Dover Insurance Broker Charged with Tax Fraud

BOSTON – A Dover, Mass. insurance broker was arrested today in connection with filing fraudulent personal tax returns.

Anthony J. May, 61, was indicted on two counts of filing false tax returns for tax years 2008 and 2009.

According to the indictment, May owned and operated Clients First Financial LLC, a business selling life insurance products, and Advantage Life Settlements, LLC, which served as a broker for individuals to sell their own life insurance policies to third party investors.  May allegedly operated his businesses out of an office suite in Hingham where he also rented space to other independent insurance agents.  As alleged in the indictment, May failed to report substantial amounts of the gross receipts he received from insurance commissions, life settlement broker fees and business rental income in his 2008 and 2009 tax returns.

The charging statute provides for a sentence of no greater than three years in prison, one year of supervised release and a fine of $250,000.  Actual sentences for federal crimes are typically less than the maximum penalties.  Sentences are imposed by a federal district judge based on the U.S. Sentencing Guidelines and other sentencing factors.

United States Attorney Carmen M. Ortiz and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today.  The case is being prosecuted by Assistant U.S. Attorney Victor A. Wild of Ortiz’s Economic Crimes Unit.

The details contained in the indictment are allegations.  The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.