CHICAGO (September 18, 2013)—H. Ty Warner, 69, the creator of Beanie Babies stuffed animals, has been charged with federal tax evasion after authorities alleged he failed to report income earned in a secret offshore account.
Prosecutors in Chicago announced the charges Wednesday.
Warner’s attorney issued a statement saying his client would plead guilty and pay a penalty of more than $53 million.
Defense lawyer Gregory Scandaglia called the matter an "unfortunate situation" that Warner "has been trying to resolve for several years."
Warner lives suburban Chicago and is the sole owner of TY Inc., which designs and sells plush toy animals, including Beanie Babies.
According to charging documents, Warner maintained a secret offshore account with the Switzerland-based financial services company, UBS, starting in 1996.