Dearborn couple pleaded guilty to tax evasion, bankruptcy fraud and other charges

A Dearborn husband and wife have pleaded guilty to making a false statement to a US agency and tax evasion, according to US attorney Dawn N. Ison.

Abraham Elsaghir, 52, and Samar Elsaghir, 51, were both before U.S. District Judge Laurie J. Michelson.

Abraham Elsaghir also pleaded guilty to one count of fraudulent bankruptcy.

According to the plea agreements, in May 2017, Abraham and Samar Elsaghir filed a voluntary Chapter 7 bankruptcy petition, and they received a discharge of their debts in August 2017.

However, as the plea agreement acknowledges, the Elsaghirs misrepresented their bankruptcy petition, both failing to report and underreporting their income. During the same period, the Elsaghirs made similar misrepresentations to both the IRS on their 2016 tax return and the United States Department of Agriculture in order to receive Supplemental Nutrition Assistance Program benefits ( SNAP), commonly referred to as food stamps.

In the plea agreements, the Elsaghirs said that from 2014 to 2020, they received nearly $60,000 in SNAP benefits they weren’t entitled to and actually owed the IRS an additional $70,000. for the fiscal calendar years 2014-2018. .

Abraham Elsaghir also agreed that he was and must pay more than $166,000 to unsecured creditors in the bankruptcy case.

“We’ve seen an unprecedented number of people committing fraud on government programs,” said Josh Hauxhurst, acting special agent in charge of the FBI’s Detroit division. “This case involved multiple layers of deception – lying to bankruptcy court, the IRS, and the USDA. This conduct will not be tolerated, and individuals who make false claims to exploit resources intended for those most in need will vigorously investigated and prosecuted.”

Special Agent in Charge Sarah Kull of the IRS Criminal Investigation Team at the Detroit Field Office agreed with Hauxhurst.

“Elsaghirs’ plea serves as an important reminder that federal income tax compliance should be shared equally among all Americans. Conspiring to defraud the government with a scheme to under-report taxable income and steal money meant for low-income families is illegal and shameful,” she said.

The sentencing of Abraham Elsaghir and Samar Elsaghir has been set for June 23, before Michelson.

Each defendant faces a maximum sentence of five years in prison.