Financial Misconduct: Hidden Assets, Fraudulent Transfers, Tax Evasion and More

Agenda / Content Covered

All times are shown in Eastern time.

1. Accounting 101
   10:00 - 10:45, H. Brock Showalter
   1. Key Terms, Lingo and Definitions
   2. Accounting Principles You Must Know
   3. Tax vs. Financial Accounting (GAAP)
2. Hidden Assets and Money Laundering
   10:45 - 11:30, Michelle F. Schwerin
   1. Asset Hiding vs. Money Laundering
   2. Methods for Hiding or Embezzling Assets and Red Flags to Watch for
   3. Understanding the Tracing Process
   4. Financial Records Checklist and How to Obtain Access
   5. Information Sources, Public Records and Techniques for Locating Assets
   6. Uncovering Hidden Financial Accounts
   7. Businesses Used to Conceal Assets or Liabilities
   8. Asset Transfers and Overlooked or Undervalued Asset Conversions
   9. Funds Hidden in Plain Sight - Disguised Assets
3. Tax Returns and Financial Statements: Reading Between the Lines
   11:45 - 12:45, Marcus B. Hodge
   1. Detecting Financial Misconduct Before Digging Into the Books
   2. Analyzing Financial Statements (Accountants' Report, Balance Sheets, Income and Cash Flow Statements)
   3. Common Manipulative Tactics on Financial Statements
   4. Reading Personal Tax Returns (Form 1040)
   5. Form 1099
   6. Analyzing Business Tax Returns (Schedule C, Form 1065, Form 1120 & Schedule 1125-E, Form 1120S & Schedule K-1)
   7. Tax-Exempt Organizations (Forms 990)
4. Fraudulent Asset Transfers/Conveyances: What You Might Not Realize
   1:15 - 2:00, Corey A. Noland
   1. Real-Life Application of Federal and State Laws
   2. Case Law
   3. Legal Asset Protection Strategies vs. Fraudulent Transfers
   4. Preventing Fraudulent Transfers
   5. Remedies for Fraudulent Transfers
   6. Veil Piercing, Alter Ego and Successor Liability
   7. Defenses in Fraudulent Transfer Cases
   8. Attorney and Accountant Liability
5. Tax Penalties, Fraud, IRS Audits and Investigations
   2:00 - 3:00, James Kutten
   1. Charges, Penalties and Statute of Limitations
   2. Criminal vs. Civil Tax Fraud Offenses
   3. When Does Negligence Become Fraud?
   4. IRS Audits and Defense Options
   5. The Innocent Spouse Defense
   6. Working with Tax Authorities and Negotiating Settlements
   7. When Audits Turn Criminal: Investigation Process, Rights and Defense Options
   8. Voluntary Disclosures and Whistleblowing to the IRS and Other Authorities
6. Strategic Tax Planning vs. Avoidance vs. Evasion: Drawing a Line
   3:15 - 4:00, Laura E. Krebs Al-Shathir
   1. Tax Planning and Minimization vs. Evasion
   2. Legal Tax Minimization Strategies and Loopholes
   3. Underreporting Income
   4. Falsely Padding Deductions on Returns
   5. Running Personal Expenses Through a Business
   6. Excessive Claims for Business Tax Credits
   7. Unreasonable Owner Compensation
   8. Related Party Real Estate Rent
   9. Fake Charities
   10. Offshore Tax Avoidance
   11. Abusive Tax Shelters
   12. Frivolous Tax Arguments
7. Ethics and Financial Issues: Balancing Dueling Obligations
   4:00 - 5:00, Justin K. Gelfand
   1. Loyalty and Confidentiality vs. Duty of Fairness and Reporting Obligations
   2. Misconduct and Dishonesty
   3. How Diligent Must You be Regarding the Statements and Declarations of Clients?
   4. How to Avoid Becoming an Unwitting Accomplice to Fraud
   5. Competency in Financial Matters
   6. Conflicts of Interest
   7. Attorney Fees
   8. Handling Client Finances and Trust Accounts

Accreditation Details:

JUSTIN K. GELFAND is a partner in the law firm of Margulis Gelfand, LLC where he focuses his practice on criminal defense, white collar matters, internal investigations, tax controversy, and sophisticated civil litigation. His clients have included elected officials, attorneys, current and former law enforcement officers, former prosecutors, doctors, large and small businesses, a university, religious leaders, and hardworking individuals from all walks of life. Mr. Gelfand is a former federal prosecutor with extensive experience in high stakes litigation. He joined the U.S. Department of Justice in 2009 through the Attorney General's Honors Program and was assigned to the Tax Division's Southern Criminal Enforcement Section. As a prosecutor, he first-chaired 13 federal fraud jury trials and numerous federal bench trials - winning all of them. Mr. Gelfand spearheaded more than 50 financial fraud grand jury investigations and represented the United States before federal courts of appeal with a 100% success rate. He routinely presents continuing education to attorneys and accountants throughout the country on cutting-edge legal issues and he has served as an adjunct professor of law at Washington University in St. Louis. Mr. Gelfand earned his B.A. degree, with high honors, from Brandeis University and his J.D. degree from Washington University School of Law where he graduated in the top 5% of his class and was inducted into the Order of the Coif.

MARCUS B. HODGE, CPA/ABV/CFF, MBA, CFE, is the owner of ASC Forensic, LLC, with offices in St. Louis, Missouri and Spartanburg, South Carolina. He founded ASC Forensic in 2009 to provide forensic accounting, business valuation, and business intelligence services throughout the United States. Mr. Hodge is a certified public accountant licensed in South Carolina and Missouri, accredited in business valuation by the American Institute of Certified Public Accountants, certified in financial forensics by the American Institute of Certified Public Accountants, and certified by the Association of Certified Fraud Examiners as a certified fraud examiner. He earned his B.A. degree from Clemson University and his M.B.A. degree in accounting from Coastal Carolina University. Mr. Hodge is a member of the American Institute of Certified Public Accountants and the Association of Certified Fraud Examiners.

LAURA E. KREBS AL-SHATHIR is a shareholder with the law firm of Capes, Sokol, Goodman & Sarachan, P.C., where she serves as tax and corporate counsel to businesses in a variety of industries. Her clients range from multi-national corporations to small businesses, and include limited liability companies, S corporations, and non-profits. Ms. Al-Shathir provides business planning advice in a wide variety of corporate transactions, focusing on the associated federal income tax issues. She negotiates, structures, and assists with the implementation of a variety of commercial transactions, including mergers, acquisitions, and divestitures; tax-free reorganizations; debt restructurings; financing transactions; tax-deferred like-kind exchanges; various types of contracts and agreements; and executive compensation plans. As special tax counsel, Ms. Al-Shathir represents clients in income tax and in sales and use tax controversies throughout the United States. She is a vice chair of the S Corporation Committee of the American Bar Association (ABA) Tax Section and is a frequent speaker at national ABA Tax Section conferences, speaking on changes in tax law, choice of entity, and a variety of topics pertinent to S Corporations. She is an adjunct professor of law at the University of Missouri-Columbia School of Law, teaching "Basic Business Principles for Lawyers". In 2018, she was admitted as a fellow in the American College of Tax Counsel. Ms. Al-Shathir earned her Bachelor of Journalism degree from the University of Missouri-Columbia School of Journalism and her J.D. degree, certificate in tax, from the University of Missouri-Columbia School of Law. She is the past-chair of the Bar Association of Metropolitan St. Louis (BAMSL) Tax Section and she is the current chair of the BAMSL Audit Committee.

JAMES KUTTEN is a sole practitioner with over 38 years' experience as a tax attorney. He spent 30 years as a senior attorney with the Office of Chief Counsel with the Internal Revenue Service. He routinely represented the commissioner of Internal Revenue Service before the United States Tax Court including civil fraud penalties, indirect method of proof income analysis, federal estate tax issues, and tax shelters. Mr. Kutten was the recipient of several awards issued by the Office of Chief Counsel Internal Revenue Service for dedicated service and superior legal advice. He has spent the last 8 years of his practice helping clients solve their tax problems. He received his B.S. degree from Tulane University, his J.D. degree from Saint Louis University School of Law and his LL.M. degree in taxation from Washington University School of Law. Mr. Kutten is an adjunct professor at Washington University School of Law LL.M. program (graduate tax law advanced degree) teaching federal tax procedure.

COREY A. NOLAND is an associate attorney with Arnold & Smith, PLLC, where he focuses his practice on family law cases: divorce, child custody, child support, alimony, equitable distribution, alienation of affection, criminal conversation, and other matrimonial law matters. Mr. Noland primarily handles cases in Mecklenburg County, Union County, Cabarrus County, Gaston County, and Iredell County. Mr. Noland is dedicated to guiding clients through the difficult process of domestic litigation. He also handles landlord tenant cases in the greater Charlotte area. He has significant experience counseling clients on lease issues, as well as the eviction process. Mr. Noland has litigation experience in both district and superior court. After graduating summa cum laude from the University of North Carolina at Charlotte in three years with degrees in political science and history, Mr. Noland earned his J.D. degree, with honors, from the University of North Carolina School of Law.

MICHELLE F. SCHWERIN is a shareholder with Capes, Sokol, Goodman & Sarachan, P.C. An attorney-CPA, Ms. Schwerin's credentials and experience allow her to navigate the intricate world of civil tax examinations, appeals, and litigation, as well as criminal tax investigations and defense. She represents individuals and businesses in a variety of tax matters, including tax liability disputes, innocent spouse claims, claims for penalty abatement, refund claims and litigation, preparer and promoter penalty investigations, and tax collection matters. Ms. Schwerin also represents clients in all stages of federal and state securities investigations and litigation. She guides individual and business clients who come under investigation by the Securities Exchange Commission for issues such as public reporting, disclosures and insider trading. Ms. Schwerin is an adjunct professor at Webster University, where she teaches in the Masters of Forensic Accounting program at the Walker School of Business & Technology. She is licensed to practice in Missouri and Illinois. She earned her B.S.M. degree in finance and accounting, with honors, from Tulane University and her J.D. degree, with honors, from Washington University. Ms. Schwerin is a member of the Bar Association of Metropolitan St. Louis, American Bar Association (member, Section of Taxation) and the Missouri Society of CPAs (Chair, Saint Louis Chapter, 2020-2021).

H. BROCK SHOWALTER is the founding member of Showalter Law Group, P.A., where his main areas of practice are criminal defense, personal injury, business and estate planning. He is a member of the Arkansas Trial Lawyers Association, Washington County Bar Association, Arkansas Bar Association, and the Arkansas Association of Criminal Defense Lawyers. Mr. Showalter earned his B.A. degree from Hendrix College, his M.B.A. degree from Webster University, and his J.D. and L.L.M. degrees from the University of Arkansas School of Law.