Rodney King's Former Lawyer Sentenced to Prison for Tax Evasion

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Rodney King's Former Lawyer Sentenced to Prison for Tax Evasion
Tax EvasionMilton GrimesRodney King
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Milton Grimes, the attorney who represented Rodney King, was sentenced to 15 months in prison for tax evasion after pleading guilty to a federal charge. Grimes evaded paying taxes for nearly a decade by keeping his personal bank accounts low and channeling client earnings through his law firm's business accounts.

Milton Grimes , the lawyer who famously represented Rodney King , has been sentenced to 15 months in prison for tax evasion . Grimes pleaded guilty last year to one federal count of tax evasion , resolving allegations that he failed to pay taxes for nearly a decade. According to his plea agreement filed in L.A. federal court, he owes over $1.7 million to the IRS for the tax years 2010 and 2014.

Prosecutors stated that from 2014 through 2020, Grimes engaged in a scheme to avoid IRS collection efforts by keeping his personal bank account balances low. He deposited his earnings from representing clients into his law firm's business bank accounts, then routinely purchased cashier's checks and withdrew cash from those accounts. This practice allowed Grimes to avoid having his income deposited into his personal accounts, thereby circumventing IRS tax collection efforts.The IRS had attempted to collect the unpaid taxes from Grimes through various means, including levying his personal bank accounts. In response, Grimes withdrew approximately $16 million in funds from the business accounts in cashier's checks during those years, rather than paying the amount owed to the revenue service. To compound the issue, Grimes filed individual income tax returns for tax years 2018 through 2021 reporting that he owed about $700,000 in taxes. According to the indictment, Grimes failed to pay the taxes that he self-reported owing. U.S. District Judge Stanley Blumenfeld Jr. ordered Grimes to pay $7.23 million in restitution to the Internal Revenue Service and the California Franchise Tax Board

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Tax Evasion Milton Grimes Rodney King Lawyer Prison Sentence

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