Wednesday, April 3, 1996 | 11:59 a.m.
Convicted sports fixer Richard Perry has been accused of failing to pay $208,000 in taxes while taking five world cruises and buying an upscale Las Vegas home.
A federal indictment returned Tuesday charges Perry and his ex-wife with attempted tax evasion in 1989 and 1990, and Perry in 1991. It also accuses Perry's father, brother and two others of helping the couple allegedly break the law.
Perry, whose whereabouts are unknown, gained notoriety after he was photographed sharing a hot tub with three UNLV basketball players. The photo contributed to the controversial departure of coach Jerry Tarkanian.
The convicted sports fixer faces up to 20 years in prison if found guilty of all charges, Assistant U.S. Attorney Michael Barr said. A warrant has been issued for his arrest.
Perry was convicted of fixing harness races in New York in 1974 and conspiring to fix a 1984 basketball game.
Perry's former attorney, David Chesnoff, did not return a telephone call Tuesday. Chesnoff was barred in 1994 from representing Perry during the grand jury investigation because of a potential conflict of interest.
The government claims it has evidence that Perry made more than $655,000 by operating a gambling business where he would employ a "crew" of people to place bets at race and sports books in Nevada and elsewhere.
If the bet was a winner, the crew member allegedly collected the money and turned it over to Perry or his managerial assistant, Michael Epstein.
The indictment alleges that Perry, ex-wife Joanne Perry Epstein, father Harry and brother Alan, and Michael Epstein and his ex-wife, Carol Epstein, conspired to hide the money Perry made as a professional gambler.
The government contends the money was held in various financial accounts and was used to buy an Acura Legend in 1987, a BMW convertible in 1988 and a Las Vegas home in 1989. The home, which later was sold, was located in The Lakes in western Las Vegas.
Perry also allegedly used the money to travel to foreign countries, among them Italy, Greece, Great Britain and Netherlands Antilles.
The Epsteins and Harry and Alan Perry have been ordered to appear in federal court April 12 to enter pleas, the U.S. attorney's office said.
The Internal Revenue Service has been investigating Perry for four years. During the federal grand jury probe, Perry's attorney, Chesnoff, was removed from the case because of a potential conflict of interest.
Prosecutors argued that the fees Perry paid Chesnoff could incriminate the attorney as well as his client. In 1995, the 9th U.S. Circuit Court of Appeals upheld the decision to bar Chesnoff and attorney Oscar Goodman from representing him during the investigation.
