CAMDEN – A federal jury has convicted a Pemberton Township man of conspiring to dupe the IRS into approving tax refunds of more than $3 million.
John W. Barry Jr. and accomplices in four states allegedly took part in a “mortgage-recovery tax fraud” scheme for the 2014 tax year, according to federal authorities.
The scam led the IRS to issue refunds of about $34,000 to $785,000 for eleven people, according to a September 2020 indictment.
It alleged Barry and co-conspirators falsely claimed to the IRS that their clients had received income from their mortgage lenders or mortgage processing firms.
They then filed fraudulent forms with the IRS that asserted the companies had withheld “substantial taxes” on the non-existent income, leading the IRS to issue refunds.
Barry typically charged each client…