Delco Tax Men Get Prison For Filing False Tax Returns

UPPER DARBY, PA — Two men who ran a tax preparation business in Upper Darby were sentenced to prison, as well as ordered to pay hefty fines for filing false tax returns, authorities said.

United States Attorney William M. McSwain said Omar Faruq, 37, and Omar Ali, 36, both of Pennsauken, New Jersey, were sentenced for their roles in conspiring to file false tax returns while operating a tax preparation business in Upper Darby.

Faruq was sentenced to 24 months’ imprisonment, three years’ supervised release, and restitution of $688,362.

Ali was hit with an 18-month imprisonment sentence, as well as three years’ supervised release, and restitution of $573,322.

Faruq and Ali must pay the restitution to the United States Department of Treasury.

Faruq and Ali pleaded guilty in June 2019 to filing false tax returns on behalf of their clients at Omar Consultancy Inc., a tax service they operated with offices in Pennsylvania and New Jersey.

In filing tax returns for their clients, Faruq and Ali consistently used false filing status, Schedule A deductions and expenses, Schedule C business income and losses, and fictitious credits to decrease a client’s tax liabilities, all of which resulted in increased refunds for many of their clients.

Faruq and Ali then diverted portions of these refunds into their own bank accounts as part of the conspiracy.