Monday, May 20, 2013

Kelley's Email To Scott Edelman/Gibson Dunn Re. Leonard Cohen, His Tax Fraud, Theft, Perjury, Concealment, Etc. - And Gianelli

From: Kelley Lynch <>
Date: Mon, May 20, 2013 at 1:54 PM
Subject: Re: Subject: Leonard Cohen's Tax Fraud
To: "*irs. commissioner" <*>, Washington Field <>, ASKDOJ <>, "Kelly.Sopko" <>, "Doug.Davis" <>, Dennis <>, sedelman <>

Scott Edelman,

Let me be clear about something.  I do not appreciate this ongoing slander and criminal harassment because Leonard Cohen lied and concealed evidence.  My entire family, and others, have been and continue to be targeted.  Leonard Cohen committed tax fraud.  This is an outrageous matter and I was not served the complaint; had not female co-occupant, and was not served or notified of the default that was wrongfully reported in the news media in March 2006.  I was unable to read Cohen's fraudulent and retaliatory complaint (and a handful of other documents) until Stephen Gianelli (who has relentlessly targeted me and attempted to insert himself into my son's horrifying Whole Foods matter) posted them online.  Gianelli then began threatening me.  He is now copying in Cohen's lawyer and Cohen's fan is criminally harassing me and members of my family as well.

Enjoy these excerpts from Steven Machat's book. I bought my home with my IRA account, commissions I made for negotiating Adam Cohen's record and publishing deal, etc.  The expense ledger is evidence of fraud.  It is completely undermined by corporate books, records, stock certificates, my indemnity agreement, memoranda, etc.  All of this evidence was concealed from LA Superior Court.  Two companies - NOT named as parties to the lawsuit - were added to a fraudulent default judgment.  There are no trust documents and these entities were not held in trust for Cohen who lies as easily as he breathes and seems to think it is acceptable for my family, and others, to be criminally harassed with his lawyer copied in.  It is not.  The IRS just advised me to file fraud form 3949(a) with respect to Cohen's fraudulent refund (that had nothing to do with the default judgment and pre-dated that by at least six months) OR Agent Sopko's email advising me to report Cohen's tax fraud to Agent Tejeda/IRS.  Cohen recently took the stand and lied about the iRS and many other matters - including Phil Spector.  He now has three versions of his insane and highly embellished gun stories about Phil Spector before LA Superior Court.  I wonder which one the DA thinks is accurate?  I also reported - via fraud form3949(a) the illegal K-1s I have received (and they were transmitted to the IRS and State of Kentucky) for the years 2003, 2004, and 2005 showing I had $0 income from LCI for those years and alleging that I own 99.5% of LCI which I do not. 

Cohen cannot stop lying and the criminal harassment is an outrage.  Do you enjoy destroying innocent people for a living?  How about my children?  Did you enjoy destroying their lives also?  Rutger's accident evidently annoys Leonard Cohen.  So does his theft (from me, Steven Machat, Phil Spector, and possibly others). 

Steven Machat approved this transcript.
I think Gianelli has it right - you are aggressive and the destruction of my life for a Hollywood fraud is evidence of that.
Kelley Lynch

Gods, Gangsters & Honour by Steven Machat

Leonard was desperate to get rid of this two managers, Judy Berger and Mary Martin, who he believed had stolen the rights to his songs and records early on in his career.  Even back then, Cohen was convinced that women were ripping him off.  He signed an agreement, and when he wanted to get rid of the contract, he accused everyone of ripping him off.  You could say it became repeat behaviour.  My father duly got rid of Berger and Martin, set up a new company called Stranger Music for Cohen and agreed to manage Leonard for 15% as well as 15% of Stranger.  The idea of the company was twofold:  one, to maintain ownership of the copyrights duly created; and two, to minimise Leonard’s exposure to American tax, just like any other rich individual trying to minimise their tax liabilities.  

I’ve no problem with people trying to avoid tax, but as the years have passed, I couldn’t help but smile at the apparent contradiction between Leonard’s public persona and his private business arrangements.  This was a supposedly devout Buddhist with no interest in material possessions, who was all the same happy to put his trust in business managers and companies he created with his knowledge and consent whose sole aim was to minimise tax liability.  

Leonard then sold Stranger Music for a small fortune and I’ve seen nothing from Cohen.

Cohen controlled his copyright, not my father.  The irony was that Cohen had total control over my father …  Do you know what happened to the $400,000 worth of bearer bonds in my father’s office?  Bearer bonds are just unregistered bonds or paper money that are used to conceal ownership and, with it, tax liabilities.  Cristini told me (who knows if this is true?) that he had found the bonds in my father’s office hours after he had died but the next day they disappeared.

Cohen denied any knowledge of these bonds.  I was unsure if they existed or were part of my father’s schemes cooked up to conceal Leonard’s money.  

Cohen said:  “Steven, you remember the 1988 tour?  Flemming extorted $100,000 from me.  He wanted 20% managerial commission, in addition to his promoter’s fees.  He thought he was doing extra work for me and wanted me to pay him.”

Far from being the poet of the spirits, Leonard was a hustler using Buddhism as a facade.  

The next time I would see Leonard … We’d just seen The Hand That Rocks The Cradle where Rebecca De Mornay plays the psychopathic nanny who stalks this family.  Who should walk along but Cohen, who was holding hands with DeMornay, his girlfriend at the time.  Cohen was extremely uncomfortable because he knew he had stolen from me and it was clear he couldn’t get away quick enough.  Neither could my son, because he took one look at DeMornay and ran.  He was terrified because he thought she was the nanny in the film!

It was clear that Leonard was also wary of me because, I guess, he thought I might be planning to sue him.

Leonard told me that when he had gone off on his Buddhist retreat Kelley was left managing his business interests.  He said:  “She started believing this money was hers and she started spending it.  All of it.  When I got back from my pilgrimage, I went to withdraw money left in the account to cover the draft.  I was speechless.  I didn’t know where to look, where to turn or what to think.”

Then Leonard told me that Kelley had bought a multi-million dollar house in Mandeville Canyon with his money … Leonard said:  We didn’t even get the house back.  Kelley stopped paying the mortgage so the house got repossessed and the mortgage company took everything in the house as well.

Lynch had been sending out long and bizarre emails to his friends, journalists, and the authorities denouncing Leonard for a million and one sins, which would have worried me if I was their target.

The whole scheme was so ridiculous [Leonard Cohen’s attempts to limit his liabilities on the deals] from the start.  All Leonard had to do to avoid U.S. taxes was tear up his green card, and stop living in and using the U.S. as his base.  

It’s no secret that Leonard has also made a killing on the art market by selling his paintings, plus his touring of the last two years … If that’s true, it doesn’t really tally with the clear implication from Cohen that he is a man who has been robbed of everything.

Leonard told me before I left that he had actually offered Kelley a settlement …

It’s clear that Cohen and his lawyers want to heap the blame on Kelley’s shoulders for more than just revenge.  Because Cohen’s pension assets were cashed in … ahead of schedule they are liable to tax so they need to establish that this situation is her fault.  The penalties could actually be greater than the tax itself.  

Leonard has cast himself into a hell of his own making. 

On Mon, May 20, 2013 at 1:31 PM, Kelley Lynch <> wrote:
To the IRS and FBI,
I would like you to note that my sister is copied in on this email.  Her lawyer personally advised Gianelli to cease and desist.  Steven Machat advised all parties not to email him.
Gianelli threatened me publicly when I noted that I intend to move to vacate Cohen's fraudulent and retaliatory lawsuit after reading the complaint and a handful of other documents Gianelli posted online in April 2010.  Prior to that, I was unaware of the allegations in the complaint.  I was not served the lawsuit and the proof of service is evidence of extrinsic fraud.  I had no female co-occupant named Jane Doe or anything else.  I am not attempting to convince Gianelli of anything.  He merely continues to criminally harass me over Cohen's tax fraud, Phil Spector, my appeal and writ of habeas corpus, and legal issues with Leonard Cohen.

See Steven Machat's conversation with me.  He approved the transcript.  He was under the opinion that the default judgment was illegal and understood that the wrongful altering of my tax returns was a very serious matter.
I see the issue for Cohen is that i don't have money.  He bankrupted me, stole from me, and perjured himself before LA Superior Court while concealing evidence.  I spoke to Scott Edelman.  He no longer represents Cohen.  I wasn't served the default judgment.    Good, let's go back to the beginning.  This time Cohen will not conceal evidence and the case can be heard on its merits.  The ledger is evidence of fraud.  It has nothing to do with overpayments re. my management commission.  Was Edelman aggressive?  I don't call a default judgment in a matter where someone wasn't served successful.  I also don't call lies successful.  I'm not afraid of a lawsuit.  I welcome this opportunity.

Cohen's lawyer is copied in.  It's clear that Gianelli and Walsh work in this manner with Cohen and his legal team.
What's the issue?  Steven Machat has been pubilc and has written about Cohen's theft, etc.
All the best,

---------- Forwarded message ----------
Date: Mon, May 20, 2013 at 1:17 PM
Subject: Re: Subject: Leonard Cohen's Tax Fraud

You have been threatening to file a motion to set aside Cohen’s May, 2007 default judgment against you since April of 2010 (for over THREE YEARS).
I’ll believe that motion when I see a dated file stamp on it.
In any event, when you announced on my blog in April of 2010 that you would have a motion to set the default aside by “next week”, and that the attorney who filed it – Scott Edelman – was a “hack”, I thoroughly reviewed the judgment and all supporting documents and pleadings, which were available on-line, including the proof of service. Everything appears to be in order with the judgment, and in any event the time to move to set it aside expired long ago.
I very much doubt that Steven Machat told you the default was “illegal” without carefully reading the court file as I have.
But even if you did manage to file a motion ($40.00 motion fee; $430.00 first appearance fee) and somehow get it granted (notwithstanding the voice messages you left for Scott Edelman about the default in 2007 as well as your delay in moving to set it aside, not to mention the proof of service and other supporting evidence, all this would accomplish would be to put you back where you were in May of 2007 – defending a multi-million dollar embezzlement case in the face of clear evidence of your theft prosecuted by one of the most aggressive and successful trial lawyers in the United States.
Good luck.  Because if you manage to follow through with your filing and it is successful it will be a first for you. Then you can figure out how to defend a contested lawsuit.
Bcc: Counsel for Leonard Cohen

From: Kelley Lynch <>
Date: Mon, May 20, 2013 at 12:00 PM
Subject: Leonard Cohen's Tax Fraud
To: Dennis <>, "*irs. commissioner" <*>, Washington Field <>, ASKDOJ <>, "Kelly.Sopko" <>
To the IRS and FBI,
I think Steven Machat was definitely correct - Cohen's default judgment is illegal and he understood that the wrongful altering of my tax returns is a very serious issue. I intend to include Gianelli's email - targeting me and lying about me - to Steven Machat to my declaration. This man has criminally harassed me since 2009. I would like to note that I have provided the IRS with the evidence Cohen concealed from LA Superior Court (corporate books and records, etc.) and the fraudulent ledger (undermined by the illegal K-1s Cohen issued, etc.) is not a reflection of my personal management fees and does not address phantom income shoved my way by TH, etc. that I have paid taxes on.

In any event, Steven Machat is clear about Cohen and has documented his theft from Machat & Machat in his book. He is clear that Cohen is a hustler who falsely accuses people of ripping him off to breach contracts.

Gianelli and Walsh continue to criminally harass me over Cohen's tax fraud and now Cohen's lawyer, Michelle Rice, is copied in. Perhaps Rice thinks Steven Machat has changed his mind. I tend to doubt that and he's extremely pissed off that Cohen refuses to pay him his share of royalties (25%) on When I Need You. I am well aware that this was Machat & Machat's deal with Cohen re. this song. Steven Machat is also clear - Cohen sold Phil Spector's masters to Sony. That's also theft.

I really do not want to hear about Spector prosecutors Dixon and Jackson. They attempted to drag me into the Phil Spector murder trial which I view as a sham. There's a reason Cohen testified about Phil Spector at my insane alleged trial (really an attempt to sabaotage the IRS although the lies are preposterous) with the DA's investigator hanging out with him and lunching with him. How nauseating is that. Steve Cooley and Alan Jackson were featured in my Stalinesque Show Trial. My lawyer is very very clear about this and they should have been confronted on the stand and cross-examined about their views on many things - including Cohen's three versions of the Phil Spector gun stories before LA Superior Court. Which one does the DA believe? This is not ancient history. The prosecutor introduced Phil Spector into my trial and concealed the fact that Mick Brown brought the Grand Jury statements to my attention. I personally found the motions where they used a version of Cohen's story about Phil Spector online at LA Superior Court.

Steven Machat advised me to use excerpts from his book when he told me to sue Cohen for theft, etc. He was very clear about that. He's also clear about this -Cohen and Kory are evil.

All the best,