Free Press, among the fiercest and better funded Beltway groups lobbying for the adoption of net neutrality rules, has taken great pains to criticize industry groups for holding off-the-record meetings with FCC officials. But the group’s staff had lobbied FCC officials on more than two dozen undocumented occasions since January 2009. Additionally, discrepancies were discovered between the group’s filings relating to lobbying.

Federal legislation mandates the disclosure of lobbying efforts directed at federal employees with regard to the formulation of federal rules and laws. According to recently-obtained ex-parte data, serious discrepancies were discovered between filings with the Internal Revenue Service–which are to disclose generic, grassroots lobbying expenses–and those figures reported under the Lobbying Disclosure Act–which is to monitor federal-specific lobbying expenses.

Between the years 2005 and 2010, Free Press LDA disclosures showed the group had spent little more than $150,000 on direct lobbying of legislators and federal employees. But tax filings with the IRS–only presently available up to the year 2008–revealed the organization had spent nearly $1 million on lobbying in little more than half that time.

When it was reported recently that senior FCC officials were taking off-the-record meetings with leaders in the telecommunications industry over the agency’s proposed redesign of the nation’s broadband system, Free Press cried foul, claiming that top federal regulators were “meeting exclusively with industry representatives.”

But federal regulators were not holding exclusive meetings with industry figures: As early as 2009, Free Press aides were meeting with senior officials at the NTIA; the meetings were never disclosed in the group’s quarterly LDA reports.

Emails obtained by the Daily Caller revealed one senior Free Press staffer had requested meetings with NTIA’s chief of staff Tom Power to discuss the administration’s net neutrality agenda. It was agreed that the men would meet at a Capitol Hill Starbucks — conveniently at a location where the meeting would go unreported.

According to Power’s public schedule, the pair met privately a total of three times in 2009. And on a separate occasion, Power and an aide met with a Free Press agent in August.

None of the meetings were disclosed.

Separate to the undisclosed NTIA coffee house rendezvous, FCC visitor logs revealed Free Press staff visited the agency on nearly 30 separate occasions between February 2009 and October 2009.

None of those meetings, either, were included in Free Press’ LDA reports.

“It’s a tough sell to argue that on 30 separate visits, Free Press staffers only went to the FCC–the gatekeeper of net neutrality–to talk about the weather,” one keen observer of telecommunications industry told Capitol Confidential. “Pretty obvious that Free Press willfully broke federal disclosure laws.”

On November 17, 2009, a prominent Senator and five leading Members of Congress sent a letter to the IRS asking for an investigation of the Council on American-Islamic Relations (CAIR) concerning their possible violation of the Lobbying Disclosure Act which limits the expenditures a non-profit can spend on lobbying  If CAIR has exceeded the limits of that law, they risk losing their non-profit status.  Other penalties may be more severe:  if the Secretary of the Senate or Clerk of the House of Representatives determines that CAIR should have registered and find “a knowing violation by a preponderance of the evidence,” CAIR could be “subject to a civil fine of not more than $200,000, depending on the extent and gravity of the violation,”  and if CAIR “knowingly and corruptly failed to comply,” they could be subject to imprisonment up to 5 years.    Our separate analysis of CAIR tax returns, compared to audio evidence recorded in 2006, reveals another potential issue for IRS investigators – more on that follows below…

The November 17 letter to the IRS was signed by Senator Tom Coburn (R-OK), Ranking Member on the Permanent Subcommittee on Investigations for the Homeland Security and Governmental Affairs Committee.    The members of Congress signing the letter also have extensive experience in intelligence, counter-terrorism and investigations:

• Rep. Sue Myrick (R-NC), Deputy Whip, founder of the Congressional Anti-Terrorism Caucus, who also serves on the House Permanent Select Committee on Intelligence
• Rep. Trent Franks (R-AZ), who serves on the Judiciary Committee and the Armed Services Committee
• Rep. Paul Broun (R-GA), who serves on the United States House Homeland Security Subcommittee on Intelligence, Information Sharing, and Terrorism Risk Assessment
• Rep. John Shadegg (R-AZ), who serves on the  Committee on Energy and Commerce and the Select Committee on Energy Independence and Global Warming
• Rep. Patrick McHenry (R-NC), who serves on the Subcommittee on National Security and Foreign Affairs for the Committee on Oversight and Government Reform

Our own investigation revealed another problem CAIR may have with the IRS.

Their most recent publicly available tax return, from 2006, reports gross receipts for their annual fundraiser that are significantly less than they announced at the event itself.  On that 2006 990 form, they reported that they had raised $89,775, but left blank (or zeroed) several key fields:

But our investigative team attended that 2006 annual CAIR event and recorded the fundraiser Master of Ceremonies, Rodwan Saleh of the Islamic Society of Greater Houston, announcing that they raised much more than $89,775 – at least $250,000, and possibly as much as $600,000 due to a matching grant.  Below is a partial transcript and the audio:

Partial Transcription:

RODWAN SALEH: We are now at $250,000. Takbir.

AUDIENCE: Allahu Akbar.

SALEH: Takbir.

AUDIENCE: Allahu Akbar.

SALEH: Now, listen carefully [unclear] requirements. There is a family, there is a family that says if we all now can put this amount of money from 250 to 300, they will match the 300. You understand what I’m saying? Now, so we need now to make sure that we get $50,000 in no time because if we can make 300 this family will put another 300 [unclear]. Did you hear me?

So here are two more questions for IRS investigators:   Did CAIR raise only $89,775 at the fundraiser and if so, what happened to the rest of the $250,000 (or $300,000 0r $600,000)?  Or did CAIR raise the larger amount, and if so, why did they report less to the IRS?

On November 3, 2009, we called CAIR Executive Director Nihad Awad for comment on this apparent discrepancy.  Mr. Awad said he would look into the matter and get back to us, but so far he has failed to do so.

CAIR’s supporters include foreign businesses and members of various Middle Eastern royal families, and at the 2006 annual fundraiser in question, tables were assigned to the embassies of Malaysia, Pakistan, Jordan, Qatar, Saudi Arabia, the UAE, and the Interests Section of Iran.   The Holy Land Foundation terrorism finance trial documents, along with numerous Arab and English news articles, show CAIR receiving foreign contributions and pledges ranging from hundreds of thousands to millions of dollars.  During 2005 and 2006, CAIR had additional capital to purchase properties valued at over $10 million, as detailed in the investigative best-seller book Muslim Mafia.

Yet in 2006 their membership dues from actual Muslim Americans were only $41,383 -  one percent of their total reported revenues of over $2.7 million.

One percent from Muslim Americans’ dues.  And just $89,775 gross receipts from the annual fundraiser, partially reported to the IRS.

And 99% from…somewhere else.

Incidentally, we were able to obtain copies of the 2007 990 tax forms for fifteen CAIR chapters, and the 2008 990 tax forms for five CAIR chapters, but the CAIR national office has still not made public their 2007 and 2008 tax returns.

A key question for both the IRS and the Department of Justice: Is CAIR really an organization representing Muslim Americans, or is it representing the interests of foreign principals?

To be continued….

]]> http://biggovernment.com/fgaffney/2009/11/18/the-irs-and-cair/feed/ 492 http://biggovernment.com/brjohnson/2009/11/16/how-andy-stern-got-around-obamas-no-lobbyist-policy-he-just-didnt-register/ http://biggovernment.com/brjohnson/2009/11/16/how-andy-stern-got-around-obamas-no-lobbyist-policy-he-just-didnt-register/#comments Mon, 16 Nov 2009 18:57:51 +0000 Brian Johnson http://biggovernment.com/?p=31782 President Obama has always made a pretty big deal about not working with “lobbyists”. Registered lobbyists can’t get stimulus money, can’t be White House advisors and are not allowed access to meetings and summits. So how does one get around that? It’s simple; you just don’t register as a lobbyist. That’s what Andy Stern did and it may come back to bite him.

Grover Norquist, President of Americans for Tax Reform (ATR) and me, as Executive Director of the Alliance for Worker Freedom (AWF) formally requested an investigation by the acting United States Attorney Channing D. Phillips, Esq., into the potentially illegal lobbying activities of the Service Employee International Union (SEIU) President Andy Stern.

In a letter hand delivered today to Mr. Phillips, Senate Secretary Erickson and House Clerk Miller, we wrote:

By this letter, we urge you to investigate the activities of Mr. Andy Stern, President of the Service Employees International Union (SEIU), regarding meetings and other lobbying contacts with administration, White House and Congress during 2009.  Specifically, it is important to determine whether those and related activities could constitute unregistered “lobbying” by Mr. Stern in violation of the Lobbying Disclosure Act  (LDA), 2 U.S.C. 1601, et seq.  In fact, Mr. Stern was a registered lobbyist for SEIU until January of 2007 when he terminated his registration.  For the reasons discussed below it appears that Mr. Stern continued to lobby extensively after he terminated his registered status, and in 2009 devoted so much time on lobbying and related activities that he should have re-registered as a lobbyist under LDA.

The evidence appears to put Mr. Stern in quite the pickle. The LDA defines a “lobbyist” as a person who spends over 20% of his time on “lobbying activities” and has two or more “lobbying contacts.”  It is important to note that the calculation of the 20% of time spent on lobbying activities includes numerous activities beyond direct lobbying contacts, and is with respect to a calendar quarter of a year.  A lobbyist must be registered by his or her employer and both must file reports disclosing their lobbying activities.

A “lobbying contact” includes any oral or written communication with certain individuals in the federal government (“covered” officials) regarding the formulation, modification or adoption of legislation, programs, policies or positions of the government, as well as government contracts or nominations of individuals subject to Senate confirmation.  The public officials in government who are “covered” officials include any person in the White House and any Member, Senator or staff member of Congress.

Lobbying activity” under LDA includes time spent on lobbying contacts as well as time spent by the individual on any efforts to support his or her, or another’s, lobbying contacts such as preparation or planning activities, research and other background work, as well as time spent coordinating the lobbying activities of others.

Failure to file accurate reports or to register under LDA is a violation of the Act, which provides for civil penalties of up to $200,000 and criminal penalties of up to 5 years in prison.  Reports must be filed electronically with the Clerk of the House and Secretary of the Senate.  Responsibility for enforcement of the Act rests with the U.S. Attorney for the District of Columbia, under 2 U.S.C. 1605.  In addition, the Government Accountability Office is required under the LDA to conduct random audits of filers.  It does not appear that there has been an audit of the SEIU reports.

During the first calendar quarter of 2009, Mr. Stern went to the White House on 11 separate days, including twice on February 18.  In the second calendar quarter, Mr. Stern visited on 9 days, and twice on April 13 for a total of 10 visits.  Since White House personnel, including the President and Vice President, are considered “covered” officials under LDA, all of Mr. Stern’s communications with them during these 22 visits covering 20 days would constitute “lobbying contacts.”  The time spent at the White House also constitutes “lobbying activity” time which must be captured for determining whether Mr. Stern spent more than 20% of his time during any calendar quarter engaged in lobbying. (Incidentally, in 2008, on his own LM-2 disclosure form filed with the U.S. Department of Labor, Mr. Stern disclosed that he spent at least 24% of his time on lobbying and political activities, without separating those two activities out.)

Below are some of Mr. Stern’s personal “tweets”. The full letter and accompanying documents can be viewed on www.atr.org and www.workerfreedom.org

Lobbying with Mayor Bloomberg on health care. Leaving Senator Snowe. Mayor big proponent of keeping people healthy and the right public plan”

(https://twitter.com/SEIU_ANDYSTERN, 6/24/09)

“Great discussion last 2 days with many Senators. Complicated issue but commitment to change. All understand-longer we wait worse it gets”

(https://twitter.com/SEIU_ANDYSTERN, 6/17/09)

“At Springsteen Concert. Lots of fundraisers in box. Good free choice meetings with key Senators today “

(https://twitter.com/SEIU_ANDYSTERN, 5/18/09)

“Great White House meeting with serious, real discussion on cost savings. June 1 deadline for real results. Glad we could get this started.”

(https://twitter.com/SEIU_ANDYSTERN, 5/11/09)

“Leaving White House. Serious , real discussion with great possibilities. Now work to be done by June 1 deadline. Glad we get start this.”

(https://twitter.com/SEIU_ANDYSTERN, 5/11/09)

“At White House for meeting with President on Health care.”

(https://twitter.com/SEIU_ANDYSTERN, 5/11/09)

“Congressman Sestak impressive on CNN. Visiting him tomorrow.”

(https://twitter.com/SEIU_ANDYSTERN, 5/3/09)

“Specter, Sebelius, Washington Capitols, and 100 great days. On a roll Now let’s fire Ken Lewis at B of A today to keep a great week going”

(https://twitter.com/SEIU_ANDYSTERN, 4/29/09)

“just left White House where group from MoveOn to Chamber of Commerce but mostly progressives had cocktails with Prez and VP”

(https://twitter.com/SEIU_ANDYSTERN, 2/18/09)<

Full copy of the letter below.

AndySternInvestigationRequest_FINAL –