MIAMI (AFP) — Brazilian racing driver Helio Castroneves, a two-time winner of the Indianapolis 500, on Friday pleaded not guilty to charges he failed to report millions of dollars in income to US tax authorities.
The 33-year-old driver, who was brought into federal court in Miami in handcuffs and leg shackles, was later released on 10 million dollars bail.
His lawyer, Mark Seiden, said Castroneves would leave on Friday for a weekend race in Atlanta.
He will be allowed to travel in the United States for work, but cannot leave the country.
Castroneves was indicted on Thursday on charges of conspiracy and six counts of tax evasion for purportedly failing to report to the Internal Revenue Service 5.5 million dollars in income between 1999 and 2004, according to court documents.
Each count carries a maximum five-year prison sentence.
Also indicted were Castroneves' sister and business manager, Katiucia, and attorney Alan R. Miller. They also appeared in court Friday.
The three defendants secured bonds Friday afternoon so they didn't have to spend the weekend behind bars.
According to the indictment, the trio used an offshore corporation set up in Panama to pull off the tax evasion scheme.
"It is particularly pernicious when individuals with access to offshore accounts use that to avoid paying taxes," Miami-based US Attorney Alexander Acosta told the Miami Herald.
Seiden told the newspaper Castroneves didn't knowingly violate any laws.
"Mr. Castroneves is a professional racing driver. He relied on the advice of tax lawyers and accountants in doing his tax planning," Seiden said.
"It is our position that he has not violated any laws and that he relied upon their advice in good faith."
However, Acosta said Castroneves lied to his tax preparers, claiming he had no control over the Panamanian company when he did.
Castroneves won the Indianapolis 500 in 2001 and 2002, becoming the fifth man to achieve the feat in consecutive years.
He finished second to Team Penske teammate and countryman Gil de Ferran in 2003.
Castroneves gained wider fame in the United States last year when he won the fifth season of the reality television show "Dancing with the Stars".
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