John B. Wilson Beats the “Blues”

John B. Wilson, a parent named in the 2019 college admission scandal, was recently re-sentenced to six-months of home confinement and a year of probation for taking tax deductions on payments made to Rick Singer (the mastermind behind the scheme).[1] This updated sentence also includes a $75,000 fine, a payment of $88,546 in restitution to the Internal Revenue Service, and 250 hours of community service.[2] In the end, Wilson was not convicted or sentenced for charges related to “Operation Varsity Blues.”[3]

Wilson, the founder of Hyannis Port Capital, was initially convicted of fraud and bribery, among other charges, in the college admissions scheme.[4] Wilson paid Singer $220,000 to have his son, an accomplished water polo player, admitted as a water polo recruit at the University of Southern California. [5] He later gave Singer $1 million to get his twin daughters into Harvard University and Stanford University as athletic recruits.[6] His daughters never applied to Harvard and Stanford and the $1 million was never donated to the schools.[7]

Wilson, who has maintained his innocence, said he was duped by Singer. [8] He said he believed the donations were a legitimate method of elevating his already qualified children in the admissions process.[9] Wilson also stated that admitting guilt would reinforce a false narrative that his children were not qualified applicants.[10]

On appeal, the First Circuit overturned these convictions, finding that the jurors were wrongly instructed that university admissions slots constituted property under federal fraud statutes.[11]

The First Circuit upheld a lone tax charge against Wilson for his taking of $220,000 in fraudulent business and charitable write-offs in 2014.[12] With only one charge standing, the First Circuit reduced Wilson’s initial 15-month prison sentence (the longest since Singer was issued a 3.5-year prison term).[13]

This reduced sentence is a win for Wilson, and he has spoken out about his legal battle. Wilson said his children were victims in the process. [14] He apologized to them for the “false destruction” of their achievements and the attacks they received to their reputations, both by prosecutors and the public.[15] Wilson also said the government was vindictive in trying to impose a 15-month prison sentence even after the Varsity Blues related charges were overturned.[16]

While Operation Varsity Blues was shocking and has made for a captivating Netflix documentary, Wilson’s story is a reminder that real people were impacted by this scandal. Wilson’s legal outcome is vindicating, but the damage to his family’s reputation, and perhaps more than that, is done. Some may have difficulty sympathizing with Wilson, but one cannot help but feel for the impact this must have had on his children.

Wilson has argued that the $1 million he gave to Singer should be returned because he was not convicted of crimes tied to that money.[17] That issue is pending.

Image Credit: Brian Snyder/Reuters

[1] https://www.law360.com/sports-and-betting/articles/1727287/pe-exec-avoids-prison-on-varsity-blues-tax-charge

[2] https://www.reuters.com/legal/private-equity-financier-college-admissions-scandal-avoids-prison-new-sentencing-2023-09-29/

[3] https://www.law360.com/sports-and-betting/articles/1727287/pe-exec-avoids-prison-on-varsity-blues-tax-charge

[4] https://www.reuters.com/legal/private-equity-financier-college-admissions-scandal-avoids-prison-new-sentencing-2023-09-29/

[5] https://www.law360.com/sports-and-betting/articles/1727287/pe-exec-avoids-prison-on-varsity-blues-tax-charge

[6] Id.

[7] Id.

[8] Id.

[9] Id.

[10] https://www.law360.com/media/articles/1731676?nl_pk=f7313c97-4698-4f53-96b7-f245846d46ab&utm_source=newsletter&utm_medium=email&utm_campaign=media&utm_content=2023-10-13&read_main=1&nlsidx=0&nlaidx=0

[11] https://www.reuters.com/legal/private-equity-financier-college-admissions-scandal-avoids-prison-new-sentencing-2023-09-29/