Investigators Raid ACORN New Orleans Office

[ninetoes]

"NEW ORLEANS -- Investigators with the Louisiana Attorney General's Office raided the New Orleans ACORN office Friday in connection with embezzlement and tax fraud allegations"

http://www.wdsu.com/news/21542857/detail.html

[magythekat]

"NEW ORLEANS -- Investigators with the Louisiana Attorney General's Office raided the New Orleans ACORN office Friday in connection with embezzlement and tax fraud allegations"

http://www.wdsu.com/news/21542857/detail.html

Are we surprised at this???.......Noooo. What a crooked organization they are ..hiding behind the auspices of "helping poor folks".:thumbdown:

[Lifeguard]

"NEW ORLEANS -- Investigators with the Louisiana Attorney General's Office raided the New Orleans ACORN office Friday in connection with embezzlement and tax fraud allegations"

http://www.wdsu.com/news/21542857/detail.html

What a horrible organization ACORN must be! Almost as horrible as the Ponzi Scheme man, Madoff, who embezzled billions! He was an embezler and obviously a tax fraud, never earning the money he stole.

By the way, how does a non-profit commit tax fraud? Non-profits don't pay taxes. Or was the tax fraud charge placed against individuals?

[Brat2002]

What a horrible organization ACORN must be! Almost as horrible as the Ponzi Scheme man, Madoff, who embezzled billions! He was an embezler and obviously a tax fraud, never earning the money he stole.

By the way, how does a non-profit commit tax fraud? Non-profits don't pay taxes. Or was the tax fraud charge placed against individuals?

Non-profit organizations can take in a lot of money. There are strict guidelines to be followed in how they obtain and use the money and they must be adhered to if they want to keep their non-profit, tax-free status. Misappropriation of funds will get them in trouble. If the money is used for other purposes than which the organization is legally allowed to do, such as personal use or giving to an unauthorized individual, then it jeopardizes their status and then IRS may be entitled to it's cut.

btw, if you want to discuss Madoff, etc. could you start another thread so you don't derail this one? Trying to change the subject to Repubs rather than commenting on the topic seems to happen an awful lot around here.

[Lifeguard]

Non-profit organizations can take in a lot of money. There are strict guidelines to be followed in how they obtain and use the money and they must be adhered to if they want to keep their non-profit, tax-free status. Misappropriation of funds will get them in trouble. If the money is used for other purposes than which the organization is legally allowed to do, such as personal use or giving to an unauthorized individual, then it jeopardizes their status and then IRS may be entitled to it's cut.

btw, if you want to discuss Madoff, etc. could you start another thread so you don't derail this one? Trying to change the subject to Repubs rather than commenting on the topic seems to happen an awful lot around here.

There's really no "topic" here, there's a two paragraph article with no follow up. I think you didn't take tax law in law school, did you? Only for-profit corporations and individuals can be charged with "tax fraud"... Have you heard of churches? They can be re-assigned, but not charged with tax fraud, unless they are not churches. Churches can actually make a "profit" on an event or service or product, but they must not do political work to maintain their status.

So, I assume, without any facts from the article to back this up, and no other material links, that someone in LA is thinking ACORN is doing "political" work. Let's see how this shakes out, shall we?

Meanwhile tax fraud is most often a charge pleaded to by rich individuals, NOT non-profits. Look it up. Most of those guilty are very rich, like Madoff, that's why I brought it up. Hardly NO non-profits and fewer churches are charged with "tax fraud". People are charged that way.

[ninetoes]

"Computers, records seized at ACORN offices in La."

http://www.google.com/hostednews/ap/article/ALeqM5hqn2qg7x_bzDRIfdl3GGtYsSISUwD9BQAIHG2

Ap article. Says the items were seized as part of a probe into embezzlement and tax fraud .

[MercedesV]

State prosecutors said their probe into the New Orleans offices stemmed from allegations made last year by board members involving embezzlement at ACORN nearly a decade ago.

ACORN last year settled an internal dispute and a lawsuit involving accusations that Dale Rathke, the brother of the group's founder, Wade Rathke, made around $948,000 in improper credit card charges in 1999 and 2000. The Rathke family and a donor repaid the money and no charges were ever brought.


Read more at: http://www.huffingtonpost.com/2009/11/06/computers-records-seized-_n_349248.html&cp

[franker01]

Obviously, being the brother of the founder had its advantages. MO

How many of us haven't heard stories of people who misappropriate a million bucks and family members/donors pony up the money and get them off the hook?

I would think that to be fairly common.

:laugh:

[franker01]

If as you say it is fairly common, maybe you can provide a couple of examples.

Absolutely and happy to oblige!

1) Dale Rathke

2) uh, let me get back to you on that.

:biggrin::biggrin: