Profiting from a Nonprofit Status, Thanks to Abramoff [1]
Submitted by Diane Farsetta [2] on
According to a report by the U.S. Senate Finance Committee, "five conservative nonprofit organizations, including one run by prominent Republican Grover Norquist [3], 'appear to have perpetrated a fraud' on taxpayers by selling their clout to lobbyist Jack Abramoff [4]." The nonprofits are Norquist's Americans for Tax Reform [5], the Council of Republicans for Environmental Advocacy [6], Citizens Against Government Waste [7], the National Center for Public Policy Research [8], and Toward Tradition. The Senate report [9] finds the groups probably violated their tax-exempt status, "by laundering payments and then disbursing funds at Mr. Abramoff's direction; taking payments in exchange for writing newspaper columns and press releases that put Mr. Abramoff's clients in a favorable light; introducing Mr. Abramoff's clients to government officials in exchange for payment; and agreeing to act as a front organization [10] for congressional trips paid for by Mr. Abramoff's clients." Clients benefiting include Microsoft [11] and Primedia [12]'s Channel One [13]. Norquist's attorney countered that "there is no 'abuse' of ATR's tax status," as long as funds are spent in keeping with the mission of Americans for Tax Reform.