Canadian man admits to bank, tax fraud in Rochester

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A Canadian man admitted to bank and tax fraud in the United States on Wednesday in a Rochester federal court.

Timothy Johnston, 36, of Calgary, Canada, pleaded guilty to conspiring to defraud the United States and commit theft of government funds. The charge carries a maximum penalty of five years in prison.

As part of the plea agreement, Johnston agreed to pay $642,947.26 in restitution to the Internal Reveal Service.

Prosecutors said Johnston, along with other Canadian citizens, participated in a scheme to file fraudulent claims for refunds with the IRS. In 2009, Johnston filed a fraudulent nonresident alien income tax, asking for a refund of $642,947.26.

Read more at Democrat and Chronicle

This article is summarized by Canadian Fraud News Inc.