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Wesley Snipes Acquitted of Tax Fraud, Conspiracy charges


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Snipes acquitted of tax fraud, conspiracy

Snipes found not guilty of federal tax-fraud and conspiracy charges

(CNN) -- Actor Wesley Snipes was found guilty Friday on three misdemeanor charges of failing to file tax returns -- but was cleared by a jury of more serious felony charges of tax fraud and conspiracy.

Actor Wesley Snipes on his way into the courthouse on Tuesday

Snipes could have faced up to five years in prison on the conspiracy and fraud charges. He was found guilty of half -- three out of six -- of the failure to file charges. He faces a maximum one-year sentence on each, but is expected to be sentenced to less.

Snipes, who starred in such movies as "New Jack City," "White Men Can't Jump" and the "Blade" series of action films, pleaded not guilty to charges he failed to pay tens of millions of dollars in federal income tax.

On October 17, Justice Department and IRS officials issued an arrest warrant for Snipes that charged him with conspiring to defraud the Internal Revenue Service and presenting a fraudulent claim for payment to the IRS.

Snipes was charged in Florida because he lived in Windermere in Orange County, Florida, during the years covered by the indictment.

Two other men -- Eddie Ray Kahn and Douglas Rosile -- were charged with Snipes. Kahn was described in the indictment as the founder of what he billed as a Christian group, but allegedly was a "for-profit commercial enterprise that promoted and sold fraudulent tax schemes that interfered with the administration of the internal revenue laws of the United States."

Rosile is described as a former certified public accountant who continued to do accounting work after his license expired.

According to the indictment, the men claim the IRS is entitled only to income derived from foreign-based activities.

Kahn and Rosile were found guilty on fraud and conspiracy charges

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