DOJ Looks to Halt Trust Distributions in Longstanding Tax Fight

The US Department of Justice wants to limit a family’s ability to transfer assets out of a trust it suspects is being used of hiding assets.

The government is seeking a preliminary injunction barring the movement of funds out of several family trusts connected to Burt Kroner, as it seeks to compel him to repatriate assets over a $27.8 million tax debt to the government.

The IRS is seeking to collect on a liabilities it says Kroner incurred from 2005 to 2007 after he transferred cash to offshore trusts, where they remain.

Kroner declared Chapter 11 bankruptcy, pausing those collection ...