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Court overturns filmmaker's fraud conviction for 2nd time

DES MOINES, Iowa (AP) — For a second time, an appeals court has overturned the fraud conviction of a Nebraska filmmaker caught up in Iowa's film tax credits scandal.

The Iowa Court of Appeals ruled Wednesday that a judge erred in allowing jurors to hear that Dennis Brouse received $1 million in tax credits legally.

The court says that amount was irrelevant and may have improperly influenced jurors because Brouse was only charged in connection with fraudulently inflating the amount received by $6,000. The court ordered a third trial for Brouse, who was sentenced to two years probation after last year's verdict.

Brouse, who made public television programs about horse training that aired in Nebraska, moved his company to Iowa to take advantage of generous tax credits that were approved in 2007 and terminated amid reports of abuse two years later. Prosecutors accused Brouse of buying a trailer for $10,500, but claiming it cost twice that much to inflate his credits.

The court overturned Brouse's first conviction in 2014, citing flawed jury instructions.

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