Three family members were sentenced on Mar. 27 to prison after being convicted for their roles in a multimillion-dollar tax refund fraud scheme. David Hunt received a sentence of 92 months, his son Baylon Hunt was sentenced to 38 months, and Baylon’s half-brother Corey Burt was given 94 months for filing fraudulent tax returns using purported trusts they controlled. A fourth family member who was also convicted is scheduled for sentencing in May.
The case highlights the significant efforts made by individuals to defraud the United States government through complex financial schemes involving false documentation and fabricated entities.
According to statements made in court and evidence presented at trial, the Hunts, from Arlington, Texas, along with Burt of Long Beach, Mississippi, orchestrated a plan that sought more than $8.5 million in undeserved tax refunds. As part of their actions, Baylon Hunt and another family member submitted falsified financial instruments and altered money orders to the Internal Revenue Service (IRS). Despite receiving warning letters from the IRS instructing them to stop these activities, they continued submitting false returns and documents.
The conspirators ultimately obtained over $1.7 million from the IRS as a result of their scheme. The funds were shared among them and used for purchases such as luxury goods, furniture, cryptocurrency investments, a Cadillac Escalade vehicle, and real estate in Mississippi.
All four defendants were found guilty at trial of conspiracy to defraud the United States. David Hunt, Burt, and another family member were also convicted on multiple counts related to aiding or assisting in preparing false tax returns; Baylon Hunt was acquitted on two such counts.
In addition to prison terms handed down by the court, all defendants were ordered jointly to pay restitution totaling $1,774,864 back to the United States government.
Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division and U.S. Attorney Ryan Raybould for the Northern District of Texas announced these sentences following an investigation led by IRS Criminal Investigation. The prosecution team included Trial Attorneys Melissa Siskind and Daniel Lipkowitz from the Tax Section of the Criminal Division along with Assistant U.S. Attorney Mark McDonald.
