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LOS ANGELES — Stephen McDow of Laguna Beach is facing four years imprisonment for failing to return a $110,000 tax refund that the IRS mistakenly sent him.

The tax refund was intended for a 67-year-old woman, who hadn’t notified the IRS that she had closed the account, which had since been assigned to Stephen McDow.

When the woman found out McDow had received her money and contacted him, he claimed to have spent over half of it paying off student loans and his home mortgage. Unable to return the full amount, McDow was arrested and charged with one felony of grand theft by misappropriation of lost property.



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