Helio is heading to jail. If everyone paid their Taxes the way they should, we would all pay less in the end. That's the way it works. Simple!.
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Helio is heading to jail. If everyone paid their Taxes the way they should, we would all pay less in the end. That's the way it works. Simple!.
Are you a juror?
No, but he slept at a Holiday Inn last night.Quote:
Originally Posted by indycool
Gary
My 2¢:
7 promotions was set up in March 1999, and probably to do just what they said, try and secure sponsorship for Helio. If it was to avoid taxes, it was done to avoid taxes in Brazil. Keep in mind that in 1999, Helio was a pay driver driving for Hogan for basically nothing. Hogan was folding, and for all intents and purposes, Helio was out of a ride figuring to be nothing more than a footnote in CART history, an aspiring driver that tried, but didn't make it.
Then Greg Moore was killed.
For whatever reasons (sponsors deadlines etc, who knows?) Penske was under pressure to sign a driver quickly. Helio is avail., but what about a contract? Well, there's already one that's been agreed to in principle, prepared by Alan Miller for Greg Moore. A grieving Miller (for he was a Moore friend) prepares a contract by basically replacing Moore's name with Helio's, and substituting 7 Promotions for whatever the name of Greg Moore's licensing company was. They sign the contract.
Later, when there's more time to review, they realize that their situations are different. Greg Moore was not a US resident, Helio Castroneves is. Penske will now have to withold 30% for taxes. They ask Penske to delay payment on the licensing agreement, and come up with the Fintage arrangement in the Netherlands. The red flag is raised though and starts the investigation and leads us to where we are today.
My take, I don't see where Alan Miller would have any criminal intent. There's no upside for him, His name and reputation are too good to risk for whatever fees/commissions there are on a piddling $5 million dollar deal with an at the time unproven driver. If he was shady or crooked, we'd be hearing about his deals with Jeff Gordon or Jimmie Johnson, because you know those are being closely audited now, but we are not.
Now Helio, I am not sure there was a lot of forethought into avoiding taxes, or cheating the IRS, because he was that close to being out of a job, but I do believe that he would be tempted to be fast and loose with the rules, so some facts may change after the fact. (Look at the fact that some Brazilian sponsorships were kicked back at 80% to principals in Brazil.) It certainly looks shady. Of course, that would be a matter for Brazilian authorities. Then again, it could just be the way business is done in Brazil. I don't know Brazil, but my brother-in-law is Mexican, and part of doing business in a third-world country is the mordidas or as I like to say, unofficial taxes :p :. Does that go on in Brazil? If so, it could just be part of the culture Helio has grown up in, so he probably feels he hasn't done anything wrong.
Maybe he hasn't, my hope would be that he just owe back taxes and penaties and be able to pay them and resume his career. I guess we'll find out soon enough.
What I don't get is why the original contract just wasn't amended at a later date, when everyone's emotions about Greg Moore were a little more under contro. Contracts are amended every single day, quite legally. So, why wasn't this done, if this contract was so "defective" or "wrong"?
I liked Helio for a long time. Thought he was a little too slick at times, but a nice enough guy and a terrific racer. Well, I surely don't like, or respect, him how. Whether or not he's convicted, he's willingly walked on the grey side, and stepped over the black line. He has no respect for the country that has provided him with a very, very profitable living, and that's just not acceptable to me.
^+1^Quote:
Originally Posted by beachgirl
In cases like this,most of the time the defered money is so the teams can manage their salary cap situations.Quote:
Originally Posted by indycool
Good post.Quote:
Originally Posted by beachgirl
Sure is, DBell. What makes rthe difference? A-Rod could move to Monaco, too.
Yes, he could. But I would be willing to bet that 99.9% of those contracts are legal, and that there is a "boilerplate" IRS-approved deferred payment/compensation plan.Quote:
Originally Posted by indycool