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Thursday, October 2, 2014

The IRS Scandal, Day 511

IRS Logo 2National Review:  IRS Erased Key Records in Lawsuit, NetJets Says, by John Fund:

There may be a pattern involving the IRS losing e-mails and other key computer records. For months, the House Oversight Committee has been pursuing the lost e-mails of Lois Lerner and other figures in the IRS tax-exempt organization scandal. 

Now, the private-jet company NetJets is claiming in a lawsuit that as part of its tax dispute with the agency the IRS “wiped clean a number of computer hard drives containing emails and other electronic documents that the Government was required to produce.”

Washington Free Beacon:  Court: Obama Admin Can’t Hide Investigation into Former White House Adviser; Austan Goolsbee Suspected of Illegally Revealing Koch Tax Details to Press:

The Obama administration must acknowledge the existence of an independent investigation into former White House senior economics adviser Austan Goolsbee’s alleged unauthorized access to the Koch brother’s tax returns, a court ruled Tuesday.

A federal judge ruled the Treasury Inspector General for Tax Administration (TIGTA) must disclose to watchdog group Cause of Action whether records of an investigation exist.

Cause of Action filed a Freedom of Information Act (FOIA) lawsuit after TIGTA refused to confirm or deny the existence of the investigation in what is commonly known as a “Glomar response.”

“The court has ruled that the federal government cannot hide behind confidentiality laws to prevent Americans from knowing if our President has gained unauthorized access to their tax information,” Cause of Action executive director Dan Epstein said in a statement Tuesday. “This is a decisive win for all Americans and for government transparency and accountability.”

Former White House Council of Economic Advisers chairman Austan Goolsbee sparked a mini-scandal in 2010 when he told reporters during a background press briefing that Koch Industries—the company of libertarian philanthropists Charles and David Koch—paid no income taxes.

Conservative lawmakers and activists said Goolsbee’s statements not only unfairly singled out the president’s political opponents but also used confidential IRS documents to do so.

 

The order from U.S. District Court Judge Emmett Sullivan was certainly clear enough. In a landmark victory for Judicial Watch, the federal judge ordered the IRS to submit sworn declarations detailing what happened to Lois Lerner’s “lost” emails and what steps were being taken to find them. What was provided was a garbled explanation from no less than five IRS officials with more holes than a block of Swiss cheese. ...

These sworn declarations came from five IRS officials: Aaron G. Signor, John H. Minsek, Stephen L. Manning, Timothy P. Camus, and Thomas J. Kane.

We noted that the IRS and DOJ filings seem to treat as a joke Judge Sullivan’s order requiring the IRS to produce details about Lois Lerner’s “lost” emails and any efforts to retrieve and produce them to Judicial Watch as required under law.

This is the story we’re supposed to believe, according to these IRS officials: Lerner’s crashed drive was analyzed by two technicians who employed a variety of tech tactics to recover the data, to no avail. The drives – which, mind you, had no recoverable data according to these experts – were then “degaussed” (wiped clean) “to protect against any possible disclosure of… taxpayer information.” Anyone with even a passing familiarity with the IRS email scandal would have realized that these filings were a blatant continuation of the cover-up.

Well, if there’s one thing I know, it is that most federal courts don’t take kindly to being treated disrespectfully and expected to act like a somnolent member of Congress as administration officials mislead, omit, and play games.

Sure enough, in a stunning move, Judge Sullivan took the extraordinary step of launching an independent inquiry into the issue of Lerner’s missing emails. ...

Judicial Watch has filed hundreds of FOIA lawsuits. I have never seen this type of court action in all my 16 years at Judicial Watch.

Judge Sullivan has already authorized Judicial Watch to submit a request for limited discovery into the missing IRS records after September 10. So stay tuned for further details very soon.

Judge Sullivan took the additional step of appointing Magistrate Judge John M. Facciola to manage and assist in discussions between Judicial Watch and the IRS about how to obtain the missing records. Magistrate Facciola is an expert in e-discovery.

https://taxprof.typepad.com/taxprof_blog/2014/10/the-irs-scandal-1.html

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Comments

Judge Jackson's ruling is contrary to the plain language of the statute, as well as every other decision on the subject. If the government appeals, it will prevail.

Posted by: Publius Novus | Oct 3, 2014 7:06:26 PM