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  • Jacksons Plead Guilty To Tax Charges Related to Campaign Funds

Jacksons Plead Guilty To Tax Charges Related to Campaign Funds

Kelly Phillips ErbFebruary 20, 2013July 6, 2020

One couple, two pleas.

In a day that had many on the Hill glued to their seats, former U.S. Rep. Jesse Jackson Jr. and his wife, former Chicago Alderman Sandra Stevens Jackson, both pleaded guilty to federal charges related to campaign fund abuse.

At the start of the day, Jackson Jr. told U.S. District Robert Wilkins that he was guilty of using campaign funds for personal expenses. The specific nature of the charge was one felony count of conspiracy to commit wire fraud, mail fraud, and false statements. When asked if he understood the gravity of his plea, Jackson Jr. acknowledged that he did, saying, “I have no interest in wasting the taxpayers’ time or money.”

There was a certain irony to those words since, at a hearing later in the day, Ms. Jackson pleaded guilty to filing false tax returns in connection with the same campaign fund, also a felony.

Sentencing for both Jacksons is slated for early summer. Both charges can carry fines and jail time.
As part of the plea, Jackson Jr. will have to return nearly $750,000 in campaign funds that he used for personal expenses. The prosecution alleged that those personal expenses including a cruise, fine dining, electronics, and a gold Rolex watch which cost more than $40,000. And in the “you never know what people are willing to pay for” column, the Jacksons allegedly also paid a Montana taxidermist to have two mounted elk heads shipped to his office.

The Jacksons are expected to receive some sort of nod to the plea at sentencing. Jackson’s attorney, Reid Weingarten, is also confident that information relating to Jackson’s health problems will mitigate his sentence. The former Congressman spent four weeks at the Mayo Clinic last year for treatment related to bipolar depression. That illness, says Weingarten, is “directly related to his present predicament.”

Ms. Jackson may face a tougher challenge. Sentencing guidelines for criminal tax fraud call for jail time of up to 18 to 24 months and a fine of $4,000 to $40,000. She could, however, receive a lighter sentence if the judge believes that it is in the best interest of her family for her to stay out of jail: the Jacksons have two minor children at home.
The Jacksons were, until recently, considered a power couple in Chicago and Washington, D.C. The 47-year-old son of civil rights activist, Jesse Jackson, had represented Illinois’ 2nd congressional district in the U.S. House of Representatives from 1995 until his resignation in 2012. His wife, Sandi Jackson, formerly served on the Chicago City Council.

When asked for comment by a reporter, Jackson Jr. said simply, “Tell everybody back home I’m sorry I let ’em down, OK?”

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Kelly Phillips Erb
Kelly Phillips Erb is a tax attorney, tax writer, and podcaster.
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criminal tax fraud, Illinois, Jesse Jackson Jr., tax-fraud

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