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More money than brains

Michael_

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The following video was a youtube recommendation.

This guy had so much luck being at the right place at the right time and was then stupid enough
to report money as stolen that he didn't pay taxes for. Unbelievably...

 
Shame really. He was so young he had not found his place in the world yet. Tried to buy his place and never learned those early lessons, never found any true friends sounds like. Most of his "stupid" behavior was driven by spending ten years as a teenager basically.
If this had all happened when he was 35 none of this would have happened I am sure. I do think it is telling of what happens developmentally with kids that grow up in multimillionaire homes. Their reality never meshes with the blue collar/majority world.

But the bigger take away is the lengths the letter agencies will go to when big money is involved. What did this kid really do, really? It all comes back to making sure only the correct people have that kind of money. You can't just have some random person become a billionaire. I can't imagine the psych damage and manipulation they did to that kid in custody. And I am sure they all patted themselves on the back and cheered for a job well done, had a party, got promotions, for taking this kids money and slapping him with tax debt for the rest of his life for good measure, while forcing him to make a public statement in court about how sorry he was for being rich.
 
Shame really. He was so young he had not found his place in the world yet. Tried to buy his place and never learned those early lessons, never found any true friends sounds like. Most of his "stupid" behavior was driven by spending ten years as a teenager basically.
If this had all happened when he was 35 none of this would have happened I am sure. I do think it is telling of what happens developmentally with kids that grow up in multimillionaire homes. Their reality never meshes with the blue collar/majority world.

But the bigger take away is the lengths the letter agencies will go to when big money is involved. What did this kid really do, really? It all comes back to making sure only the correct people have that kind of money. You can't just have some random person become a billionaire. I can't imagine the psych damage and manipulation they did to that kid in custody. And I am sure they all patted themselves on the back and cheered for a job well done, had a party, got promotions, for taking this kids money and slapping him with tax debt for the rest of his life for good measure, while forcing him to make a public statement in court about how sorry he was for being rich.

I agree with all that but he also made it real easy for them by never paying taxes for anything
and a good amount of the money coming from criminal activities.

Well if he
- Did not report these "peanuts" stolen (His most major mistake)
- Did away with the booze and drugs
- Did not brag on the internet
- used a vpn amongst a few other measures
- Hired some money laundring experts (Incl. setup some income producing company(s) that pay(s) a bunch of taxes)
- Slowly shifted his money into legal operations

He would probably be still around.
 
What really shocked me was

- His parents are divorced and broke
- He never had a job / never worked

yet

- He bought his house with cash
- He withdraw 700k cash from his bank account
- He spent a lot for his hookers and fake friends such as showing off in general
- He never payed any taxes

So did nobody from his bank (especially since there have been no outgoing tax payments) found this to be suspicious?
I guess in the united states banks do not have to report such "suspicious stuff" to the authorities then?

I mean yeah he told them he was hitting it big with bitcoin and the money coming into his bank account
from a bitcoin exchange did support that. But again HE WAS NEVER PAYING ANY TAXES FOR ANYTHING!
 
What really shocked me was

- His parents are divorced and broke
- He never had a job / never worked

yet

- He bought his house with cash
- He withdraw 700k cash from his bank account
- He spent a lot for his hookers and fake friends such as showing off in general
- He never payed any taxes

So did nobody from his bank (especially since there have been no outgoing tax payments) found this to be suspicious?
I guess in the united states banks do not have to report such "suspicious stuff" to the authorities then?

I mean yeah he told them he was hitting it big with bitcoin and the money coming into his bank account
from a bitcoin exchange did support that. But again HE WAS NEVER PAYING ANY TAXES FOR ANYTHING!
The video does say that he paid all his taxes on sold coins, check out the comment at 14:20.
 
The video does say that he paid all his taxes on sold coins, check out the comment at 14:20.

Okay i missed that.
Still should not have reported those "700k peanuts" stolen to the police in his situation. (Posessing a lot of illegal gambling and drug money)

But now i really wonder why they kept looking so hard when the coins he spent have been legally mined and paid tax
for. If i understand correctly he had different wallets for his legal and illegal bitcoins. So at this point it should have really looked like "right place at the right time, everything legal" to the authorities.
Well i would have to watch the video again, maybe he did not use a vpn to manage his illegal assets aswell and that's how they found out about them?

Edit:
Otherwise they pretty much kept investigating for no reason and got lucky because he made (another) mistake, right?
 
Last edited:
I think that they figured his use of the Silk Road website warranted further investigation in case he was sitting on a lot of drugs.
 
What really shocked me was

- His parents are divorced and broke
- He never had a job / never worked

yet

- He bought his house with cash
- He withdraw 700k cash from his bank account
- He spent a lot for his hookers and fake friends such as showing off in general
- He never payed any taxes

So did nobody from his bank (especially since there have been no outgoing tax payments) found this to be suspicious?
I guess in the united states banks do not have to report such "suspicious stuff" to the authorities then?

I mean yeah he told them he was hitting it big with bitcoin and the money coming into his bank account
from a bitcoin exchange did support that. But again HE WAS NEVER PAYING ANY TAXES FOR ANYTHING!
"He withdraw 700k cash from his bank account"
A big red flag reported to the FBI. Any
transaction that totals 10K or more is
reported. Something this big really
gets their attention. They automatically
assume money laundering and/or
drug activity, and will team up with the IRS to track to see if the
appropriate taxes were paid.
 
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