Summary: The Washington, D.C. Attorney General, Karl Racine, announced in a tweet on Wednesday that the District is suing MicroStrategy founder and executive chairman Michael Saylor. The reason is that the latter has never paid any income tax in more than 10 years of living in the area, and is suspected of tax fraud.  In addition, ...

The Washington, D.C. Attorney General, Karl Racine, announced in a tweet on Wednesday that the District is suing MicroStrategy founder and executive chairman Michael Saylor. The reason is that the latter has never paid any income tax in more than 10 years of living in the area, and is suspected of tax fraud. 

In addition, Karl Racine said his office is also suing MicroStrategy for allegedly conspiring to "help him evade taxes he legally owes on hundreds of millions of dollars he’s earned while living in DC".

Saylor stepped down as CEO of MicroStrategy earlier this month. 

According to a copy of the complaint obtained by Coindesk, Saylor lived in a penthouse in Washington, D.C., while “pretending” to be a resident of Florida or Virginia, buying properties and registering to vote in those states. However, he still lives in Washington for at least 183 days a year, the minimum number of days for a U.S. "statutory resident ."

Shares of MicroStrategy were down more than 6% at press time, trading at $225.6 following Racine’s tweet.

By Mary Liu