A federal jury in Honolulu has convicted four Hawaii residents for their involvement in a tax refund fraud scheme that spanned from at least January 2015 through September 2018. According to court documents and evidence presented at trial, Rosemarie Lastimado-Dradi, Marciaminajuanequita Dumlao, Elvah Miranda, and Daniel Miranda conspired to defraud the United States by filing fraudulent individual tax returns and other documents with false mortgage lender withholdings. The Internal Revenue Service (IRS) processed these false returns and issued refunds totaling more than $1 million.
To hide the proceeds from the government, the defendants created trusts, opened new bank accounts under business entities and trust names, and transferred funds between these accounts. Lastimado-Dradi, Dumlao, and Elvah Miranda also laundered money through a series of bank transactions. Additionally, Dumlao and Daniel Miranda filed for bankruptcy during this period and made false statements under oath as part of those proceedings.
The jury found all four individuals guilty of conspiracy to defraud the United States. Lastimado-Dradi, Dumlao, and Elvah Miranda were also convicted of money laundering. Daniel Miranda and Dumlao were found guilty of making false statements under oath in bankruptcy court. Further convictions included Elvah Miranda for filing a false tax return and Lastimado-Dradi for aiding in preparing false tax returns. The jury acquitted Dumlao on one count of filing a false tax return and four counts of money laundering; Daniel Miranda was acquitted on one count of filing a false return.
Sentencing is set for early 2026: Dradi and Dumlao will be sentenced on January 26 while Elvah Miranda and Daniel Miranda will appear before the judge on January 27. Each faces up to five years in prison for conspiracy charges; Lastimado-Dradi, Dumlao, and Elvah Miranda face up to ten years per money laundering count; Elvah Miranda could receive up to three years for filing a false tax return; Daniel Miranda and Dumlao each face up to five years per count for making false statements under oath; Lastimado-Dradi faces up to three years per count for aiding in preparation of fraudulent returns. Sentences will be determined by a federal district court judge after considering relevant guidelines.
The case is being investigated by IRS Criminal Investigation.
“Trial Attorneys Sarah A. Kiewlicz and Meredith Havekost of the Justice Department’s Tax Division and Assistant U.S. Attorney Gregg Paris Yates for the District of Hawaii are prosecuting the case.”
