Authorities in Demark are continuing to pursue an Arnold & Porter Kaye Scholer partner for tax fraud claims, most recently targeting him alone in a New York federal court lawsuit. The latest complaint was filed after Denmark this year obtained new documents about the partner’s role, the suit said.
Denmark’s customs and tax authority, represented by Hughes Hubbard & Reed, claims that Arnold & Porter partner Michael Ben-Jacob participated in a plot to defraud the country to the tune of about $260 million. According to press reports in recent years, the entire amount allegedly stolen was calculated at around $2 billion. According to claims laid out in court papers, the scheme, allegedly designed by Ben-Jacob, involved setting up “sham” U.S. pension plans to apply to Denmark’s customs and tax authority—known as SKAT—for refunds withheld from dividends.