- 38 -
fraud referral was made, referring AMCOR to respondent’s CID for
a criminal fraud investigation. In early 1989, Special Agent
Watson accepted the fraud referral with respect to Mr. Schreiber,
who became the target of a criminal investigation by Special
Agent Watson. Subsequently, Special Agent Watson and personnel
from the Laguna Niguel Examination Division commenced a joint
investigation into AMCOR, its principals, and the AMCOR-sponsored
partnerships’ tax shelter activities. On August 29, 1989,
petitioner and Mr. Wright became subjects of Special Agent
Watson’s investigation.
Petitioner has failed to prove that, in the course of
respondent’s examination of the 1986 partnership return,
respondent intended to obtain or, indeed, obtained any
information for the purposes of any criminal investigation. See
supra sec. VII.C. (petitioner has failed to prove any details of
the examination of the 1986 partnership return).
D. Conclusion
Petitioner’s complaint with respect to respondent’s alleged
misuse of a civil tax examination as a guise to secure evidence
for use in a criminal tax investigation fails to establish any
ground on which to base any sanction of respondent in this case.
Page: Previous 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 NextLast modified: May 25, 2011