Posted May 24, 2011 11:45 pm CDT
After nearly two weeks of deliberations, two former partners of Jenkens & Gilchrist were convicted today by a federal jury in Manhattan on multiple counts in a tax-shelter case.
Paul Daugerdas was found guilty of 23 counts, and Donna Guerin of 12, Reuters reports. Both of the Illinois attorneys were convicted of conspiracy, tax evasion and mail fraud and could face up to 20 years in prison when they are sentenced in October.
They will remain free until then, Bloomberg reports.
Daugerdas also was convicted of three counts of personal tax evasion, reports the New York Law Journal, which described the case as a huge win for the government.
Two other nonlawyer defendants also were convicted and one was acquitted.
Daugerdas, who formerly headed the Chicago office of the now-defunct Jenkens firm, declined to comment as he left court. However, his lawyer said an appeal and post-trial motions are planned, Bloomberg reports.
The articles don’t include any comment from Guerin or her lawyer.
United States Attorney Preet Bharara said in a written statement that Daugerdas made $95 million and Guerin made $17 million from tax shelter scheme, which created $1 billion in phony tax losses.
ABAJournal.com: “Aggressive Tax Lawyer or Criminal? Jury to Decide re 2 Ex-Jenkens & Gilchrist Partners”
ABAJournal.com: “Lawyer Pleads Guilty, Faces Up to 10 Years in Tax Shelter Fraud Scheme”