Press release:
https://www.justice.gov/archive/tax/txdv05362.htm
Order:
https://www.justice.gov/archive/tax/Stoll_Perm_Inj.pdf
Stoll apparently did not comply with the injunction, and an order of contempt was sought. In response, Stoll and Co did the following:
On April 21, 2006, given that Stoll had not turned over customer information as required by the permanent injunction, an order of contempt was granted, imposing a fine of $1,000/day, rising to $5,000/day in the event that non-compliance went beyond 10 days. WDWA Dckt No 05-cv-00262, at Document 29.Defendants have filed a document entitled “Criminal Complaint, Affidavit and Brief on Information,” which this Court has construed as a response the Court’s Order to Show Cause. (Dkt. #28). That document names nineteen people as “defendants,” including the undersigned District Judge, and alleges that those named are conspiring to deprive defendant Glen Stoll’s “rights under color of law.” Attached as exhibits to the “Criminal Complaint,” are documents that have previously been filed in this case. (See Dkt. #11). However, defendants completely fail to address this Court’s Order to Show Cause, or present any response to why they should not be held in contempt for their failure to comply with this Court’s previous Order for Default Judgment and Permanent Injunction.
Thereafter, the government filed a "Notice of Noncompliance," requesting that the court enter an order of civil contempt against Stoll, and incarcerate Stoll until the contempt was purged. WDWA Dckt No 05-cv-00262, at Document 34. There are no further docket entries in the injunction case, and it does not appear that Stoll was ever incarcerated.
Earlier this year, the government indicted Stoll for assisting in the tax and bank fraud of one of his Portland-area clients
https://www.justice.gov/usao-or/pr/wash ... -disguised
Department of Justice
U.S. Attorney’s Office
District of Oregon
FOR IMMEDIATE RELEASE
Friday, April 19, 2019
Washington State Man Accused of Marketing Fraudulent Tax Avoidance Schemes Disguised as Churches, Other Entities
PORTLAND, Ore.—A federal grand jury in Portland has returned a seven-count indictment charging Glen Stoll, 68, a resident of Washington State, with multiple crimes stemming from a scheme whereby he organized, promoted, and marketed fraudulent tax avoidance strategies. Stoll made his initial appearance in the District of Oregon today before U.S. Magistrate Judge Stacie F. Beckerman.
Stoll is charged with one count each of conspiracy to defraud the U.S., conspiracy to commit bank fraud, bank fraud, and making a false statement on a loan application and three counts of tax evasion.
As alleged in the indictment, Stoll served as the director of an entity called Remedies at Law. Stoll used Remedies at Law and other related entities, including the Oregon-based Embassy of Heaven, to promote schemes designed to assist people in evading the assessment and collection of federal income taxes. Stoll advised clients that they could avoid paying taxes by creating a church or ministry and placing their assets and income in so-called ministerial trusts. Stoll referred to himself as a “general counsel” with legal experience when, in reality, he held no license to practice law.
Beginning in September 2007, Stoll assisted former Oregon couple Karl and Laurie Brady with the creation of two “ministerial trusts” called Progeny Services and Progeny Foundation. At Stoll’s direction, Karl Brady opened bank accounts for the nominee entities, issued checks from his business payable to Progeny Services or Progeny Foundation, and deposited the checks into the nominee accounts. This enabled the Brady’s to avoid the assessment of federal income tax while maintaining full access to the money for personal and family expenses.
From 2008 through 2015, at Stoll’s direction, Karl Brady filed no personal income tax returns despite receiving more than $3 million and ignored repeated letters from the IRS notifying him of his failure to file. This scheme allowed Brady to evade in excess of $1.2 million dollars in income taxes.
Separately, in 2015, Stoll assisted Brady in defrauding two of Brady’s mortgage lenders. Stoll assisted Brady in submitting a false short sale application and other fraudulent documents to avoid repayment on a vacation rental in Hawaii. At Stoll’s direction, Brady’s short sale application included a letter claiming he and his wife were under the complete care of a church ministry, had no income, no assets, and were completely dependent on a church. Relying on this false information, the lenders authorized the short sale and suffered combines losses of approximately $120,000.
This case was investigated by IRS Criminal Investigation and is being prosecuted by Donna Brecker Maddux, Assistant U.S. Attorney for the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Component(s): USAO - Oregon
Updated April 19, 2019