Former accountants say Pacman had "no accounting organization"

By Steve Angeles, ABS-CBN North America News Bureau

Dec. 13, 2013

GLENDALE, Calif. – Tax woes are nothing new for boxing champ Manny Pacquiao. However, a 2011 lawsuit brought on by his former accountants may have foreshadowed the Pacman’s global battle against the taxman.

Legal documents show that Pacquiao brought several years’ worth of unorganized taxes to VisionQwest accountancy group in 2010, but the short business relationship turned into an exchange of lawsuits between the accountants, Pacquiao, his financial advisor Michael Koncz, and Top Rank’s chief Bob Arum after Pacquiao terminated his contract with the firm.

In an email, VisionQwest President and CEO Michael Lodge explained that they had a big concern over Pacquiao’s tax situation in the US and in the Philippines. He said the Filipino boxing champ had no accounting organization behind him to generate true income and expense numbers to file a tax return.

He claimed that Koncz never gave them proper documents to back up income and expense numbers.

Lodge said they expressed their concerns to Pacquiao and his Philippine lawyer, Franklin Gacal.

Pacquiao later terminated his contract with VisionQwest after the firm had received over four large boxes from the boxer filled with thousands of receipts to begin the documentation process.

Lodge said he wishes Pacquiao the best of luck and hopes that he is able to resolve his tax issues and create a strong financial management team around him.

Pacquiao’s terminated contract with VisionQwest resulted in the firm suing him for some $649,000 for their unpaid services.

Pacquiao then countersued, saying they terminated the services after VisionQwest filed inaccurate, untimely and incomplete tax returns for him. He also accused the firm of violating confidentiality issues.

Pacquiao sought the accounting firm’s help in 2010 to deal with tax issues. Invoices show that the firm was working on Pacquiao’s individual US taxes and his promotions company’s US taxes from 2008 through 2011.

TMZ reported Pacquiao’s IRS debts began in 2006. Pacquiao’s legal team, as well as Koncz, have circulated a statement saying that the disclosure of Pacquiao’s personal tax information is wrong and the recent stories contain serious errors.

They said the boxer is committed to working with the IRS to resolve the outstanding issues.

Neither Top Rank nor VisionQwest would comment on the status of the legal case which records show was remanded to the Los Angeles Superior Court in the spring of 2012.

7 Comments on this post.

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  • Kikay Pang0
    13 December 2013 at 8:25 pm - Reply

    Now i understand why he picked China to fight Rios , its not about paying high taxes in the US but he’s trying to avoid a Levy order from the IRS of his prize money. So, Pac nightmare with the heavy puncher Taxman is getting more interesting .

  • HELLO
    13 December 2013 at 10:14 pm - Reply

    Manny, work with and only the IRS to resolve the outstanding issues. Don’t work with any other accountants, they are out to take money from you. Manny do it the American way not the Phillippines way, and you will be better off, no one will be trying to take your hard own money ! Good Luck Manny your a good man and one of the best boxer I have seem in my life time !

  • JT
    13 December 2013 at 10:39 pm - Reply

    It is mandatory for MPac to fight on April 2014, so that he can pay his taxes with the IRS.Then another fight on October 2014, to pay the balance of his taxes to IRS. He is at the mercy of Bob Arum his promoter, if Bob Arum will not give him a fight definitely MPac will go to jail. It is an honor for the IRS(US government) to put into jail a PH Congressman and a World boxing Champion… Michael Koncz his financial adviser might become a gov’t/state witness against MPac.therefore, MPac is finished. He might retire poor and BIR will always forgive him…

  • Noel Garcia
    14 December 2013 at 4:18 pm - Reply

    Yeah he’s trying to avoid having his fight in the US and lie to the Filipino people the real reaso why he chosen Macau as his last fight this year. He’s a monster in the making. This is a very dangerous person to be the future president of the Philippines. He knows nothing and his primary is boxing and sideline only his being a Tongressman. He has a battalion of staffs to think and make bills for him and his only effort is to sign it.very funny with all the recent years his pork barrel never gave it up like Senator Lacson. Pacquioa is so greedy and hunger for money and power with his Adopted fathers Chavit Singsong and LITO ATIENZA. Crazy idiot!

    • va
      16 December 2013 at 7:04 am - Reply

      Who in the world is even thinking that MP would become a President?

  • amfil
    15 December 2013 at 12:17 pm - Reply

    Mayroon si Buboy ang head book keeper

  • Noel Garcia
    16 December 2013 at 3:15 pm - Reply

    The fight for the next President of the Philippines is between Pacquioa and Kris Aquino! Mark my word guys. Kanino ka Kay Pacquioa or Kay Kris???

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