May, 12 2015, 02:00pm EDT
Groups Add to Evidence in "Whistleblower" Tax Fraud Claim Against ALEC
Many Corporate Members Admit Joining ALEC to Advance Legislation Benefitting Them, Despite Group's Claim That It Doesn't Lobby
WASHINGTON
Common Cause and the Center for Media and Democracy sent federal authorities new evidence today that the American Legislative Exchange Council (ALEC) is falsely passing itself off as a tax-exempt charity and effectively using taxpayer dollars to subsidize its lobbying on behalf of private interests.
Common Cause filed a supplement to its three-year-old tax whistleblower complaint against ALEC, and the two groups sent a joint letter to Internal Revenue Service Commissioner John Koskinen demanding an investigation, collection of fines and back taxes, and the revocation of ALEC's status as a tax-exempt charity.
"Our whistleblower complaint, which includes statements, letters and correspondence from ALEC member companies and previously undisclosed public records of ALEC's lobbying activities, demonstrates beyond doubt that ALEC is - and always has been - a lobby, not a charity," said Common Cause President Miles Rapoport.
The filing comes on the heels of ALEC's threat in March to file suit against Common Cause and two other groups that have criticized ALEC's positions on climate change and telecom issues. "This whistleblower supplement is unrelated to our dispute with ALEC on climate issues," Rapoport said, "but I hope that with today's filing ALEC gets the message that we will not be deterred from working to expose its activities."
The new trove of documents includes statements by 20 corporations that admit that they joined and maintained membership in ALEC to influence legislation and gain access to lawmakers. The corporate admissions included in the complaint are from Yelp, Pfizer, AT&T, Verizon, Comcast, Honeywell, Yahoo, eBay, Eli Lilly, Duke Energy, Altria, American Electric Power, Anheuser-Busch, BP, Chevron, Cox Communications, CSX Corporation, ExxonMobil, Overstock, and Peabody Energy. Several of those companies no longer are part of ALEC.
The new filing also includes the recent finding of the Minnesota Campaign Finance and Public Disclosure Board that "ALEC's primary purpose is the passage of state legislation in the various states and that all of its wide-ranging activities are in support of this primary purpose."
ALEC continues to deny that it is engaged in lobbying, submitting annual reports to the IRS with "$0" filled in on a line designated for the amount it spends on lobbying.
"Our powerful new evidence demonstrates that ALEC continues to operate as a 'corporate lobbying group masquerading as a charity,'" said Lisa Graves, Executive Director of the Center for Media and Democracy, publisher of PRWatch.org and ALECexposed.org. "Clearly, in their own words, many of the corporations that fund ALEC use it as a vehicle for their lobbying agenda."
"ALEC is a pay-to-play operation where corporate lobbyists pay for a seat and a vote as equals with legislators on model bills to benefit the legislative agenda of those very same special interests," Graves added. "Though ALEC claims that it is now a legislator-driven, bottom-up enterprise, our evidence shows that the corporations underwriting ALEC continue to drive its legislative priorities and do so to benefit their bottom lines. ALEC operates for the private gain of its corporate funders like a trade group, offering them one-stop shopping for lawmakers nationwide."
In response to the groups' past exposure of its misreporting and illegal schemes, ALEC formed a lobbying arm, the Jeffersonian Project, in 2013; it also made some changes on its tax forms, and now admits responsibility for a "scholarship" fund used to finance legislator travel.
"ALEC tried to outsource some of its more obvious lobbying to the Jeffersonian Project, an entity that ALEC controls," said Eric Havian, an attorney representing Common Cause on the submission. "But hiding its lobbying behind a different corporate mask doesn't absolve ALEC. ALEC still manages the most critical lobbying activities, such as hosting junkets to bring legislators and lobbyists together at posh resorts to strategize about how to pass favored legislation."
Today's submission to the IRS is the third challenge Common Cause and CMD have made against ALEC for masquerading as a charity at taxpayer expense.
"It has been almost exactly three years since we uncovered ALEC's tax misrepresentation and first reported it to the IRS," Rapoport said. "Three years later, the IRS Whistleblower Office has not taken action, despite its legal mandate to investigate complaints. Meanwhile, ALEC continues its secretive lobbying activities that often benefit the corporations' bottom line."
The growing scandal surrounding ALEC's tax status, secretive lobbying activities, and extremist agenda has led to an exodus of more than 100 corporations since 2011.
"The work of a robust national coalition has pushed more than 100 companies to dump ALEC," Graves said. "Other companies and elected officials should seriously reconsider sticking with a group that has misled and continues to mislead the public and the IRS about its true purpose."
Click here for a fact sheet on Common Cause's whistleblower complaint.
Common Cause is a nonpartisan, grassroots organization dedicated to upholding the core values of American democracy. We work to create open, honest, and accountable government that serves the public interest; promote equal rights, opportunity, and representation for all; and empower all people to make their voices heard in the political process.
(202) 833-1200LATEST NEWS
Montanans Launch Push to Get Abortion Rights on November Ballot
"With 2024 shaping up to be the biggest year ever for abortion on the ballot, it is critical that Montanans can make their voices heard on this issue."
Apr 17, 2024
As abortion continues to dominate this year's state and federal political contests, Montanans Securing Reproductive Rights on Tuesday launched a signature collection drive to get a citizen-initiated state constitutional amendment on the November ballot.
Since the right-wing U.S. Supreme Court reversedRoe v. Wade with Dobbs v. Jackson Women's Health Organization nearly two years ago, Republican state lawmakers have ramped up efforts to further restrict abortion care—and voters, including residents of red states, have responded by protecting reproductive freedom when weighing in on related ballot measures.
With little hope that the divided Congress will restore nationwide abortion rights, ballot initiatives for the 2024 cycle are ongoing in various states, from Arizona and Florida to Montana, where "a yes vote on Ballot Issue #14 will keep the government out of our personal lives," as the Montanans Securing Reproductive Rights website states.
"This is an exciting opportunity to secure our rights for generations to come. Now is the time to ensure power remains in the hands of the people of Montana, so everyone has the freedom to prevent, continue, or end a pregnancy should they choose," the site adds. "Politicians have no business controlling our bodies and our futures."
After a legal battle with Republican state Attorney General Austin Knudsen, the ballot language is:
CI-128 would amend the Montana Constitution to expressly provide a right to make and carry out decisions about one's own pregnancy, including the right to abortion. It would prohibit the government from denying or burdening the right to abortion before fetal viability. It would also prohibit the government from denying or burdening access to an abortion when a treating healthcare professional determines it is medically indicated to protect the pregnant patient's life or health. CI-128 prevents the government from penalizing patients, healthcare providers, or anyone who assists someone in exercising their right to make and carry out voluntary decisions about their pregnancy.
Montana currently allows abortion care up until fetal viability. In response to a legal challenge from Planned Parenthood of Montana (PPMT), a trial judge in February struck down three laws passed by the Republican-controlled state Legislature in 2021: a 20-week ban, restrictions on medication abortions, and a rule that providers must offer patients an ultrasound.
"We are relieved that Montanans will no longer live with the threat of these harmful restrictions taking effect. But make no mistake, our fight continues," PPMT president and CEO Martha Fuller said at the time. "For years anti-abortion politicians at all levels of government have made banning abortion their number one priority, despite the current protection held in our state constitution."
"During the 2023 Montana legislative session, an onslaught of anti-abortion bills was introduced, passed, and signed into law, and PPMT is working hard to beat back these attacks and more," Fuller continued. "We will never stop working to ensure that all Montanans and those who are forced to travel here for care can access the care they need."
In addition to Planned Parenthood, Montanans Securing Reproductive Rights is a campaign by the ACLU of Montana, the Fairness Project, and Forward Montana. The coalition now needs to collect 60,000 signatures by June 21.
"Anti-abortion extremists have tried to interfere in Montanans' personal healthcare choices again and again. That's totally unacceptable—Montanans deserve to make their own decisions about reproductive care, not have politicians decide for them," the Fairness Project executive director Kelly Hall said Tuesday.
"The Fairness Project is proud and excited to be supporting Montanans Securing Reproductive Rights in their campaign to pass CI-128, especially at a time when abortion rights are under attack," Hall added. "With 2024 shaping up to be the biggest year ever for abortion on the ballot, it is critical that Montanans can make their voices heard on this issue."
Keep ReadingShow Less
Spain Widens Push for EU Countries to Recognize Palestinian State
A majority of U.N. member states recognize Palestinian statehood, but the U.S. and most E.U. countries lag behind.
Apr 17, 2024
In his latest stop on a tour of several European countries aimed at gathering support for recognizing a Palestinian state, Spanish Prime Minister Pedro Sánchez joined his Slovenian counterpart on Tuesday in calling to make the diplomatic move to help secure an end to the Israeli-Palestinian conflict.
Palestine is already recognized as a state by the vast majority of United Nations members—139 out of 193 countries—and by a handful of European nations, but the European Union as a whole, the United States, and the United Kingdom are among those that have long refused to recognize statehood.
At a joint press conference with Sánchez, Slovenian Prime Minister Robert Golob said the question is "when, not if, but when is the best moment to recognize Palestine."
Al Jazeera reported Wednesday that Sánchez aims to formally recognize Palestinian statehood by July, even if he does not secure enough support from other E.U. countries.
"The time has come for the international community to once and for all recognize the state of Palestine," Sánchez said in November. "It is something that many E.U. countries believe we have to do jointly, but if this is not the case, Spain will adopt its own decision."
Sánchez has also met with leaders in Ireland, Malta, and Norway in recent weeks.
Jonas Gahr Støre, prime minister of Norway—which is not an E.U. member—said last week that his government "stands ready" to join "like-minded countries" in recognizing Palestinian statehood.
Irish Prime Minister Simon Harris said after meeting with Sánchez last Friday that formal recognition "is coming much closer and we would like to move together in doing so."
"The people of Palestine have long sought the dignity of their own country and sovereignty—a home that like Ireland and Spain can take its place amongst the nations of the Earth," Harris added.
Ireland's Green Party said Monday that the full recognition of Palestine by European countries would help to secure a cease-fire in Gaza, where Israel has killed at least 33,899 people since October and has so far starved more than two dozen children to death by blocking the vast majority of humanitarian aid for months.
Al Jazeerareported Wednesday that Belgium—which has called for economic sanctions on Israel over its bombardment of Gaza—is likely to join Spain's push after June, when the country no longer holds the E.U. presidency.
The push from Spain comes as the U.N. Security Council is scheduled to vote on whether to admit Palestine as a full member of the U.N., which the Spanish prime minister said would be supported by the governments he's met with.
Palestinian representatives announced earlier this month that they would revive their application for membership, which the U.S. has vetoed in previous votes.
"We are seeking admission. That is our natural and legal right," said Riyad Mansour, the Palestinian ambassador to the U.N. Palestine has held observer status in the U.N. since 2012.
The League of Arab States on Tuesday expressed its "unwavering support" of the Palestinians' new application.
"Membership in the United Nations is a crucial step in the right direction towards a just and lasting resolution of the Palestinian question in line with international law and relevant U.N. resolutions," said the group of 22 countries.
U.S. State Department spokesperson Matthew Miller told reporters this month that full U.N. membership for Palestine "should be done through direct negotiations through the parties," while Israeli U.N. ambassador Gilad Erdan said the fact that the application is being considered is "a victory for genocidal terror."
The Arab League urged U.N. members "not to obstruct this critical initiative."
Keep ReadingShow Less
Israeli Settlers, Soldiers 'Wiping Palestinian Communities Off the Map' in the West Bank
"While the attention of the world is focused on Gaza, abuses in the West Bank, fueled by decades of impunity and complacency among Israel's allies, are soaring."
Apr 17, 2024
Israeli soldiers have either passively watched or participated in the uprooting of at least seven communities in the West Bank since October of last year, Human Rights Watch said Wednesday in a new report documenting surging settler violence in the occupied Palestinian territory.
The rights group interviewed dozens of eyewitnesses and examined video footage showing harassment and other abuse of Palestinians in the West Bank "by men in Israeli military uniforms carrying M16 assault rifles."
Following the Hamas-led October 7 attack on southern Israel, the Israeli military drafted more than 5,000 settlers into "regional defense" units in the West Bank, Haaretzreported earlier this year. The Israeli newspaper noted that "alongside this large-scale mobilization, the [Israel Defense Forces] has distributed some 7,000 weapons to the battalions as well as to settlers who were not recruited into the army but received them as civilians whom the army considers eligible to carry military arms."
HRW's investigation found that "armed settlers, with the active participation of army units, repeatedly cut off road access and raided Palestinian communities, detained, assaulted, and tortured residents, chased them out of their homes and off their lands at gunpoint or coerced them to leave with death threats, and blocked them from taking their belongings."
"Israeli settlers and soldiers are literally wiping Palestinian communities off the map," said Omar Shakir, HRW's Israel and Palestine director.
"While the attention of the world is focused on Gaza, abuses in the West Bank, fueled by decades of impunity and complacency among Israel’s allies, are soaring."
The new report comes days after Israeli settlers—escorted by IDF soldiers—went on their latest destructive and deadly rampage in the West Bank, killing at least two Palestinians, injuring dozens, and setting homes and vehicles ablaze. At least 20 households were displaced after Israeli settlers burned down their homes.
The wave of settler violence came after a missing 14-year-old Israeli boy was found dead in the area around the West Bank city of Ramallah. The Israeli military said the boy was killed in a "terrorist attack."
Since October 7, according to the United Nations, Israeli settlers have launched more than 720 attacks on Palestinians in the West Bank, displacing at least 206 households comprised of 1,244 people—including 603 children. Israeli soldiers in uniform have been present at many of the attacks.
"Settlers and soldiers have displaced entire Palestinian communities, destroying every home, with the apparent backing of higher Israeli authorities," Bill Van Esveld, associate children's rights director at HRW, said in a statement Wednesday. "While the attention of the world is focused on Gaza, abuses in the West Bank, fueled by decades of impunity and complacency among Israel's allies, are soaring."
HRW's new report examines five West Bank communities that have come under attack by Israeli settlers, including one in which uniformed Israeli men armed with assault rifles entered tents and destroyed or stole people's belongings, abused residents, and threatened to kill them if they didn't leave the area.
"One man in uniform kicked me in the back of my neck," a Palestinian mother told HRW. "They said, 'Go to the valley, and if you come back, we will kill you.'"
None of the families forcibly evicted from the five communities examined in the HRW report have been allowed to return home.
"Palestinian children have seen their families brutalized, and their homes and schools destroyed, and the Israeli authorities are ultimately to blame," Van Esveld said Wednesday. "Senior state officials are fueling or failing to prevent these attacks, and Israel's allies are not doing enough to stop that."
Following the latest wave of settler violence in the West Bank this past weekend, a coalition of human rights organizations said in a joint statement Wednesday that "the international community must swiftly and decisively pressure the government of Israel to halt these attacks and urgently de-escalate the situation."
"With international attention centered on Gaza, the government of Israel has not only allowed settler violence to spiral but also persisted in the expansion of Israeli settlements built on Palestinian land and unlawfully seized Palestinian territory by designating it as 'state land,' blatantly violating international law," the groups noted. "Concerted efforts are needed to tackle the root cause of settler violence by permanently dismantling settlement outposts and ensuring the safe return of displaced Palestinians to their lands."
Keep ReadingShow Less
Most Popular