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John McCain's Tax Returns: What Happens in Vegas, Stays in Vegas

John McCain Senator John McCain Above the Law blog.jpgIn September 2004, we had the pleasure of shooting craps with Senator John McCain, now the presumptive Republican presidential nominee. Senator McCain was in Las Vegas to attend the Oscar De La Hoya-Bernard Hopkins boxing match. We were in town to, well, do what people do in Vegas -- including, but not limited to, gambling.

We were impressed by Senator McCain's stamina. It was well past midnight, he was on his feet for several hours (no sitting allowed at the craps table), and he was still going strong. We were also impressed by his large stack of chips. He wasn't the luckiest roller; when it was his turn to shoot, he "sevened out" after about three rolls of the dice. But the table was generally hot, so he did well betting on other players.

Senator McCain was accompanied by his lovely and statuesque wife, Cindy McCain. Every now and then, people would come over to greet the McCains. In a testament to his focus, the senator never lost track of what was happening on the table. If he can chat with well-wishers while simultaneously monitoring craps-table action, surely he can handle the economy AND Iraq.

In light of Senator McCain's fondness for gambling, we weren't completely surprised by this issue, raised by Paul Caron over at TaxProf Blog:

I previously blogged the release of John McCain's 2006 and 2007 tax returns. The Daily Kos asks why McCain has not reported any gambling gains on Line 21, or gambling losses on Line 28, Schedule A, of his Form 1040, given widespread press reports that he is a frequent gambler at casinos who wagers thousands of dollars per trip. If the press reports are accurate, it is hard to imagine that McCain would not have won at least $600 on some occasions and received a Form W-G....

We reached out to the McCain campaign for comment. From spokesman Tucker Bounds [FN1]:

John McCain has had little occasion to try his luck at gaming in 2006 and 2007, as he was otherwise occupied during that time -- and had no winning sessions. As a result, Senator McCain had no taxable income when he did.

But don't shed tears for the senator. Considering his wife's vast -- and growing -- fortune, we're sure he can handle some losses at the gaming tables.

As for Senator McCain, we wish him better luck at the craps table in the future. Hopefully he won't end up like yesterday's LOTD, Joseph Levine.

[FN1] As noted by Politico, Tucker Bounds is the younger brother of our law school classmate and co-clerk, newly appointed White House staffer Ryan Bounds (whose recent wedding we covered here).

Update / Correction: The friend who was with us at the craps table that night has a contrary recollection about the presence of Mrs. McCain:

Although Mrs. McCain accompanied John McCain on the Vegas trip (I met her earlier that day in the hotel lobby), she was not at the craps table with him. I remember distinctly that he was there with two women who were younger and much less attractive. (I also believe at least one of them had a feather boa around her neck, something, I am quite confident, Mrs. McCain would never wear.)

Why Hasn't McCain Reported His Gambling Gains and Losses on His Tax Returns? [TaxProf Blog]

Lawyer of the Day: Joseph Levine

Caught stealing.jpgSince L.A. Judge Charles Lee was our Lawyer of 1984, we're giving a different attorney Lawyer of the Day honors. Joseph Levine of New York is helping to give a bad name to both lawyers and gamblers.

He's pleaded guilty to second-degree grand larceny, after stealing more than $400,000 from his clients, including money that was to be used for heart surgery for his client's daughter. That's cold.

From Newsday:

"I think this case underscores the pitfalls of compulsive gambling," said Levine's attorney, Michael Soshnick of Mineola.

A spokesman for District Attorney Kathleen Rice said Levine advised one of his clients to accept a $300,000 settlement in a personal injury lawsuit. He then asked her insurance carrier for the money immediately, saying she needed it to pay for her daughter's heart surgery.

After getting the check, Levine returned to New York, forged the signature of his client and her husband and deposited the check in his own bank account, police said.

By the time the client notified the DA's office, Levine's bank account stood at -$139.44. Having an account with a negative balance after stealing almost half a million dollars? That's just embarrassing.

Disbarred attorney pleads guilty to grand larceny [Newsday]
DA: Lawyer Pocketed $300k from Clients [Nassau County District Attorney's Office]

Morning Docket: 12.05.06

bingo Above the Law.jpg* This, this, and this from How Appealing on the race in public schools cases argued before the Supreme Court yesterday.

* And for the second straight day, someone blames their crime on bingo. [CNN]

* A "temporary" solution for being burned out on biglaw. [WSJ Law Blog]

* I guess this is kinda like the flip-side of using someone as a human shield. [CNN]

* Always get it in writing, especially when it comes to constitutions. [Jurist]

Non-Sequiturs: 11.09.06

* It’s not slander if you call him a balding pervert. Or her an opportunist (and probably a desperate one at that -- this is really scratching the bottom of the barrel, honey). [Page Six]

* Quakers like to keep their lawsuits confined to townhouse meetings. If you think you knew this because you saw Witness, you are guilty of lumping together all the religious denominations of rural Pennsylvania, and that's just wrong. [Point of Law].

* The most obscure Baldwin brother, Daniel Baldwin, steals a car -- and then some. (Next Most Obscure Baldwin brother: Daniel needs your help.) [E! Online]

* Family road trips always suck. But memories are priceless (or potentially worth $300,000). [The Smoking Gun]

* Internet poker players, your help is needed -- for research into the deterrent effect of the new Unlawful Internet Gambling Enforcement Act. [Volokh Conspiracy]

* Mitchell Stein, Esq., is one unhappy dog owner. And if you were him, you wouldn't want this to happen to your dog, would you? On the other hand, it might stop it from humping your leg. [New York Times]