IN RESPONSE TO WIDESPREAD TAX FRAUD, MURPHY, BLUMENTHAL CALL ON IRS, SECRET SERVICE TO PROTECT PHYSICIANS IN CONNECTICUT

WASHINGTON – U.S. Senators Chris Murphy (D-Conn.) and Richard Blumenthal (D-Conn.) today called on the Director of the United States Secret Service and the Commissioner of the Internal Revenue Service (IRS) to protect physicians in Connecticut that have been the victims of tax fraud. To date, approximately 75 physicians in Connecticut have reported that someone filed a fraudulent tax return to the IRS under their name. This problem has affected numerous physicians and health care professionals across the country and may be a result of a serious security breach.

“The magnitude of this fraud is shocking and alarming—approximately 75 physicians in Connecticut alone. The federal government must dedicate all necessary resources to identifying the source of this serious breach and to bringing the perpetrators to justice. Physician practices are vital healthcare providers and small businesses, contributing substantially to the welfare of their communities. Attempts to steal these valuable tax refunds not only harm the physicians themselves, but their patients and employees who count on them every day for their physical and economic wellbeing.”

The Connecticut State Medical Society (CSMS) has already received a large number of calls and emails from affected physicians across the state, notes CSMS President Michael Saffir, MD. “We are very grateful to Senator Blumenthal and Senator Murphy for their support and concern for our members and their families. Their efforts to bring more attention and resources to this important matter are critical in helping to stem the effects of this massive data breach,” Dr. Saffir said.

The text of the letter is below:

May 8, 2014

Ms. Julia Pierson
Director
United States Secret Service 
245 Murray Drive, SW 
Washington, DC 20223

The Honorable John Koskinen
Commissioner
Internal Revenue Service
1111 Constitution Avenue, NW
Washington, DC 20224

Dear Director Pierson and Commissioner Koskinen,

We write today about the recent news that physicians in our state and nearly every other state have become the victims of tax fraud. This is especially troubling considering that many physician practices are not only vital healthcare providers in their communities but also small businesses. We understand that you have initiated an investigation into the matter and hope that you will assign all necessary resources to swiftly bring the unscrupulous perpetrators to justice.

According to the Connecticut State Medical Society, approximately 75 physicians have reported having a fraudulent tax return filed by someone else to the Internal Revenue Service. However, this number may represent only a fraction of those affected. The State Medical Society has been working with physicians to make them aware of the potential problem and the doctors are now in the process of determining if they have been impacted. Considering the size and scope of the affected physicians across the nation, it appears that there has been a significant security breach. We would appreciate scheduling a briefing with appropriate representatives of your agencies to learn more about the source of such a breach.

We have offered assistance to the Connecticut State Medical Society and their members and stand ready to assist you in any way that we can. Again, thank you for your attention to this matter and we look forward to your prompt response.

Sincerely,


Christopher S. Murphy
United States Senator

Richard Blumenthal
United States Senator