re: #236 Targetpractice

I can’t believe a judge who read the prosecution the Riot Act over his personal beliefs about their boss would stoop to trying to throw the trial in favor of the defense.

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After testimony from this witness, I can’t see anything but guilty.

5:13 p.m.: IRS agent: Manafort did not pay taxes on $15.5 million in Ukrainian income

Prosecutors are using IRS agent Michael Welch to state clearly what they argued in opening statements and have had witnesses testify on for several days now — Paul Manafort did not pay taxes on all of the income he earned in Ukraine between 2010 and 2014.

Welch said Manafort received about $15.5 million from Ukraine which he then paid directly to vendors, and which he did not report or pay taxes on. The money never entered Manafort’s business or personal accounts in the United States, Welch said. Manafort also falsely classified another $1.5 million in income as a loan, Welch testified. An FBI accountant testified earlier Wednesday that more than $60 million flowed through Manafort’s overseas accounts between 2010 and 2014, and he spent $15 million of that on homes, clothes and other personal purchases.

Asked the obvious question — whether the IRS would want to know about this money — Welch gave the obvious answer: yes, they would.

Welch said he also looked at the income that was never brought into the United States. He said he was “conservative” in what he allowed as possible business expenses — including 132,000 euros to a yacht company, $49,000 for an Italian villa rental, $45,000 for cosmetic dentistry and $19,800 for a riding academy — because he heard “no testimony” explaining their purpose.

Even under that conservative analysis, he said, Manafort did not report millions of dollars in off-shore income.