H. Ty Warner, who created the popular Beanie Babies toys in 1985, was charged with a single count of tax evasion last month and pleaded guilty to the charge Wednesday.
Warner, 69, held an illegal bank account in Switzerland and allegedly failed to report income earned from that account to the IRS, attempting to evade $885,300 in taxes since 2002. His offshore account held as much as $93.6 million.
Warner stood before U.S. District Judge Charles P. Kocoras in Chicago Wednesday while in tears.
“I am pleading guilty because I am guilty,” Warner said in court, Bloomberg reports.
In 2009, the Union Bank of Switzerland admitted to having helped some U.S. taxpayers hide money from the IRS. Since then, the IRS has been investigating the names of the customers that the UBS provided them, Warner being one of them.
According to ABC, Warner agreed to pay $53 million civil penalty in the case, and could also face fines of up to $250,000.
Warner could face up to five years in prison for tax evasion. His sentencing will be held on Jan. 15.
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