Strip-club owner will time plea to facilitate his ability to pay fine
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posted by Bob at Friday, November 28, 2008
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Friday, November 28, 2008
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3 Comments:
By JAMES WALSH, Star Tribune
Last update: November 25, 2008 - 8:43 PM
That saying about not getting blood from a turnip also seems to apply to not getting unpaid taxes from a closed strip club.
According to an agreement approved on Monday by a federal judge, King of Diamonds strip club owner Larry Kladek will plead guilty next month to a single count of tax evasion. But the plea has been delayed to allow Kladek to keep his liquor license for the coming year -- and to continue making money to pay back taxes.
Kladek was expected to plead guilty Nov. 21. But the Inver Grove Heights City Council meets Dec. 8 to review liquor licenses. The city has indicated that it would revoke Kladek's license if he is convicted. So attorneys agreed to delay his plea until Dec. 11.
"The United States believes that requiring Mr. Kladek to plead guilty prior to Dec. 8, 2008, would unnecessarily damage defendant Kladek's capacity to continue to earn a living and, derivatively, to pay to the United States back taxes which are due and oweing," attorneys wrote in a motion.
A grand jury indicted Kladek in September on four counts of income tax evasion and five counts of filing false tax returns after an ATM in the King of Diamonds allegedly pumped about $2 million into an account Kladek kept secret from his accountant and the IRS.
The way an ATM normally works is when a customer withdraws cash, money is transferred from the customer's bank into an account that replenishes the ATM. In Kladek's case, investigators say the ATM was rigged to transfer money -- the withdrawal amount and an $8 "convenience fee" -- into a personal account for Kladek. He then took about $1 million from that account to buy investments and make payments on his luxury home, federal investigators say.
Meanwhile, according to the indictment, he replenished the ATM from the King of Diamonds business account.
James Walsh • 612-673-7428
I hope everyone enjoyed Thanksgiving Day.
Thank You Bob.
How many judges and politicians have a racket or scream where they hide money.
How about Tim Pawlenty and his wife both being in law and she being a Dakota County Judge, she did resigned after Tim was in office awhile.
It just shows that if there's a way to make a dollar, there will be somebody out there making it.
Illegal or Not
Evil Judges And Dumb Politicians.
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