New details emerge about how Hunter Biden allegedly diverted funds to evade taxes

During the preliminary hearing in the federal tax evasion case against Hunter Biden, crucial details were revealed about the alleged misuse of certain funds. According to the allegations, those funds should have been earmarked for tax payments but were used for other purposes, which is a central element in the legal case against him.

During the session last Wednesday, defense attorney Mark Geragos revealed the strategy his team will adopt in the trial. At the same time, prosecutors gave an overview of the evidence they intend to present when the trial begins Sept. 5 in Los Angeles.

Defense Strategy: Addiction and Tax Counseling

Geragos argued that the defense will attempt to show that Hunter Biden, in the midst of his drug addiction, suffered from diminished mental capacity, which allegedly affected his judgment in managing his finances. In addition, the defense will seek to hold Hunter's tax preparers and financial advisors accountable, suggesting that these professionals failed to ensure the legitimacy of his tax deductions, thus shrinking their responsibility.

Geragos also presented an extensive argument that he could call an addiction expert who would testify that Hunter's cocaine addiction was caused by significant traumas in his life, such as the 1972 car accident that killed his mother and sister and the death of his brother Beau in 2015. However, the expert witness statement did not include specific opinions, the methodology used, or how he reached those conclusions, leading to controversy over its inclusion.

The prosecution's response: the importance of detail.

For his part, Assistant U.S. Attorney Leo Wise flatly rejected this strategy, stressing that "no matter how many drugs you take, you don't suddenly forget that when you make $11 million, you have to pay taxes." Wise also stressed the need to present specific details of Hunter Biden's expenses to meet the burden of proof.

Furthermore, the prosecution emphasized that without access to specific details about the addiction expert's opinions and methods that the defense wanted to present, they would not be able to prepare an effective counterargument or adequately cross-examine the expert during the trial. Because of this lack of detailed information, Judge Mark Scarsi upheld the prosecution's motion and barred that expert from testifying at trial.

Personal expenses under the spotlight

During the hearing, it was highlighted that Hunter Biden allegedly used funds to pay for prostitutes, buy drugs, rent luxury cars such as Lamborghinis, and subscribe to pornographic websites, all while claiming these expenses as business deductions. Wise argued that the prosecution must provide these details to the jury to show that the expenses were not simple clerical errors.

One example cited by the prosecution is the payment of $30,000 to an adult content website. Wise stressed that while it is not illegal to spend that amount on a pornographic website, it cannot be justified as a business expense.

Key witnesses and possible sanctions

The prosecution also plans to call numerous women who were paid by Hunter during the period in question, using services such as Venmo and registering them as "employees" of his company, Owasco PC. However, according to the prosecution, these women did not perform any work for the company, raising serious questions about the legitimacy of these payments.

Judge Mark Scarsi issued a stern warning to the defense team, reminding them that any attempt to introduce evidence that he has already excluded could lead to a mistrial, resulting in significant monetary sanctions for the attorneys involved. This warning was especially stern because in a previous case involving Hunter Biden in Delaware, his defense team did just that: it indirectly mentioned evidence or information that had previously been excluded or barred by the judge from being introduced during trial.

Hunter Biden's pre-trial hearing not only outlined the strategies that both sides will use but also shed light on the scandalous details of Biden's personal expenses, which are now at the center of this high-profile case. With jury selection scheduled to begin Sept. 5 and opening statements scheduled for Sept. 9, the trial promises to be one of the most closely watched events of the year.