Fraud? Consider this “developing” but I have received this information from several folks independently.
Well, on the heels of the information about the IRS liens on Jennifer Horn, I have
Sidenote: we had news about this quite some time before it became public. We were “asked” to put it up – but I asked for confirmation that the amounts outstanding were, indeed, outstanding. Since I did not receive such before it hit the papers, the official paperwork listing the liens were not put up. I’m still not going to.
recieved more – and this troubles me as a Member of the State Committee to which she wishes to be the Chair. We have oft made fun and sport of Obama’s Cabinet members and wannabee hangeroners for not paying their taxes (Really, Timmy “Turbo-Tax” Giethner, el Jefe of Treasury and head honcho of the IRS?) – if this is true, it shows:
- A serious lack attention to detail for running a state-wide organization
- A serious lack of knowing what she got into in forming and running a political non-profit.
- There is no mention of that fact on the website to inform the readers
- And still taking donations from readers thinking that they their donation is tax-free
Truthfulness? If the below information is true (and I have cut it down / edited it to be bloggish), she has even more problems (although having IRS problems is bad enough as it is).
- We the People is a non-profit under IRS rules 501 (c4)
- It was started by Jennifer Horn and three others (two are Ed DeClerc and Robert Jursik):
- We the People was dissolved at the end of last year (12/26/2012 to be specific)
- On 1/11/2013, it was still taking donations (see my screen capture, above, taken about 9pm on 1/13/13) – no information is given about its non-profit status. If someone does donate now and claims it as a tax deduction – are they in trouble?
- NH Secretary of State had a “good standing” up to its ending.
- Docs for initiating, amending, and dissolving it can be found.
- No financial reports, as of today (01/13/2013) are listed with the Internal Revenue Service
- No financial reports, as of today (01/13/2013) are listed with the FEC
- No financial reports, as of today (01/13/2013) are listed with the NH AG
- No financial reports, as of today (01/13/2013) are listed with the NH SoS (other than the initiating, amending and dissolution documents.)
- No EIN has been found (a unique ID for We the People, just like all entities reporting into the IRS must have) via all the normal searches.
- There are no activities listed – which I believe you need to be to maintain good status
Note on the dissolution – given that it was done on 12/16/12, it avoided the IRS or State reporting deadlines and therefore, everything is now unknowable for monies raised and expenses paid. Nor can it be known if expenses of Board of Directors have reimbursed; and as GraniteGrok has reported on some financials of non-profits in the past, we know that this can be a considerable sum. Another question that is begged is what is the split between educational / other vs political activities; there are compliance rules for non-profits concerning this criteria (50%) and it is yet another unknown. Yet, since the ‘Grok also participates in the Right side political sphere, we know of the political events but heard little of the other (even as the former were almost always heavily publicized). Another straw?
So, if it seems apparent that a non-profit or tax-exempt Fed status, is the status then nothing other than any other business or political committee – with different rules and paperwork (and yes, one has to take into account that IRS reviews can take up to 18 months for 501(c4) status – and that amount of time ran out last fall so that cannot be used as a “reason” for no paperwork (as in “well, until we knew what our status was….”). Does this mean that We the People is in violation of NH laws / regs concerning political committees? Or does this mean there is personal liability? Problem is, to the extent that I know, the dissolution may well stop any investitation (it also stops an “oops, let’s retro this puppy to get this non-profit status back).
So:
- If not a non-profit with Fed status, doesn’t that make them an unregistered political org? Even as not being listed with the NH SoS as such?
- If not the former but are the latter, how does that square with advertising as a non-profit on the website? Truth in advertising (not!)?
- But no reports have been found if they are just a political org – can you find any?
- If you donated to We The People, and it isn’t a non-profit, then you all made political contributions – how’s this affect your personal taxes? Did you receive any paperwork from We The People on your donation(s)? Would you know be able to get a refund based on the entity not being what it said it was?
- Again, how was that money used – for what purpose, paid to what vendors, paid to which speakers, and paid to anyone else?
- And if not a non-profit, who is going to be responsible for the tax liabilities (after all, Government does demand it’s pound of flesh; out of whose hide will it come?
Bottomline:
Even if everything turns out to be legal, this appearance of “other than straight up and down the middle” should give one pause for concern. Certainly, this is not Best Practices by any stretch of the imagination. Cutting corners – very, very few people NEVER do it. I’m no lawyer, and I am no accountant, and no political operative – but even as a layman, this looks “off”.
Is this a harbinger of “future as present”? Dunno – but the NH GOP has had legal and filing problems in the past – the last thing that is needed is a resumption of such behavior with Ray Buckley salivating in his corner. Heck, the NH GOP doesn’t need GraniteGrok deciding that it should be a constant “project” on our front page (not that we’d need much urging). What is the ramification of having a “corner cutter” driving the organization?
A two word phrase is “business accumen” – making the right decisions and carrying them out in a fashion that scream “attention to detail”. This was already an issue back in 2008 when Grant Bosse accused Jennifer Horn of mixing up primary and general campaign funds – sloppy.
More logs on the fire.
Even this “light treatment” kinda shows a “Big Oops” at best; at worst, well, put in your own phrase here. Organizations operate on the principles set from on high; a lack thereof shatters the foundations. We all know that there are a ton of microscopes turned on our small State given the First In The Primary and our status as a bellweather / swing state status – donors and candidates will not tolerant. Imagine, too, if the State started to look into this (after all, we all know that politics can shade law enforcement).
Heh! I wonder what the reaction would be if Jack Kimball had to knock on that door and say “Er, ma’am – we need to speak to you….”
