Your email is not valid
Recipient's email is not valid
Submit Close

Your email has been sent.

Click here to send another


Haim Saban Sued for Millions

By imprisoned, impassioned tax lawyer

Print Email
Haim Saban in 2005.(Jan Pitman/Getty Images)

If you’re going to sue one of the richest, most politically connected men in Hollywood, it’s probably a pretty good idea to do it as flamboyantly as possible, so that you get as much attention as you can before the mogul’s machine is inevitably mobilized to crush you and your wild claims. So far, the plan is working for beleaguered tax attorney Matthew Krane, who is currently sitting in a jail cell in Los Angeles awaiting trial on identity-theft and passport-fraud charges. He filed a complaint yesterday in Los Angeles Superior Court against entertainment mogul Haim Saban, and his wife, Cheryl, asserting his right to $36 million sitting in an Austrian bank account that the couple either paid him as a fee or a kickback, depending on who you’re asking. (Krane, who was indicted last month in a Seattle tax evasion case based on his work devising offshore shelters for the $1.5 billion Saban made from the 2001 sale of Fox Family Worldwide, asserts the $36 million was just compensation; the Sabans have sued in Austria to get the money back, since the shelter was ultimately declared illegal.) This new suit accuses Saban—an Egyptian-born Israeli who is friendly with Shimon Peres and is the Democratic Party’s biggest individual donor, and who was recently caught up in a small scandale over Rep. Jane Harman’s alleged offer to lobby on behalf of AIPAC in exchange for Saban’s help getting her a committee chairmanship—of, basically, being a sharp-witted, politically connected, tax-avoiding billionaire who uses his power to his advantage. And it does so in lovely prose. It opens with:

Most Americans pay their income taxes as fair consideration for the privileges citizenship confers. Defendant Haim Saban is not one of them. Despite being one of the richest men in the world, Haim Saban, believing he is above the law, has spent decades trying to avoid paying taxes on the many billions of dollars in income he has received.

The moves on to:

Just as Saban hates paying taxes (while using his political donations to demand special treatment and personal favors), Saban likes to steal even more…. Defendants’ attorneys also bragged about special influence over and collusion with prosecuting attorneys for the Western District of Washington in facilitating the prosecutorial charging, arrest and bail decisions of the federal prosecutors concerning criminal charges brought against Krane, all in the hope of depriving Plaintiffs of the fee deservedly earned for Krane’s instrumental role in putting together the Plan.

This theft of another person’s labor conforms to a lifelong pattern of Saban’s. Plaintiffs are informed and believe and based thereon allege that Saban has made hundreds of millions of dollars stealing from recording artists, illicitly claiming authorship of songs to which he likely can’t even read the music, and built his multi-billion dollar fortune through forgery, perjury and fraud. Now, to protect himself and hide his secrets, including secrets that implicate major foreign policy in this country and prominent foreign public officials, Saban seeks to scapegoat Krane.

Through a spokesperson, Saban—who claimed Krane duped him, and wound up paying $250 million in back taxes after a 2006 Senate investigation—dismissed the claims as “frivolous,” and “a transparent attempt to distract from Mr. Saban’s right to recover the money stolen from him by Mr. Krane.” Probably so. But still fun!

Haim Saban is Sued Over Tax Shelter [NYT]
Indicted Lawyer Slaps Haim Saban With Sensational Civil Suit [American Lawyer]
Morphed: Cheryl Saban’s journey from beach bunny to philanthropist [Tablet]
Krane v. Saban [PDF]

Print Email

Daily rate: $2
Monthly rate: $18
Yearly rate: $180

Tablet is committed to bringing you the best, smartest, most enlightening and entertaining reporting and writing on Jewish life, all free of charge. We take pride in our community of readers, and are thrilled that you choose to engage with us in a way that is both thoughtful and thought-provoking. But the Internet, for all of its wonders, poses challenges to civilized and constructive discussion, allowing vocal—and, often, anonymous—minorities to drag it down with invective (and worse). Starting today, then, we are asking people who'd like to post comments on the site to pay a nominal fee—less a paywall than a gesture of your own commitment to the cause of great conversation. All proceeds go to helping us bring you the ambitious journalism that brought you here in the first place.

Readers can still interact with us free of charge via Facebook, Twitter, and our other social media channels, or write to us at Each week, we’ll select the best letters and publish them in a new letters to the editor feature on the Scroll.

We hope this new largely symbolic measure will help us create a more pleasant and cultivated environment for all of our readers, and, as always, we thank you deeply for your support.

Just wanted to let you know that its not showing up properly on the iPad. Just thought Id let you know and other iPad users, that using your RSS feed is the way to go. Boat Seats

Hi there, just became aware of your blog through Google, and found that it is really informativeI’m gonna watch out for brusselsI’ll appreciate if you continue this in futureA lot of people will be benefited from your writingCheers!

I plan to say how incredibly impressed My business is with this speed of one’s shipments. I am a new customer, and have ordered a few different times Using USPS designed for shipping, I obtained my 1st package inside of 4 days or weeks, and almost all impressively – I ordered your second time using a Friday as well as received this package to the following Monday! Besides possessing a great range, prices, and job suggestions, this has made me an individual for life!!


Your comment may be no longer than 2,000 characters, approximately 400 words. HTML tags are not permitted, nor are more than two URLs per comment. We reserve the right to delete inappropriate comments.

Thank You!

Thank you for subscribing to the Tablet Magazine Daily Digest.
Please tell us about you.

Haim Saban Sued for Millions

By imprisoned, impassioned tax lawyer

More on Tablet:

A Tale of Three Twitter Feeds: Hamas Tweets in Arabic, English, and Hebrew

By Aaron Magid — Analysis of the social-media messaging of Hamas’ military wing reveals distinct voices for the West, the Arab Middle East, and Israel