Ex-BigLaw partner hit with prison time, $4.2M restitution order in tax case
A former partner at Husch Blackwell and Dykema Gossett has been sentenced to 16 months in federal prison after pleading guilty to two misdemeanors for failing to pay $2.46 million in taxes. (Image from Shutterstock)
A former partner at Husch Blackwell and Dykema Gossett has been sentenced to 16 months in federal prison after pleading guilty to two misdemeanors for failing to pay $2.46 million in taxes.
Eric E. Lenzen, 44, was sentenced to prison Tuesday and ordered to pay total restitution of $4.2 million to the Internal Revenue Service, according to an Oct. 16 judgment. The amount represents unpaid taxes plus penalties and interest.
U.S. Magistrate Judge William E. Duffin of the Eastern District of Wisconsin said during sentencing Lenzen’s conduct was “exceptionally aggravated,” and he tried to “thwart the government’s attempts to recover” the money, according to an Oct. 16 press release from the U.S. Department of Justice.
Reuters, Law360 and Bloomberg Law have coverage.
An Oct. 8 government sentencing memorandum said Lenzen was “a high-powered, highly compensated attorney” who “made a choice not to pay his taxes.” Despite being given years to pay up, Lenzen “made a multitude of false representations and took significant actions to avoid paying his taxes,” the memo said.
While refusing to pay his taxes, Lenzen spent nearly $1.5 million on a “lavish lifestyle” that included private planes, jewelry, home remodeling and golf club memberships, the government said. While making promises to pay, Lenzen transferred hundreds of thousands of dollars between accounts or to third parties, the memo asserted.
Lenzen’s crimes “were motivated by greed, not need,” the memo said.