Posts Tagged ‘tax evasion’

Ja Rule pleads guilty to tax evasion

Wednesday, March 23rd, 2011
Credit: AP Photo/Seth Wenig

Rapper, 35, Ja Rule admitted to tax evasion on more than $3 million in income and pleased guilty in federal court in New Jersey.

The case was based on income earned  between 2004 and 2006.

The government agreed to dismiss two counts against him for unpaid taxes on income earned in 2007 and 2008 as part of a plea arrangement.

He faces up to one year in prison and $100,000 in fines on each count.  Sentence will be given on the tax evasion charges in June..

He has already agreed to a two-year prison term on an attempted weapon possession charge that he pleaded guilty to in December after police found a loaded gun in his luxury sports car when it was stopped for speeding after a July 2007 concert.

The rapper was nominated for a 2002 best rap album Grammy for “Pain is Love.”

He has also appeared in “The Fast and the Furious” and 2003’s “Scary Movie 3.”


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Survivor star Richard Hatch Jail Time gets 9 months on violation

Monday, March 14th, 2011
Credit NBC

The first “Survivor” winner Richard Hatch, could be going back to jail.  On Friday he was ordered back to prison to serve a nine-month sentence for failing to pay taxes on the $1 million he won on the CBS reality show.

Hatch, spent more than three years in prison for tax evasion.  He was released in 2009, but had a three-year term of supervised release during which he was supposed to refile his 2000 and 2001 taxes and pay what he owed.  However he never did.

U.S. District Court Judge William Smith said Hatch had exhibited no remorse and had made no effort to comply with an order to pay his taxes.  He imposed a 9 month sentence after prosecutors recommended: six months – the maximum in the federal sentencing guidelines.

He said the term of supervised release, did not appear to be doing any good in Hatch’s case. He said a substantial sentence was required to send a message to Hatch and others who flout the court’s orders.

“You can continue to proclaim your innocence,” Smith said. “You don’t have the option of engaging in this type of game or negotiation with the court. It needs to be a severe punishment. That’s the only thing that will deter you in the future.”

He also ordered Hatch serve 26 months supervised release, during which time 25 percent of Hatch’s gross income would be garnished and paid directly to the IRS.  According to the Prosecutor Andrew Reich Hatch owes an estimated $2 million to the IRS on the Survivor winnings and other income, including penalties.

Hatch, who has filed an appeal of the decision with the 1st U.S. Circuit Court of Appeals in Boston, was ordered to report for his prison term on Monday.

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