Following Joe Francis’ surrender and arrest for contempt of court earlier this week, a federal grand jury has charged the “Girls Gone Wild” founder with two counts of tax evasion. Francis allegedly deducted $20 million in false business expenses on corporate income tax returns filed in 2002 and 2003 by two of his companies.
Alleged improper deductions included $3.78 million that was counted as a business cost when it was actually spent to build a residence in Punta Mita, Mexico. In addition, $10.4 million in “false consulting services” was deducted, as was a $500,000 false insurance expense, according to the indictment.
The indictment also alleged that Francis used offshore bank accounts to conceal income earned in 2002 and 2003 through his companies. At the time, the indictment said, Francis was a legal resident of Incline Village, Nev.
Joe Francis could face 10 years in prison and $500,000 in fines. The article calls this the most serious legal trouble he has faced. Even more serious than that sex with a minor and filming a minor charge. It just proves you don’t want to mess with the government. I tried fighting Uncle Sam once. He kicked me in the groin and took my lunch money. Later, he told me how sorry he was and touched my no-no spot. Screw you Uncle Sam.