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Tuesday, November 15, 2005

Ex-KPMG executive denied bail in tax fraud case
Lauren Becker at 7:06 PM ET

[JURIST] A US district judge has denied bail for former KPMG [corporate website] executive David Greenberg, a defendant in the largest criminal tax case in US history. Judge Lewis A. Kaplan [official profile] said Greenberg posed a substantial flight risk because he could face up to 25 years in prison and may have access to nearly $20 million. Greenberg is accused of shifting nearly $15.8 million to accounts in the name of his former wife, his father, a sister, and his three children. He is one of 19 defendants charged [PDF indictment; JURIST report] with attempting to defraud the IRS through fraudulent tax shelters, filing fraudulent individual income tax returns containing the tax shelter losses, and concealing the shelters from the IRS. Prosecutors say the shelters helped KPMG clients avoid paying $2.5 billion in taxes AP has more.






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