Internal Revenue Bulletin:  2013-16 

April 15, 2013 

Announcement 2013-26

Announcement of Disciplinary Sanctions From the Office of Professional Responsibility


Table of Contents

The Office of Professional Responsibility (OPR) announces recent disciplinary sanctions involving attorneys, certified public accountants, enrolled agents, enrolled actuaries, enrolled retirement plan agents, and appraisers. These individuals are subject to the regulations governing practice before the Internal Revenue Service (IRS), which are set out in Title 31, Code of Federal Regulations, Part 10, and which are published in pamphlet form as Treasury Department Circular No. 230. The regulations prescribe the duties and restrictions relating to such practice and prescribe the disciplinary sanctions for violating the regulations.

The disciplinary sanctions to be imposed for violation of the regulations are:

Disbarred from practice before the IRS—An individual who is disbarred is not eligible to represent taxpayers before the IRS.

Suspended from practice before the IRS—An individual who is suspended is not eligible to represent taxpayers before the IRS during the term of the suspension.

Censured in practice before the IRS—Censure is a public reprimand. Unlike disbarment or suspension, censure does not affect an individual’s eligibility to represent taxpayers before the IRS, but OPR may subject the individual’s future representations to conditions designed to promote high standards of conduct.

Monetary penalty—A monetary penalty may be imposed on an individual who engages in conduct subject to sanction or on an employer, firm, or entity if the individual was acting on its behalf and if it knew, or reasonably should have known, of the individual’s conduct.

Disqualification of appraiser—An appraiser who is disqualified is barred from presenting evidence or testimony in any administrative proceeding before the Department of the Treasury or the IRS.

Under the regulations, attorneys, certified public accountants, enrolled agents, enrolled actuaries, and enrolled retirement plan agents may not assist, or accept assistance from, individuals who are suspended or disbarred with respect to matters constituting practice (i.e., representation) before the IRS, and they may not aid or abet suspended or disbarred individuals to practice before the IRS.

Disciplinary sanctions are described in these terms:

Disbarred by decision after hearing, Suspended by decision after hearing, Censured by decision after hearing, Monetary penalty imposed after hearing, and Disqualified after hearing—An administrative law judge (ALJ) conducted an evidentiary hearing upon OPR’s complaint alleging violation of the regulations and issued a decision imposing one of these sanctions. After 30 days from the issuance of the decision, in the absence of an appeal, the ALJ’s decision became the final agency decision.

Disbarred by default decision, Suspended by default decision, Censured by default decision, Monetary penalty imposed by default decision, and Disqualified by default decision—An ALJ, after finding that no answer to OPR’s complaint had been filed, granted OPR’s motion for a default judgment and issued a decision imposing one of these sanctions.

Disbarment by decision on appeal, Suspended by decision on appeal, Censured by decision on appeal, Monetary penalty imposed by decision on appeal, and Disqualified by decision on appeal—The decision of the ALJ was appealed to the agency appeal authority, acting as the delegate of the Secretary of the Treasury, and the appeal authority issued a decision imposing one of these sanctions.

Disbarred by consent, Suspended by consent, Censured by consent, Monetary penalty imposed by consent, and Disqualified by consent—In lieu of a disciplinary proceeding being instituted or continued, an individual offered a consent to one of these sanctions and OPR accepted the offer. Typically, an offer of consent will provide for: suspension for an indefinite term; conditions that the individual must observe during the suspension; and the individual’s opportunity, after a stated number of months, to file with OPR a petition for reinstatement affirming compliance with the terms of the consent and affirming current eligibility to practice (i.e., an active professional license or active enrollment status).

Suspended indefinitely by decision in expedited proceeding, Suspended indefinitely by default decision in expedited proceeding, Suspended by consent in expedited proceeding—OPR instituted an expedited proceeding for suspension (based on certain limited grounds, including loss of a professional license for cause, and criminal convictions).

OPR has authority to disclose the grounds for disciplinary sanctions in these situations: (1) an ALJ or the Secretary’s delegate on appeal has issued a decision on or after September 26, 2007, which was the effective date of amendments to the regulations that permit making such decisions publicly available; (2) the individual has settled a disciplinary case by signing OPR’s “consent to sanction” form, which requires consenting individuals to admit to one or more violations of the regulations and to consent to the disclosure of the individual’s own return information related to the admitted violations (for example, failure to file Federal income tax returns); or (3) OPR has issued a decision in an expedited proceeding for indefinite suspension.

Announcements of disciplinary sanctions appear in the Internal Revenue Bulletin at the earliest practicable date. The sanctions announced below are alphabetized first by the names of states and second by the last names of individuals. Unless otherwise indicated, section numbers (e.g., § 10.51) refer to the regulations.

City and State Name Professional Designation Disciplinary Sanction Effective Date(s)
Arizona        
Buckeye Carlson, Steven M. CPA Suspended by default decision in expedited proceeding under § 10.82 (suspension of CPA license in Washington State) Indefinite from November 13, 2012
Camp Verde Andre, Damian C. Enrolled Agent Suspended by default decision in expedited proceeding under § 10.82 (conviction under Arizona law for fraud and misrepresentation concerning worker’s compensation insurance) Indefinite from January 10, 2013
Arkansas        
Ash Flat Morris, James B. Public Accountant Suspended by default decision in expedited proceeding under § 10.82 (conviction under 26 U.S.C. § 7206(2), aiding and abetting the preparation of false income tax returns; 18 U.S.C. § 641, aiding and abetting theft of social security funds, 42 U.S.C § 408, concealment of a material fact as to social security funds, 18 U.S.C. § 641, theft of veteran’s administration funds, 18 U.S.C. § 371 conspiracy to defraud the government, 10 U.S.C. § 1097, aiding and abetting obtaining title IV funds by fraud and false statements; revocation of Arkansas Public Accountant license) Indefinite from November 13, 2012
Van Buren Jenkins, Jr., Newton D. Attorney Suspended by default decision in expedited proceeding under § 10.82 (suspension of attorney license) Indefinite from January 7, 2013
California        
Lompoc Tannous, George Enrolled Agent Suspended by default decision in expedited proceeding under § 10.82 (conviction under 18 U.S.C. § 371, conspiracy, and 26 U.S.C. § 7206, subscribing to a false tax return) Indefinite from November 13, 2012
Santa Monica Kerekes, Michael S. Attorney Suspended by default decision in expedited proceeding under § 10.82 (conviction under 18 U.S.C. § 371, conspiracy, and 26 U.S.C. § 7201, tax evasion in the USDC, SDNY) Indefinite from January 10, 2013
District of Columbia        
  Assaraf, Steven M., See Maryland      
Florida        
Hialeah Sanders, Berta CPA Suspended by default decision in expedited proceeding under § 10.82 (conviction under 18 U.S.C. § 1349, conspiracy to commit bank fraud) Indefinite from November 13, 2012
Illinois        
Monee Galvin, Laura M. CPA   Reinstated to practice before the IRS, effective December 3, 2012
South Holland Ihejirika, Christopher CPA Suspended by default decision in expedited proceeding under § 10.82 (conviction under 26 U.S.C. § 7201, tax evasion) Indefinite from November 13, 2012
Indiana        
Indianapolis Freeman, Timothy D. Attorney Suspended by default decision in expedited proceeding under § 10.82 (suspension of attorney license) Indefinite from January 16, 2013
Indianapolis Sheedy, Stacy L. CPA Suspended by default decision in expedited proceeding under § 10.82 (conviction under state law, theft; receiving stolen property) Indefinite from January 9, 2013
Maryland        
  Coppola, John M., See Virginia      
Baltimore Goldstein, David B. Attorney Suspended by default decision in expedited proceeding under § 10.82 (attorney disbarment by the Court of Appeals of Maryland, and conviction under 18 U.S.C. §§ 2252 and 2256, distribution of visual depictions of minors engaged in sexually explicit conduct) Indefinite from November 9, 2012
Baltimore Stern, Gary F. Attorney Suspended by default decision in expedited proceeding under § 10.82 (attorney disbarment by the Court of Appeals of Maryland) Indefinite from October 18, 2012
Rockville Assaraf, Steven M. Attorney Suspended by default decision in expedited proceeding under § 10.82 (attorney disbarment by the Court of Appeals of Maryland, and suspension of attorney license in the District of Columbia) Indefinite from November 9, 2012
Silver Spring Romanus, Joyce A. Enrolled Agent Disbarment by consent for admitted violation of § 10.51 (failure to pay Federal tax liability for tax years 2007–2010, failure to pay Employer’s Quarterly Federal tax for tax years 2009 (3rd qtr.); 2010, 2011 (1st & 2nd qtrs.) Indefinite from January 15, 2013
Massachusetts        
Chatham Edgar, Charles M. CPA Suspended by default decision in expedited proceeding under § 10.82 (revocation of CPA license) Indefinite from January 9, 2013
Kingston Lamond, III, John F. Attorney Suspended by default decision in expedited proceeding under § 10.82 (resignation in lieu of loss of license for cause) Indefinite from November 13, 2012
Mississippi        
West Point Hamilton, Gary C. CPA Suspended by default decision in expedited proceeding under § 10.82 (conviction under 18 U.S.C. § 371 and 26 U.S.C. § 7201, conspiracy to evade taxes, and evade income taxes; and revocation of CPA license) Indefinite from January 10, 2013
Missouri        
Maryland Hts Black, Todd R. Attorney Suspended by default decision in expedited proceeding under § 10.82 (attorney disbarment) Indefinite from January 22, 2013
Nebraska        
Omaha Kiroff, Mark A. CPA Suspended by default decision in expedited proceeding under § 10.82 (revocation of CPA license) Indefinite from August 7, 2012
Nevada        
Las Vegas Tewolde, Benaym Unenrolled Preparer Disbarred by consent for admitted violation of § 10.51(a) (disreputable and incompetent conduct which conduct renders the practitioner unfit to practice before the IRS) Indefinite from December 18, 2012
New York        
  Kerekes, Michael S., See California      
New York Park, Sun H. Enrolled Agent Suspended by decision in expedited proceeding under § 10.82 (conviction under 18 U.S.C. § 1341, mail fraud, 18 U.S.C. § 1349 & 1344, conspiracy to commit bank fraud, 26 U.S.C. § 7206, aiding another in the preparation and presentation of a false income tax return) Indefinite from October 31, 2012
North Carolina        
Butner Harris, Ephrain D. Enrolled Agent Suspended by decision in expedited proceeding under § 10.82 (conviction under 18 U.S.C. § 1346, conspiracy to commit mail and wire fraud in USDC, EDVA) Indefinite from October 31, 2012
North Dakota        
Fargo McDonagh, Alan M. Attorney Suspended by default decision in expedited proceeding under § 10.82 (conviction under North Dakota law, forgery or counterfeiting; and suspension of attorney license) Indefinite from December 10, 2012
Ohio        
Cleveland Heights Drake, Charles C. CPA Suspended by decision in expedited proceeding under § 10.82 (revocation of CPA license) Indefinite from November 28, 2012
Tennessee        
Franklin Heath, Stewart O. CPA Suspended by default decision in expedited proceeding under § 10.82 (voluntarily revocation of CPA license) Indefinite from November 13, 2012
Virginia        
McLean Coppola, John M. Attorney Suspended by default decision in expedited proceeding under § 10.82 (attorney disbarment by the Court of Appeals of Maryland, and suspension of attorney license) Indefinite from January 16, 2013
  Harris, Ephrain D., See North Carolina      
Washington        
  Carlson, Steven M., See Arizona      

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