Minneapolis tax cheat shorted IRS $1.7 million, gets six years in prison

Nearly six years in prison is the sentence for a Twin Cities man who owes the IRS $1.7 million after he filed false tax returns for undocumented immigrants and fictitious people, then redirected money to his native Mexico to grow oranges and raise cattle.

Yossimar Alarcon-Patino, 25, of Minneapolis, was sentenced Tuesday in federal court in Minneapolis to 70 months in prison for directing the conspiracy.

Three others are serving much shorter prison terms for their roles.

After pleading guilty in August, Alarcon-Patino described how he spent some of the "proceeds of his fraudulent scheme," prosecutors said in a court filing.

Purchases included an orange grove and other property in Mexico, three vehicles bought in the United States and sent to Mexico and 40 head of cattle. He also deposited tens of thousands of dollars in Mexican banks.

Alarcon-Patino's attorney had argued for a sentence of slightly more than four years, saying the conspirators had an equal hand in the fraud.

The defense also pointed out that Alarcon-Patino has "worked hard to overcome personal challenges," emigrating at age 15 from Mexico, having lost his father to a drug cartel murder in his home country.

Court documents said Alarcon-Patino had obtained refunds since 2010 by filing tax returns that reported false income and fictitious dependents. Most of the returns were filed on behalf of undocumented workers living in Mexico or fictitious people.

Alarcon-Patino obtained fake identification that he used to secure false Individual Taxpayer Identification Numbers, required by the IRS for filers without Social Security numbers, documents said. He had the refund checks mailed to his home in Minneapolis and to the other defendants in Minnesota, who cashed the checks in exchange for a percentage.

Others sentenced were: Maria Teresita Alvarez-Mateos, 41, of Bloomington (two years); her sister Yuliana Alvarez-Mateos, 30, of Minneapolis (two years), and Seth Mogollon-Flores, 29, of Willmar, Minn. (18 months).