Eddie Ray Kahn

Eddie Ray Kahn has been described by the "Los Angeles Times" as a "veteran tax protester". [http://www.latimes.com/entertainment/news/la-fi-snipes9dec09,0,7932435.story?coll=la-home-headlines] Kahn served time in prison for tax crimes from 1985 to 1987.David Cay Johnston, "Snipes Is Acquitted of Tax Felonies," "New York Times", Feb. 1, 2008, at [http://www.nytimes.com/2008/02/01/business/01cnd-tax.html?_r=1&oref=slogin&ref=business&pagewanted=print] .] Kahn founded the group American Rights Litigators and ran the for-profit businesses "Guiding Light of God Ministries" and "Eddie Kahn and Associates." According to the U.S. Justice Department, all three organizations are or were illegal tax evasion operations. [ [http://www.usdoj.gov/opa/pr/2003/December/03_tax_672.htm WWW.USDOJ.GOV] US Department of Justice News Release "JUSTICE DEPARTMENT FILES SUIT TO STOP ALLEGED NATIONWIDE TAX SCAM - Florida Man Sells Counterfeit Checks And Other Scams With Help From Florida Lawyer And Texas Accountant" published December 8, 2003]

On October 12, 2006, Kahn was charged, with actor Wesley Snipes and Douglas P. Rosile, [According to the Court docket, the original indictment apparently had been handed down on April 5, 2006, but had been sealed.] with one count of conspiracy to defraud the United States under usc|18|371, [Where the victim is the Internal Revenue Service (IRS) and the purpose is to defeat the lawful functioning of the IRS, a section 371 conspiracy is called a "Klein conspiracy," after the case of "United States v. Klein", 247 F.2d 908 (2d Cir. 1957), 57-2 U.S. Tax Cas. (CCH) paragr. 9912, "cert. denied", 355 U.S. 924 (1958).] and one count of making or aiding and abetting the making of a false and fraudulent claim for payment against the United States, under usc|18|287 and usc|18|2. [ [http://news.findlaw.com/cnn/docs/tax/ussnipes101206ind.html Findlaw] ]

Kahn went to Panama after the 2006 indictment, but was arrested and returned to the United States for the trial. During much of the trial Kahn remained in his jail cell, refusing to participate, and telling the judge that the court had no jurisdiction. News reports indicated that Kahn "has no legal training but insists on representing himself and has made several missteps and peculiar motions. For example, he sought to be immediately freed because the indictment lists his name in all capital letters, and he claimed U.S. attorneys have no jurisdiction because Florida supposedly was never ceded to the federal government". [http://www.thesnipestrial.com/kahn401.pdf] These motions were denied. [ [http://www.msnbc.msn.com/id/22637256/ Stakes high for Snipes in Florida tax fraud case] , MSNBC, January 13, 2008.]

On February 1 2008, Kahn was found guilty on the charge of conspiracy to defraud the government and on the charge of making or aiding and abetting in the filing of a false claim. ["Snipes acquitted of tax-fraud and conspiracy charges," Associated Press, published on CNN, Feb. 1, 2008, at [http://www.cnn.com/2008/CRIME/02/01/snipes.court.ap/index.html] ] Wesley Snipes was found guilty on three misdemeanor counts of failing to file Federal income tax returns. Douglas P. Rosile was convicted on the conspiracy and false claim charges. ["Wesley Snipes acquitted of federal tax fraud," MSNBC, Feb. 1, 2008, at [http://www.msnbc.msn.com/id/22955757/] .] [ [http://www.cnn.com/2008/CRIME/02/01/snipes.court.ap/index.html Snipes acquitted of tax-fraud, conspiracy] , Associated Press, as reported by CNN, February 1, 2006.]

On April 24, 2008, Kahn was sentenced to ten years in prison. [Stephen Hudak, April 24, 2008, "Wesley Snipes sentenced to three years in federal tax case," "Orlando Sentinel", at [http://www.orlandosentinel.com/news/local/state/orl-bk-wesley-snipes-sentencing-042408,0,1299381.story] .] He is incarcerated at the La Tuna Federal Correctional Institution at Anthony, Texas. [Prisoner number 18325-008, Federal Bureau of Prisons, United States Department of Justice, at [http://www.bop.gov/iloc2/InmateFinderServlet?Transaction=NameSearch&needingMoreList=false&LastName=Kahn&Middle=&FirstName=Eddie&Race=U&Sex=U&Age=&x=27&y=22] .] Douglas Rosile is incarcerated at the Federal Prison Camp at Pensacola, Florida. [Prisoner number 43347-018, Federal Bureau of Prisons, United States Department of Justice, at [http://www.bop.gov/iloc2/InmateFinderServlet?Transaction=NameSearch&needingMoreList=false&LastName=Rosile&Middle=&FirstName=Douglas&Race=U&Sex=U&Age=&x=23&y=11] .] Snipes was sentenced to three years in prison. [cite news
title = Snipes Sentenced To 36 Months
url = http://www.wesh.com/news/15979487/detail.html
publisher = WESH
location = Orlando
date = 2008-04-24
accessdate = 2008-04-24 ] [See ABC Action News, 24 April 2008, at [http://www.abcactionnews.com/content/news/breakingnews/story.aspx?content_id=9f6b6b10-a2cb-451d-95ef-4749301acc8f] .]

Although already in prison, Kahn was indicted with four other persons on September 3, 2008, on charges of mail fraud, conspiracy to commit mail fraud, and conspiracy to defraud the United States. The indictment was handed down by a federal grand jury in Washington, D.C. The indictment charges that Kahn conspired to sell schemes based on deliberate misrepresentations of the legal basis of the U.S. tax system. [News Release, "Five Promoters of Tax Defiance Scheme Indicted for Tax Fraud," Sept. 10, 2008, U.S. Dep't of Justice, at [http://www.usdoj.gov/opa/pr/2008/September/08-tax-806.html] .]

Notes

ee also

*Tax protester

External links

* [http://www.thesnipestrial.com The Snipes Trial - a website by commentator J.J. MacNab on the criminal tax trial of Wesley Snipes]