Poker Writer
Poker player and one-time United States Supreme Court attorney Tom Goldstein was found guilty of tax evasion and financial crimes by a Maryland jury on Wednesday.
The verdict completes a shocking fall for the once-prominent attorney, who worked his way to the Supreme Court while publishing a popular blog. Goldstein was found guilty on 12 of the 16 counts he faced related to tax evasion and falsifying tax returns over his gambling winnings. He was acquitted on some charges of aiding the preparation of false tax returns.
The case was scheduled to conclude last week, but the jury broke for the weekend without reaching a verdict, postponing the decision to this week. The 12-person jury out of the Washington suburb of Greenbelt, Maryland, reached the verdict on the third day of deliberations after seven weeks of the high-profile trial.
Goldstein’s Mistake Defense Rejected
The point of contention for the court was whether Goldstein willfully violated federal tax laws or not.
Goldstein had pleaded not guilty. According to reports, prosecutors offered a deal, but Goldstein was adamant he wouldn’t accept anything that involved prison time. He blamed the tax concealment on his accountants, who he claimed were responsible for any errors. His line of defense was unintentional tax mistakes rather than willfull fraud.
Goldtsein testified in his own defense:
The mistakes, responsibility for those tax years is mine. I may end up continuing to pay for this for a long time. That’s my responsibility. It’s just very different from whether I committed a crime.
Prosecutors, however, framed Goldstein as a sharp individual well aware of the deceit involved with tax fraud. They painted the picture of Goldstein’s brazen spending on poker, cars, travel, watches, and women, all while defrauding the IRS.
Goldstein’s mortgage fraud conviction could put him behind bars for up to 30 years. Various other charges carry penalties of between one and five years. Prosecutors have not said what penalty they’ll seek. Ultimately, a judge will decide his fate. Sentencing has not yet been scheduled.
“Goldstein chose fraud and deceit over honesty and tried to cheat the American taxpayer while living a lavish lifestyle. He gambled that he wouldn’t get caught – and that gamble did not pay off,” U.S. Attorney Kelly O. Hayes said. “Our office, along with our law-enforcement partners, is committed to holding those accountable who break the law – no matter who they are.”
Goldstein’s Fall Included Self-Described Losses of Tens of Millions in Poker
The 56-year-old Goldstein argued more than 40 cases in front of the Supreme Court and was a star in the Washington legal community. His legal issues came as a shock to many, tarnishing his once-sterling reputation.
Reports said Goldstein concealed as much as $26 million in poker winnings, though Goldstein himself said he lost approximately $10-$15 million playing poker. According to Goldstein, most of his big wins came in matches in which he sold significant action. Meanwhile, he played with more of himself during his biggest losing matches. Goldstein primarily played private heads-up matches against rich businessmen.
However, the now-disgraced lawyer did appear on a high-stakes livestreamed cash game at Hustler. According to one tracking site, he lost approximately $2.7 million in the $1,000-$2,000 ($2,000 ante) game.
