008: Real Estate Syndicator and Tax Preparer Violate Federal Tax laws


Well-respected accountants saw the potential to generate considerable fees by advising clients in a new area of the law. They initially provided advice. Slowly, many chose to build upon their expertise. They syndicated real estate transactions. They designed, or intended those transactions to take advantage of legal loopholes. 

Loopholes present risks. In this case, authorities accused the accountants of wrongdoing. In the eyes of authorities, the accountants manipulated the law. As a result, those accountants faced a government investigation and criminal charges for white-collar crime.  

All of the information in this case study comes from the Department of Justice press release and other articles referenced below.