King of the Wilderness

Chapter 516: Chapter 280: Results That Shocked the Examiners!

"But I never expected you would use this method for the MEG campaign!"

"Sheng Risheng, a non-U.S. tax resident Chinese national." Matty excitedly pronounced this name.

"So when the GME campaign ended, and when that 300 million dollars in profits was generated, legally speaking, the money was indeed earned by Mr. Sheng’s company in the Cayman Islands."

"So, as you might have guessed, according to U.S. tax law, capital gains earned by foreign investors in the United States financial market are completely tax-free!"

"This means your 290 million dollars in profits, at the level of personal income tax, are invisible to the IRS! It is completely outside the jurisdiction of U.S. taxation!"

"This is a perfect phantom, Lin, the IRS cannot tax a phantom. This completely steps outside familiar conventional tax avoidance games played within the rules!"

Matty’s voice was filled with that kind of excitement akin to discovering a New Continent, but soon, this excitement was replaced by a risk prudence unique to top lawyers.

His tone suddenly became extremely serious. "But Lin... this raises a critical question I must ask. This friend of yours... is he trustworthy?"

On the other end of the line, Lin Yu’an did not immediately respond, the air seemed to freeze.

Matty continued in a calm but almost cold manner, analyzing the deadly risk behind this perfect plan.

"We are all clear that the only foundation for this plan to work is Mr. Sheng’s absolute loyalty."

"Because from the legal documents, that 300 million dollars, and possibly more wealth generated in the future, completely belong to him personally. Not to you, Lin. Not a single penny."

"I’ve seen too many such stories, where initially indestructible allies, but in the face of astronomical wealth, human nature becomes thinner than paper."

"Most top tycoons, like Brian, would rather honestly pay the IRS hundreds of millions in taxes than dare to play such games. Because the risk is too great."

Matty’s voice dropped lower, as if stating a final judgment in court: "If he turns his back, he doesn’t even need to do any complicated operations."

"He only needs to walk into any U.S. Federal Court, file a lawsuit, present to the judge those incontrovertible legal documents, claiming you illegally seized his property..."

"He could legally take back his 300 million dollars! At that point, you would not only lose all your money but also completely expose yourself under the IRS and FBI’s microscope."

"Tax fraud, money laundering, illegal asset transfer... all of our previous efforts would become ironclad evidence for convicting you. This would be one hundred times more severe than just being audited by the IRS."

Matty finished speaking and quietly waited for Lin Yu’an’s response.

He presented the most classic and deadly paradox in all white glove models, in order to avoid one risk, you must introduce another potentially more deadly risk.

On the other end of the line, Lin Yu’an finally let out a light laugh. In that laughter, there was no trace of tension, but rather an understanding of everything with ease.

"Matty, you’re right. From a purely legal and business standpoint, this is indeed a high-stakes gamble."

He paused, then said in a calm yet absolutely confident tone: "But, between him and me, there’s no need to be constrained by law."

Lin Yu’an’s tone became playful: "First of all, one of your premises is wrong. He’s not completely unaware."

Matty was stunned.

"Before the GME campaign, I indeed had him personally sign a complete set of legal documents to establish an exempted company and open bank accounts in the Cayman Islands."

"The reason I gave him was, to facilitate our future unregulated international investments, we needed such a clean overseas platform."

"Most importantly, he also signed an irrevocable power of attorney, authorizing my appointed agent to handle all matters of the company and account."

"So, Matty, all our operations, from buying GME to transferring and purchasing the ranch later, were legally perfect, because I have his authorization."

Matty’s breathing became rapid, he immediately grasped the subtlety of it. This is not fraud; this is legal operation utilizing authorization!

Matty immediately pointed out the new risk, "But he can hire a lawyer anytime, apply to the local court in Cayman to revoke this authorization, or claim he signed it under misleading circumstances! He can still regain control of the company!"

"Of course, he can." Lin Yu’an’s smile grew broader, "But this brings up the second key point, he wouldn’t dare."

"Because when he signed that set of documents, there was also a personal unlimited joint liability guarantee about one of our investment projects. The debt of that project is also an astronomical figure."

"So, Matty, as long as he quietly remains a Netherworld Ghost, he won’t have any problems."

"But once he wants to step up and claim that 300 million, he first has to face another document that could completely bankrupt him with massive debt. What do you think he would choose?"

On the other end of the line, Matty was completely silent. This is no longer a simple white glove operation.

This is a capital prison constructed with legitimate authorization, then using a fictitious debt trap as a Sword of Damocles, pinning the white gloves firmly in place!