Hunter Biden enters a plea of not guilty in federal tax case
Hunter Biden pleads not guilty to federal tax charges in California, denying allegations of failing to pay over $1 million in taxes The case explores the failed deal and ongoing Republican investigation
Hunter Biden entered a plea of not guilty on Thursday to federal charges in California. The charges stemmed from allegations of failing to pay over a million dollars in taxes. The son of the president appeared in a federal courthouse in Los Angeles for his initial court appearance, with the case being brought by special counsel David Weiss.
Hunter Biden faces nine charges related to a tax-avoidance scheme that prosecutors claim he carried out over a number of years while living a wealthy and sometimes scandalous lifestyle. His attorney contends that the charges are merely a politically motivated attack.
Republicans have concentrated on the president's son and his business ventures with Ukrainian and Chinese companies, alleging that Joe Biden has financially gained from Hunter Biden's activities, though these allegations have not been proven.
Hunter Biden's charges were the result of a lengthy investigation conducted by Weiss, the US attorney for Delaware, who was selected as special counsel by Attorney General Merrick Garland in August. Following the plea of not guilty entered by Hunter Biden, the judge in California promptly scheduled the trial date and established filing and hearing deadlines for the case.
"We have a tight schedule to keep," remarked federal Judge Mark Scarsi as he set the trial date for June 20, 2024. "We prefer to keep things moving."
Prosecutor Leo Wise informed the court that most of the discovery in the case had been provided and that some discovery from the Delaware case, where Hunter Biden is facing three gun-related charges, will also be utilized in the California case.
"It's a typical production," Wise commented, "arising from the same investigation."
Hunter Biden's lawyer, Abbe Lowell, raised no objections to the dates set by the judge but pointed out that dates for the Delaware case have not yet been determined. The next hearing for the California case is scheduled for late March.
Everything but his taxes
As per the charges filed in California, the location of Hunter Biden's residence, the son of the president is accused of participating in a four-year plan to evade paying a minimum of $1.4 million in federal taxes that he had assessed for the tax years 2016 to 2019.
The indictment alleges that the Defendant used the money on drugs, escorts, luxury hotels, rental properties, exotic cars, clothing, and other personal expenses instead of paying taxes. Prosecutors also claim that Hunter Biden improperly claimed some of these expenses, such as payments to escorts, as tax deductions. He has since settled with the IRS by paying back the taxes and penalties owed.
Hunter Biden's 2021 autobiography, referenced in the indictment, delves into his battle with addiction, specifically with crack cocaine, which aligns with the timeframe outlined in the indictment. The Justice Department has stated that if Hunter is found guilty on the tax charges, he could potentially be sentenced to up to 17 years in prison.
The deal that fell apart
In July, the stage was set for the presidents son to enter into an agreement with prosecutors on two federal tax charges that would also resolve a felony gun charge.
However, the deal that could have resolved Hunter Biden's ongoing legal issues collapsed during a Delaware hearing. The federal judge overseeing the case questioned both the prosecutors and defense lawyers about the details of the deal and each party's interpretation of its scope, as well as the extent to which it shielded Hunter Biden from potential future prosecution.
The prosecutors informed the judge that the deal did not prevent them from pursuing future charges against the president's son under foreign lobbying laws, but Hunter Biden's attorneys disagreed. "As far as I'm concerned, the plea agreement is null and void," Hunter Biden's attorney, Christopher Clark, told the judge after the significant disagreement over the scope of the deal was revealed.
Clark's efforts to salvage the deal during the hearing were in vain, as the judge refused to accept a revised agreement, citing concerns about the constitutionality of the deal struck with prosecutors to resolve a felony gun charge. Two months after the deal fell through, Hunter Biden was indicted on three gun charges in Delaware related to his alleged purchase of a firearm while using illegal drugs several years ago.
Hunter Biden's legal team has filed a motion to have the gun charges dismissed, asserting that the original agreement with prosecutors is still in effect. According to Lowell, the same motions filed in the Delaware case will also be submitted in the California tax case, along with an additional motion concerning the IRS agents involved in the investigation.
The judge pointed out that Hunter Biden's attorney may encounter challenges when filing certain motions due to the immunity that prosecutors have in disclosing information related to their investigative decisions. Lowell stated that they are planning to seek discovery pertaining to the prosecutors' change of stance after the failed plea deal with Hunter Biden for similar charges.
"In the summer of 2023, we reached a resolution in this case. However, things took a turn," Lowell stated, asserting that they had surpassed the immunity threshold.
Wise countered, expressing disbelief that the failed plea deal was "that uncommon."
"Pleas fall apart all the time," Wise said.
Republican investigation
Congressional Republicans may soon vote to hold Hunter Biden in contempt for failing to appear before the House Oversight and House Judiciary committees for a closed-door deposition. Hunter Biden's lawyers have indicated that he is willing to participate in a public hearing, and he made a surprise visit to Capitol Hill on Wednesday. This interruption led to discussions about holding him in contempt.
Republican members of the committee subpoenaed Hunter Biden as part of their investigation into the president. They criticized him for failing to appear for the deposition, with one lawmaker even suggesting he should be arrested and jailed. According to CNN, this move by Hunter Biden and his legal team reflects a bold legal strategy, as they anticipate difficulty for Republicans in Congress to get the Justice Department to pursue any contempt charges against him, especially since he already faces charges in two states.
Scarsi also asked the parties to look for case law dealing with the issue of Congressional interference, noting that he and his clerks could only find one case on the matter.
