Lisa Simpson
Oct 6,2009
In: Finance, Foreclosures

Millions Stashed Away in Swiss Bank Creates Sensation

swiss-banking

An individual from New Jersey admitted his guilt to have hidden $5 million from IRS in Swiss Bank. He is the affluent owner of a firm dealing with building materials. He pleaded his guilt for attempting to avoid taxes. He is the fifth suspect to have been caught in the wide net spread out by the Justice Department to sniff out those who have hidden dollars in Switzerland banks.

Juergen Homann in his mid sixties admitted in a hearing of a federal court in Newark to have hidden over $5 million due to the IRS. He failed to file a tax form (special) in 2007 disclosing this account in UBS. He also admitted that he had failed to declare the account and the income received in his tax return of 2007.

Homann has a dual citizenship by virtue of holding two passports from USA and Germany. He pleaded his guilt before Judge Stanley Chesler of US District Court. He consented to work together with the investigation team regarding this secret account in Swiss bank. There are financial advisers and advocates who arrange for these deals. Homann’s cooperation would stir up a hornet’s nest and stir out many names.

Homann’s legal representatives Cynthia Eddy and Robert Ridge failed to respond immediately to requests for comments. Homann informed the judge that his firm supplied minerals as well as chemicals mainly to China. This was said by Gregory Reinert who was speaking on behalf of acting UA attorney Ralph Marra in New Jersey.

As per the court filings, Homann initially opened his UBS account in 1980 in the name of a foundation Liechtenstein. Afterwards he shifted the account to ELN Finance Ltd – it being a stooge corporation in Hong Kong that was holding nearly $6.1 million in assets during the period stretching from 2001 to the end of 2008.

The prosecutors are charging that Homann has hidden more than $5 million with the assistance of a Swiss banker whose name has not been disclosed. Swiss attorney Matthias Rickenbach was indicted last August for trying to cheat the IRS by helping the clients in America to evade due taxes.

In a similar instance in August, Jeffery Chernick a prosperous businessman from New York admitted his guilt to have evaded taxes in similar fashion. He was also a client of Rickenbach.

If indicted Homann could face a maximum prison term of 5 years and a minimum fine of $250,000. The hearing is scheduled for hearing on 6th January.

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