2Michael Scanlon. In light of Mr. Abramoff’s current and anticipated financial condition, thepayment schedule in the September 2008 order required Mr. Abramoff to begin makingpayments upon his release from prison. (Id. at 2). Further, the judgment required Mr. Abramoff to notify the Court and the government attorney within 30 days of material changes in economiccircumstances. (Docket No. 48-1 at 1).On May 20, 2009, counsel for Mr. Abramoff advised the government that Mr. Abramoff and Mrs. Abramoff had received a refund from the IRS totaling $520,189. Based on what welearned from defense counsel on May 20, it appears that the following occurred. Around May 4,2009, Mr. Abramoff’s wife received the refund check from the IRS. They advise us that, duringthe ensuing two weeks, Mrs. Abramoff allegedly paid the following non-restitution creditors:•$104,000 toward accounting expenses owed to Mendelson & Mendelson (Mr.Abramoff’s accounting firm);•$87,500 to repay loans from Mr. Abramoff’s father;•$75,000 toward legal expenses owed to McDermott, Will & Emery, LLP;•$50,000 toward back taxes owed to the State of Maryland;•$47,000 toward a credit card balance held by Bank of America;•$25,000 toward legal expenses owed to Zuckerman Spaeder, LLP;•$22,000 toward property taxes;•$5,000 to repay a loan from Michael Herson;•$5,000 toward tuition expenses at Hebrew Academy; and•$1,500 to repay a loan from the Franco Foundation.
Case 1:06-cr-00001-ESH Document 51 Filed 05/21/2009 Page 2 of 7