How the Feds got Webmasters by the balls
 

Recently, the DOJ working with local prosecutors have been making high profile obscentiy cases agains retail store chains such as Goalie and John Coil's stores. In doing so, they examine every detail of the defendents income and expenses. If everything isn't 100% correct, they get charged with income tax fraud. If the defendent has any family members working on payroll (or off, hence, tax fraud) or if they are on any corporate documents including as officers, directors or partners, they are usually charged as well.

When the defendent's wife and children are looking at some serious jail time, the Feds will offer to make a deal:

You plead guilty to obscenity even if the content is perfectly legal to keep the family out of federal prison. The obscenity guilty plea will allow the Feds to invoke the Rico provisions that enable them to confiscate all your property, cash, and real estate effectively putting you out of business while lining their pockets. And you sit in prison for a stretch. I think the latest terms have been 5 to 7 years.

The end result: You are out of business, you are in prison, your family is destitue and without you or your support.

Just remember, when they get to your family, they got you by the balls.

http://www.usdoj.gov/tax/usaopress/2...inal_final.pdf

The main thing they got him on was not paying his taxes millions worth. They threw in the obscenity to add it to the pile. If webmasters fuck around and not pay their taxes, want to get paid on epassport for affiliate comissions they are asking to be a target. The more square you are on those things the more unatractive you make yourself to them.

How exactly does owning a website have anything to do with not paying your taxes and fraudulently putting money in your kids bank accounts?