“The Clinton Foundation operated as a foreign agent ‘early in its life’ and ‘throughout it’s existence’ and did not operate as a 501c3 charitable foundation as required by its and is not entitled to its status as a nonprofit, alleged two highly qualified forensic investigators, accompanied by three other investigators, said in explosive testimony Thursday to the House Oversight and Government Reform Committee.
John Moynihan and Lawerence W. Doyle, both graduates of the Catholic Jesuit College of the Holy Cross and former expert forensic government investigators, gave their shocking testimony before congress based on a nearly two-year investigation into the foundation’s work both nationally and internationally. They were assisted by three other highly trained experts in taxation law and financial forensic investigations. The forensic investigators stressed that they obtained all the documentation on the foundation legally and through Freedom of Information Request Acts from the IRS and other agencies.
(…) Doyle and Moynihan have amassed 6,000 documents in their nearly two-year investigation through their private firm MDA Analytics LLC. The documents were turned over more than a year and a half ago to the IRS, according to John Solomon, who first published the report last week in The Hill.
“The investigation clearly demonstrates that the foundation was not a charitable organization per se, but in point of fact was a closely held family partnership,” said Doyle, who formerly worked on Wall Street and has been involved with finance for the last ten years conducting investigations. “As such, it was governed in a fashion in which it sought in large measure to advance the personal interests of its principles as detailed within the financial analysis of this submission and further confirmed within the supporting documentation and evidence section.”
(…) The Clinton Foundation “began acting as an agent of foreign governments ‘early in its life’ and throughout its existence. As such, the foundation should’ve registered under FARA (Foreign Agents Registration Act),” he said. “Ultimately, the Foundation and its auditors conceded in formal submissions that it did operate as a (foreign) agent, therefore the foundation is not entitled to its 501c3 tax-exempt privileges as outlined in IRS 170 (c)2.”
Doyle, who was also outlining a litany of violations by the foundation, noted that currently there are approximately 1.75 million nonprofits in the United States that annually generate nearly 2 trillion dollars, which is 9 percent of the U.S. GDP.
“Who’s minding the store, looking out for the donors and minding the rule of law,” said Doyle.
“On that note, we followed the money so we made extensive spreadsheets of their revenues and expenses, we analyzed their income statements and we did a macro-review of all the donors, which is a very (jumbled) sort of foundation,” said Doyle. “Less than 1/10th of one percent of the donors gave 80 percent of the money. So we follow the money.”
Moynihan added that the foundation “did pursue programs and activities for which it had neither sought nor achieved permission to undertake.”
Particularly, he noted the case of the Clinton Presidential Library in 2004. He noted that the foundation’s role before and after the library was built was a misrepresentation to donors “of the approval organizational tax status to raise funds for the presidential library programs therein. In these pursuits, the foundation failed the organizational and operational task 501c3 internal revenue code 7.25.3.”
Additionally, Doyle stated that the foundation’s intentional “misuse of donated public funds.” He stated that the foundation “falsely attested that it received funds and used them for charitable purposes which were in fact not the case. Rather the foundation pursued in an array of activities both domestically and abroad.”
“Some may be deemed philanthropic, albeit unimproved, while other much larger in scope are properly characterized as profit-oriented and taxable undertakings of private enterprise again failing the operational tests philanthropy referenced above,” Doyle said.” (Read more: Sara Carter, 12/14/2018)