66-Count Federal Indictment Charges Rhode Island Businessman with Aggravated Identity Theft, Filing False Tax Returns Seeking $3.56 Million in Tax Refunds
PROVIDENCE, RI—Anthony Delfarno, 52, of East Greenwich, R.I., was arraigned in U.S. District Court in Providence today on a 66-count federal indictment which alleges that Delfarno used personal identifying information of his minor and adult children, his former spouse and a girlfriend, along with information from more than a dozen corporations that he created, to file fraudulent tax returns seeking more than $3.5 million dollars in tax refunds.
According to the indictment returned on Wednesday and unsealed today, it is alleged that between April 2009 and September 2013, Delfarno repeatedly made false representations on personal and business tax documents he filed with the IRS seeking $3,557,653 in tax refunds, when in fact the true holdings by the IRS totaled $15,544.02.
The indictment alleges that Delfarno opened numerous bank accounts in Rhode Island, into which he directed that the refunds be deposited. According to information presented to the court, it is alleged that Delfarno collected more than $1.4 million dollars in tax refunds to which he was not entitled.
The indictment and arrest of Anthony Delfarno is announced by United States Attorney Peter F. Neronha; William P. Offord, Special Agent in Charge of IRS Criminal Investigation; and Colonel Steven G. O’Donnell, Superintendent of the Rhode Island State Police.
The 66-count indictment charges Anthony Delfarno with 11 counts of wire fraud, 3 counts of aggravated identity theft and 52 counts of false claims against the United States. An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
Delfarno was arrested this morning by agents from the Internal Revenue Service Criminal Investigation, who conducted the investigation with the assistance of the Rhode Island State Police. Delfarno was released to home detention with GPS monitoring and a $100,000 unsecured bond following his arraignment before U.S. District Court Magistrate Judge Patricia A. Sullivan. A not guilty plea was entered on Delfarno’ s behalf.
Wire fraud is punishable by statutory penalties of up to 20 years in federal prison and a fine of up to $250,000; false claims against the United States is punishable by a statutory penalty of up to five years in federal prison and a fine of up to $250,000; and aggravated identity theft is punishable by a statutory penalty of a mandatory sentence of two years in federal prison, to be served consecutive to all other penalties imposed.
The case is being prosecuted by Assistant U.S. Attorney Richard W. Rose.
This law enforcement action is part of President Barack Obama’s Financial Fraud Enforcement Task Force. The President established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources.
The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.