Sun Myung Moon tax fraud and conspiracy case
Encyclopedia
In 1982, Sun Myung Moon
, the founder and leader of the Unification Church
, was imprisoned in the United States
after being found guilty by a jury of willfully filing false Federal income tax
returns and conspiracy
. Church members and supporters decried the prosecution as politically motivated, saying that the government made a federal case out of a small matter.
One of the defenses used at trial was that the funds were not really his, but were held in trust for members of the Japanese Unification Church. The United States church had only about 300 members at the time and had not yet incorporated. Moon's lawyer argued that, after using a small portion of those funds for his family's living expenses (and declaring the portion used on his income tax returns), Moon transferred the balance to the Unification Church of America after its incorporation. Holding church funds in a minister's name is a fairly commonplace action, particularly in small churches, and some church-related or other organizations filed amicus curiae
briefs in the case. Other organizations which filed a briefs on Moon's behalf included the National Council of Churches
, the National Black Catholic Clergy Caucus
, the Southern Christian Leadership Conference
, the National Conference of Black Mayors, and the National Bar Association
.
The court denied Moon's request to have a bench trial
. On appeal the United States Court of Appeals for the Second Circuit noted that Moon had argued that "insistence on a jury trial had the effect of punishing Moon for exercising his First Amendment right of free speech [in connection with some statements Moon had made that, it was feared, would prejudice a jury The punishment, so the argument runs, took the form of denying Moon a benefit, i.e., a nonjury trial, that he would otherwise have been entitled to." The Court of Appeals rejected this argument, stating: "The right to trial by jury is a benefit granted an accused... which a defendant has the power to waive.... The ability to waive the benefit does not import a right to claim its opposite." The Court noted that Rule 23(a) of the Federal Rules of Criminal Procedure "does not require that the Government articulate its reasons for demanding a jury trial at the time it refuses to consent to a defendant's proffered waiver [of a jury trial]."
, one of the foremost constitutional law experts and Supreme Court practitioners in the nation. Moon was given an 18-month sentence and a $15,000 fine. He served 13 months of the sentence at the Federal Correctional Institution, Danbury
and because of good behavior was released to a halfway house
before returning home. While serving his sentence he worked in the prison kitchen.
Takeru Kamiyama, Moon's aide and codefendent in the trial, was convicted of conspiracy, obstruction of justice and perjury and was sentenced to six months imprisonment which he served at Danbury along with Moon.
Kenneth Briggs, former religion editor of the New York Times, wrote:
Ed Farmer, a fellow inmate, said:
While Moon was in prison, Unification Church members launched a public-relations campaign. Booklets, letters and videotapes were mailed to approximately 300,000 Christian leaders in the United States. Many signed petitions protesting the government's case. Among the American Christian leaders who spoke out in defense of Moon were conservative Jerry Falwell
, head of Moral Majority
, and liberal Joseph Lowery
, head of the Southern Christian Leadership Conference
. Among the other people who protested the government's prosecution of Moon were Harvey Cox
, a Professor of Divinity at Harvard and Eugene McCarthy
, United States Senator and former Democratic Party presidential candidate.
Supporters regard the tax case as politically motivated. The prosecutors offered to drop the case in return that Moon surrendered his green card
, which he chose not to do. The official website of the American Unification Church, unification.org, says:
A United States Senate
subcommittee, chaired by Senator Orrin Hatch
, conducted its own investigation into Reverend Moon's tax case and published its findings in a report which concluded:
Jeremiah S. Gutman, president of the New York Civil Liberties Union, called the prosecution "an indefensible intrusion in private religious affairs."http://www.consortiumnews.com/1990s/consor25.html The New York Times and the Washington Post, which had both been critical of Moon, expressed concern about the government's prosecution of him and the consequences it might have for other religious groups.
(Poughkeepsie, New York
) suggested that Moon's conviction helped the Unification Church gain more acceptance in mainstream American society, since it showed that he was financially accountable to the government and the public. In 1991 Pulitzer-prize winning reporter Carlton Sherwood
wrote a book in Sun Myung Moon's defense, Inquisition : The Persecution and Prosecution of the Reverend Sun Myung Moon. Sherwood mentions opposition to Moon by the news media
, major Christian
denominations, and members of the government including Representative Donald Fraser
and Senator Bob Dole
. Sherwood characterizes this opposition as unfair, dishonest, and mean-spirited. He concludes that the federal prosecution of Moon on tax charges was unjust, citing the court's refusal to allow Moon's fellow defendant Takeru Kamiyama to provide his own translator, its refusal to allow the two men a bench trial rather than a jury trial, possible tainting of the jury, and the unusual length of Moon's sentence, 18 months, for a tax case. He also mentions that Moon could have avoided the trial if he had remained outside of the United States.
Sherwood sums up his views by writing:
Sun Myung Moon
Sun Myung Moon is the Korean founder and leader of the worldwide Unification Church. He is also the founder of many other organizations and projects...
, the founder and leader of the Unification Church
Unification Church
The Unification Church is a new religious movement founded by Korean religious leader Sun Myung Moon. In 1954, the Unification Church was formally and legally established in Seoul, South Korea, as The Holy Spirit Association for the Unification of World Christianity . In 1994, Moon gave the church...
, was imprisoned in the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
after being found guilty by a jury of willfully filing false Federal income tax
Income tax
An income tax is a tax levied on the income of individuals or businesses . Various income tax systems exist, with varying degrees of tax incidence. Income taxation can be progressive, proportional, or regressive. When the tax is levied on the income of companies, it is often called a corporate...
returns and conspiracy
Conspiracy (crime)
In the criminal law, a conspiracy is an agreement between two or more persons to break the law at some time in the future, and, in some cases, with at least one overt act in furtherance of that agreement...
. Church members and supporters decried the prosecution as politically motivated, saying that the government made a federal case out of a small matter.
Federal prosecution
On October 15, 1981 , Moon was indicted by a federal grand jury and charged with three counts of willfully filing false Federal income tax returns (for the years 1973, 1974, and 1975) under , and one count of conspiracy—under -- to file false income tax returns, to obstruct justice, to make false statements to government officials, and to make false statements to a grand jury. The prosecutors charged that Moon failed to declare as income (and pay taxes on) $112,000 in earned interest in a Chase Manhattan bank account, and on the receipt of $50,000 of corporate stock. The essence of the prosecution's case was that both the money and stock were his personal property. The church maintains that these were rather being held on behalf of the church by Rev. Moon. Indeed, Rev. Moon transferred the bulk of the Chase account funds to the fledgling church upon its incorporation. He did not declare this transfer as a deduction on his income tax.One of the defenses used at trial was that the funds were not really his, but were held in trust for members of the Japanese Unification Church. The United States church had only about 300 members at the time and had not yet incorporated. Moon's lawyer argued that, after using a small portion of those funds for his family's living expenses (and declaring the portion used on his income tax returns), Moon transferred the balance to the Unification Church of America after its incorporation. Holding church funds in a minister's name is a fairly commonplace action, particularly in small churches, and some church-related or other organizations filed amicus curiae
Amicus curiae
An amicus curiae is someone, not a party to a case, who volunteers to offer information to assist a court in deciding a matter before it...
briefs in the case. Other organizations which filed a briefs on Moon's behalf included the National Council of Churches
National Council of Churches
The National Council of the Churches of Christ in the USA is an ecumenical partnership of 37 Christian faith groups in the United States. Its member denominations, churches, conventions, and archdioceses include Mainline Protestant, Orthodox, African American, Evangelical, and historic peace...
, the National Black Catholic Clergy Caucus
National Black Catholic Clergy Caucus
The National Black Catholic Clergy Caucus is an organization made up of African-American clergy of the Roman Catholic Church. One of the goals of the NBCCC is to foster the gifts endemic in the black community for the benefit and betterment of the wider Catholic Church.-Notable Black clergy of the...
, the Southern Christian Leadership Conference
Southern Christian Leadership Conference
The Southern Christian Leadership Conference is an African-American civil rights organization. SCLC was closely associated with its first president, Dr. Martin Luther King, Jr...
, the National Conference of Black Mayors, and the National Bar Association
National Bar Association
The National Bar Association was established in 1925 as the "Negro Bar Association" after Gertrude Rush, George H. Woodson, S. Joe Brown, James B. Morris, and Charles P. Howard, Sr. were denied membership in the American Bar Association. It represents the interests of African-American attorneys in...
.
The court denied Moon's request to have a bench trial
Bench trial
A bench trial is a trial held before a judge sitting without a jury. The term is chiefly used in common law jurisdictions to describe exceptions from jury trial, as most other legal systems do not use juries to any great extent....
. On appeal the United States Court of Appeals for the Second Circuit noted that Moon had argued that "insistence on a jury trial had the effect of punishing Moon for exercising his First Amendment right of free speech [in connection with some statements Moon had made that, it was feared, would prejudice a jury The punishment, so the argument runs, took the form of denying Moon a benefit, i.e., a nonjury trial, that he would otherwise have been entitled to." The Court of Appeals rejected this argument, stating: "The right to trial by jury is a benefit granted an accused... which a defendant has the power to waive.... The ability to waive the benefit does not import a right to claim its opposite." The Court noted that Rule 23(a) of the Federal Rules of Criminal Procedure "does not require that the Government articulate its reasons for demanding a jury trial at the time it refuses to consent to a defendant's proffered waiver [of a jury trial]."
Sentence
Moon was convicted on all counts in 1982, and the convictions were upheld on appeal. He was represented in the appeal by Laurence TribeLaurence Tribe
Laurence Henry Tribe is a professor of constitutional law at Harvard Law School and the Carl M. Loeb University Professor at Harvard University. He also works with the firm Massey & Gail LLP on a variety of matters....
, one of the foremost constitutional law experts and Supreme Court practitioners in the nation. Moon was given an 18-month sentence and a $15,000 fine. He served 13 months of the sentence at the Federal Correctional Institution, Danbury
Federal Correctional Institution, Danbury
The Federal Correctional Institution Danbury is a federal prison in Danbury, Connecticut, north of downtown Danbury and from New York City...
and because of good behavior was released to a halfway house
Halfway house
The purpose of a halfway house, also called a recovery house or sober house, is generally to allow people to begin the process of reintegration with society, while still providing monitoring and support; this is generally believed to reduce the risk of recidivism or relapse when compared to a...
before returning home. While serving his sentence he worked in the prison kitchen.
Takeru Kamiyama, Moon's aide and codefendent in the trial, was convicted of conspiracy, obstruction of justice and perjury and was sentenced to six months imprisonment which he served at Danbury along with Moon.
Kenneth Briggs, former religion editor of the New York Times, wrote:
- Later, the group's founder, the Rev. Sun-Myung Moon, was jailed on questionable allegations, and he took his punishment in a Connecticut prison with exemplary forbearance.
Ed Farmer, a fellow inmate, said:
- The Rev. Moon has a very good sense of humor. It's hard for me to think of a person as being mean or brainwashing people with the sense of humor he has. He truly loves people. I mean, he likes being with them. He likes being kidded-he likes being teased. I never saw a mean act on his part. He never asked for special treatment. He mopped floors and cleaned tables, and he helped other people when he was finished with his job.http://72.14.253.104/search?q=cache:nMkiw1lMajQJ:www.tparents.org/Moon-Talks/sunmyungmoon84/OneOfUs.htm+%22Moon+was+one+of+us%22&hl=en&gl=us&ct=clnk&cd=2
While Moon was in prison, Unification Church members launched a public-relations campaign. Booklets, letters and videotapes were mailed to approximately 300,000 Christian leaders in the United States. Many signed petitions protesting the government's case. Among the American Christian leaders who spoke out in defense of Moon were conservative Jerry Falwell
Jerry Falwell
Jerry Lamon Falwell, Sr. was an evangelical fundamentalist Southern Baptist pastor, televangelist, and a conservative commentator from the United States. He was the founding pastor of the Thomas Road Baptist Church, a megachurch in Lynchburg, Virginia...
, head of Moral Majority
Moral Majority
The Moral Majority was a political organization of the United States which had an agenda of evangelical Christian-oriented political lobbying...
, and liberal Joseph Lowery
Joseph Lowery
Joseph Echols Lowery is a minister in the United Methodist Church and leader in the American civil rights movement. He later became the third president of the Southern Christian Leadership Conference, after Rev. Dr. Martin Luther King and his immediate successor, Rev. Dr...
, head of the Southern Christian Leadership Conference
Southern Christian Leadership Conference
The Southern Christian Leadership Conference is an African-American civil rights organization. SCLC was closely associated with its first president, Dr. Martin Luther King, Jr...
. Among the other people who protested the government's prosecution of Moon were Harvey Cox
Harvey Cox
Harvey Gallagher Cox, Jr. is one of the preeminent theologians in the United States and served as Hollis Research Professor of Divinity at the Harvard Divinity School, until his retirement in October 2009...
, a Professor of Divinity at Harvard and Eugene McCarthy
Eugene McCarthy
Eugene Joseph "Gene" McCarthy was an American politician, poet, and a long-time member of the United States Congress from Minnesota. He served in the U.S. House of Representatives from 1949 to 1959 and the U.S. Senate from 1959 to 1971.In the 1968 presidential election, McCarthy was the first...
, United States Senator and former Democratic Party presidential candidate.
Supporters regard the tax case as politically motivated. The prosecutors offered to drop the case in return that Moon surrendered his green card
United States Permanent Resident Card
United States lawful permanent residency refers to a person's immigration status: the person is authorized to live and work in the United States of America on a permanent basis....
, which he chose not to do. The official website of the American Unification Church, unification.org, says:
- When the indictment was handed down, Reverend Moon was in Korea. His lawyers recommended that he not come back to America, since there is no extradition treaty between the United States and the Republic of Korea. However, he did not follow their advice. He was, after all, a man of God, not a criminal fleeing the law. He immediately returned to the United States. He told his counsel: "I will not abandon my mission in America. That I will never do."http://www.unification.org/rev_mrs_moon.html?131,29#anchor9077827
A United States Senate
United States Senate
The United States Senate is the upper house of the bicameral legislature of the United States, and together with the United States House of Representatives comprises the United States Congress. The composition and powers of the Senate are established in Article One of the U.S. Constitution. Each...
subcommittee, chaired by Senator Orrin Hatch
Orrin Hatch
Orrin Grant Hatch is the senior United States Senator for Utah and is a member of the Republican Party. Hatch served as the chairman or ranking member of the Senate Judiciary Committee from 1993 to 2005...
, conducted its own investigation into Reverend Moon's tax case and published its findings in a report which concluded:
- We accused a newcomer to our shores of criminal and intentional wrongdoing for conduct commonly engaged in by a large percentage of our own religious leaders, namely, the holding of church funds in bank accounts in their own names. CatholicCatholicThe word catholic comes from the Greek phrase , meaning "on the whole," "according to the whole" or "in general", and is a combination of the Greek words meaning "about" and meaning "whole"...
priests do it. BaptistBaptistBaptists comprise a group of Christian denominations and churches that subscribe to a doctrine that baptism should be performed only for professing believers , and that it must be done by immersion...
ministers do it, and so did Sun Myung Moon.
- No matter how we view it, it remains a fact that we charged a non-English-speaking alien with criminal tax evasion on the first tax returns he filed in this country. It appears that we didn't give him a fair chance to understand our laws. We didn't seek a civil penalty as an initial means of redress. We didn't give him the benefit of any doubt. Rather, we took a novel theory of tax liability of less than $10,000 and turned it into a guilty verdict and eighteen months in a federal prison.
- I do feel strongly, after my subcommittee has carefully and objectively reviewed this case from both sides, that injustice rather than justice has been served. The Moon case sends a strong signal that if one's views are unpopular enough, this country will find a way not to tolerate, but to convict. I don't believe that you or I or anyone else, no matter how innocent, could realistically prevail against the combined forces of our Justice Department and judicial branch in a case such as Reverend Moon's.http://www.unification.org/rev_mrs_moon.html?131,29
Jeremiah S. Gutman, president of the New York Civil Liberties Union, called the prosecution "an indefensible intrusion in private religious affairs."http://www.consortiumnews.com/1990s/consor25.html The New York Times and the Washington Post, which had both been critical of Moon, expressed concern about the government's prosecution of him and the consequences it might have for other religious groups.
Afterwards
Michael Tori, a professor at Marist CollegeMarist College
Marist College is a private liberal arts college on the east bank of the Hudson River near Poughkeepsie, New York. The site was established in 1905 by Marist Brothers, and the college was chartered in 1929...
(Poughkeepsie, New York
Poughkeepsie (town), New York
Poughkeepsie is a town in Dutchess County, New York, United States. The population was 42,777 at the 2000 census. The name is derived from the native term, "Uppu-qui-ipis-in," which means "reed-covered hut by the water."...
) suggested that Moon's conviction helped the Unification Church gain more acceptance in mainstream American society, since it showed that he was financially accountable to the government and the public. In 1991 Pulitzer-prize winning reporter Carlton Sherwood
Carlton Sherwood
Carlton Sherwood is an American journalist who produced the anti-John Kerry film Stolen Honor. Sherwood served on two news teams which were responsible for the award of the Pulitzer Prize and the Peabody Award to their organizations....
wrote a book in Sun Myung Moon's defense, Inquisition : The Persecution and Prosecution of the Reverend Sun Myung Moon. Sherwood mentions opposition to Moon by the news media
News media
The news media are those elements of the mass media that focus on delivering news to the general public or a target public.These include print media , broadcast news , and more recently the Internet .-Etymology:A medium is a carrier of something...
, major Christian
Christian
A Christian is a person who adheres to Christianity, an Abrahamic, monotheistic religion based on the life and teachings of Jesus of Nazareth as recorded in the Canonical gospels and the letters of the New Testament...
denominations, and members of the government including Representative Donald Fraser
Donald M. Fraser
Donald MacKay Fraser is an American politician from Minneapolis, Minnesota.-Early life:Donald Fraser played a critical role in making human rights an important part of U.S. policy. Fraser was born on 20 February 1924 in Minneapolis, Minnesota, to Everett and Lois Fraser. His parents were émigrés...
and Senator Bob Dole
Bob Dole
Robert Joseph "Bob" Dole is an American attorney and politician. Dole represented Kansas in the United States Senate from 1969 to 1996, was Gerald Ford's Vice Presidential running mate in the 1976 presidential election, and was Senate Majority Leader from 1985 to 1987 and in 1995 and 1996...
. Sherwood characterizes this opposition as unfair, dishonest, and mean-spirited. He concludes that the federal prosecution of Moon on tax charges was unjust, citing the court's refusal to allow Moon's fellow defendant Takeru Kamiyama to provide his own translator, its refusal to allow the two men a bench trial rather than a jury trial, possible tainting of the jury, and the unusual length of Moon's sentence, 18 months, for a tax case. He also mentions that Moon could have avoided the trial if he had remained outside of the United States.
Sherwood sums up his views by writing: