Former IRS Chief’s Wife Works for Leftist Campaign Finance Reform Group

On Friday, reports broke that Former IRS chief Doug Shulman’s wife works with a liberal lobbying group, Public Campaign, where she is the senior program advisor. Public Campaign is an “organization dedicated to sweeping campaign reform that aims to dramatically reduce the role of big special interest money in American politics.”

The goal of Public Campaign is to target political groups like the conservative non-profits at issue in the IRS scandal. The Campaign says it “is laying the foundation for reform by working with a broad range of organizations, including local community groups, around the country that are fighting for change and national organizations whose members are not fairly represented under the current campaign finance system.”

CEO of Public Campaign Nick Nyhart has offered words of support for the IRS’ targeting: “There are legitimate questions to be asked about political groups that are hiding behind a 501(c)4 status. It’s unfortunate a few bad apples at the IRS will make it harder for those questions to be asked without claims of bias.”

Public Campaign gets its cash from labor unions like AFL-CIO, AFSCME, SEIU, and Move On.

http://www.breitbart.com/Big-Government/2013/05/31/former-IRS-chief-Public-Campiagn

George Soros Gives $1 Million To Barack Obama Super PAC

The Huffington Post | By Paul Blumenthal

The Democrats heavy-hitters are finally coming out of the dugout to play ball in the brave new world of unlimited contributions and super PACs.

A spokesperson for Priorities USA Action, the super PAC backing President Barack Obama’s reelection, confirmed to The Huffington Post Thursday that billionaire investor George Soros has committed $1 million to the PAC. A spokesman for House Majority PAC also confirmed to HuffPost that Soros had given a combined $500,000 to House Majority PAC and the Senate Majority PAC in September.

The New York Times’ Nick Confessore was first to publish the news about the Soros donations. According to Confessore, Soros’ political adviser Michael Vachon announced the contributions at a meeting of the liberal donor group, Democracy Alliance where former President Bill Clinton, Minority Leader Nancy Pelosi and Sen. Chuck Schumer (D-N.Y.) were urging donors — most of whom have refused until now — to give to super PACs. Aside from the Soros donations, another $10 million was promised by donors attending the meeting.

Confessore writes that Soros, who did not attend the meeting, sent an email to Democracy Alliance members explaining his contributions:

“I fully support the re-election of President Obama,” Mr. Soros said in the email. He had not contributed until now, he wrote, because he opposed the Supreme Court’s Citizens United decision in 2010, which paved the way for super PACs and unlimited money in politics. But since then, Mr. Soros wrote, he had become “appalled by the Romney campaign which is openly soliciting the money of the rich to starve the state of the money it needs to provide social services.”

It’s a sharp contrast to where Soros stood shortly after the 2010 midterm elections, when he expressed criticism of the Obama administration before a group of donors at a private meeting and suggested they pledge their money elsewhere.

Soros already has given $1.275 million to super PACs, the majority of which went to the Democratic opposition research hub American Bridge. His announced contributions this election still come nowhere near the amount that he gave to try to unseat President George W. Bush in 2004. Soros donated more than $30 million in that election — a record sum until international casino billionaire Sheldon Adelson dropped more than $70 million this year into a host of super PACs and non-disclosing non-profits.

George Soros: His Influence on the Media and the IRS Scandal

Soros’ Hand in the IRS Scandal

By Russ Jones

New details regarding the IRS scandal that found the nation’s top tax office intentionally targeting conservative groups are surfacing. Like, for example, the fact that George Soros-funded organizations sent letters encouraging the IRS to investigate conservative organizations.

According to findings reported by the Media Research Center (MRC), Soros gave $6.1 million to liberal groups who urged the Internal Revenue Service to investigate conservative non-profit organizations, including various tea party and Christian groups.

Dan Gainor, vice president of business and culture for MRC, says the scandal could be traced to a series of letters that two liberal groups — Campaign Legal Center (CLC) and Democracy 21 — sent to the IRS in 2010 and 2011 asking for an “investigation” of political consultant Karl Rove’s Crossroads GPS.

“What they need to focus on is this timeline,” Gainor suggests. “We actually carry the timeline here, and the timeline is when these lefty operations sent their letters to the IRS and what the IRS did soon after.”

Pro Publica, The Huffington Post and Mother Jones were just a few of the accomplices that helped instigate IRS investigations. But as of 2010, Pro Publica received a two-year contribution of $125,000 each year from George Soros’ Open Society Foundations.

“It is a who’s who of far-left organizations,” the MRC spokesman offers. “Remember — this is George Soros, who has given $8.5 billion to charity. Of that … that we could track, $550 million has gone to liberal operations here in the United States.”

Applications of nine organizations applying for tax-exempt status that had yet to be approved were sent to Pro Publica. Unapproved applications are not supposed to be made public.

SOURCE: http://www.onenewsnow.com/politics-govt/2013/05/20/soros-hand-in-the-irs-scandal

Soros Gave $6.1 Million to Groups Linked to Pressure on IRS to Target Conservative Nonprofits

By Mike Ciandella (CNS News), May 15, 2013 •

As IRS efforts targeting politically-conservative groups gained momentum, George Soros-funded liberal groups repeatedly called on the IRS to investigate conservative nonprofit organizations.

While the first reported instances of extra IRS scrutiny for conservative groups began in Cincinnati in March of 2010, the attacks began to pick up steam on a national level soon after Soros-funded groups began firing off letters to the IRS in October of that year – following the Supreme Court’s Citizens United ruling.

The talking points of these groups then bounced around a carefully created progressive “echo chamber,” until they eventually made their way into established media outlets. Key IRS policy changes about how it investigated conservative groups took place soon after it received three separate letters sent by Soros-funded liberal organizations.

Several Soros-funded groups including the Campaign Legal Center, Democracy 21, the Center for Public Integrity, Mother Jones and Alternet have worked to pressure the IRS to target conservative nonprofit groups. The subsequent IRS investigation flagged more than 100 tea party-related applications for higher scrutiny, including applications that included the words “Tea Party” and “patriot.”

The IRS scandal can be traced back to a series of letters that the liberal groups Campaign Legal Center (CLC) and Democracy 21 sent to the IRS back in 2010 and 2011. Both groups were funded by George’s Soros’s Open Society Foundations. The CLC received $677,000 and Democracy 21 got $365,000 from the Soros-backed foundation, according to the Foundation’s 990 tax forms.

The letters specifically targeted conservative Super PACs like Karl Rove’s Crossroads GPS, asking the IRS to scrutinize them more thoroughly to determine whether or not they should retain their tax-exempt status.

On Oct. 5, 2010, when the first letter was sent to the IRS, calling specifically for the agency to “investigate” Crossroads GPS. The letter claimed Crossroads was “impermissibly using its tax status to spend tens of millions of dollars in the 2010 congressional races while hiding the donors funding these expenditures from the American people.” Democracy 21 President Fred Wertheimer wrote a blog post for the liberal Huffington Post to promote it, and the effort to get the media to notice the anti-conservative campaign began.

On June 27, 2011, a second letter by the CLC and Democracy 21 complained about enforcement of 501(c)(4) tax regulations, asking “that the IRS issue new regulations that better enforce the law.” Two days later, an IRS senior agency official was briefed on a new policy targeting groups which “criticize how the country is being run,” according to a Washington Post story. According to the Post, this policy was later revised.

A third letter by the CLC and Democracy 21, on Sept 28, 2011, got media traction. The letter showed the escalation of the left’s complaint about 501(c)(4) groups. It challenged “the eligibility of four organizations engaged in campaign activity to be treated as 501(c)(4) tax exempt organizations.” The four organizations included Crossroads GPS, Priorities USA, American Action Network and Americans Elect.

The Soros-funded Center for Public Integrity ($2,716,328) published a “study” on 501(c)(4) groups, on October 31, which drew heavily from, and referenced, the CLC and Democracy 21. The Center for Public Integrity has strong media connections and boasts an advisory board that includes Ben Sherwood, president of ABC News, and Michele Norris, an NPR host, as well as a board of directors with such prominent names as Huffington Post CEO Arianna Huffington, Steve Kroft of CBS News’s 60 Minutes and Craig Newmark (founder of Craigslist).

This study then led to a Mother Jones article about a month later, on November 18, which was reposted on the left-wing blog Alternet on November 21. By December of 2011, the topic had been picked up in a New York Times editorial, and then began receiving other media coverage. That editorial called for “the Internal Revenue Service to crack down on the secret political money already flooding the 2012 campaign from partisan operatives ludicrously claiming to be ‘social welfare’ activists.”

On Jan. 15, 2012, the IRS targeted groups focused on limiting government or educating people about the Constitution and Bill of Rights

Alternet and Mother Jones are both members of The Media Consortium, which is designed to do exactly what happened here. The Media Consortium was created to be a progressive “echo chamber,” where 63 separate left-wing media outlets can network and share ideas, as well as cross-promote stories. Other members of the Consortium include such liberal outlets as The Nation, Democracy Now! and The American Prospect. The consortium has also received $675,000 in Soros funds since 2000. Alternet ($285,000) and Mother Jones ($485,000) have both also received individual funding from Soros’s Open Society Foundations.

This isn’t the only time the IRS has targeted conservative groups recently, nor is it the only connection between the IRS and Soros-funded groups. The IRS gave the left-wing journalism site ProPublica the applications for nine conservative groups pending tax-exempt status.

The IRS also released the confidential donor lists of the National Organization for Marriage to the liberal Human Rights Campaign. Both the Human Rights Campaign ($2,716,328) and ProPublica ($300,000) are also Soros-funded. Despite its blatant liberal leanings, ProPublica boasts a staff of well-known journalists, including veterans of The New York Times and The Wall Street journal, as well as of liberal operations like the Center for American Progress and The Nation, and has even won two Pulitzer Prizes.

Timeline Shows Influence of Soros-Funded Groups:

March 1-17, 2010: First ten reported cases of targeting by the IRS against groups that had ties to the “tea party or similar organizations.”

Sept. 16, 2010: TIME article “The New GOP Money Stampede” quotes Wertheimer;

Sept. 23, 2010: DISCLOSE act, a campaign finance disclosure act specifically targeting a Tea Party group, in the writing of which the CLC participated, fails in the Senate;

Sept. 28, 2010: Democrat Senator Max Baucus writes a letter to the IRS, citing the TIME article;

Oct. 5, 2010: Democracy 21 and Campaign Legal Center petition IRS, Wertheimer writes HuffPo article;

Oct. 7, 2010: Legal brief from HoltzmanVogel PLLC against the Democracy 21 petition;

Oct. 14, 2010: Dick Durbin asks IRS to investigate American Crossroads, HuffPo coverage;

June 27, 2011: Second petition to the IRS by CLC and Democracy 21;

June 29, 2011: IRS senior agency official Lois Lerner briefed on efforts to target groups which “criticize how the country is being run”;

Sept. 28, 2011: CLC and Democracy 21 petition IRS again, this time about four conservative groups;

Oct. 31, 2011: CPI “investigation”;

Nov. 18, 2011: Mother Jones article;

Nov. 21, 2011: Alternet repost of Mother Jones Article;

Dec. 29, 2011: New York Times oped;

Jan. 15, 2012: IRS targeted groups focusing on limiting government or educating on the Constitution and Bill of Rights;

February 2012: First articles promoting this issue appear in New York Times, Washington Post and LA Times.

$6.1 Million in Soros Funding Since 2000

• Center for Public Integrity: $2,716,328
• Campaign Legal Center: $677,000
• Media Consortium: $675,000
• Mother Jones: $485,000
• Democracy 21: $365,000
• ProPublica: $300,000
• Alternet: $285,000
• Human Rights Campaign: $600,000

SOURCE: http://cnsnews.com/blog/mike-ciandella/soros-gave-61-million-groups-linked-pressure-irs-target-conservative-nonprofits

IRS Chain of Command Suggests Scandal Not Limited to ‘Low-Level Employees’

By MARK HEMINGWAY

Cindy Thomas’s name is significant, because Thomas is the woman who leaked nine tax documents to the journalism outlet ProPublica last year. The leaking of pending tax documents is a clear violation of the law. After having uncovered the nature of Thomas’s involvement, FOX19 looks at her place in the IRS chain of command:

Former Acting IRS Commissioner Steven Miller… retires

Joseph Grant, Commissioner of Tax Exempt and Government Entities… retires.

Lois Lerner, Head of Exempt Organization…says she will invoke her 5th amendment right to not incriminate herself when called before Congress on Wednesday.

Holly Paz, Director of Exempt Organizations, subpoenaed to Washington to be interviewed by members of Congress.

All of this IRS leadership, in Washington D.C.

Then one level down is Cindy Thomas, the highest ranking employee in Cincinnati in this Tax Exempt and Government Entities Department that no one in Congress is talking to… yet.

http://www.weeklystandard.com/blogs/irs-chain-command-suggests-scandal-not-limited-low-level-employees_728777.html

Cracks Widen In The IRS Scandal Stonewall

Scandal Watch: New evidence makes it clear that the Internal Revenue Service campaign against conservatives wasn’t the result of two “rogue” agents, but was directed from higher up. The question is, how high up?

The claim that a couple of workers in the bowels of an IRS office in Cincinnati managed to block tax-exempt applications from conservative groups for more than two years, while subjecting them to outrageous, intrusive and improper requests for information, started falling apart days ago.

Last weekend, the Washington Post quoted a staffer saying that “everything comes from the top” at the IRS.

As Colleen Kelley, president of the union that represents IRS agents, told the Associated Press, “No processes or procedures or anything like that would ever be done just by frontline employees without any management involvement.”

And the New York Times reported that IRS accountants got a “directive from their manager” in early 2010 to “be on the lookout” for Tea Party-type groups.

This week, NBC News quoted a former manager of that Cincinnati office who explained how various internal checks and balances would have prevented workers from carrying out such a scheme on their own.

And Cincinnati’s Fox 19 News, which has done more solid reporting on this story than most of the major news outlets, looks to have put the final nail in the “rogue agent” story.

The local news station found that there were six agents — not two as former IRS head Steven Miller insisted just last week — who worked on these tax-exempt applications. These agents, Fox 19 learned, all had different direct managers, who in turn had different territory managers.

That means any directive applying to all these workers would had to have come from at least three levels up the management chain.

That manager turns out to be Cindy Thomas — who the IRS says oversees “exempt organization determinations” nationwide. She also happens to be the same person who ProPublica said signed off on releasing nine confidential tax-exempt applications from conservative groups to that liberal-leaning news website.

So if Thomas ordered the targeting, why? And if someone told her to get it done, who was that?

Fox 19 also learned all these managers would have known that Tea Party applications were being blocked long ago. IRS agents must handle tax-exempt applications within 270 days, after which the system automatically sends out an alert, making the agent provide a status update each month until the case is resolved.

Since the IRS started blocking Tea Party-type applications in April 2010 and didn’t approve a single one for more than two years, “thousands of red flags would have been generated.” Given the 270-day schedule, the first alerts would have hit back in December 2010.

Given all this, it’s not surprising that one top IRS official is now pleading the Fifth, and that the IRS is stonewalling congressional requests for communications relating to the targeting, including crucial emails.

Every new tidbit of information only makes the scandal look worse.

IRS Union Chief Stonewalls

By Jeffrey Lord

The Liberal Union Behind the IRSBy Jeffrey Lord

IRS’s Shulman had more public White House visits than any Cabinet member

Publicly released records show that embattled former IRS Commissioner Douglas Shulman visited the White House at least 157 times during the Obama administration, more recorded visits than even the most trusted members of the president’s Cabinet.

IRS Crosses Green Line

Pro-Israel groups felt wrath of Obama IRS, WFB investigation reveals

BY: Alana Goodman

A Washington Free Beacon investigation has identified at least five pro-Israel organizations that have been audited by the IRS in the wake of a coordinated campaign by White House-allied activist groups in 2009 and 2010.

These organizations, some of which are too afraid of government reprisals to speak publicly, say in interviews with the Free Beacon that they now believe the IRS actions may have been coordinated by the Obama administration.

Many of the charities openly clashed with the Obama administration’s policy of opposing Israeli settlement construction over the so-called “Green Line,” which marks the pre-1967 boundary between Israel and the West Bank and West and East Jerusalem.

After the Obama administration took up the Israeli-Palestinian peace process as one of its most prominent foreign policy priorities in early 2009, and made a cessation of Israeli settlement construction the cornerstone of its approach, the nonprofits were subjected to a string of unflattering media reports.

White House-allied lobbying groups joined the media criticism by challenged the nonprofits’ tax-exempt status, arguing that they undercut President Barack Obama’s Middle East policies.

“Our concern at that time was that these articles weren’t just appearing by happenstance, but may have reflected an evolving policy shift in the Obama administration to scrutinize charitable giving by organizations on behalf of Jewish communities and institutions over the Green Line,” said Jerusalem-based attorney Marc Zell, who convened a private meeting of pro-Israel groups in August 2009 to discuss these concerns.

Tax-exempt charities that support Israeli settlements have been the subject of controversy for years. But the issue came to a head after Obama made opposition to settlement construction a focus of his Middle East policy in 2009 and demanded Israeli Prime Minister Bibi Netanyahu halt all construction beyond the Green Line, including in the Israeli capital of Jerusalem.

While it is not illegal for these charities to contribute to groups and individuals across the Green Line, critics say that they should not receive tax-exempt status because they support communities the administration views as antagonistic to administration policy.

The media scrutiny began as early as March 26, 2009, when the Washington Post’s David Ignatius published a column questioning the groups’ tax-exempt status.

The American-Arab Anti-Discrimination Committee (ADC) announced the next day that it would begin a campaign of filing legal complaints with the IRS and the Treasury Department to investigate groups “allegedly raising funds for the development of illegal settlements in the occupied West Bank.”

ADC is closely tied to the Obama White House. The president recorded a video greeting to the group’s annual conference and sent two senior administration officials to attend.

The ADC announced in October 2009 that it had expanded its legal campaign against pro-Israel charities and was “working with a number of coalition partners, both nationally and internationally, in conducting this ongoing campaign.”

The chief negotiator for the Palestinian Authority raised the issue two days later during a meeting with U.S. Consul General Daniel Rubenstein, according to a State Department cable revealed by Wikileaks.

“[Palestinian negotiator Ahmad Quraya] gave the Consul General a copy of an article by Uri Blau and Nir Hasson, published in Israeli daily Haaretz newspaper on August 17, entitled ‘American Non-profit Organization Raises Funds for Settlement,’ and asked the USG to review the situation with an eye toward eliminating organizations’ tax exempt status if they are funding settlement activity,” said the cable.

On July 5, 2010, the New York Times published its 5,000-word cover story on the groups, following up with a Room for Debate series two days later. The article quoted an unnamed senior State Department administration official calling such groups “a problem” and “unhelpful to the efforts that we’re trying to make.”
The story also quoted a senior Obama Middle East adviser, Daniel Kurtzer, saying the groups “drove us crazy.”

J Street, a pro-Palestinian lobbying group that was closely aligned with the White House in 2009 and 2010, called the following week for an investigation into U.S. charities that contribute to settlements.

One pro-Israel targets was HaYovel, which was featured prominently in the New York Times article. Six months after the article was published, the IRS audited the Nashville-based charity, which sends volunteers to work in vineyards across the Green Line.

“We bookend that [New York Times] story. We were the first [group mentioned]. They really kind of focused on us,” said HaYovel’s founder Tommy Waller. “Then six months later we had an audit.”

Shari Waller, who cofounded HaYovel with her husband, said the couple received a phone call from the IRS in December 2010. She said she was not aware of anything in their tax documents that may have prompted the audit, and added that the additional scrutiny came during the group’s first five years of existence when audits tend to be rare.

“They contacted us the week of Christmas and told us they wanted to audit us, right now,” she said. “The most unusual thing to me was they contacted us at a time [that] for most people is a very hectic time, and we had just returned from Israel. To think about taking calls for an audit on the telephone—official business is usually conducted through the mail.”

Tommy Waller said he found the timing of the audit “suspicious” and believes it may have been politically motivated.

“We 100-percent support Judea and Samaria, and Jewish sovereignty in that area, and the current administration is 100 percent opposed to Jewish sovereignty in that area of Israel,” he said. “That’s why we suspected that we would have to deal with [an audit].”

Two other organizations—the American arm of an educational institution that operates across the Green Line and the American arm of a well-known Israeli charity that was mentioned in the New York Times article—say they were also audited.

Another organization that was criticized in multiple articles during 2009 and 2010 was audited last year. The organization, like many of the groups with whom the Free Beacon spoke, asked to remain anonymous out of fear of political retaliation and concern that exposure would harm fundraising efforts.

“The IRS carried out an examination of our organization, reviewing all of our accounting records, tax returns, bylaws, bank records, grant awards, etc, for the relevant period,” said a senior official of this organization.

“There was no vindictiveness in the audit itself and it was completed within a matter of months. Our feeling at the time was that this order must have come from above. The IRS seemed to be responding to a request or a complaint from higher up.”

Concerns that the IRS was targeting pro-Israel groups were first raised publicly by Z Street, a pro-Israel organization run by Lori Lowenthal Marcus.

Z Street filed a lawsuit against the IRS in 2010, alleging its application for tax-exempt status was delayed because it disagreed with the Obama administration’s Israel policy.

According to the suit, Marcus’s attorney was informed by IRS official Diane Gentry that Z Street’s “application for tax-exempt status has been at least delayed, and may be denied because of a special IRS policy in place regarding organizations in any way connected with Israel, and further that the applications of many such Israel-related organizations have been assigned to “a special unit in the D.C. office.”

Neither the IRS nor Gentry responded to a request for comment.

Marcus said Z Street has not funded anyone or any groups in the settlements. But, she added, the problems her organization faced could be related to the administration’s concerns over settlement-supporting groups.

Z Street’s application for tax-exempt status first ran into trouble with the IRS on July 19, 2010, two weeks after the lengthy New York Times article was published.

“Even if that is the case, that’s an explanation, but it’s not an answer. It’s not an adequate reason,” said Marcus. “It’s totally inappropriate.”

Zell told the Free Beacon he has not personally witnessed a shift in IRS policy since the 2009 meeting suggesting settlement-supporting nonprofits have been targeted.

However, he said it is a “yellow flag” that at least five of these organizations have been audited since 2009, considering the recent finding by the IRS inspector general that the agency targeted conservative groups.

“Now with the revelations of the IRS abuses vis-a-vis U.S. right-wing organizations, that have been published of late, there is renewed concerned that these kinds of policies, same kinds of policies and procedures, may have been targeted at these organizations [that support settlements],” he said.

http://www.whitehouse.gov/administration/eop

Senior Advisor Valerie Jarrett

Valerie B. Jarrett is a Senior Advisor to President Barack Obama. She oversees the Offices of Public Engagement and Intergovernmental Affairs and chairs the White House Council on Women and Girls.

Prior to joining the Obama Administration, she was the Chief Executive Officer of The Habitat Company. She also served as Co-Chair of the Obama-Biden Presidential Transition Team, and Senior Advisor to Obama’s presidential campaign.

Ms. Jarrett has held positions in both the public and private sector, including the Chairman of the Chicago Transit Board, the Commissioner of Planning and Development for the City of Chicago, and Deputy Chief of Staff for Mayor Richard M. Daley. She also practiced law with two private law firms.

Jarrett also served as a director of corporate and not for profit boards, including Chairman of the Board of the Chicago Stock Exchange, Director of the Federal Reserve Bank of Chicago, and Chairman of the University of Chicago Medical Center Board of Trustees.

Jarrett received her B.A. from Stanford University in 1978 and her J.D. from the University of Michigan Law School in 1981.

http://www.whitehouse.gov/administration/staff/valerie-jarrett

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