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Wednesday, March 28, 2007

Biggest Tax Cheat in History Sentenced to 9 Years in Prison, But IRS Won't Be Repaid Because of Botched Plea Agreement

Interesting article in the Washington Post:  Mogul Sentenced to 9 Years For Tax Evasion and Fraud, by Carol D. Leonnig:

Eccentric Washington telecommunications mogul Walter C. Anderson was sentenced yesterday to nine years in prison for failing to pay $200 million in taxes -- but a federal judge ruled the IRS won't be repaid for now because prosecutors botched the plea agreement. Anderson, the biggest convicted tax cheat in U.S. history, received the longest punishment ever given in a tax crime case for his admitted effort to hide $365 million in personal income in the 1990s. He avoided paying taxes by using aliases, shell companies, offshore tax havens and secret drop boxes abroad. ...

In a major embarrassment to the government's seven-year prosecution of Anderson, the judge ruled he could not order Anderson to make restitution to the IRS for an estimated $140 million of his unpaid federal income taxes. Friedman blamed prosecutors for making a sloppy plea agreement with Anderson.

DOJ Press Release

http://taxprof.typepad.com/taxprof_blog/2007/03/biggest_tax_che.html

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» WALTER ANDERSON GETS NINE YEARS from Roth & Company, P.C.
Walter Anderson, the telecom entrepreneur who pleaded guilty in the largest individual U.S. tax evasion case to date, received a... [Read More]

Tracked on Mar 28, 2007 8:55:42 AM

» WALTER ANDERSON GETS NINE YEARS from Roth & Company, P.C.
Walter Anderson, the telecom entrepreneur who pleaded guilty in the largest individual U.S. tax evasion case to date, received a... [Read More]

Tracked on Oct 2, 2012 5:51:46 PM

Comments

Another 'mistake' that favors a wealthy businessman. Par for the course. After all, corporations and gov't are merely quid-pro-quo whorehouses sold to the highest bidder. When the gov't needs illegal wire-taps, Verizon and Sprint allow them secret rooms to listen in on calls. When Haliburton (and KBR) need more revenue, the gov't hands out no-bid contracts. When the gov't dislikes literature, Amazon and Wikipedia ban the book "America Deceived". We The People had our gov't sold out from beneath us.
Final link (before Google Books caves to pressure and drops the title):
http://www.iuniverse.com/bookstore/book_detail.asp?&isbn=0-595-38523-0

Posted by: Larry T | Mar 28, 2007 2:49:20 PM

This isn't right at all, 'cause a judge does not have to respect the plea agreement. I guess with that kind of money, you'd have more than a just couple judges in your pocket.

Posted by: Purplepenquin | Mar 29, 2007 2:13:06 AM

"This is a serious crime, and it requires a serious punishment," [U.S. District Judge] Friedman said. "It is taking money from taxpayers."

The judge has it backwards. The state is taking the money from Anderson, not vice versa. Taxes are theft of the wealth you create - the money you earn is not "stolen" from anyone. Pointing out the failings of a public school system that spends more money on students than any other state in the U.S., yet gets the lowest scores only underlines the incompetence of socialized education.

Posted by: David V | Mar 29, 2007 4:15:06 PM

David, Ron Paul is calling on line 3....

Posted by: JOHN | Jan 5, 2008 5:49:56 PM