Tax charge conviction for Islamic charity head



WASHINGTON- The former head of the Al Haramain Islamic Foundation, considered a terrorist organization by the US government, was convicted of deceiving tax authorities to hide money sent to Chechen rebels, the Justice Department said Friday.
Pirouz Sedaghaty, 52, was convicted of all charges by a jury in Eugene, Oregon, relating to two felonies stemming from the well-known charity's clandestine efforts "to send nearly 150,000 dollars to support religious extremist militants in Chechnya," Justice officials said in a statement.



Previously out on bail, Sedaghaty was taken into custody after the verdict Thursday.
He was convicted of filing a false tax return and also conspiring to file a false tax return, as part of an effort by Al Haramain to hide a money trail leading from a Cairo bank to the Oregon base of the foundation, then on to Saudi Arabia, where it was to be eventually smuggled to Chechnya, officials said.
Al Haramain's parent organization in Riyadh was disbanded in 2004 by the Saudi government.
"The lifeblood of terrorism is money -- if we can stop the flow of money to violent extremist organizations, we'll be safer both here and abroad", said US Attorney Dwight Holton in a statement.
"By lying to the IRS (Internal Revenue Service) about where this money went, the defendant sought to hide the true destination of this money", he said.
The jury trial and verdict, he added, "demonstrates once again the critical role -- and effectiveness -- of civilian criminal courts in the battle against terrorism."
Sedaghaty's sentencing is set for November 23. He faces a maximum prison sentence of eight years.
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Saturday, September 11th 2010
AFP
           


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