Thursday, Aug. 14, 2008

Clinton real estate agent pleads guilty to tax fraud

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This story was corrected on Aug. 15, 2008, from its original version.

A Clinton real estate agent pleaded guilty Wednesday for her role in defrauding the Washington, D.C., government of more than $600,000.

Alethia O. Grooms, 52, is the ninth defendant to admit involvement in a massive and long-term scheme to steal and launder money from the D.C. Office of Tax and Revenue, according to a press release from the district attorney's office.

According to court documents, Grooms conspired with a former OTR manager who created false property tax refunds that produced millions of dollars of fraudulent refund checks. Grooms and two friends received 17 fraudulent D.C. property tax checks totaling more than $460,000, and Grooms laundered an additional $145,000 in stolen D.C. funds through one of her bank accounts.

Grooms also used her graphics design skills to commit mortgage fraud in 2006, creating fake pay stubs, W-2 forms and bank statements to obtain Federal Housing Administration loans while she acted as a real estate agent for two other OTR employees.

Grooms faces a prison sentence of up to 46 months and fines of up to $75,000. She agreed to pay more than $650,000 to the D.C. government as part of her plea deal. Her status hearing is set for Oct. 31.

Grooms' attorney did not return a call for comment.

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