A Pennsylvania man who worked as a tax preparer in Newark collected a fat stimulus check weeks before a federal grand jury indicted him for filing 44 bogus returns, authorities said.
Rather than go to trial, Sylvain Dienhoue, 53, of Tobyhanna pleaded guilty Wednesday to three counts of aiding and assisting in the preparation of false and fraudulent tax returns during a video-conferenced hearing with a federal judge in Newark.
Dienhoue, who owned and operated Cadi’s Multi Services, used “fabricated and inflated figures, including expenses and itemized deductions,” in order to generate inflated refunds, acting U.S. Attorney Rachael Honig said.
Cadi’s received a loan last year worth between $150,000 and $350,000 under the federal Paycheck Protection Program, designed to provide forgivable loans to businesses to help keep workers employed during the COVID-19 pandemic, authorities said.
Dienhoue coincidentally was indicted several weeks later.
Honig credited special agents from IRS – Criminal Investigation with the investigation leading to today’s guilty plea, secured by Assistant U.S. Attorney Samantha C. Fasanello of her Criminal Division in Newark.
U.S. District Judge Susan D. Wigenton scheduled sentencing for May 24, which federal authorities said happens to be the one-year anniversary of Cadi’s PPP loan approval.
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