United States v. Edward S. Nielsen

I. OVERVIEW

Edward S. Nielsen and two others formed Mid-Pacific Airlines in 1979. Nielsen was vice-president and responsible for most financial matters, including accounting and paying transportation tax. Nielsen was convicted of willfully aiding, assisting in, procuring, counseling, and advising the presentation of Quarterly Federal Excise Returns for three quarters of 1985 that were false and fraudulent as to a material matter, in violation of 26 U.S.C. § 7206 (2). In each casé, the return concerned transportation taxes, 26 U.S.C. § 4261 , collected by Mid-Pacific from its customers, 26 U.S.C. § 4291 : Nielsen was sentenced to consecutive terms of three years imprisonment on Count 1, three years imprisonment on Count 2, and three years probation on Count 3. On appeal, Nielsen contends that: (1) the court abused its discretion by denying his right to information in accordance with 26 U.S.C. § 6103 (h)(5); (2) the district court abused its discretion during voir dire by failing to inquire properly about the weight jurors would give to IRS witnesses, and by failing to ask whether the jury knew any prospective witnesses; (3) there was insufficient evidence on which to convict him…