Ex-BigLaw tax head sentenced in largest ever US tax fraud prosecution

June, 26 2014

Paul Daugerdas, who, in his role as tax head, brought down Jenkens & Gilchrist, has been sentenced to 15 years in prison in a US$8b fraud.

Feng Yu

The Dallas-based law firm had over 600 lawyers at one stage but, as a result of the fraudulent US$8b tax shelter scheme set up by Mr Daugerdas, it eventually closed in 2007. Sentencing Mr Daugerdas, US District Judge William Pauley called him ‘a tax-shelter racketeer who tapped into the incredible greed of some of the super wealthy’. The police described the fraud as the biggest US fraud ever prosecuted. Source: ABA