The key facts are:
Taxpayer: Jacques Wajsfelner
Plea Date: 8/20/12
Banks: Wegelin & Co.; Credit Suisse (reported in news but not identified specifically in press release; per the press release, the account in the unnamed bank was transferred to Wegelin as the heat ramped up on UBS)
Enabler: Beda Singenberger, a Swiss financial adviser
Entities: Yes (Ample Lion, Ltd., a "sham" Hong Kong corporation)
Guilt: By Plea Agreement
Count(s) of Conviction: FBAR (1 count)
Admissions: Failed to file FBARs from 1995 through 2011; filed false income tax returns by omitting information about his Swiss accounts; "failed to make voluntary disclosures under the IRS's Voluntary Disclosure Program."
Maximum Possible Sentence: 5 years.
Tax Loss: $419,940 (Agreed as restitution; News release says $419,000; see article below)
High Amount: $5,700,000.
FBAR Penalty: $2,840,000 +. (Amount is per article below; News Release says $2,800,000+)
Court: SD NY
Judge: Naomi Reice Buchwald (Wikipedia entry here)
I have updated the spreadsheet (but need to correct for the more specific tax loss and FBAR penalty provided by the article below)..
Patricia Hurtado and David Voreacos, Ex-Credit Suisse Client, 83, Admits Hiding $5.7 Million (Bloomberg Businessweek 8/21/12), here. Excerpts are:
An 83-year-old Massachusetts man who held Swiss bank accounts at Credit Suisse Group AG (CSGN) and Wegelin & Co. pleaded guilty to hiding $5.7 million from U.S. tax authorities.
Jacques Wajsfelner admitted in federal court in Manhattan yesterday that he failed to file Foreign Bank and Financial Accounts Reports. He will pay civil penalties of $2.84 million and restitution of $419,940. Under advisory guidelines, he faces 30 months to 37 months in prison at sentencing on Dec. 20.
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Wajsfelner was born in Germany and fled the Nazis as a teenager, according to Jeffrey Denner, his attorney. He became a U.S. citizen and worked in real estate and advertising in New York and Boston, Denner said
“He pleaded guilty to some very bad judgment that he exercised,” Denner said in a telephone interview. “We are hopeful at his sentencing that the very serious mitigating factors of his life will be considered by the court.”
Wajsfelner’s former Swiss adviser, Beda Singenberger, was indicted last year on a charge of conspiring to help more than 60 U.S. taxpayers hide $184 million from the Internal Revenue Service in offshore accounts.
Wajsfelner admitted that he held an account in his own name at Credit Suisse in 1995, and Singenberger helped him open one there in 2006 in the name of Ample Lion Ltd. At the end of 2007 the account held almost $5.7 million, court records show.
After Credit Suisse began exiting its U.S. cross-border banking business in 2008, Wajsfelner transferred his assets to Wegelin, opening an undeclared account, he admitted. His account was valued at almost $5.5 million at the end of 2010, and almost $4 million at the end of 2010, court papers show.
He admitted failing to file FBARs for six years, from 2006 to 2011, court records show. [Note that the USAO Press release covers more years]
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In Wajsfelner’s plea agreement, prosecutors said they wouldn’t charge him for lies he told IRS agents after flying to the U.S. from Germany on Sept. 15, 2011.
He falsely said he didn’t know Singenberger, he didn’t have an account at Credit Suisse, he never heard of Ample Lion, and he didn’t have a foreign bank account at the time of the interview, according to the plea agreement.
“There are good explanations for it all,” Denner said. “There was some level of miscommunication and misunderstanding.”