Pair get probation for roles in tax fraud

Duo recruited by Calif. woman to be in $4.7M scheme.

A judge seemed COLUMBUS — to be saving the hammer for a California woman who had recruited two Columbus residents in a $4.7 million taxfraud scheme.

On Tuesday, U.S. District Judge Michael H. Watson sentenced both Lindsey L. Harkless, 36, of the Southeast Side, and Thomas A. Shockley, 47, of the East Side, to two years on probation, instead of the prison terms sought by prosecutors.

Watson told both they deserved prison and he wouldn’t hesitate to impose that penalty if they violated their probation. Prosecutors had sought 18 months for Shockley and 24 months for Harkless. Each was charged with conspiring to defraud the government.

The judge, however, said both were led into the scam by Melody Rose Jones, 38, of the San Diego area. Jones, who prosecutors contend was the ringleader, pleaded guilty in May to theft of government funds and aggravated identity theft. A sentencing date for Jones has not been set, but she likely will face a prison term.

Jones was living in Columbus in 2009, when she recruited Shockley and Harkless, her cousin, to help her collect personal information from low-income or unemployed people, according to court documents.

She offered them $800 for personal information for each adult and $1,000 for each child. She used the information to create fraudulent income tax returns, often claiming false amounts of income and false credits for earned income, child care and education expenses.

Most returns were filed electronically, with refunds directed to bank accounts controlled by Jones, Shockley and Harkless, prosecutors said.

Jones has agreed to pay $4.7 million in restitution. Harkless and Shockley also pleaded guilty. Harkless has agreed to pay $772,600 in restitution and Shockley $387,900. The restitution orders are “joint and several,” meaning each defendant could be held liable for the full amount.

Watson noted that both Shockley and Harkless were employed and will be able to begin paying toward the restitution.

Harkless has said she initially got involved in the scam to pay her electric bill when she was unemployed.