Kwame Kilpatrick Indicted on Federal Charges
Legal troubles continue to mount for ex-Detroit Mayor Kwame Kilpatrick, who is already in state prison for a probation violation stemming from an obstruction of justice charge related to lying under oath about an affair with his chief of staff. Kilpatrick has now been indicted on federal fraud charges.
Former Mayor Kwame Kilpatrick was indicted on 19 counts of federal fraud and tax charges and could be sentenced to 20 more years in prison, the Associated Press reports.
This time around, he is accused of taking cash payments from the Kilpatrick Civic Fund, a tax-exempt fund that was supposed to pay for voter education and other purposes.
In addition, prosecutors accuse Kwame Kilpatrick of failing to report at least $640,000 in taxable income between 2003 and 2008. Instead, he allegedly used the funds to pay for yoga, golf clubs, summer camp for his kids, private jet flights and counter-surveillance and anti-bugging equipment.
In general, fraud is a false representation of a matter of fact--whether by words or by conduct, by false or misleading allegations, or by concealment of what should have been disclosed.
Tax evasion is the process whereby a person, through commission of fraud, unlawfully pays less tax than the law mandates.
Tax evasion is a criminal offense under federal and state statutes. A person who is convicted is subject to a prison sentence, a fine, or both. The failure to file a federal tax return is a misdemeanor, but a consistent pattern of failure to file for several years will constitute evidence that these failures were part of a scheme to avoid the payment of taxes. If this pattern is established, the violator may be charged with a felony.