Tax Accountant In Hoboken Indicted For Filing False Returns

HUDSON COUNTY, NJ — A Hoboken-based tax accountant was indicted Tuesday for preparing false tax returns for clients, the Justice Department said.

Demetreus Hargrove operated The Wright Star LLC, a tax preparation business he used to prepare and file 30 false individual and business tax returns for years 2019 through 2023, officials said.

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Hargrove allegedly encouraged clients to form businesses in order to claim fabricated business expenses. He also recharacterized his clients’ personal expenses as deductible business expenses and filed business tax returns without having first reviewed them with his clients, officials said.

According to the indictment, the returns reported false business losses and fabricated bad debts, even if Hargrove's clients did not provide him with the information.

Hargrove was charged with 30 counts of aiding or assisting the filing of false tax returns.

If convicted, he faces a maximum penalty of three years in prison for each count of filing false returns for clients. He also faces a period of supervised release, restitution, and monetary penalties, officials said.

IRS Criminal Investigation is investigating the case.