** Mayor Sam Exclusive: IRS $1.5 Million Dollar Tax Levy Against John and Lani Shallman

** Blogger's Note: In a Mayor Sam Exclusive, we have obtain the following IRS document that highlights yet another tax issue related to the business practices of Campaign Consultant John Shallman and his wife Lani  In the document, its shows that between 2001-2009, the IRS estimated that the Shallmans owed $1.5 Million in unpaid taxes. We should note that John Shallman had used the services of convicted former Democratic Campaign Treasurer Kinde Durkee, to manage his finances. Whether Durkee was working for Shallman during the time period outlined in the Tax Levy is uncertain, but surly the extended time period of underpaid taxes as denoted in the document, was more than enough to establish that there was serious financial issues that needed correcting. We invite John and Lani Shallman to comment on this issue---Scott Johnson.

In March, 2012 LA Times Reporter David Zahniser, filed this report on the Shallman Durkee business relationship and past tax issues.

Shallman declined to be interviewed but provided correspondence from federal prosecutors identifying him as a victim. He also issued a statement discussing his experiences with Durkee, who worked with him on several campaigns.“With four kids and the demands of running a small business full time, it seemed like such a relief to have someone we thought we could trust handling all of our business affairs. Instead it turned into a nightmare,” he said.In 2010, a default notice was entered on Shallman’s Encino home, stating that he owed more than $333,000 on the property, records show. A notice of a  trustee’s sale was rescinded last year. By January, state and federal officials had filed liens stating that Shallman had $1.5 million in unpaid taxes.

....... and there is this inconvenient past campaign issue for Shallman and Mayoral Candidate Wendy Greuel.

The (Shallman) financial troubles could put him in an awkward spot. In 2002, 2003, and 2009, his clients used tax liens as a cudgel to attack their opponents. The most recent example was Greuel’s successful  2009 race for city controller, which portrayed opponent Nick Patsaouras as a tax scofflaw.In a 30-second television spot released in the final weeks of the campaign, the cartoonlike ad showed tax bills flying out of a mailbox and past Patsaouras’ face and into a trash can. “Nick Patsaouras for city controller? Try out of control,” the voiceover said. (** If this was Shallman, instead of Patsouras, then the tax bills would be flying out of the "landfill of political hypocrisy").

$1.5 Million Dollars IRS Tax Levy Document against John and Lani Shallman.

John Shallman blame this tax issue on his former "bookkeeper" and convicted democratic campaign money swindler Kinde Durkee.

Mayoral Candidate Wendy Greuel has fiscal issues pertaining to her campaign consultant.

Your thoughts ...................

Scott Johnson in CD 14