Tax Refunds Revealed as Giant Ponzi Scheme

Washington, DC (GlossyNews) — Investigators have uncovered a multi-trillion dollar financial fraud so massive and widespread it has victimized nearly every household in America for decades.

According to investigators the so-called “Tax Refund Pyramid” employs many of the same techniques as other financial frauds, but on a much larger scale.

“On one level, this monumental scheme simply gives people back some of the money it already collected from them,” said one investigator. “But the parent organization’s finances are so shaky it has to resort to heavy borrowing and even print its own money just to do that.”

Convicted financial scammer Bernard Madoff, reached in the weight lifting room at a federal prison, expressed admiration for the scope of the tax refund fraud.

“These guys make me look like an amateur,” Madoff said. “I bow before them.”

To dupe victims, investigators say the tax fraud perpetrators used a network of “feeder funds” with official sounding names such as “The Internal Revenue Service” and “Treasury Department,” though a much larger organization designed and managed the scheme.

“This is a huge, sophisticated operation with many tentacles,” said a spokesperson for the investigation. “We believe it takes in trillions of dollars annually and keeps millions of employees on its payroll worldwide.”

“Not all these employees are directly involved in the fraud,” the spokesperson added.

Anyone receiving checks or requests for money from the feeder funds or related entities is urged to proceed cautiously. “You’re dealing with very tenuous finances here,” said the investigator. “When the bottom falls out, people are going to get hurt.”

Shocked fraud victims reacted with fear and confusion as they watched lifelong dreams evaporate.

“I told my husband Harry that check was too good to be true,” wailed a Wisconsin woman. “We planned to buy a fiberglass kayak with that refund,” her husband added. “Now it looks like we have to go back to a rubber raft.”

Author: norbert b. snortwhistle

Norbert Bibbington Snortwhistle is not the author’s real name. A freelance writer living in a California beach town, Mr. Snortwhistle writes about business, politics and other strange affairs. You can read his articles on investing and the economy, posted under the name ‘Low Sweat Investing,’ here.