United States of America v. Cellini et al

Filing 25

PERMANENT INJUNCTION against Defendant Marge L. Cellini. Signed by Judge Gloria M. Navarro on 12/10/13. (Copies have been distributed pursuant to the NEF - EDS)

Case 2:12-cv-00471-GMN-VCF Document 22 Filed 11/18/13 Page 3 of 5

1
2

UNITED STATES DISTRICT COURT

3

DISTRICT OF NEVADA

4

***

5
6

UNITED STATES OF AMERICA,
Plaintiff,

7
8

vs.

9

2:12-cv-00471-GMN-VCF

MARGE L. CELLINI, et al.,

ORDER OF PERMANENT INJUNCTION

Defendants.

10
11

This matter comes before the Court on the United States’ Motion for Default Judgment. (Doc.

12

20.) The defendant, Marge L. Cellini, individually, and d/b/a Tax Factory, Inc., and/or Myst Inc.

13

(“Cellini”), was properly served and has failed to appear in this action. Entry of default was made

14

against Cellini on September 11, 2012. (Doc. 14.) Having considered the motion, the file, and the

15

applicable law, the Court makes the following findings of fact and conclusions of law and enters this

16

permanent injunction against Cellini.

17

The Court finds that Cellini continually and repeatedly engaged in conduct subject to penalty

18

under 26 U.S.C. §§ 6694 and 6695 and other fraudulent conduct that substantially interferes with the

19

administration of the internal revenue laws. 26 U.S.C. § 7407(b)(1)(A), (D).

20

The Court further finds that Cellini has repeatedly engaged in fraudulent tax preparation

21

practices involving numerous individual and corporate tax returns, beginning in 2001 and continuing at

22

least through 2007.

23

significant understatement of tax liability by Cellini’s clients.

24
25

These returns contained fabricated and inflated itemized deductions causing

The Court further finds that injunctive relief is appropriate under 26 U.S.C. § 7407 to prevent
Cellini from further engaging in such conduct.

Case 2:12-cv-00471-GMN-VCF Document 22 Filed 11/18/13 Page 4 of 5

1

The Court further finds that because such conduct was continual and repeated, and because a

2

narrower injunction would not be sufficient to deter Cellini’s interference with the proper administration

3

of the internal revenue laws, that Cellini should be enjoined from further acting as federal tax return

4

preparer under 26 U.S.C. § 7407.

5

The Court further finds that Cellini engaged in conduct subject to penalty under 26 U.S.C. §

6

6701, and that injunctive relief is appropriate under 26 U.S.C. § 7408 to prevent Cellini from further

7

engaging in such conduct.

8

The Court further finds that Cellini engaged in conduct that interferes with the enforcement of

9

the internal revenue laws. Therefore, the Court finds that injunctive relief is appropriate pursuant to 26

10
11
12
13
14
15
16

U.S.C. § 7402(a) to enforce the internal revenue laws.
Based on the foregoing, IT IS HEREBY ORDERED that Marge L. Cellini is permanently
enjoined from directly or indirectly:
1. Preparing or filing federal tax returns, amended returns, claims for refund, or any other federal
tax-related documents for anyone other than herself; and
2. Assisting in or directing the preparation or filing of federal tax returns, amended returns,
claims for refund, or any other federal tax-related documents for anyone other than herself.

17

The Court will retain jurisdiction to enforce this injunction and the United States is permitted to

18

engage in post-judgment discovery in accordance with the Federal Rules of Civil Procedure to ensure

19

compliance with this permanent injunction.

20
21

Pursuant to Fed. R. Civ. P. 65(d)(2), this order of permanent injunction binds the following who
receive actual notice of it by personal service or otherwise:

22

1. The defendant, Marge L. Cellini;

23

2. Marge L. Cellini’s officers, agents, servants, employees, and attorneys; and

24
25
2

Case 2:12-cv-00471-GMN-VCF Document 22 Filed 11/18/13 Page 5 of 5

3. Other persons who are in active concert or participation with anyone described in (1) or (2),

1
2

above.

3

IT IS SO ORDERED this 10th day of December, 2013.
SO ORDERED this ____ day of _________________, 2013

4

DATED this _____ day of November, 2013.

5
6
7

_________________________
GLORIA M. NAVARRO
________________________________
UNITED STATES DISTRICT COURT JUDGE

Gloria M. Navarro
United States District Judge

8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
3