United States of America v. Odne

Filing 54

ORDER: See Order for details. Signed by Judge Virginia M. Hernandez Covington on 12/8/2016. (DRW)

UNITED STATES DISTRICT COURT
MIDDLE DISTRICT OF FLORIDA
TAMPA DIVISON
UNITED STATES OF AMERICA,
Plaintiff,
v.

Civil No. 8:15-cv-1079-T-33EAJ

MILOT ODNE, individually and
d/b/a LBS TAX SERVICES, RAPID
TAX 1, RAPID TAX 1, LLC, and
MILOT
ODNE,
LLC;
and
ALEXANDER BARAZ, individually
and d/b/a LBS TAX SERVICES,
RAPID
TAX
1,
and
ALEXANDER BARAZ, LLC,
Defendants.
______________________________/
JUDGMENT AND ORDER OF PERMANENT INJUNCTION
Before the Court is a Stipulation for Entry of an Order
of

Permanent

Injunction

against

Alexander

Baraz.

The

stipulation has been submitted by the United States and
Alexander Baraz.

The Court enters this judgment and order

of permanent injunction in accordance with the stipulation.
The United States has filed a complaint in which it
seeks a permanent injunction under 26 U.S.C. §§ 7402, 7407,
and 7408 against Alexander Baraz. The United States alleges,
in

part,

that

Alexander

Baraz

has

continually

and

repeatedly engaged in conduct subject to penalty under 26
U.S.C. §§ 6694, 6695, and 6701, and conduct that interferes

with the administration of the internal revenue laws.
Alexander Baraz has waived the entry of findings of
fact and conclusions of law under

Rules 52 and 65 of the

Federal Rules of Civil Procedure, consented to the entry of
a Judgment and Order of Permanent Injunction, and agreed to
be bound by its terms. No provision in this

stipulation or

the fact that Alexander Baraz is agreeing to it constitutes
an admission by him of any of the allegations set forth by
the

United

United

States

States’

in

the

First

foregoing

Amended

paragraph

Complaint.

or

in

This

the

order

constitutes a judgment against Alexander Baraz, pursuant to
Rule 54(b) of Fed. R. Civ. P., there is no just reason for
delay in entering this judgment and Alexander Baraz waives
the right to appeal from that judgment.
This judgment and order completely resolves only this
civil action for injunctive relief

and disgorgement, and

neither precludes the government from pursuing any other
current or future civil or criminal matters or proceedings,
nor precludes Alexander Baraz from contesting
or

guilt

in

any

other

matter

retains jurisdiction over this

or

his liability

proceeding.

The

Court

matter for the purpose of

implementing and enforcing the permanent injunction entered
against

him

and

understands
2

that

if

he

violates

the

permanent

injunction,

he

may

be

subject

to

civil

and

criminal sanctions for contempt of court.
Based on the foregoing and the stipulation filed by the
parties, the Court now ORDERS that:
A.

Alexander Baraz, and all those in active concert

or participation with him, are permanently enjoined from:
(1)

acting as a federal tax return preparer or
requesting, assisting in, or
preparation

or

filing

directing the

of

returns, amended returns,

federal

tax

or other related

documents or forms for any person or entity
other than himself;
(2)

preparing or assisting in preparing federal
tax

returns

should

that

have

known

understatement
overstatement

he

of
of

knows
would

tax

or

reasonably

result

liability

federal

tax

in
or

an
the

refund(s)

as

penalized by 26 U.S.C. § 6694;
(3)

owning,
investing
to,

operating,
in,

managing,

providing

receiving

fees

or

controlling, licensing,
franchising

a

tax
3

working

capital

in,

or

loans

remuneration

from,

consulting with, or
return

preparation

business;
and

training,

creating

memoranda,

or

instructing,

providing

directions,

teaching,

cheat

sheets,

instructions,

manuals, pertaining to the

or

preparation of

federal tax returns;
(4)

engaging in any other activity subject to
penalty

under

26

U.S.C.

§§

6694,

6695,

6701, or any other penalty provision in the
Internal Revenue Code (26 U.S.C.);
(5)

maintaining, assigning, holding, using, or
obtaining
Number

a

Preparer

(PTIN)

or

Tax

an

Identification

Electronic

Filing

Identification Number (EFIN); and
(6)

engaging in any conduct that substantially
interferes

the

enforcement

and

with

of

proper
the

administration

internal

revenue

laws.
B.
close

Alexander Baraz will immediately and permanently

all

tax

return

preparation

stores

that

he

owns

directly or through any entity, and doing business under any
name;
C.
through

Alexander Baraz is prohibited, either directly or
any

entity,

from

assigning,
4

transferring,

or

selling

any

franchise

agreement, or

agreement,

independent

contractor

employment contract related to any tax return

preparation business to which he or any entity

under his

control is a party;
D.

Alexander Baraz is barred from: (1) selling to

any individual or entity a list of

customers or any other

information pertaining to customers for whom Alexander Baraz
and any

entity, business, or name through which Alexander

Baraz or those acting at his direction have at
since

2013

prepared

disseminating,
former

tax

providing,

franchisee,

Manager,

a

or

General

manager,

tax

return;

giving

Sales

return

(2)

to

any

Manager,
preparer,

any time
assigning,

current

District

or

Sales

employee,

or

independent contractor of Alexander Baraz and any entity,
business, or name through which Alexander Baraz prepares tax
returns

or

business,

owns
a

list

or
of

franchises
customers

a

tax

or

any

return

preparation

other

information

pertaining to

customers for whom Alexander Baraz and any

other

business,

entity,

or

name

through

which

Alexander

Baraz or those acting at his direction have at any time
since 2013 prepared a tax

return; and (3) selling to any

individual or entity any proprietary information pertaining
to any

entity, business, or name through which Alexander
5

Baraz or those acting at his direction have at

any time

since 2013 prepared a tax return;
E.

Alexander

Baraz

shall,

within

45

days

of

the

Court’s order, either:
(1)

pay for the publication of a copy of the

order of permanent injunction, stating paragraphs
A-D, once a week for three consecutive weeks in a
newspaper of general circulation in every
where

Alexander

Baraz

owned

or

operated

city
a

tax

return preparation store since 2013, or
(2)

contact by United States mail or, if an e-

mail address is known, by e-mail, all persons for
whom

Alexander

Baraz,

LBS

Tax

Services

stores

owned or managed by Baraz, or Rapid Tax 1 prepared
federal tax returns or claims for a refund for tax
years 2013 through the present to inform them of
the

permanent

injunction

entered

against

him,

including sending a copy of the order of permanent
injunction but not enclosing any other documents
or enclosures unless agreed to by counsel for the
United States or approved by the Court;
F.

Alexander

Baraz

shall

provide

a

copy

of

the

Court’s order, by email or other means, to all principals,

6

officers, managers, franchisees, employees, and independent
contractors

of Alexander Baraz and any entity, business, or

name through which Alexander Baraz or those

acting at his

direction have at any time since 2013 prepared a tax return
within 45 days of the Court’s order, and provide to counsel
for the United States within 60 days a list identifying the
principals, officers, managers, franchisees, employees, and
independent contractors to whom

Alexander Baraz provided a

copy of the Court’s order;
G.

The

Alexander

Court

Baraz

and

shall
over

retain

this

jurisdiction

action

to

enforce

over
the

permanent injunction entered against him; and
H.

The

United

States

is

entitled

discovery to monitor Alexander Baraz’s

to

conduct

compliance with the

terms of Order of Permanent Injunction entered against him.
Accordingly, it is
ORDERED, ADJUDGED, and DECREED:
(1)

The Clerk is directed to enter judgment in favor of
the

United

States

of

America

and

against

Defendant

Alexander Baraz in accordance with the foregoing.
(2)

A

permanent

Defendant

injunction

Alexander

is

Baraz

foregoing.

7

hereby
in

entered

accordance

against
with

the

(3)

Once judgment is entered, the Clerk shall CLOSE this
case.
DONE and ORDERED in Chambers in Tampa, Florida, this

8th day of December, 2016.

8