New York — A New York official has accused the attorney and accountant for mysterious heiress Huguette Clark of a tax fraud that could cost her estate $50 million in IRS penalties. When Huguette Clark's will was filed six months ago, art lovers in Santa Barbara were delighted: The bluff-top estate owned by the reclusive 104-year-old copper heiress was to be transformed into a museum.It was an exciting but uncertain prospect at the time, largely because the museum was to be established by Clark's attorney and accountant — longtime advisors whose ethics had been questioned in news reports and in legal actions by Clark's relatives.The possibility grew even dimmer Friday when a New York City judge suspended the pair as Clark's executors, citing accusations of massive tax fraud.At a hearing in Surrogate's Court, which rules on estate matters, Surrogate Kristin Booth Glen pointed to charges by the New York public administrator's office that the pair caused Clark's estate to lose more than $50 million.In court filings, the office said attorney Wallace Bock and certified public accountant Irving H. Kamsler should be removed "by reason of their dishonesty, improvidence, waste, and want of understanding. That could be a tough case to make, with the public administrator contending they filed false tax returns, charged Clark for work they never did, lied to the IRS and allowed their client to give more than $56 million to individuals, including themselves and Peri.In Santa Barbara, Mayor Helene Schneider said Clark "was as mysterious in death as she was in life. But another will — drawn up just six weeks later — directed Bock and Kamsler to turn Bellosguardo, a grand home Clark hadn't visited for at least 50 years, into a repository for her extensive art collection.Also included in the will was a bequest of more than $30 million for Clark's longtime nurse, Hadassah Peri.The change of heart came about as Clark, who was then 98 and living in a New York hospital, reflected on her legacy, according to a spokesman for Dadakis.Clark's relatives have challenged the Bellosguardo will, saying Bock and Kamsler designed it to allow themselves unlimited access to Clark's wealth. Named as executors in both wills, they stood to make millions in fees alone.Under Friday's ruling, the pair may apply to the court for reinstatement.
– Reclusive heiress Huguette Clark's life was shrouded in mystery—and now, more intrigue. A New York City judge yesterday suspended her lawyer and accountant from administering her $400 million estate—taking away the $8 million payday they'd each receive as executors. Though both deny wrongdoing, the surrogate court judge pointed to claims made by the New York public administrator's office earlier in the week: It found evidence that the pair engaged in tax fraud that led to $90 million in unpaid federal gift taxes and penalties. Attorney Wallace Bock and CPA Irving H. Kamsler should be removed "by reason of their dishonesty, improvidence, waste, and want of understanding," read the office's court filing, as reported by the Los Angeles Times. Among the allegations made by the public administrator—who was court-appointed to serve as a third executor—as reported by MSNBC: That Bock and Kamsler charged Clark for filing tax returns they never filed; didn't file federal gift tax returns between 1997 and 2003, and paid only $7.5 million of the $41.5 million in taxes due on the gifts made during that period; and never told Clark about the unpaid taxes, or the penalties and interest that were accruing (her tax bill was jumping $9,000 per day) ... among other lies made to the IRS and the public administrator. Kamsler (who MSNBC notes is a registered sex offender) resigned as executor on Wednesday.