Award-Winning Yacht Broker Accused of Money Laundering
Yacht Broker Acquitted of Money Laundering
A successful yacht broker became the target of an IRS undercover, taped sting operation after a yacht from the company was used in international drug smuggling and another was purchased with cash that skirted the federal cash reporting requirements. An agent engaged the Ft. Lauderdale-based broker at the Annapolis Boat Show purporting to be the accountant of a successful businessman. The negotiations between our client and the supposed accountant and businessman lasted several months and involved videotaped meetings and sea trials and recorded phone conversations.
The undercover agents’ roles gradually went from successful business people to international drug smugglers. They ultimately let the broker know what the boat was going to be used for and why they needed to structure the cash payments the way they did. The undercover agents actually purchased the boat as part of the sting.
The broker was indicted and hired a former assistant U.S. attorney to defend him. That attorney reviewed the highlight video put together by the agents and informed his client he had no alternative but to plead guilty. The client did not want to plead guilty so he fired his attorney and decided to go to trial. When we took over the representation we reviewed the seemingly incriminating tapes and realized there were several recorded calls and meetings that were missing. We discovered audio recordings after long lapses of silence where the agents believed the recording devices were turned off discussing sensitive matters. After three weeks of trial our client was acquitted of all counts.