The government's suit alleged that Ellis advertised the sale of these bogus credits on the Internet and issued phony documents to people purporting to give them credits that could reduce their tax obligations. The government also alleged that Ellis partnered with the Southwest Louisiana Business Development Center, a nonprofit organization in Jennings, La., to try to sell $24 billion of the fictitious credits.
The civil injunction order entered against Ellis bars him from telling prospective customers that he can transfer tax credits to them.
Ellis is also required to give the government a list of the names, addresses and social security or tax identification numbers of everyone he previously sold the "credits" to. Those unfortunate souls can expect to hear a knock on the door soon.
