United States of America v. Allen et al

Filing 9

PERMANENT INJUNCTION BY STIPULATION AND CONSENT as to Rachel D. Watson. Signed by Honorable R Bryan Harwell on 2/8/2013.(hcic, )

Download PDF
IN THE UNITED STATES DISTRICT COURT,FOR THE - DISTRICT OF SOUTH CAROLINA FLORENCE DIVISION UNITED STATES OF AMERICA, Plaintiff, v. SUSANN ALLEN, and -- --RAGHEL-f};-WAT-SGN,-,--------------Defendants. ) ) ) ) ) Civil No. 4:13-cv-197-RBH ) ) --- - )---___________ _ ) ) PERMANENT INJUNCTION BY STIPULATION AND CONSENT _ Plaintiff, the United States of America, and Defendant, Rachel D. Watson, stipulate and agree as follows: 1. Plaintiff, the United States of America, has filed- a complaint seeking a permanent injunction against defendant Rachel D. Watson and others under 26U.S.C. §§ 7402(a), 7407, and 7408. 2. Watson admits for purposes ofthisinjunction that the Court has personal jurisdiction over her and subject matter jurisdiction over this matter but without admitting any of the other allegations in the complaint. 3. Watson waives the entry of findings of fact and conclusions oflaw and voluntarily consents to the entry of this permanent injunction under 26 U.S.C. §§ 7402(a), 7407, and 7408 without further notice and agrees to be bound by its terms. ­ 4. Watson further understands and agrees that: a. This Permanent Injunction by Stipulation and Consent will be entered under Fed. R. Civ. P. 54(b) and 65, and there being no just reason for delay, will 4858345.2 ;i result in the entry. without further notice, of a Final Judgment against her in ~ b. this matter; Watson waives any right she may have to appeal from this Permanent Injunction by Stipulation and Consent; c. The Court will retain jurisdiction over this matter for the purpose of implementing and enforcing the Permanent Injunction by Stipulation and Consent; d. If Watson violates this injunction, she may be-subject to civil and criminal. sanctions for contempt of court; e. The United States may conduct full post juagment discovery to monitor compliance with this injunction; and f. Entry of this Permanent Injunction by Stipulation and.Consent resolves only this civil injunction action, and neither precludes the United States, or any of its agencies, from pursuing any other current or future civil or criminal mattersor proceedings, nor precludes Watson from contesting her liability in any other matter or proceeding. I. Accordingly, it is hereby STIPULATED, ORDERED, and ADJUDGED pursuant to 26 U.s.C. §§ 7402(a), 7407, and 7408 and, pursuant to Fed. R. Civ. P. S4(b), there being no just reason for delay, that defendant Watson and any other person or entity acting in active concert andlor participation with her are PERMANENTLY ENJOINED·from directly or indirectly, by use of any means or instrumentalities: 4858345.2 - A. preparing or assisting in the preparation or filing of federal income tax returns , " , amended returns, and other related documents and forms for others; B. preparing or assisting in the preparation or filing offederal tax returns that they know will result in the understatement of any tax liability or the overstatement of federal tax refunds; C. engaging in any activity subject to,penalty under 26 U.S;C: §§ 6694, 6695, and 6701; and D. engaging in any other conduct which substantially interferes with the proper administration and enforcement of internal revenue laws. II. It is FURTHER STIPULATED, ORDERED; and ADJUDGED that Watson, within thirty (30) days of entry ofthis Permanent Injunction by Stipulation and Consent, send at her own expense by certified mail, return receipt requested, an executed copy of this Permanent Injunction by Stipulation and Consent to each employer for whom she ,prepared federal income tax returns or any other federal tax forms for others after January 1,2008; III. It is FURTHER STIPULATED, ORDERED, and ADJUDGED that Watson, within thirty (30) days of entry of this Permanent Injunction by Stipulation and Consent turn over to the United States copies of all returns or cl~ims for refund that she prepared for customers after January 1,2008 that are in her possession, custody, or control; IV. It is FURTHER STIPULATED, ORDERED, and ADJUDGED that Watson, within thirty (30) days of entry ofthis Permanent Injunction by Stipulation and Consent, tum over to the United States a list with the name, address and telephone number, e-mail address (ifknown), and social security number or other taxpayer identification number of all customers for - 3 - ~ 4858345.2 'f . :! whom she prepared returns after January 1,2008, to theexten't she is in possession, custody, or control of such information; V. It is FURTHER STIPULATED, ORDERED, and ADJUDGED that Watson, within fortyfive (45) days ofentry ofthis Permanent Injunction by Stipulation and Consent, file with the Court a sworn certificate stating that she has complied with paragraphs II, III, and IV ofthis Permanent Injunction by Stipulation and Consent; VI. It is FURTHER STIPULATED, ORDERED, and ADJUDGED that Watson maintain records ofher compliance with paragraphs II, III, and IV ofthis Permanent Injunction by Stipulation and Consent, which may be produced to the Court, if requested, or to the United States pursuant to paragraph VII, below; and VII. It is FURTHER STIPULATED, ORDERED, and ADJUDGED that the Court shall retain jurisdiction to enforce this injunction and that the U!1ited States. is permitted to monitor Watson's compliance with this injunction and to engage in post-judgment discovery in accordance with the .Federal Rules of Civil Procedure. IT IS SO ORDERED ~, 2013 February Florence, South Carolina -4­ 4858345.2 . . United States v. Susann Allen and Rachel D. Watson, No. 4: 13-cv-OOI 97-RBH This Permanent Injunction by Stipulation and Consent is consented to and submitted by: For Plaintiff KATHRYN KENEALLY Assistant Attorney General By: MICHAEL W. MAY Trial Attorney, Tax Division U.S. Department of Justice Post Office Box 14198 Ben Franklin Station Washington, D.C. 20044 Telephone: (202) 616-1857 Facsimile: (202) 514-9868 Michael. W .May@usdoj.gov .;~ . WATSON, pro se ardRoad .Effingham, South Carolina 29541. Dated: 8-' d- ~l3 -andWILLIAM N. NETTLES . By: - 5- 4858345.2