FEDERAL COURT ISSUES TEMPORARY RESTRAINING ORDER AGAINST HARTFORD, CONNECTICUT TAX RETURN PREPARER

WASHINGTON – A federal judge in Hartford, Conn., has issued a temporary restraining order against Sunita Buddhu, the Justice Department announced today. Buddhu is prohibited until 10:00 a.m. on May 16, 2008, from preparing federal income tax returns, amended federal income tax returns, and related documents for others; from representing customers before the Internal Revenue Service; from advising anyone about the preparation of a federal tax return; and from promoting tax-fraud schemes. The court scheduled a hearing on the government’s motion for a preliminary injunction for May 13, 2008. The government anticipates that the court will determine at this hearing whether it will extend the time for which Buddhu is prohibited from engaging in these activities.

The United States filed a complaint in January 2008 in the U.S. District Court for the District of Connecticut seeking to bar Buddhu and her father, Deowraj Buddhu, asserting that they have prepared federal income tax returns and amended federal income tax returns containing incorrect filing statuses and exemptions and inflated deductions for their customers resulting in understatements of their customers’ tax liabilities. In its complaint, the government contends that the Buddhus’ conduct interferes with the enforcement of the internal revenue laws of the United States.

Information about the Tax Division’s injunction cases is available on the Justice Department Web site.