Crime & Safety

Fair Lawn Tax Preparer Pleads Guilty To Fraud

BREAKING: Shirley Arias falsified tax returns and made up school credits for clients, officials said. The scandal cost the government $130K.

FAIR LAWN, NJ — A borough tax preparer plead guilty to tax fraud Wednesday in federal court.

Shirley Arias, a.k.a. "Shirley Zambrano," 43, plead guilty before U.S. District Judge Esther Salas to aiding and assisting others in the preparation of false and fraudulent tax returns, said Acting U.S. Attorney William E. Fitzpatrick.

Arias owned and ran Santos & Associates in Union City and assisted with filing income tax returns with false information from 2012 through 2014, Fitzpatrick said.

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Arias used "a number of fraudulent practices," including falsely claiming deductions and fabricating educational credits for clients in order to increase their tax refunds, the acting attorney said.

The bogus returns resulted in a tax loss for the federal government of about $130,000, Fitzpatrick said.

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She faces a maximum prison sentence of three years a a $250,000 fine.

Sentencing is scheduled for July 25.


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