Santa Ana IRS Officer, 2 Tax Preparers Indicted

An IRS official based in Santa Ana and two Orange County tax preparers were indicted Thursday in connection with an alleged scheme to steal more than $90,000 from the federal government.

Prosecutors said Internal Revenue Service revenue officer Valerie Crawford, 40, conspired from 1992 to 1997 with Joseph Tawil, 51, and Ramzi Tawil, 48, owners of Advance Accounting Service Inc. of Brea, to siphon off checks from the Tawils’ clients.

Joseph Tawil denied the charges.

“Oh, my God, they’re wrong,” he said. “This will ruin my reputation. I’ve been in business for 20 years.”

Ramzi Tawil and Crawford could not be reached for comment. Prosecutors said Ramzi Tawil is a fugitive.

According to the indictment, the Tawils told taxpayers they could pay off liabilities by giving the IRS an “offer in compromise”--typically one-quarter to half of the actual tax debt.

The Tawils collected cash, checks and cashier’s checks ranging from $3,500 to $40,000, but the money never reached the government’s coffers, prosecutors said. Instead, Crawford changed IRS records to indicate the debts were uncollectable, the indictment alleged.

Authorities said the scheme was exposed after an undercover IRS agent gave Joseph Tawil a $10,000 cashier’s check to absolve a tax debt. Instead of turning the money over, Tawil somehow exchanged the check for one made out to himself and cashed it, the indictment said.

Tawil said he returned the money to the undercover agent, fearing he was “Mexican Mafia.”

Crawford has been placed on administrative leave pending the case’s outcome.

“We want taxpayers to know we take our obligations seriously and investigate all employee misconduct,” said Rosalind Kochmanski, spokeswoman for the IRS’ Southern California District.

The IRS brought misconduct charges against 53 employees in fiscal ‘97, the most recent period for which statistics are available, Kochmanski said. The IRS has about 100,000 employees.

Crawford faces one count of conspiracy to commit fraud and two counts of breaking her legal obligations as a revenue officer. The charges carry a maximum sentence of 15 years in prison.

The Tawils have been charged with one count apiece of conspiracy. Joseph Tawil has been summoned to appear for arraignment.