LOS ANGELES
A Santa Clarita Valley tax preparer pleaded guilty to filing fraudulent federal tax returns and submitting false COVID-19 relief loan applications, causing tens of millions of dollars in losses to the U.S. Treasury, officials announced Monday.
Kerwin Aldric Jordan, 71, of Castaic and formerly of Pebble Beach, pleaded guilty to four counts of aiding in the preparation of false tax returns and one count of wire fraud.
Quick Facts:
- Defendant: Kerwin Aldric Jordan, 71
- Charges: Tax fraud, wire fraud, false tax returns
- Fraud Period: 2018–2023
- False Returns Filed: 1,370+
- Fraudulent Losses Claimed: $73 million+
- U.S. Treasury Loss: $25 million+
- PPP Loans Obtained: $188,667
- EIDL Loans Obtained: $276,600
- Potential Sentence: Up to 32 years in federal prison
- Sentencing Date: October 5
- Investigating Agency: IRS Criminal Investigation
According to his plea agreement, Jordan operated a tax preparation business through The Jordan Corporation and another entity, Jordan and Jordan A Financial Conquest. He falsely claimed to be a tax attorney and certified public accountant, though he was neither.
Prosecutors said Jordan prepared tax returns that fraudulently reduced clients’ taxable income by inventing businesses and claiming losses tied to those nonexistent entities.
In one instance, Jordan reduced a married couple’s $2 million income by claiming more than $1 million in fake business expenses, eliminating additional taxes owed and generating a refund of nearly $25,000. The couple paid him nearly $28,000 for the return.
From 2018 to 2023, Jordan filed more than 1,370 returns reporting over $73 million in false business losses, resulting in more than $25 million in losses to the U.S. Treasury.
Jordan also submitted fraudulent applications for Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) funds, programs created by Congress in 2020 to assist businesses during the pandemic. He falsely claimed his companies had employees when they had none.
Jordan received $188,667 in PPP funds and $276,600 in EIDL loans, which prosecutors said were used for unauthorized purposes.
Judge Stephen V. Wilson scheduled sentencing for Oct. 5. Jordan faces a statutory maximum sentence of 32 years in federal prison.
The case was investigated by IRS Criminal Investigation, underscoring ongoing enforcement efforts targeting tax fraud and pandemic-related financial crimes.