Prosecutor: Long jail time fitting (for two ex-KPMG execs)
Twenty-four year sentences are urged for two ex-KPMG execs
convicted of selling illegal tax shelters.
By David Glovin, Bloomberg News
Friday, March 27, 2009
NEW YORK — Two
former KPMG executives convicted of tax fraud should receive
prison terms of as much as 24 years when they come before a
judge next week for sentencing, prosecutors said.
Robert Pfaff, a former partner, and John Larson, a former senior
manager, were convicted Dec. 17 of selling illegal shelters that
helped wealthy clients evade what prosecutors said were at least
$100 million in taxes. The two were acquitted of other
"The defendants have been convicted of engaging in willful
violations of the law on a truly massive scale," Assistant U.S.
Attorney John Hillebrecht wrote in a legal brief filed Thursday
in U.S. District Court.
Hillebrecht said Larson and Pfaff should each get from 19 years
and six months to 24 years and three months.
The third defendant convicted at the same time, lawyer Raymond
Ruble, a former partner at Brown & Wood LLP, should be sentenced
to 15 to 19 1/2 years, Hillebrecht said.
The verdict, which the defendants said they will appeal, came in
a case that narrowed significantly since 2005, when it began as
the largest tax-shelter prosecution in
The government initially accused 17 former KPMG executives,
including former deputy chairman Jeffrey Stein, and several
others of selling shelters that cost the Treasury $2 billion.