Sunday, April 20, 2014

A Criminal Organization Masquerading As… Oh, You Know the Rest
...Issa said records obtained last week from the IRS show communications from the office of ranking member Rep. Elijah Cummings, D-Md., about True the Vote, a Texas-based, non-profit conservative group that aims to prevent voter fraud.The communications at one point involved Lois Lerner, the ex-IRS official whom Issa’s panel is poised to hold in contempt of Congress on Thursday for refusing to provide testimony about her involvement in targeting conservative groups.

“The IRS and the Oversight Minority made numerous requests for virtually identical information from True the Vote, raising concerns that the IRS improperly shared protected taxpayer information with Rep. Cummings’ staff,” a statement from the Oversight panel reads.According to Issa, Cummings and his staff sought “copies of all training materials used for volunteers, affiliates, or other entities,” from True the Vote....

...The same Honorable Gentleman is trying to cover for Ms. Lerner — you know, the Lois Lerner who was apparently angling for a job with Obama’s very own private army, Organizing for Action...

...Even as the IRS faces growing heat over Lois G. Lerner and the tea party targeting scandal, a government watchdog said Wednesday it’s pursuing cases against three other tax agency employees and offices suspected of illegal political activity in support of President Obama and fellow Democrats.

In one case the Office of Special Counsel, which investigates federal employees who conduct politics on government time, said it was “commonplace” in a Dallas IRS office for employees to have pro-Obama screensavers on their computers, and to have campaign-style buttons and stickers at their office.

In another case, a worker at the tax agency’s customer help line urged taxpayers “to re-elect President Obama in 2012 by repeatedly reciting a chant based on the spelling of his last name,” the Office of Special Counsel said in a statement. OSC said it is seeking “significant disciplinary action” against that employee. Another IRS employee in Kentucky has agreed to serve a 14-day suspension for blasting Republicans in a conversation with a taxpayer....

...The most troubling new evidence are documents showing that Ms. Lerner actively corresponded with liberal campaign-finance groups Democracy 21 and the Campaign Legal Center, which had asked the IRS to investigate if conservative groups including Crossroads GPS were violating their tax-exempt status. After personally meeting with the two liberal outfits, Ms. Lerner contacted the director of the Exempt Organizations Examinations Unit in Dallas to ask why Crossroads had not been audited...

IRS at the Crossroads
...The most troubling new evidence are documents showing that Ms. Lerner actively corresponded with liberal campaign-finance groups Democracy 21 and the Campaign Legal Center, which had asked the IRS to investigate if conservative groups including Crossroads GPS were violating their tax-exempt status. After personally meeting with the two liberal outfits, Ms. Lerner contacted the director of the Exempt Organizations Examinations Unit in Dallas to ask why Crossroads had not been audited.

"You should know that we are working on a denial of the application," Ms. Lerner wrote in an email. "Please make sure all moves regarding the org are coordinated up here before we do anything." The Cincinnati agent assigned to the case at the time, Joseph Herr, noted on his timesheet, "[b]ased on conference, begin reviewing case information, tax law and draft/template advocacy denial letter, all to think about how best to compose the denial letter."

Mr. Herr had not made any indications in 2012 of an intent to deny the application, nor was any denial recommendation contained in the November 2011 analysis of the group by Exempt Organizations lawyer Hillary Goehausen. Crossroads GPS, which was cofounded by Journal contributor Karl Rove, says it applied for tax-exempt status in 2010 but still hasn't received formal IRS approval.

Ways and Means also discloses that in January 2013 Ms. Lerner asked her staff to examine five conservative groups that the website ProPublica had called "controversial dark money groups," including Americans for Responsible Leadership, Freedom Path, Rightchange.com, America is Not Stupid, and A Better America. Four of those five groups ultimately got the IRS deluxe scrutiny treatment and three were audited....

A New, More Sinister IRS Scandal
...Larry Noble, a law professor now with the Soros-funded Campaign Legal Center, was cited in the emails as someone agitating to jail conservatives who “falsely” report on IRS forms that they are not engaged in political speech. Lerner talked about setting up meetings with Justice Department election lawyers who wanted to talk about making Noble’s dreams a reality — this after Senator Sheldon Whitehouse raised the idea of criminal charges for conservatives who are not sufficiently quiet, charges that they falsely completed an IRS tax exemption form.

Their theory is a favorite among speech regulators in the Soros-funded left and academia. It goes like this: “Too much speech is bad (unless unions do it.) Groups who talk about things leftists find uncomfortable are necessarily political and thus should never have 501(c) tax exempt status. Criminally charge any group that said on their IRS tax exempt form that they were not political if they say things the left finds uncomfortable. Get Eric Holder’s Justice Department on the case.”...

...Robert Bauer had the motive to direct IRS policy against Tea Party groups. He is a longtime opponent of First Amendment freedoms and an advocate of government-speech regulation. He also can’t stand the work the Tea Party is conducting to monitor and eradicate voter fraud, work the Republican Party and national campaigns have utterly failed to perform.

During the 2008 election, while representing the Obama campaign, Bauer sent a threatening letter to the Justice Department demanding criminal investigations of people who had the audacity to speak about voter fraud. Bauer even singled out Sarah Palin in the letter. Anyone who “developed or disseminated” information about voter fraud, to Bauer, deserved the heavy boot of a criminal investigation. Read the letter; it reveals a nasty, thuggish, and lawless attitude toward political opposition....

IRS Employees Don't Just Target Political Enemies, They Also Support Friends, Says Federal Watchdog
...OSC received allegations that employees working in the IRS Taxpayer Assistance Center in Dallas, Texas, violated the Hatch Act by wearing pro-Obama political stickers, buttons, and clothing to work and displaying pro-Obama screensavers on their IRS computers. It could not be determined whether these materials were displayed prior to the November 2012 election or only afterwards. However, since the information OSC received alleged that these items were commonplace throughout the office, OSC issued cautionary guidance to all IRS employees in the Dallas Taxpayer Assistance Center that they cannot wear or display any items advocating for or against a political party, partisan political group, or partisan candidate in the workplace.

Other IRS employees face discipline for advising taxpayers to vote for President Obama during the course of their duties....

The IRS Scandal's Smoking Gun?
...In a rash of documents provided under the Freedom of Information Act to Judicial Watch, a non-partisan public interest law group, is an April 2013 email written by David Fish, acting manager of IRS Exempt Organizations Technical Guidance and Quality Assurance and sent to, among others, former IRS Director of Exempt Organizations Lois Lerner. It was part of a thread discussing a recent U.S. Senate hearing on the potential for the abuse of the 501(c)(4) tax status by organizations intervening inappropriately or improperly in candidate elections.

Responding to a message “What can I say?” from Lerner, Fish responds, “Tell Ruth she needs to get on the stick and that the next election cycle is around the corner. This is obviously a wonderful idea (that’s why we suggested it). I think you told Greg all you can tell him, unless you want to tell him that we’re taking guidance plan suggestions.”...

...The particular mention by Fish of the idea that “the next election cycle is around the corner” seems to any reasonable person to confirm or at least suggest higher-ups at the IRS including Lerner knew exactly what they were doing, had used their positions for partisan political purposes, and were continuing to do so even though the word about what they were doing had leaked out.

“The David Fish email proves the IRS originated and fed to Senate Democrats the idea of threatening conservatives with criminal prosecution for engaging in political speech – specifically with an eye towards the 2014 cycle. It’s the strongest proof yet that there should indeed be criminal prosecutions, not of conservatives but of the IRS bureaucrats who conspired to suppress them," said Phil Kerpen, the president of American Commitment and one who has followed this issue closely since it first become public knowledge....

...There is also this message from Lerner, also made public as a result of the Judicial Watch FOIA. In it she writes, "As I mentioned yesterday – there are several groups of folks from the FEC world that are pushing tax fraud prosecution for c4s who report that are not conducting political activity when they are (or these folks think they are). One is my ex-boss Larry Noble (former General Counsel at the FEC), who is now president of Americans for Campaign Reform. This is their latest push to shut these down. One IRS prosecution would make an impact and they wouldn’t fell so comfortable doing the stuff. ... So don’t be fooled about how this is being articulated – it is ALL about 501(c)(4) orgs and political activity.”

Lois Lerner: Living Embodiment of Why We Should Stay the Hell Away From the IRS
...That's why Judicial Watch's data dump of internal IRS documents suggesting that embattled former tax official Lois Lerner contacted counterparts at the Department of Justice about finding something prosecutable in the activities of conservative tax-exempt organizations is not surprising. Pick a spot in our society and dig deep enough, and eventually you'll find a crime. That's handy, if it suits your needs....

...Ultimately, as the scandal unfolded and ensnared much more than the "low level workers" originally blamed for the mess, no prosecutions materialized. But it's easy to see how focused interest by tax officials and federal prosecutors could have found arguable mismatches between organizations' conduct and some interpretation of a tax code that, notoriously, has no consistent meaning across the IRS. (Legal scholars debate whether the IRS should be required to adopt one interpretation of the rules and stick with it. That would be nice.)...

The IRS Scandal Comes Into Focus
...As the illuminating timeline accompanying the Camp letter shows, Ms. Lerner's focus on shutting down Crossroads GPS came only after Obama adviser David Axelrod listed Crossroads among "front groups for foreign-controlled companies"; only after Senate Democrats Dick Durbin, Carl Levin, Chuck Schumer and others demanded the IRS investigate Crossroads; only after the Democratic Congressional Campaign Committee launched a website to "expose donors" of Crossroads; and only after Obama's campaign lawyer, Bob Bauer, filed a complaint with the Federal Election Commission about Crossroads.

The information in Mr. Camp's letter shows that Ms. Lerner sprang to action following a January 2013 meeting with Democracy 21, a campaign-finance outfit petitioning for a crackdown on Crossroads and the liberal big-dollar Priorities USA. (She never touched Priorities, run by former Obama aides.) The Camp outline suggests cause and effect, and that's new....

...The general prohibition on releasing taxpayer information has meant that—up until Ways and Means voted Wednesday to release this info—it was impossible to know what precise actions Ms. Lerner had taken against whom. We now know that she took it upon herself to track down the status of Crossroads, to give grief to an IRS unit for not having audited it, to apparently direct another unit to deny it tax-exempt status, and to try to influence the appeals process.

We know, too, that Ms. Lerner did some of this in contravention of IRS policy, for instance involving herself in an audit decision that was supposed to be left to a special review committee. We have the story of a powerful bureaucrat targeting an organization and circumventing IRS safeguards against political or personal bias. That ought to mortify all members of Congress. That Democrats seem not to care gets to another point....

...In 2012, both the IRS and Democratic Rep. Elijah Cummings were targeting the group True the Vote. We now have email showing contact between a Cummings staffer and the IRS over that organization. How much more contact was there? It's one thing to write a public letter calling on a regulator to act. It's another to haul the regulator in front of your committee, or have your staff correspond with or pressure said regulator, with regard to ongoing actions. That's a no-no....