Sacramento Attorney James Stewart Richards Pleads Guilty to Tax Evasion
James Stewart Richards, a Sacramento attorney, pleaded guilty to tax evasion after filing false documents with the IRS.
Court documents show between 1994 and 2003 Richards owed taxes totaling over $170,000, which he did not pay.
Richards, 69, was a member of both the California and Hawaii State Bar. The trouble started when he falsified an “Offer in Compromise” with the IRS that omitted bank accounts and six rental properties. After the IRS contacted one of his banks, he was notified that they were on to him and Richard started moving assets. He even purchased a yacht titled in a nominee’s name in order to hide the asset. His deception continued with false statements to both the IRS and bankruptcy court.
This investigative case was a collaboration between the Internal Revenue Service-Criminal Investigation and the US Attorneys Office. Assistant United States Attorneys Audrey B. Hemesath and Nirav Desai are handling the case.
Richards faces a maximum penalty of five years in prison and is scheduled for sentencing September 10, 2015. United States District Judge Morrison C. England will preside over the sentencing.