In the Langston plea deal, the government agrees not to pursue other criminal charges and agrees not to pursue forfeiture of assets.
My question is whether or not Mr. Langston may have a significant tax problem on his hands. If indeed he funnelled $10M to P.L. Blake has Mr. Scruggs asserted in his deposition in the Luckey Trial (p511 of the transcript), those dollars from Langston may be considered income without a legitimate expense on the backend. In round numbers, Langston may have a $4,000,000 federal and state tax liability on that transaction alone. If the expense was legitimate, and if PL Blake put that money to work illegitimately on the backend, he might have the same problem.
The bottom line is that I believe that the IRS and the State Tax Commission need to investigate the income treatment of these monies and what Langston and Blake did with the money that they constructively received. The same might go for Ed Peters as well on the monies that he has received from Langston.
Magnolia Tribune
