I am a victim of a similar case of social security number fraud.
I was co-owner of a $20k certificate of deposit with my maternal grandmother who died intestate on April 4, 1989. She had three children, two daughters and a son who was deceased. My mother had apparently moved all her assets into the social security number of a man who had died in 1960. She then got the Commonwealth of Pennsylvania and Medicare to pick up all the bills by claiming her mother was indigent. She convinced her attorney that she was the only heir and she got to keep the hidden assets.
Following a formal written complaint to the U.S. Dept. of Health and Human Services, the Office of the Inspector General sent Special Agent William E. Glady, Jr. to meet with myself and my council. The meeting took less than 5 minutes. The introduction took longer that what he had to say: “It is the policy of the Bush and Regan Administrations not to investigate family matters. This case is closed.” I’ve never forgotten his words and it’s not the last time I got the shaft because of this ridiculous policy.
My father is known to have at least three social security numbers that I and my siblings know about. He has used them on of his Schedule K-1 (Form 1120S) to shift money out of his S corporation numerous times over the last 30 years. On the years he does so the is a “0” in the line for that year on his social security deposit statement. Apparently the IRS doesn’t bother to see if the SSN’s match.
When we approached the IRS and the Commonwealth of Pennsylvania Dept. of Revenue’s CID units, we were told it was OK to have more than one SSN. They weren’t interested in the fact we could prove that he has only reported between 14-21% of his actual income for the last thirty years. They ignored the fact that over those thirty years he had an average annual loss in excess of $20k each year. He never pays taxes.
This is from an internal IRS memo dated March 27, 1991:
1. TP loaned his corporation $20,000 in June of 1988. On 06-02-88 there was a $21,182.84 deposit in the TP’s personal checking account. Where did the money come from? Verify! If the money came from the TP’s mother show the money coming out of the mothers account and going into the TP’s account.
2. How is the TP living. I do not see any checks for personal living expenses which are listed on the attached form 4822.
3. On some of the corporate invoices the TP lists his address as:
Whose address is this and why is it being used as the TP’s address when he supposedly live with his mother at:
When my brother ran into the author of this memo several months ago she distinctly remembered this case. It was forced closed internally within the IRS. Apparently the IRS does have “get out of jail free cards” for certain people.
When I see cases in the media of people being falsely accused of "Layering" I think of what has happened in this case. He walks into the bank, deposits $10k in cash. Later in the day he withdraws the same amount and moves it to another location. It's been going on for thirty plus years and the IRS hasn't bothered him since the 1991 incident mentioned above.
If the IRS had followed through with this investigation they would almost certainly prevented the murder of his second wife because he would have been in jail and they would have never meet.
In January the Discovery Channel did a documentary on the murder.
A former U.S. Attorney has been trying to help us with this problem. Two weeks ago we were told that the government will not allow this case to be investigated.
The system is very broken and it doesn’t look like it will ever be fixed. The corruption is just too widespread.