Provided by UTA
Terry Diehl is a local developer and a Board of Trustees member of UTA. Provided by UTA

SALT LAKE CITY — A federal grand jury returned a new indictment Wednesday against a former Utah Transit Authority board member that drops the number of finance-related charges against him to three.

Prosecutors originally charged Terry Diehl with five counts of filing a false declaration and seven counts of concealing assets in connection with his Chapter 11 bankruptcy reorganization. Earlier this month, they added tax evasion and filing a false tax return for a total of 14 charges.

The second superseding indictment charges him with false declaration, tax evasion, and making and subscribing to a false tax return.

U.S. Attorney John Huber said prosecutors "refined" the counts to three after court rulings in a recent pretrial hearing.

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"Today's news that the government has abandoned 11 of its 14 charges is certainly a step in the right direction," said Steve Peters, one of Diehl's lawyers. "Terry looks forward to clearing his name permanently on the remaining three charges at trial."

Prosecutors allege Diehl tried to hide $1 million from the IRS that his company, Wasatch Pacific, received in 2011. He allegedly transferred the money to another business he manages and lied to his accountant about how he got it. He also is accused of failing to include income on his 2011 federal tax return.

A 10-day jury trial is scheduled to start Nov. 1.