Lawyer Pleads to $1.9M Tax Evasion Charge

A Lehigh Valley attorney pleaded guilty to three counts of tax evasion in federal court Monday.

John Karoly Jr., 59, failed to pay $1.9 million in taxes for an unreported $5 million worth of income.

Originally, Karoly, his son J.P. Karoly and John Shane were charged with forging the wills of his brother Peter Karoly and sister-in-law Lauren Angstadt after they died in a 2007 plane crash. The goal was to defraud their dead kins' estate alleges U.S. Attorney's Office.

As part of the plea agreement Karoly must withdraw himself as an attorney of the will and give up claims to his brotherโ€™s estate.

Prosecutors will drop conspiracy charges against several co-defendants, including Karolyโ€™s son, and will resolve other charges through a non-jury trial, Lehigh Valley Live reported.

Karoly faced 51 to 63 months in jail but his sentencing wasn't yet scheduled.

Karoly also allegedly defrauded a church and charity for $500,000 in 2004, said authorities. He faced charges of money laundering and fraud in that case. That non-jury trial was set to begin in September.

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