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Encinitas osteopathic physician Dr. James Francis Murphy and his wife, Denine Christine Murphy, were arraigned in federal court today (July 3) on charges of corrupt interference with the administration of internal revenue laws, fraudulent use of fictitious financial obligations, and presenting false claims to the government for fraudulent income tax returns. Over ten years, the married couple used fraudulent vehicles to hoodwink the Internal Revenue Service, such as a sham trust to conceal Murphy's income from his medical practice, according to the U.S. Attorney's office. The government says they filed false federal income tax returns, claiming they were entitled to a total of $1.2 million in refunds in 2005, 2006, and 2007 when in fact they had paid no taxes and were not entitled to any refunds. They will appear before federal Judge Anthony Battaglia August 3 at 11 a.m.
Encinitas osteopathic physician Dr. James Francis Murphy and his wife, Denine Christine Murphy, were arraigned in federal court today (July 3) on charges of corrupt interference with the administration of internal revenue laws, fraudulent use of fictitious financial obligations, and presenting false claims to the government for fraudulent income tax returns. Over ten years, the married couple used fraudulent vehicles to hoodwink the Internal Revenue Service, such as a sham trust to conceal Murphy's income from his medical practice, according to the U.S. Attorney's office. The government says they filed false federal income tax returns, claiming they were entitled to a total of $1.2 million in refunds in 2005, 2006, and 2007 when in fact they had paid no taxes and were not entitled to any refunds. They will appear before federal Judge Anthony Battaglia August 3 at 11 a.m.