An unsealed indictment in the Western District of Texas charges a hedge‑fund manager who renounced U.S. citizenship with tax‑evasion and related offenses for allegedly hiding millions in foreign accounts tied to cryptocurrency investments. Prosecutors say the defendant failed to report substantial income across multiple tax years.

Federal prosecutors unsealed an indictment charging a hedge‑fund manager—reported to have renounced U.S. citizenship—with multiple counts related to tax evasion and related offenses after an investigation revealed alleged concealment of millions of dollars in income in foreign accounts tied to a crypto‑focused investment fund. According to the indictment, the defendant used overseas banking arrangements and nominee entities to hide income and evade reporting obligations, failing to disclose substantial gains across multiple tax years. The charging documents assert that the fund’s principal activity was investing in cryptocurrency and that income generated was moved through complex cross‑border structures to frustrate U.S. tax enforcement. The case illustrates evolving criminal tax enforcement at the intersection of digital assets and cross‑border asset concealment, and signals prosecutors’ willingness to pursue individuals who attempt to use expatriation and offshore accounts to avoid U.S. tax laws. The Department of Justice continues to emphasize coordination with tax authorities and international partners to identify and prosecute sophisticated tax‑evasion schemes tied to crypto investment vehicles.