returns involving about 7,000 people's identities.

Beck said Thursday the charges were brought by a special federal grand jury that has been investigating identity theft.

In recent years Beck's office has prosecuted many cases involving fraudulent tax returns seeking millions in tax refunds.

The cases have involved public and private employees who had access to identity information, tax preparation services that prepared the fraudulent returns, and even a postal employee who was picking up the refunds.