MINNEAPOLIS – United States Attorney Daniel N. Rosen announced today that a Minneapolis father and son pleaded guilty to conspiring to defraud the United States on October 9 and October 1, respectively. These pleas are part of nationwide enforcement actions led by the Justice Department’s National Fraud Enforcement Division, Internal Revenue Service, and Internal Revenue Service Criminal Investigation targeting tax fraud and related offenses. The District of Minnesota was a key participant in this surge effort.
The father also pleaded guilty to being a felon in possession of a firearm.
Between early September and today, the National Fraud Enforcement Division’s Tax Section and U.S. Attorneys’ Offices across the country participated in the Department’s first-ever National Tax Enforcement Surge. The surge of nationwide resources resulted in prosecutorial actions against 76 defendants…
This category refers to crimes committed by employees or insiders against their own organizations. It is often the most damaging because the perpetrator has authorized access to systems.
- Asset Misappropriation: The most common form, involving the theft of company resources. This ranges from simple “skimming” (taking cash before it’s recorded) to complex schemes involving the theft of inventory or intellectual property.
- Payroll Fraud: Employees may create “ghost employees” on the system, falsify their own timesheets to claim unworked overtime, or divert salary payments to their own accounts.
- Financial Statement Fraud: Management deliberately misrepresents the company’s financial health by inflating revenue or hiding liabilities to attract investors or meet performance bonuses.