Thursday, Aug. 27, 2009 | 4:09 p.m.
A former IRS compliance officer in Las Vegas has pleaded guilty to accepting a bribe in exchange for preparing a false audit report for a taxpayer.
Fernando Cruz, 43, now of Shady Grove, Ore., pleaded guilty Wednesday to one count of a public official accepting a gratuity. He is scheduled for sentencing at 10 a.m. Nov. 24, said U.S. Attorney Greg Brower of Nevada.
In 2008, Cruz was working as a tax compliance officer for the IRS in Las Vegas. IRS employees are prohibited from preparing tax returns for compensation, gifts or favors and are required to report any attempted bribes to the IRS, Brower said.
In May 2008, Cruz was assigned to audit the individual joint tax return of a Las Vegas couple. At the first meeting with the couple at the IRS office, Cruz provided his personal cell phone number to the woman and told her to call him if she ever had tax questions or wanted him to prepare their taxes.
The couple told their accountant about Cruz's offer, and then reported it to the Tax Inspector General for Tax Administration. The couple also agreed to work with investigators and to have monitored calls and meetings with Cruz.
Cruz went to the couple's home on June 14, 2008 and reviewed the couple's tax records. He told the woman he could "fudge" their tax records so they would have less tax liability.
Cruz coaxed the woman on how to answer questions during an upcoming audit appointment she had with him on June 24, 2008, specifically instructing her to say that she did not have receipts to verify expenses.
Cruz also accepted $500 in cash from the woman and was told that he would receive another $500 if he could make their tax liability go away.
The woman met with Cruz as scheduled at his IRS office. Cruz prepared an IRS income form with the false information she provided. Cruz also mentioned that the woman could help him find an apartment in exchange for his help to the couple on their audit.
Both meetings were electronically monitored.
The maximum sentence that could be imposed against Cruz is two years of imprisonment and a fine of $250,000. He has been released on a personal recognizance bond.
The case is being prosecuted by Assistant U.S. Attorney Nicholas D. Dickinson.
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