John Goggins, the former general counsel for Moody’s Corp. has recently admitted guilt for wilfully neglecting to file federal income tax returns for a four year span – from 2018 to 2021. Within this timeframe, he reportedly acquired earnings exceeding $54 million, as explained by federal prosecutors in a statement last Friday. Goggins stepped down from his role as general counsel at Moody’s in September 2023.
Each of the charges brought against Goggins carries with it a potential maximum penalty of a year in prison and a $100,000 fine. However, the fine might rise to twice the gross gain or loss ensuing from the offense. Sentencing for this case is scheduled to take place in September this year.
In response to these developments, Goggins’ counsel, Christopher Ferguson of Kostelanetz LLP, said that Goggins deeply regretted his actions and accepted responsibility for his failure to file certain personal income tax returns. He added that Goggins was working alongside tax professionals to ensure he met all his tax obligations henceforth.
Moody’s Corp commented on the matter, stating that this is a personal dispute relating specifically to Goggins’ individual tax liabilities and pointed out that the issue had no links to Goggins’ professional role at the company.
Goggins, during his tenure as senior vice president and general counsel at Moody’s, accumulated $54 million through a myriad of earnings such as wages, restricted stock awards, options, dividends, along with profits from stock sales. Now-retired, Goggins’ role at Moody’s has since been filled by Richard Steele, the ex-general counsel for Moody’s Analytics Inc., a Moody’s affiliate. Goggins’ impact was felt over two decades as Moody’s top lawyer, having been appointed as associate general counsel as early as February 1999.
The government’s representation in this case includes Assistant US Attorney Shontae D. Gray, of the Economic Crimes Unit in Newark and Trial Attorney Kenneth Vert, from the Justice Department’s Tax Division. The status of the case, United States v. Goggins, in the US District Court for the District of New Jersey, is yet to become electronically available.
You can find further information on this case at Bloomberg Tax news.