A Connecticut woman has been arrested on a new warrant in a months-long bank fraud investigation involving a business account and a series of fraudulent withdrawals.
Natasha Davis, 37, of East Hartford, was taken into custody September 17, becoming the second person arrested by Thomaston police in the case. According to WFSB, she posted a $100,000 surety bond and is scheduled to appear in Torrington Superior Court on October 1.
The September arrest followed an earlier encounter with police in June and a broader investigation involving Thomaston Savings Bank, Watertown police, the IRS and the U.S. Treasury Department. Bryan David Sheriff, 25, of Hartford was arrested September 9 in connection with the same investigation.
Davis and Sheriff face criminal charges arising from the case. The allegations have not resulted in convictions, and both are presumed innocent unless proven guilty.
A Business Account Was Opened With a Fake Pennsylvania License
According to an arrest warrant detailed by CT Insider, a woman using the name “Lisa Palmer” opened a business account at Thomaston Savings Bank on June 4 and deposited $59,942.56.
Investigators later traced that money to a Florida business. An accountant for the owners told police that tax returns had been filed without their knowledge and that bank routing information had been changed, causing the refund to be sent elsewhere.
The bank alerted police after a questionable $10,000 cash withdrawal on June 17. Investigators also found a $14,000 withdrawal from a New Britain branch and other transactions that brought the amount successfully taken from the account to $33,200.
Police said Davis admitted using the “Lisa Palmer” identity and told investigators that Sheriff had provided the Pennsylvania driver’s license and withdrawal slips. According to the warrant, she was supposed to receive $400 for participating.
An Attempted $16,000 Withdrawal Led to Davis’ First Arrest
On June 18, Davis went to the bank’s Oakville branch in Watertown and attempted to withdraw another $16,000, according to the warrant. Bank personnel contacted police, and officers arrested her at the scene on charges stemming from that encounter.
Davis had arrived in a Dodge Durango driven by a man who sped away as officers approached. Police said the vehicle nearly struck an officer and a police cruiser while leaving the area.
Thomaston detectives, working with Hartford police, later identified the driver as Sheriff.
The investigation continued after the June arrest and ultimately resulted in the separate Thomaston warrant served on Davis three months later.
A Search of Sheriff’s Home Turned Up Cash, Bank Cards and Electronics
On July 17, Watertown and Hartford detectives, parole officers and federal Department of Homeland Security personnel searched Sheriff’s Hartford residence.
Police said investigators recovered computers, debit and credit cards, Thomaston Savings Bank cards, several new iPhones and $26,400 in cash. Authorities also reported finding hallucinogenic mushrooms.
Thomaston police arrested Sheriff on September 9. His charges include first-degree larceny, conspiracy to commit first-degree larceny, trafficking in personal identifying information, first-degree identity theft, first-degree forgery and making a false statement to obtain a payment card.
Davis Faces Eight Charges Under the New Warrant
The September 17 warrant charges Davis with first-degree larceny, conspiracy to commit first-degree larceny, first-degree identity theft, first-degree forgery and criminal impersonation.
She is also charged with fraudulent use of an automated teller, making a false statement to procure issuance of a payment card and illegal use of a payment card.
Police said the investigation involved forged documents, stolen identities and impersonation as detectives traced the activity connected to the account.
Businesses Can Watch for Signs of Tax Identity Theft
The IRS warns that stolen business information can be used to file fraudulent tax returns or redirect refunds before the legitimate business realizes its identity has been compromised.
Warning signs include receiving correspondence about a return the business never filed, having an electronically filed return rejected because another return is already on file for the same period, or receiving an unexpected notice involving the company’s Employer Identification Number.
Businesses should restrict access to sensitive tax and banking information and investigate unexpected changes to account or routing details. Suspicious correspondence should be verified directly with the IRS rather than through contact information supplied in an unexpected message.
A business, trust, estate or tax-exempt organization that believes its name or EIN was used for tax-related identity theft may be instructed to submit Form 14039-B, the Business Identity Theft Affidavit. The IRS advises including the requested supporting documentation and a signed form to avoid processing delays.