Texas tech mogul Robert Brockman charged with record $2bn tax evasion scheme



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Texas tech mogul Robert Brockman charged with record $2bn tax evasion scheme

Robert T. Brockman, the Chief Executive of an automated software-manufacturer Reynolds & Reynolds Co., had been charged with tax evasion for an approximated earning of $2 billion over the course of two decades, which eventually makes him the largest tax fraud in the history of US IRS (Internal Revenue Service), the US Justice Department said in a statement on Thursday.

In point of fact, Mr. Brockman, 79, has been accused of multiple charges such as tax evasion, money laundering, wire fraud and failing to disclose assets which had been held overseas, however, as the case unfolds, it appears that a close associate of Robert Brockman, American billionaire businessmen Robert Smith, turns against him in a bid to avoid prosecution by becoming a witness on behalf of the Justice Department.

Brockman hid $2bn using off-shore companies in Bermuda and St. Kitts & Nevis

Aside from that, according to the indictment unsealed on Thursday, billionaire businessman Robert Smith had admitted earlier in the day that he had evaded a whopping upsum of $43 million in federal taxes between 2005 and 2014, while he had also agreed to cooperate with the IRS and the US Justice Department and had reached a settlement deal with the authorities.

Under the terms of the settlement deal, Mr. Smith would pay off $139 million in punitive measures and back taxes, however, he will not be prosecuted. Nonetheless, the charges against Mr.

Brockman unsealed in a Federal Court in the US city of San Francisco on Thursday had revealed that the current Reynolds & Reynolds Chief Executive had directed investments of tens of millions of dollars for Vista equity partners, while Brockman had been the sole investor in the first equity fund managed by Vista, a firm having been capitalized by Mr.

Brockman to conceal the gains he made through Vista’s funds and founded by Robert Smith. Aside from that, prosecutors said on Thursday that Mr. Brockman had also used a web of offshore accounts in Bermuda, St. Kitts and Nevis and Switzerland in a bid to hide incomes, though the indictment had yet to unveil the amount that Mr. Brockman had skipped by obscuring an upsum of $2 billion from the IRS.