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Home » FA Online » FA News » Real Estate Developer Convicted in $1.3 Billion Tax
Case After Juror Removed
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REAL ESTATE DEVELOPER CONVICTED IN $1.3 BILLION TAX CASE AFTER JUROR REMOVED

September 24, 2023 • David Voreacos

A real estate developer was convicted for promoting $1.3 billion in fraudulent
tax deductions after a judge removed a deliberating juror who told the judge she
was “standing up for White people.”

Jack Fisher was found guilty Friday in Atlanta federal court of selling tax
deductions to wealthy individuals using so-called syndicated conservation
easements, which offer tax breaks for the promise to avoid developing land.
Prosecutors said Fisher relied on exaggerated appraisals and backdated documents
in the scheme, which earned him tens of millions of dollars.

 

Jurors also convicted a lawyer who worked with Fisher, James Sinnott. Attorneys
for Fisher and Sinnott didn’t immediately respond to a request for comment.



The nine-week trial nearly came undone by conflicts over race and class within
the jury, which began deliberating on Sept. 14. Last week, jurors told US
District Judge Timothy Batten they were “hopelessly hung.” Jurors also
complained that Juror 26, a White woman, refused to deliberate.

The woman told other jurors that Juror 44, a Black man, had said Fisher and his
co-defendants should be convicted because they were “rich, White and entitled.”
Batten interviewed Juror 26 in his chambers, where she told him that she was “a
White person standing up for White people.”

Though he initially rejected government’s request to remove both Juror 26 and
44, Batten had a change of heart. On Wednesday, he removed Juror 26, saying he
concluded she had lied about Juror 44. The judge said he was concerned that he
was being “perceived as standing up for and condoning racist behavior.” Juror 26
was replaced by an alternate.

Read more: Juror Who Made Race Comments Removed From $1.3 Billion Tax Case

Jurors convicted Fisher and Sinnott of conspiracy to defraud the US, conspiracy
to commit wire fraud, aiding and assisting in filing false tax returns and
subscribing to false tax returns. Fisher was also convicted of money laundering.

The jury acquitted an appraiser who testified in his own defense, Clay Weibel.

“We are incredibly pleased that the federal jury saw that Mr. Weibel did not
intend to defraud the United States government,” said his attorney Guinevere
Moore.

Lawyers for Fisher and Sinnott had moved for a mistrial over the judge’s
handling of the jury controversy. Batten denied their request, but the
defendants vowed to appeal if they were convicted.

Six people who worked in the Fisher network have also pleaded guilty, and four
testified against him at trial. The convictions of Fisher and Sinnott may mean
that prosecutors will charge other promoters who offered charitable tax
deductions to wealthy Americans. 

This article was provided by Bloomberg News.



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