Released on = March 7, 2007, 6:07 pm

Press Release Author = Tax Payers Against Fraud

Industry = Accounting

Press Release Summary = Washington, D.C. - As Americans around the country prepare
and file their Federal Income Tax Returns, the debate over Tax Fraud and Fraud
against the government heats up in a small Federal Court Room in Vermont, before US
District Judge Garvan Murtha. According to Court documents filed in the case,
Damian J. Renzello, 39 of East Montpelier, Vermont, a self-claimed inventor, is at
the center of the litigation. Charges against Renzello include charges he
deliberately falsified and omitted "substantial" assets on government affidavits in
order to defraud the United States Judiciary and United States Government, of money,
resources and other benefits for Renzello's sole benefit.

Press Release Body = Washington, D.C. - As Americans around the country prepare and
file their Federal Income Tax Returns, the debate over Tax Fraud and Fraud against
the government heats up in a small Federal Court Room in Vermont, before US District
Judge Garvan Murtha. According to Court documents filed in the case, Damian J.
Renzello, 39 of East Montpelier, Vermont, a self-claimed inventor, is at the center
of the litigation. Charges against Renzello include charges he deliberately
falsified and omitted "substantial" assets on government affidavits in order to
defraud the United States Judiciary and United States Government, of money,
resources and other benefits for Renzello's sole benefit.

According to Tax Payers (TAF) Against Fraud a grass-roots public interest
organization, fraud against the United States government is more rampant than ever.
TAF is dedicated to combating fraud against the Federal Government through the
promotion and use of the Federal False Claims Act and its qui tam provisions,
according to it's website, www.taf.org

The False Claims Act, also known as the \"Lincoln Law,\" dates back to the Civil War.
Plagued by war profiteers selling the Union Army shoddy supplies at inflated prices,
President Lincoln signed the False Claims Act into law in 1863. The original law
included qui tam provisions that allowed private persons to sue those who defrauded
the Government, the current Federal False Claims act can be found in United States
Code Title 31. The term \"qui tam\" stands for a longer Latin phrase that is
translated as \"he who brings an action for the king as well as for himself.\" Qui tam
is the technical legal term for the unique mechanism in the federal False Claims Act
that allows persons and entities with evidence of fraud against the federal
government to sue the wrongdoer on behalf of the Government.

Renzello ran in to trouble when he commenced legal action against a former business
partner and decided to make the US tax payer pay all his legal expenses, by claiming
poverty. Renzello was required under the law to file an affidavit attesting to his
poverty. According to court documents Renzello filed the necessary documents and
was granted status as a pauper, by order of Judge Garvan Murtha.

When the affidavit was made public and the defendant learned of Renzello's poverty
claim, documents were filed which showed: Renzello did have a checking account,
although his affidavit stated "no", most alarming however were many documents
evidencing Renzello had purchased a brand-new Harley Davidson motorcycle just weeks
prior to his claim of poverty, the motorcycle was not listed as part of Renzello's
assets in his affidavit claiming poverty.

Judge Murtha held a hearing in March of 2006, to determine the extent of Renzello's
alleged fraud. Relying on tax documents and bank statements (from the non-existent
bank accounts of Renzello) Murtha issued an opinion in July of 2006. Citing the tax
returns submitted by Renzello indicating his company selling portable rinks (porta
rinks for short) is not profitable. Renzello's website www.portarinxandbambini.com
makes claims he has been in business for 10 years.

In the tax returns submitted by Renzello, he claims to have driven exactly 50,000
miles each year for two consecutive years, writing this mileage off as business
expense while simultaneously declaring under penalty of perjury he works just 5
months per year. Court documents outline that Renzello must drive more than 330
miles a day on average every day during this 5 months of "work season", requiring
him to drive more than 7 hours a day everyday for 5 months at an average of 50 miles
an hour. It should be noted that Section 3729(e) of the Federal False Claims Act
states the act \"does not apply to claims, records, or statements made under the
Internal Revenue Code.\"

This is not the first trouble Damian J. Renzello has run into with charges made
against him of unjust enrichment and fraud. Just a few years ago the company My
Buddy Inc. filed suit against Renzello in Vermont Superior Court charging him with
unjust enrichment and theft of intellectual property, the case was apparently
settled with Renzello signing over numerous pieces of intellectual property to My
Buddy Inc.

A few years prior to the lawsuit filed by My Buddy Inc. against Renzello and Damian
J. Products for unjust enrichment; Renzello was at the center of an investigation
and actions taken against him by the Vermont Attorney General; for "violation of the
Consumer Fraud Act", according to reports made by the Barre-Montpelier Times Argus
newspaper. Stemming from Renzello's representations of a business enterprise which
according to the Vermont Attorney General's Office: "his business name and his logo
deceived consumers" into thinking he (renzelo) was affiliated with the State.

Debra L. Leahy, Assistant Vermont Attorney General speared headed the action
stating: "My concerns are that he's using the name of the state." Leahy went on to
comment: "It implies some kind of connection and there isn't any. In our opinion,
that was a violation of the Consumer Fraud Act.", stated Leahy who is believed
daughter of Vermont US Senator and Senate Judiciary Chairman Patrick J. Leahy, who
nominated presiding Judge Garvan Murtha. Deputy Secretary of State for the State of
Vermont said "Renzello was trying to capitalize on an appearance of affiliation with
the state." According to the Times. "He was clearly trading on the State of Vermont
name" stated Bristow. Renzello attempted to sue the State of Vermont the suit was
immediately dismissed. Renzello was forced to admit consumer fraud and his
fraudulent business operations ceased.

The case appears to be heating up as Judge Murtha has set an expedited trial date of
September of 2007.




Web Site = http://www.taf.org

Contact Details = Tax Payers Against Fraud