*Judge RULES* WhistlinDiesel SHUTDOWN

lawsuits. It's official. Cody from

Whistle and Diesel has been gagged.

Expect a video soon. Why I got gagged?

What I'm not allowed to do. I'm going to

break it down for you first because I'm

also going to give you a breakdown of is

this even legal. What is going on with

Cody? How is Whistle and Diesel, his

company and YouTube channel, basically

in the frying pan with a Williamson

County courthouse? Why are they coming

after him for fraud? And is this just

all rigged entrament? Is this big

government coming after our guns, our

cars, our money, the rest of it, the

other half that they don't already take?

Or are they just pissed because, you

know, Cody kind of embarrassed him a

little bit after the jet ski incident?

Which politician is screwing with Cody?

And more importantly, towards the end of

this, we need to break down, will Cody

end up going to jail? Is this the end of

Whistlin Diesel? Let's break it all

down. Okay, first let's start with the

facts. You might not know, so I'm going

to try to be a little quick on the facts

just to keep this as straight as

possible for you. So, basically, Whistle

and Diesel Cody, he got arrested. He got

arrested by deputies from the state of

Tennessee and the local county deputies,

Williamson County Sheriff's deputies,

for unlawfully and willfully evading

Tennessee's sales tax laws on a 2020

Ferrari F8 that he registered in Montana

that happened to burn down in a

cornfield in Waco, Texas. Yes. Now,

apparently Cody bought this car for his

typical durability test challenge where

he puts cars through extreme tests to

see if they can survive. He's done it

with a cyber truck.

And let's [snorts] just say burning the

car down wasn't necessarily what got him

in trouble, but it certainly put a

highlighter under what was going on

because the car very clearly had a

Montana license plate.

>> We [ __ ] up.

And that's where things get interesting.

See, he bought the car in Montana under

a Montana limited liability company,

which you could set up very cheaply

going to websites like this, my Montana

LLC.com. Register your vehicles in

Montana using a limited liability

company. Our priority is your

satisfaction and saving you money. Now,

what kind of money could you possibly

save by spending maybe a few hundred

bucks or maybe even a thousand bucks by

buying a car through a company like this

that's going to set you up a I hate to

say it, but sort of like cover LLC that

might not actually be a business in

Montana. This is the Montana title,

clean title to my $400,000 Ferrari F8,

which sales tax in Tennessee would be

roughly $30,000 or something like that.

And so this car, this Ferrari was titled

and registered in Montana.

>> This is known as the Montana tax

loophole. And that's where Tennessee

says, "No, no, no, no, no, no, no, no,

no. We want our taxes. We're not playing

this sham game." Now, these are

allegations. Everyone is innocent until

proven guilty. These are criminal fraud

charges. But where am I getting this

from? Well, Cody says it himself. In

fact, here is Cody saying that 85% of

owners do this and have a legitimate

business in Montana. I should remind you

85% of luxury car owners have a business

in Montana. There is an option to have a

business in Montana that holds your

assets that is not you. It holds your

assets in Montana where you can run

business out of that just so happens to

not require sales tax on specifically

vehicles or luxury items. Especially

many luxury car owners have businesses

in Montana. Now, this is where Cody

might actually want to talk to his

attorneys because the more he talks on

YouTube, the more he might actually be

setting up for the case against him.

See, this is why attorneys don't like it

when you start yapping on the internet

because if you say things like, "Hey,

85% of people do this and they have

legitimate businesses in Montana."

But do you, Cody? So, he's kind of

setting up for the case against him.

We'll talk more about that in just a

moment. But first, Tennessee clearly

disagrees with Cody's assessment.

Tennessee has been investigating Cody

for over a year. A special agent, I

guess, from the state called my

accountant. That was a year ago.

>> And they are charging Cody a use tax.

Now, why are they not just sending him a

letter saying, "Yo, bro, you owe us this

tax." Because the state of Tennessee

says that Cody, and they're alleging

this, [snorts] fraudulently

lied to the state of Tennessee, saying,

"I have a business in Montana and the

car doesn't even show up in Tennessee.

Therefore, I don't have to pay your

Tennessee use taxes." And Tennessee is

like, "Huh, that's really interesting

because here's the Whistland Diesel

compound. We know this is your compound

because here it is with you giving a

tour to other people saying you know

this is your compound.

>> All right. We are here today at

Whistland Diesel's compound. So I think

I know enough about your stuff to be

dangerous but

>> then here is the Ferrari in that very

compound.

>> Like the way I'm treating my Ferrari.

>> You can treat your Ferrari extra nice.

Get it? Cuz they don't have a Ferrari.

>> Yeah. And if Tennessee can then say,

"Hey, here's the address of that

compound. In fact, we arrested you at

that very compound," then Tennessee can

say, "It certainly looks like you're

using this vehicle in Tennessee. After

all, here it is getting used in

Tennessee."

Now, of course, we could argue that

makes it kind of look like a prop, which

it certainly does, but it obviously had

to get there.

And the whole point of use taxes is to

pay for things like roads and bridges

and the public infrastructure that lets

you drive that vehicle.

>> Two wheel drive car. This will kill you

to your very garage.

Those are the use taxes that were not

paid to the state of Tennessee. Now,

where do we know that these use taxes or

sales taxes are required on this? Well,

if you go to the state of Tennessee's

website, they're actually very clear

about it. They say the following quote,

"The use tax is the counterpart to the

sales tax. All individuals as well as

businesses operating in the state."

Operating is a key word because it

doesn't say driving cars in the estate.

It says, "Hey, if you're using a vehicle

or operating any kind of asset in the

state, you must pay a use tax when the

sales tax was not collected by the

seller on otherwise taxable products

brought or shipped into Tennessee." the

car was certainly brought or shipped

into Tennessee. It doesn't even say

driving and it says it applies to all

other blah blah blah blah blah. Okay, so

got it. That's essentially the Tennessee

argument is that hey, you brought this

vehicle to Tennessee. You drove it on

the roads. You used it in your studio.

You used it in your garage. You set up a

sham LLC in Montana. That's their

allegation. Maybe he's got a legitimate

business in Montana. In fact, Cody tells

us, "Hey, hey, hey, I'm thinking about

buying property in Montana.

>> I'm actually in the middle of purchasing

property in Montana right now." Side

note, thinking about or buying property

in Montana doesn't mean back when you

bought this property, you actually had a

legitimate business in Montana. So,

that's a little bit problematic for

Cody, but we'll talk about that. The

state of Tennessee is pretty blunt here.

They're like, "Hey, like if you bring

products into the state and you don't

pay taxes, you owe use taxes." Now, Cody

seems to know this and he kind of makes

the argument on YouTube that, hey, well,

you know, they should teach us better.

Don't get me wrong, our schools don't do

a great job for us. There's no doubt

about that. But this is really Tennessee

playing 4D chess. See, Cody is arguing,

well, we need more education or like how

many hours would it take to qualify for

this to be used in Tennessee?

>> Currently, we are asking the state, what

is the qualification for the amount of

time that that vehicle would be in or

operated out of Tennessee when there's

no information or education provided on

it.

>> Tennessee isn't worried about how many

hours. They're worried about, hey, if

you use it at all in Tennessee, we want

our money. And 4D chess move, well,

that's the entertaining part. See, the

charges against Cody are the following.

Tax evasion, willful attempt. So, a

willful attempt under subsection G of

671140.

Okay. Well, what does that section G

say? Section G says it is a class E

felony for any person to willfully

attempt in any manner to evade or defeat

any tax due to the state of Tennessee

and that is a violation each time you do

it. So potentially for every single car

you've done this with. Now, for a little

bit more context, there's a different

subsection here that basically argues if

you delay, hamper, hinder, impede, or

obstruct the state of Tennessee in the

collection of its lawful revenue or you

fabricate or falsify records, there

could be even more charges against you.

So, if he falsified his Montana LLC,

they might not just stop at G, they

could also potentially start layering on

more issues in their investigation. Now,

this is a problem. This creates the dual

argument, right? On one hand, you have

the prosecution going, "Listen, we're

going to pierce the corporate veil.

We're going to say, "We don't care that

you have an LLC. The LLC is actually

you. There's no difference between you

and the ML uh the LLC. You had no real

plans to move to Montana. The car was

here in your garage, and here's the

address of your garage. Here's you

potentially, you know, buying gas in

Tennessee or showing an Instagram post

of this, that, or whatever." you know,

they got to stalk them to put the case

together. And then they say, "Look, the

Montana LLC was just a sham. You pay a

few hundred bucks to this company that

sets up your LLC. You save 27 grand.

Hey, you win." Right? Wrong. This is

Tennessee trying to shut down this

loophole using Cody as a pawn or an

example. And it really sucks for Cody

because because he's a public figure, he

is being used as an example. Now, his

goal is going to be to prove that the

car was never in Tennessee. But that's

going to be hard to do unless somehow

he's got a duplicate set of his garage

basically.

>> I don't think the broom is a problem

really

>> in a different state. Him destroying it

in Texas really doesn't matter. Him

saying he's buying land in Montana

really doesn't matter unless he could

prove he has a real business in Montana.

But it's not just that Tennessee

problem. We also have this argument that

Whistle and Diesel was being entrapped.

And see, this is where the gag order

comes in. A judge has said, "Hey, you're

not allowed to reveal any kind of

non-public information about this case."

We'll talk about gag orders in just a

moment, but Cody in this now deleted

footage reveals that his CPA was

contacted and instructed not to tell

Cody about the ongoing investigation,

which seems wrong, right? But before I

play you the clip, understand the

definition of entrapment. Entrament is a

legal defense that you can claim when

you essentially say, "Hey, I was induced

by law enforcement to commit a crime

that I would not have otherwise

committed." So, in other words, you

pushed me into a corner and you made me

do the crime. That's entrament. Saying,

"You committed a crime, we're

investigating you, don't tell anyone

about this investigation," isn't

entrament. It's making an investigation

on an incident or conducting an

investigation on incident that already

occurred. So, I don't think the

enttrapment argument is going to go very

far for Cody. But don't worry, I have

good news when it comes to Cody. And

we'll talk about that and the gag order

after I show you the now deleted

portion, which I will say doesn't feel

right. It feels like they are making an

example of Cody. And frankly, that's

exactly what they're doing. The whole

point of this, in my opinion, is to kill

the Montana LLC loophole. That's it. And

I guarantee you, well, I mean, I guess I

can't guarantee you, but I would argue

that LLC signups for Montana LLC's are

already plummeting since this arrest.

So, I think Tennessee is already

winning.

But let's go ahead and play the clip and

then let's talk about gag orders and

LLC's. We contacted my accountant. She

pays my federal taxes, my income taxes,

and everything else. She handles my

finances. She handles my my cars, my

payments. And she's a good accountant

because when they called her, a special

agent, I guess, from the state called my

accountant and they asked her all these

questions. They said, "Uh, do you do you

give Cody financial advice?" Uh, they

asked him questions about Montana LLC's.

And they were they were kind of digging.

It says in the document, she called them

back and asked if there was a problem

with Debtweilers's Montana

registrations. She asked if we should

move all of the Montana assets to

Tennessee. In other words, register them

in Tennessee and pay the sales tax. The

accountant was advised not to speak to

Debtweiler about the conversation and to

leave assets as they were until the

investigation was complete. That was a

year ago. instead of saying that I owed

any tax or sending a bill or a letter or

a notification or notice or telling my

accountant that she should talk to me

and and let's get this taken care of so

that we can be in compliance with the

law. They asked that I not be informed

about it.

I don't know about you guys, and this

isn't me defending myself, but that is

wild. So, they wanted me to not know.

That just shows me that this was not

about the money. This was never about

the money. This was not about $27,000.

This was about sending a message. So, I

don't know if they targeted this and

like chose me on purpose cuz they

thought it would get like the word out

that they're collecting tax. You better

move your registrations to Tennessee.

All right. So, obviously here you've now

seen that Cody CPA was instructed not to

tell Cody about the investigation.

Again, you can't say it's entrament

because he kind of already went through

what the alleged crime is. and that

happened in spite of any kind of

investigation or potentially even before

the investigations. We don't know. All

the details will come out soon enough or

they won't because a lot of these things

end up getting settled sort of like the

jet ski incident under NDA and then we

never end up hearing what the actual

truth was. But see, a problem that a lot

of people forget is that LLC's don't

actually protect you as well as you

might think. And that's where we enter

problem number three, the 30B6

deposition.

Ah, the 30B6 deposition. See, people

think that LLC's or corporate veils like

S corps or corporations protect them,

but unless you know what a 30B6

deposition is, you're probably not

protected. A 30B6 deposition is where

you get asked under oath to testify and

prove how you are actually somehow

different from the entity that you

propose to have. So, just because you go

file LLC paperwork gives you no actual

protection. You have to show that well

in the case of Cody, you actually have

legitimate businesses in Montana and

bank accounts and transactions and

residences or business locations or

collect mail or whatever in Montana. And

if you can't prove that, it actually

hurts your ability to say you had the

LLC in the first place, which then just

doubles down on the argument that

Tennessee is going to say you set up a

sham entity in Montana to scam us out of

youth taxes. That's their argument. Now,

I see some people on social media say,

"Well, I mean, like, what if Cody got a

letter and he just didn't get the mail

in Montana." Okay. Well, unfortunately,

that just reiterates the problem. You

don't actually pick up your mail in

Montana because it's a sham address.

That would be part of the allegation,

right? And so, this is where he's

probably not in the best of positions.

But don't worry, I think Whistle and

Diesel is going to be okay. And I'm

going to tell you how this is all going

to settle out. First, let's hit the gag

order. So, there was a gag order today.

Well, a hearing on a motion for a gag

order today on December 8th. A judge

entered into a limited gag order, not

what was initially filed for, but a

limited version. And the gag order

basically is designed to prevent the

reveal of public information or

non-public information. Correction,

non-public information. So, Cody is free

to talk about public information. But in

his last video about I'm being silenced,

Cody holds up an investigative report

and says, "I have all the details in

this investigative report." And right

here, I have a many page long

investigative report on all the details

of this case. Now, I can't say I was too

surprised when I read this because a lot

of it made sense. But I did laugh when I

was reading it.

I don't know about you guys, and this

isn't me defending myself. Part of that

is the clip that I already played for

you where he talks about his CPA getting

called on by investigators and he gets

told or the CPA gets told not

to tell Cody. That portion has since

been deleted from Cody's YouTube video.

Why? it's been deleted because the judge

doesn't want sealed non-public

information to potentially obstruct or

screw up the legal process. And so this

is where a lot of people freak out and

they say, "Wait a minute, wait a minute.

How is it legal to stop Cody from

talking about this? How is this

acceptable?" All right, few things to

break down here. Number one, from a very

basic point of view, non-public

information can be concealed from the

public to actually allow a fair trial.

Now, that might sound crazy, but listen

to this. The Supreme Court of the United

States has ruled that the right to a

fair trial via the Sixth Amendment is

more important than free speech, the

First Amendment, because they don't want

participants in a legal trial to turn

the trial into a circus.

That is people showing up at courouses

or police departments you throwing

papers and demanding Cody get freed. Not

that Cody at all implies that people

should show up and essentially

peacefully protest for him. Oh, wait.

That's exactly what he does.

>> If you guys have a role in any form,

whether that's physical, if you are

showing up to the courthouse or if

there's any communication to anyone in

the department of revenue, just please

be respectful. But again, the Supreme

Court actually says that it is a judge's

constitutional duty to shut down the

one-sided release of information because

the Sixth Amendment and the right to a

fair trial is more important than that

of free speech. Now, that doesn't mean

that Cody can't talk about publicly

known information. It just means Cody is

not allowed to hold up documents going,

"Look at the evidence in this case."

Much like the district attorney isn't

holding up papers going, "Look, Cody set

up a sham entity." And this way, the

case is then publicly litigated on

YouTube instead of in court, where then

jurors in Williamson County are like,

"Well, I subscribe to Cody, but not the

district attorney, so I like his

explanation." It's jury tainting and

potentially obstructs a fair trial.

That's what the judge is ruling here.

Now, we can agree or disagree with this,

but let's just get to the bottom line of

all of this. What is the likely outcome?

Well, in my opinion, this case is

extremely likely to settle. I think that

this case will quietly disappear, much

like Cody's jet ski incident, and this

will quietly get settled under a

non-disclosure agreement, and we'll

actually never end up knowing all of the

details of what Cody did or didn't do.

Instead, Cody won't go to jail. He'll

just pay some back taxes and penalties,

which he's probably earned more than

enough money from selling merchandise.

Talking about this case now, the Montana

tax loophole will probably die, frankly,

a rightful death. So, the Montana tax

loophole will probably die and Tennessee

will win big, which is the whole point.

The whole point of this is to make a

circus for Tennessee so Tennessee can

collect more tax revenue and the lawyers

who write LLC's in Montana lose business

and people like Cody pay more money in

taxes. Cody realizes that this is

likely, which is probably why he says

from now on he'll probably just end up

borrowing cars for durability tests.

There's also the possibility that Cody

will sue his CPA for that alleged

entrapment, though it probably won't go

anywhere with the actual CPA, though you

might end up seeing the CPA's errors and

omissions insurance kick in and pay Cody

some kind of undisclosed settlement. So,

you know, do I think that this is going

to hurt Cody's ability to start a family

in the country that he was born and

raised in, which is really the logical

fallacy of an appeal to pity, appeal to

patriotism, or an appeal to ignorance,

or that, you know, everybody's trying to

silence Cody, which is ignoring the

facts of what's actually going on.

they're afraid of him or that, you know,

there are people on the street killing

people and why isn't essentially the

revenue department of Tennessee worried

about the people dying on the streets,

which is really just a red herring.

Let's be real, this is all a lot of

drama. And it's exactly what Tennessee

wants. Tennessee wants people debating

Cody's red herrings, whether what he did

was right or wrong, whether there's an

abuse of government here, uh, or an

abuse of the Department of Justice, or

that taxation is theft. people like this

is such these are all little pools of

gasoline almost like gasoline you might

find under a rental van in Waco, Texas

because how else would a van in Waco,

Texas catch fire when it's 10 ft away

from the back right tire of a car that's

on fire and suddenly the front right

tire of a car that's parked all the way

on the other side of it catches on fire.

These are all like little pools of

Tennessee fire gas that are just lit and

they're designed to create drama to get

people to bring attention to this

Montana tax loophole so that way you

learn to not use the Montana tax

loophole.

>> Why not advertise these things that you

told us here? I feel like nobody else

knows about this.

>> We'll we'll try a little advertising and

see how it goes.

>> Congratulations, man. You have done so

much. People love you. People look up to

you.

>> Kevin Pra there, financial analyst and

YouTuber. Meet Kevin. Always great to

get your take.