Ind. man pleads guilty to tax-refund scheme


A Fort Wayne, Ind., man who owned and operated two Instant Tax Service offices in Toledo pleaded guilty Thursday to his part in what federal prosecutors called a “payday loan” tax refund scheme.

Adonay Mehreteab, 27, pleaded guilty before U.S. District Court Magistrate Judge James Knepp to conspiracy and three counts of making false, fictitious, or fraudulent claims.

Mehreteab and Miranda Parr, 32, of Heath, Ohio — who managed offices on Monroe Street and Airport Highway — were indicted in September on charges they prepared and submitted at least 114 tax returns. The refunds allegedly totaled $700,974 with a $265,510 loss to the government.

Ms. Parr is scheduled to be in federal court at 1:30 p.m. today for a change of plea hearing.

Mehreteab is to be sentenced Nov. 24 by Judge James Carr.