Latest news with #TorianoKnox
Yahoo
7 hours ago
- Yahoo
Victorville resident among 4 in California arrested in massive $93M COVID-19 fraud scheme
A Victorville resident was among four Southern California suspects arrested by federal prosecutors Friday in connection with the largest-ever COVID-19 benefits fraud scheme, including two who are additionally accused of shooting and trying to kill the group's ringleader to avoid prosecution, authorities said. All four defendants face federal charges for their alleged roles in "a $93 million COVID-19 tax credit fraud scheme — considered to be the largest ever identified," the U.S. Department of Justice announced in a written statement. Joyce Johnson, 55, of Victorville; Kristerpher Turner, 52, of Harbor City; Toriano Knox, 55, of Los Angeles; and Kenya Jones, 46, of Compton were all named in a federal grand jury indictment alleging conspiracy to commit mail fraud, mail fraud and conspiracy to submit false claims, prosecutors said. Knox and Jones each face additional counts of attempting to kill a witness and using a firearm in furtherance of that crime. The alleged fraud scheme, which the DOJ said was headed by Turner, revolved around federal "sick and family wage credits," also known as "Coronavirus Response Credits," authorized by Congress in response to the global pandemic. Under the program, small businesses were able to seek tax refunds meant to reimburse owners for wages paid to employees who were unable to work because of the pandemic and its resulting restrictions. "Turner operated a tax fraud scheme whereby he and his co-conspirators would submit fraudulent forms to Coronavirus Response Credits for businesses, including bogus companies, that did not pay any sick and family wage credits to any employees at any time," according to the statement. The defendants are accused of filing for fraudulent benefits on behalf of their own businesses, as well as creating fake businesses and recruiting other business owners to join in the scheme. Such "fraud clients" included friends, family members, and romantic partners of the co-conspirators, according to the DOJ." "For each fraud client that obtained Treasury checks through this conspiracy, defendant Turner would charge a percentage of the fraud proceeds that amounted to somewhere between 20 to 40 percent of funds received," the DOJ statement said. The suspected scammers applied for nearly $248,000,000 in fraudulent tax refunds on behalf of at least 148 companies between 2020 and 2024, prosecutors alleged. "In reliance on the fraudulent forms and the false statements, the IRS issued Treasury checks in the total amount of at least approximately $93 million," the statement said. Prosecutors said that as the fraud continued and the investigators continued drawing closer to the alleged criminal enterprise, the group members began to turn on one another. "According to the indictment, on or about August 29, 2023, defendants Knox, Jones, and others known and unknown to the grand jury, attempted to kill defendant Kristerpher Turner in order to prevent him from speaking to law enforcement about the fraud," according to the DOJ statement. Turner was shot multiple times "in broad daylight" at a Gardena office park, officials said. He survived the shooting but was left paralyzed by his injuries. If convicted as charged, Turner and Johnson could each face up to 20 years in federal prison, while Knox and Jones could face potential life imprisonment. The case was investigated by the FBI, the IRS, and the U.S. Treasury Inspector General for Tax Administration. This article originally appeared on Victorville Daily Press: DOJ: California High Desert resident accused in $93M COVID fraud
CBS News
10 hours ago
- Business
- CBS News
4 in Los Angeles area charged in alleged $93 million COVID-19 fraud scheme, FBI says
Four people from the Los Angeles area have been federally charged for their alleged roles in what the FBI calls the "nation's largest known" $93 million COVID-19 tax credit fraud scheme. On June 11, a federal grand jury returned an indictment against four individuals charging them with conspiracy to commit mail fraud, mail fraud and conspiracy to submit false claims. The FBI said two of the defendants named are also charged with attempting to kill a witness and "using a firearm in furtherance of that crime." During the pandemic, Congress authorized tax credits to help alleviate the financial impacts of COVID-19 through the Family First Coronavirus Response Act. This allowed small businesses to apply for refunds on business tax returns, claiming the credit. The authorized tax credits would then allow businesses to be reimbursed for the wages that were paid to employees who could not work due to the pandemic. The defendants named in the indictment: Kristerpher Turner, 52, from Harbor City, aliases "Kris Turner," "Red," "Red Boy," and "Bullet" Toriano Knox, 55, from Los Angeles, aliases "Scooby" and "Dwight" Kenya Jones, 46, from Compton, aliases "Kenya Emua Jones" and "Kenya Hunt" Joyce Johnson, 55, from Victorville, alias "Ms. Jay" According to court documents, Turner was allegedly head of a tax fraud scheme where he and his co-conspirators would submit fraudulent applications to the Coronavirus Response Credits for businesses, including fake companies. "Defendant Turner and his co-conspirators would submit these fraudulent filings on behalf of their own purported businesses, but also on behalf of others recruited to the scheme," the FBI said. Officials claim Turner would direct and manage recruiters, including Knox and Jones, to recruit other clients. The court documents claim Jones recruited her family members and friends, which resulted in false forms being submitted on behalf of multiple businesses. The fraudulent clients would use their personal information to create the fake businesses and prepare the fraudulent tax filings. The FBI also claims others would provide information about preexisting businesses that were ineligible to receive the Coronavirus Response Credits, "so that the co-conspirators could use that information to file fraudulent tax filings on behalf of those businesses." The fraud participants received checks from the U.S. Treasury as a result of the fraudulent tax filings. According to the FBI, for every Treasury check a fraud client received, Turner would allegedly charge between 20 to 40% of the proceeds. Authorities claim Turner directed fraud clients and his recruiters to pay him a portion of the money they received directly to him or entities controlled by him. The indictment claims that between June 2020 and December 2024, the defendants and co-conspirators submitted or caused the submission of fraudulent forms for at least 148 companies, which totaled $247,956,938 in tax refunds they were "not entitled to." As a result of the fraudulent forms and false statements, the IRS issued approximately $93 million in Treasury checks. Court documents allege that during the scheme, when the defendants found out that the IRS was making inquiries, Knox and Jones attempted to kill Turner. The indictment says they wanted to "prevent him from speaking to law enforcement about the fraud." Turner was shot multiple times in broad daylight in Gardena. He survived the shooting but is paralyzed, the FBI says. If convicted of the charges, the defendants could face a maximum sentence of 20 years in federal prison on each mail fraud charge. Additionally, Knox and Jones could face life imprisonment on the firearm charge and 30 years on the attempted murder charge.
