Mobile Tax Service Owner and Staff Indicted in $177 Million Fraud

A federal indictment unsealed Wednesday reveals that a Mobile, Alabama, tax preparation service allegedly filed thousands of fraudulent returns to secure $177 million in bogus refunds. The U.S. Attorney’s Office in Mobile identifies Jennifer Beverly, 47, the owner of JB Accounting Tax Service LLC on Broad Street, as the lead defendant in a conspiracy involving wire fraud and the systemic manipulation of the U.S. tax code.

This isn’t just a case of a few clerical errors or aggressive accounting. We’re looking at a coordinated effort to siphon $177 million from the federal treasury over a span from about 2021 through 2024. According to the indictment reported by WALA, the group successfully tricked the IRS into issuing $81 million of the claimed funds between 2021 and 2024. When a tax preparer—someone entrusted with the most sensitive financial data a citizen possesses—uses that access to manufacture refunds, it creates a ripple effect of instability for both the government and the taxpayers who may have been unwittingly tied to these filings.

Five JB Accounting employees face fraud charges

The scale of the operation required more than just one person. The indictment names five employees of JB Accounting Tax Service LLC who allegedly assisted in the scheme. Among them is Kennedy Lawrence Stovall Winston, 42, a former University of Alabama basketball star and graduate of Blount High School. Winston’s legal troubles extend beyond this conspiracy; he faces an additional, unrelated federal fraud charge involving stolen Treasury checks.

Other employees charged with conspiracy and wire fraud include:

Mobile Tax Service Owner and Staff Indicted in $177 Million Fraud

Jadasha Bowman, 28
Solida Lucille Green, 36
Paris Lovett (also known as Paris Johnson), 30
Shermeka Benjamin, 38

The sheer volume of the fraud is what catches the eye. The defendants allegedly filed more than 9,000 fraudulent returns.

Manufacturing the “perfect” deduction

The scheme didn’t rely on one single lie, but a cocktail of fabricated credits. Prosecutors allege the defendants improperly claimed a variety of deductions to inflate refund amounts. This included the exploitation of COVID-19 credits—a common target for fraud during the pandemic’s aftermath—as well as fuel tax credits, education credits, and fictitious estimated tax payments.

“Tax return preparers are entrusted with sensitive financial information and have a responsibility to uphold the integrity of our nation’s tax system, not exploit it for personal financial gain,” said Maisha Horton, acting special agent in charge of the Atlanta Field Office of the IRS Criminal Investigation Division.

FBI and IRS partner to investigate breach

Why does this matter to someone who didn’t use JB Accounting?

Christopher Flowers, special agent in charge of the FBI’s Mobile Field Office, noted that the investigation required a tight partnership between the Justice Department’s National Fraud Enforcement Division, the IRS, and the FBI.

Defendants face up to 20 years in prison

The defendants are now facing the full weight of federal sentencing guidelines. While a court date has not yet been scheduled, the potential consequences are severe. If convicted of conspiracy to commit wire fraud and wire fraud, each individual involved faces a maximum of 20 years in federal prison.

Metric	Value
Total Fraudulent Returns Filed	9,000+
Total Refunds Sought	$177 Million
Actual Funds Issued by IRS	$81 Million
Maximum Prison Sentence	20 Years

The central question remaining is how an office on Broad Street managed to obtain $81 million in fraudulent refunds from the Treasury. As the Department of Justice continues its operation, the focus remains on following the money and holding those responsible accountable.

Keep reading