Jilted Barneys heir alleges family evaded $20M in NY taxes — by falsely claiming late mother lived in Palm Beach
A disgruntled heir to the former Barneys luxury empire has accused his late mother and siblings of being involved in an intricate tax fraud scheme that allegedly defrauded New York state of $20 million, as reported by The Post.
Bob Pressman, the 71-year-old grandson of Barney Pressman, the founder of the now-defunct retail giant, has filed a lawsuit claiming that his family colluded to evade New York state income and estate taxes by falsely claiming that his mother, Phyllis Pressman, lived in West Palm Beach, Florida.
However, according to the lawsuit, Phyllis Pressman had actually been residing year-round in her oceanfront mansion in Southampton, NY for the last six years of her life, despite the false claims made by her family.
The estate of Phyllis Pressman, valued at over $100 million, includes properties such as a 2.3-acre oceanfront estate in Southampton and a luxurious apartment on the Upper East Side of New York City.
Additionally, jewelry and artwork from Phyllis Pressman’s collection are set to be auctioned, featuring pieces from renowned brands like Bulgari, Harry Winston, and Van Cleef & Arpels.
Bob Pressman, who was excluded from his mother’s will following family disputes, has now filed a lawsuit against his siblings, alleging that they could be liable for up to $50 million in back taxes and penalties for their alleged involvement in the tax fraud scheme.
The lawsuit also claims that Phyllis Pressman’s children falsely asserted her residency in Florida in legal documents to avoid New York estate taxes, with Bob Pressman being the only one who refused to participate in the scheme.
If successful, this case could be one of the top five cases brought under the New York False Claims Act, with the potential for a significant recovery.
New York state has previously recovered millions of dollars from tax evasion cases, with the largest individual settlement amounting to $105 million paid by Swedish hedge fund manager Thomas Sandell in 2021.
