Houston physician learns his accountant embezzled $11 mil that was meant for the IRS. The accountant goes to jail. The physician shuts down his practice, turns over its assets to the IRS, and loans $100k to the practice to pay his employees one last time. IRS: That $100k should have gone to us. The physician (now deceased) must pay a $4.3 mil penalty. He’s a victim, but he was also grossly negligent for trusting the accountant. Fifth Circuit: Maybe not; remanded for a trial. Judge Jones, concurring: The IRS was “irresponsible at best” in the way it litigated this case. “Is it too much to assume the tax collectors can read bank and financial records adeptly, and that ethically, they wouldn’t make claims without factual foundations”?