by | ARTICLES, BLOG, ECONOMY, FREEDOM, GOVERNMENT, OBAMA, POLITICS, TAXES
During a speech at UNLV this week, Hillary Clinton discussed higher education and her opinion that “more needs to be done to assure young people can achieve their dreams and free students from debt.”
While making higher education more affordable is certainly a worthwhile endeavor, the means by which the Democrats have made changes — and continue to push for more change — to the student loan system will cause even higher tuition costs, unsustainable taxpayer debt, and create another rail of entitlement.
The first wave of detrimental change came in 2010 with the Pay-As-You-Earn Program implemented in 2010. Essentially, PAYE has repayment options based on 10% of discretionary income. However, if the payment doesn’t cover the accruing interest, the government pays your unpaid accruing interested for up to three years from when you begin paying back your loan under the PAYE program.” That means the taxpayer.
Obama expanded that 10% income cap this past June with an Executive Order. Its purpose is to extend “such relief to an estimated five million people with older loans who are currently ineligible”, according to the New York Times.
Though this Executive Order — and its 2010 law counterpart — may sound well and good, financially it is a disaster. The 10% income repayment does not help any young person get off on a solid financial footing. Likewise, because some sectors allow for loan forgiveness after a period of time, that amount gets written off by the federal government, thereby substantially adding to the federal debt.
And what of the federal debt? Earlier this summer, CNS News compared the current cumulative outstanding balance on federal student loans to the balance owed in January 2009, and found it had skyrocketed 517.4 percent:
“The balance owed as of the end of May was $739,641,000,000.00. That is an increase of $619,838,000,000.00 from the balance that was owed as of the end of January 2009, when it was $119,803,000,000.00, according to the Monthly Treasury Statement”.
They then compared it to George Bush’s tenure:
“During President George W. Bush’s time in office, the amount of outstanding loans increased from $67,979,000,000.00 in January of 2001 to $119,803,000,000 in January of 2009, an increase of 76.2%. This means that under President Obama, the amount of federal direct student loans increased 579% more than under President Bush.”
The most influential factor in this rapid rise of student loan debt is the PAYE program repayment terms. Besides the 10% option, students also have two other possibilities of loan help, known as “forgiveness:”
1) The balance of your loan can be forgiven after 20 years if you meet certain criteria, OR 2) Your loan can be forgiven after 10 years if you go to work for a public service organization (known as Public Service Loan Forgiveness, or PSLF).
The Wall Street Journal recently discussed the impact of “loan forgiveness” when it highlighted a report from the New America Foundation, which analyzed the PLSF impact. The WSJ noted that the report found “it will not be a small population of borrowers standing in line for this gift from taxpayers. The federal government estimates that a quarter of all jobs may qualify”.
Furthermore, the study concluded that:
“it could become common for the government to pay for a student’s entire graduate education via loan forgiveness” if those kids take jobs at a nonprofit or in government. The new payment terms for such borrowers “are unlikely to cause many graduate and professional students to fully repay their loans—even if they earn a competitive salary in their chosen careers or a salary that places them among upper-income Americans.”
and also,
“This will likely provide an incentive for graduate and professional students to borrow more rather than less, particularly for some professions. It should also make graduate students less sensitive to the price of a graduate or professional degree, allowing institutions to charge higher tuitions, especially for certain programs like healthcare, social work, education, and government, where borrowers would go on to qualify for PSLF.”
The government meddling in higher education and loan programs has perpetuated more crises, which in turn has created more government “fixes”, and hence, a new-tier of entitlements — this time, for education. And that’s not all. Senator Elizabeth Warren proposed a bill earlier this year allowing student loan holders to refinance their loans at a lower rate. How? You guessed it: a bailout to be paid for by yet another tax on the wealthy. President Obama, of course, has endorsed this legislation, but it has yet to pass Congress.
The long-term effect of such an education policy is that a new generation of youth will be raised to pursue careers in the public and non-profit sectors by the dangling carrot of free education money — instead of slugging it out in the private sector.
Do we need more regulators and bureaucrats? Where is the encouragement for innovation, for entrepreneurship, for capitalism? Where is the risk-taking? Why risk-take when you can get your education paid for by taxpayer-funded loan forgiveness and a comfortable government or non-profit job?
Small businesses have been the backbone of America. Our country was built upon those who were willing to invest their time and money to become great. This approach to education is undeniably detrimental to our future by saddling taxpayers with unseemly debt while discouraging our young people from seeking private enterprise. That is not the American Dream.
by | ARTICLES, BLOG, BUSINESS, ECONOMY, GOVERNMENT, OBAMA, POLITICS, TAXES
While stumping for Democrat candidates in Oregon, the Vice President shared his thoughts on the current economy with voters. And he got it very wrong.
“Economic growth has replaced the income that was lost during the recession, but the gains went primarily to taxpayers on the top. I think we should make them start to pay their fair share. Take the burden off the middle class”
Economic growth has not happened. Since Obama began his presidency:
The national debt has skyrocketed from $10.6 trillion to $17.8 trillion
Homeownership has decreased from 67.5% to less than 65%
Labor participation has fallen from about 66% to 63%.
Food stamp use has increased from 32 million to 46 million participants
Lost income has not been replaced: Since Obama began his presidency:
Median incomes have decreased from about $54,000 to $51,500.
The number of Americans who consider themselves middle class has dropped nearly 20%
Gains did not primarily go to taxpayers on top:
“The top 20 percent of earners accounted for 51 percent of all income in 2013, unchanged from 2012 and up slightly from 49.4 percent in 1999″.
Of course, Biden used his (wrong) economic talking points to pull out the old class-warfare playbook and insist that the rich “pay their fair share”.
Finally, if Biden is concerned about taking the burden off the middle class, he needs to start with the government. As I said earlier this week, the middle class has been the most devastated by Obama’s policies. Job growth and small business sustainability have been decimated by government regulation, taxation, fines, and lawsuits meddling in normal business practices. The middle class can’t get good jobs anymore, businesses have failed, growth is tepid, and everyday Americans are rightfully discouraged.
by | BLOG
Michael F. Holt’s book, The Political Crisis of the 1850’s, was written in the early 80’s, but its content is eerily prescient of today’s political playground.
In this book, Holt offered his not-so-typical thesis of why the Civil War happened. He suggested that is was not slavery, nor states rights, nor North vs South. Instead, Holt contends that it was the breakdown of the 2-party system of government. The breakdown occurred, not because of the differences of the two parties, but because they were so similar, that there was no real difference or robust competition anymore. Therefore, ideological disputes manifested itself in other forms — and ultimately, the Civil War.
A highly recommended read. From Amazon:
“Holt sees the Civil War as representing a breakdown in America’s democratic political process, more specifically the Second Party System of Whigs and Democrats. He demonstrates this system’s success, beginning in the 1820s and 1830s, in confining sectional disputes safely within the political arena. With the breakdown of vital two-party competition in the 1850s, sectional issues increasingly took on ideological dimension, causing, Americans North and South to see in them dangerous threats to cherished republican institutions. No longer manageable within the arena of politics, sectional differences had to be resolved with in the arena of battle.
The Political Crisis of the 1850s offers a clearly written account of politics (state and federal), sectionalism, race, and slavery from the 1820s through to the Civil War, brilliantly combining the behavioral and ideological approaches to political history”
Has anyone else ever read it? Thoughts? If you are a fan of Holt, you’ll also love his magisterial history of the Whig Party, the enormous tome which fleshes out the topics contained in “The Political Crisis of the 1850s“.
by | ARTICLES, BLOG, GOVERNMENT, HYPOCRISY, OBAMA, POLITICS
Whatever shred of actual relevancy Chuck Todd hoped to achieve as the new moderator of “Meet the Press” just collapsed during his MSNBC interview regarding the resignation of Attorney General Eric Holder. Chuck Todd eulogizes Eric Holder as “a non-political person”:
“He did a lot of the tough stuff that you would say, ‘Hey, the attorney general has to do tough stuff, this is not a forgiving job, you have to do tough stuff. But, what’s interesting about him, he is a very non-political person. And I think people used to mistakenly think that this guy was this long-time political operative who happened to be an attorney general. That’s not him at all.”
Thankfully, the folks over at NRO reminded us all that Eric Holder himself prefers to be considered a partisan hack. “In an August interview with the Hill, Holder revealed he was proud to be labeled an activist attorney general, adding that those who say the DOJ has an ‘activist civil-rights division and this is an activist attorney general — I’d say I agree with you 1000 percent and [I am] proud of it’.”
Eric Holder is the man who has completely destroyed the Office of the Attorney General. As for others Attorney Generals before him, even though they were hired by a particular President, they still put the country first. Attorney Generals have to contend with many different issues and cases, and they are expected to generally pick the most egregious ones to go after. With Holder, on the other hand, instead of picking out the most egregious, he purposefully picked out the most politically motivated ones to make hay with. Holder proudly relishes in his partisanship, yet Chuck Todd feels compelled to try to present this other Holder narrative instead — that Holder is “non-political”.
Amusingly, Chuck Todd’s asinine remarks drew swift ridicule online especially over on Twitter, where Twitchy quickly compiled a list of incredulous and snarky responses. As one person pointed out, “not even Eric Holder thinks this is true”.
The only logical conclusion is that Chuck Todd really is the hand-picked lapdog of the White House. Why else would he debut his tenure at “Meet the Press” by lobbing softball questions during an interview with President Obama? It is imperative to also pay attention to his other roles: besides being the moderator at Meet the Press, he simultaneously serves as the Political Director at NBC News; additionally, prior to becoming the moderator, Todd worked as the Chief White House correspondent. It appears Chuck Todd gleefully took a page takes his cues from Holder’s (non)partisan playbook strategy.
After three weeks at the helm, Chuck Todd’s rating have declined. According to Politico, “NBC’s “Meet the Press” finished in third place for the second consecutive week on Sunday, suggesting that the boon from Chuck Todd’s inaugural episode and exclusive interview with President Barack Obama was an aberration, rather than a harbinger.” What’s worse, if you compare it with the average number of viewers of “Meet the Press” during the 2013-2014 season, Chuck Todd’s ratings are below: “Meet the Press” in last year averaged 2.724M, whereas last week, “Meet the Press” had just 2.416M.
It will be fascinating to see how this farcical flap plays out with his viewership this week and beyond. For all the pundits who praised the choice of Chuck Todd for moderator and anointed savior of the floundering “Meet the Press”, no one can mistake his bias now. And thankfully, no one has to take him seriously anymore either.
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John Koskinen has failed the IRS and the American people. Should he resign?
IRS Commissioner John Koskinen testified last week about the missing emails lost forever due to computer failures. When questioned about any more crashes or computer issues recently, Koskinen told the House Oversight and Government Reform subcommittee that “Hard drive crashes continue as we speak.”
Can someone please buy the IRS reliable computers and a backup system?
Don’t forget, the IRS canceled the back-up contract service that they had for six years, shortly after Lois Lerner’s original hard drive went missing. Koskinen was forthcoming during the hearing that no backup system currently exists: “There is no system outside the IRS, government or otherwise, that the IRS uses to back up or store emails,”.
On the other hand, there was also no mention if the IRS is complying with the law that states it must keep copies of all data; it apparently hadn’t been routine practice during the time of the IRS scandal actions, so there are no assurances that it is being followed now. That is a travesty.
Koskinen also admitted that “if the agency destroyed records then ‘that was an act not consistent with the law’ but said, ‘There’s no evidence that there were records destroyed.'”.
Notice he didn’t state that “The IRS didn’t destroy records” because then it would logically follow by his own admission that the IRS would have engaged in an act “not consistent with the law”. However, Koskinen chose his words carefully when he stated “there’s no evidence that there were records destroyed” — of course there is no evidence, because it is all missing. He further reiterated this position of “non-destruction”, when he stated, “I never said they disappeared, I said they were recycled.” Because “recycling” equipment and information that is irretrievable isn’t “destruction”.
Lastly, “Koskinen also admitted that IRS employees routinely use personal email accounts to conduct agency business but maintained that ‘they do it inadvertently.'” But how can someone do something “routinely” but also “inadvertently”? Of course, it makes no sense. Don’t forget, the email game is the same practice seen with the former EPA chief Lisa Jackson last year; the IG report found that the personal email use for agency business was indeed rampant among EPA employees. Since the IRS clearly engages in the practice as well, one can only conclude that this probably not “inadvertent” from an agency of the “most transparent administration ever.”
John Koskinen was confirmed by the Senate to head the IRS on December 20, 2013. In the nine months that have followed, he has done virtually nothing to restore the trust of the agency to the American people. As the testimony above freely evidences, Koskinen is aware of many issues and irregularities — such as no backup system and use of personal emails — and yet he has yet to crack down on practices or implement stringent rules among his employees. His leadership has been derelict; his attitude abysmal. American deserves better.
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The Tax Foundation released its first global stat called the “International Tax Competitiveness Index”. This index aims to measure two criteria, competitiveness and neutrality, by examining “the extent to which a country’s tax system adheres to”, these “two important principles of tax policy”.
The index accounted for more than 40 tax positions and policies. In their analysis, two of the most damning reasons for ranking the United States near the very bottom of the list include the highest corporate tax rate (39%), as well as the “rare demand that money earned overseas should be taxed as if it were earned domestically”. As such, the United States outranked out only Portugal and France and was placed 32 out 34 industrialized nations.
The concept of “competitiveness” is described as one that “limits the taxation of businesses and investment”. The Tax Foundation acknowledges that heavy taxation runs the risk of the flight of capital and business location. This is turn drives “investment elsewhere, leading to slower economic growth.” We are seeing this is the growing popularity of business inversions, which is driving President Obama and Sen. Chuck Schumer to create punitive legislation on business that wish to leave. Ironically, if they are successful, the WSJ notes, ” the U.S. could fall to dead last on next year’s ranking. Now there’s a second-term legacy project for the President.”
Not only are corporate taxes the highest on this list of 34 countries, it is pretty much the highest in the entire world:
The accounting firm KPMG maintains a corporate tax table that includes more than 130 countries and only one has a higher overall corporate tax rate than the U.S. The United Arab Emirates’ 55% rate is an exception, however, because it usually applies only to foreign oil companies.
The other major concept besides competitiveness that shaped the overall index rankings is the concept of “neutrality”. Neutrality is characterized as “a tax code that seeks to raise the most revenue with the fewest economic distortions. This means that it doesn’t favor consumption over saving, as happens with capital gains and dividends taxes, estate taxes, and high progressive income taxes. This also means no targeted tax breaks for businesses for specific business activities.” These various forms of taxation, as well as the massive crony capitalism enterprises widely seen in the United States, are found to “misallocate capital and reduce economic growth”. This factored heavily into the low ranking that the United States received.
The United States is falling behind around the world:
“Liberals argue that U.S. tax rates don’t need to come down because they are already well below the level when Ronald Reagan came into office. But unlike the U.S., the world hasn’t stood still. Reagan’s tax-cutting example ignited a worldwide revolution that has seen waves of corporate tax-rate reductions. The U.S. last reduced the top marginal corporate income tax rate in 1986. But the Tax Foundation reports that other countries have reduced “the OECD average corporate tax rate from 47.5 percent in the early 1980s to around 25 percent today.”
This new index ranking should be a wake-up call and a springboard for discussion about much-needed tax reform. Our tax code is byzantine, our businesses are over-taxed, and our economy is continuing to suffer. Our reputation should not be, “At least we beat France!” We can do better. We have done better. We deserve better.
by | ARTICLES, BLOG, ECONOMY, OBAMA, POLITICS, TAXES
At least you can say Bernie Sanders is ideologically consistent. The self-proclaimed socialist unabashedly declared on Saturday that “we need a tax system which asks the billionaire class to pay its fair share of taxes and which reduces the obscene degree of wealth inequality in America.” It was particularly fitting that the speech was at an AFL-CIO convention.
Over on his Senate page, Sander’s posted his proposal — “a progressive estate tax on the wealthiest Americans”:
“For those who would pay more, the tax rate on estates valued from $3.5 million to $10 million would be 40 percent. There would be a 50 percent tax on estates worth $10 million to $50 million and a 55 percent levy on estates worth more than $50 million. A 10 percent surtax would be applied on estates worth more than $1 billion, a category that today includes fewer than 500 American families. The bill also would close estate tax loopholes that have allowed the wealthy to avoid an estimated $100 billion since 2000.
His rationale? Sanders said that this is “the fairest way to reduce wealth inequality, lower the $17 trillion national debt and pay for investments in infrastructure, education and other neglected national priorities.”
Notice he said fairest — not most efficacious — way to reduce wealth inequality. Because the actual amount raised on such a tax will be negligible for any real deficit reduction, hopefully such a foolish proposal will never be implemented.
Unfortunately, with any sort of supertax, the truest and most invisible effects will be felt in the economy. The confiscatory nature of a high estate tax is among the worst offenders. “The economic incidence of the death tax is far broader, because it causes many wealthy individuals to save less, choosing instead to retire early or, as Milton Friedman put it, “dissipate their wealth on high living.” This reduction in savings means a concomitant reduction in investment, lessening the flow of capital to businesses and organizations where countless ordinary Americans are employed.”
And yet, Sanders sees nothing “obscene” about the another kind of wealth inequality: the salary and benefits of Congress, which, at $286K, is about 95% greater than what average Americans earn. Or still yet, another kind of wealth inequality: the $17 trillion government debt and spending problem that he is purporting to fix by his punitive tax proposal.
by | BLOG, ECONOMY, GOVERNMENT, OBAMA, POLITICS, TAXES
In a moment of recent hand-wringing, the Fed examined the question of why inflation has stayed extremely low in the United States despite all the efforts of quantitative easing money pumping. Their answer: American consumers are mainly to blame.
Yes indeed. In a paper released this week by the St. Louis Federal Reserve, the Fed cites “low level of money movement in large part on consumers and their “willingness to hoard money.”. To be fair, the paper also criticized its own policies as well, suggesting that the has they have “reinforced the recession” with their “excessively low interest rate policy”.
However, “hoarding money” is seen as the main culprit and attributable to two factors:
A (gloomy) economy after the financial crisis.
The dramatic decrease in interest rates that has forced investors to readjust their portfolios toward liquid money and away from interest-bearing assets such as government bonds
The use of the word hoarding is key to understanding the contempt here. They didn’t say “willingness to save money”, they said “willingness to hoard money”. Saving would imply prudence while hoarding implies selfishness, carefully guarded. It’s like a petulant temper tantrum: why won’t you spend your money for the good of the economy?!
Equally stunning is the lack of discussion with regard to investors. They point out that investors aren’t investing in interest-bearing assets “such as government bonds” but completely omit the reality that investors aren’t investing in businesses either. This is a result of the anti-business climate which is displayed by the current administration.
People used to spend their money investing in or even starting small businesses. That was the backbone of America. It’s not so much anymore. This administration has been exceedingly heavy-handed in its efforts to demonize businesses, while promising that businesses will be highly taxed and regulated. Additionally there have been huge increases in both criminal rules and regulations about what businesses are allowed and not allowed to do, along with a litigation-friendly environment.
All anyone ever reads in the paper is that the government is spending their time and money going after businesses and penalizing them, so much that we are truly becoming dissuaded from going into business.
A few months ago, I wrote about the liberty of risk after the WSJ posted an article by Ben Casselman, who noted the very real decline of risk-taking in business ventures. It is this downward trend which is a major contributor to the fact that the recovery from the recent recession is so painfully slow and anemic. The people’s appetite for investing has been totally decimated by the war on businesses being waged.
And don’t forget, we apparently have lost our appetite for spending too, because we “hoard money” these days (whatever is leftover in a paycheck to actually be able to hoard, that is) in this “gloomy economy”.
by | ARTICLES, BLOG, FREEDOM, HYPOCRISY, POLITICS
This would be really funny if it wasn’t so sad.
Brad Woodhouse is President of American Bridge 21st Century, a SuperPAC that “monitors what Republican politicians say and fights back when their rhetoric doesn’t match their records.” This is a PAC well known to be funded by billionaire George Soros.
So when Mr. Woodhouse pushed out a news story entitled, “GOP Senate Candidates Bow at Koch Throne”, someone else noticed the irony in attacking the conservative billionaire Koch Brothers, while simultaneously receiving PAC funding from liberal billionaire George Soros.
Andrew Kaczynski, who writes over at the popular BuzzFeed took to twitter to call out Mr. Woodhouse: “It’s almost pathetic how weak the Democrats ‘run against the Koch brothers’ strategy is.”, he wrote.
One might say this falls squarely under the “fights back when their rhetoric doesn’t match their records” mantra proudly proclaimed on the American Bridge website — except that Mr. Woodhouse clearly did not approve of this particular instance of holding people “accountable for their words and actions”. This only applies to Republicans, according to the PAC website.
Mr. Woodhouse huffily replied to Kaczynski: “it’s a shame you have no idea what you are talking about”, to which Mr. Kaczynski bluntly asked, “Since you’re outraged by billionaires influencing politics @woodhouseb will American Bridge be refunding largest-donor George Soros?”
Pointing out that American Bridge takes money from certain billionaires (approved by the Left) while attacking other billionaires (not approved by the Left) did not sit well with Mr. Woodhouse, as he retorted, “That’s a stupid question”, to which Kaczynski confirmed, “So that’s a no?”.
Mr. Woodhouse then began to rationalize the hypocrisy by applying logic Animal Farm: some billionaires are more equal than others.
“Since you don’t understand the difference I don’t think there is any reason to continue this discussion,” wrote Mr. Woodhouse, to which Kaczynski replied, “I guess @woodhouseb your billionaires are better than their billionaires,”.
Mr. Woodhouse clarified that observation by writing, “well, they’re not looking to screw the middle class to enrich themselves – so yeah – maybe you do get it.”
Kaczynski confirmed the duplicity by pointing out, “So you dislike big money @woodhouseb only when it isn’t your ideology. I understand now.”
Mr. Woodhouse’s reply (and final tweet) continued using the leftist playbook by a) casting the Koch Brothers as anti-middle class and b) his opponent as stupid, by responding, “I dislike people who want to stack the deck against the middle class and am irritated by people who don’t get the difference.” You can view the twitter exchange here:
So, American Bridge is okay with taking good billionaire money while attacking bad billionaire money. Because American Bridge “understands” and “feels” and “believes”.
Its website describes how, “We understand the frustration you feel with elected officials who campaign on one set of principles but govern by another, because we feel it too. We believe you deserve better than that. We think our elected officials should have one set of principles, not one for each set of special interests they represent.”
Can we substitute “PAC” for “elected officials” above?
Nope — apparently this sentiment only applies to Republicans, not liberals or PACs. If you check out American Bridge’s opening description, it states that American Bridge “is a progressive research and communications organization committed to holding Republicans accountable for their words and actions and helping you ascertain when Republican candidates are pretending to be something they’re not.”
Therefore, according American Bridge, only Republicans should be accountable for their words and actions, and only Republicans can pretend to be something they are not. Certainly not Mr. Woodhouse, who became irritated when Mr. Kacyznski “helped him ascertain” that American Bridge was “pretending to be something they’re not” by taking (liberal) billionaire money in politics while attacking (conservative) billionaire money in politics.
That rule does not apply to Woodhouse at all. Not one bit. Because Mr. Woodhouse is not a Republican. So Mr. Woodhouse “gets the difference.” (He “understands” and “feels” and “believes”.)
All billionaires are billionaires. But some billionaires are more equal than others. A classical abuse of logic by the Left.
by | BLOG
The latest revelations in the never-ending IRS Scandal are pretty headline-worthy, but hardly a pip is being heard from the MSM, again. First, Judicial Watch has revealed, and the Department of Justice has confirmed, that the missing emails of Lois Lerner do indeed exist; second, that the content of one of Lois Lerner’s Blackberrys was destroyed after the Congressional investigation began in 2012.
The entire scandal has continuously had the makings of headline news: targeting citizens, evidence disappearing, perjury, and more. Yet few of the leading “news” outlets are bothering to cover the scandal with any journalistic depth.
On the subject of Lerner’s emails, Judicial Watch stated that,
“Department of Justice attorneys for the Internal Revenue Service told Judicial Watch on Friday that Lois Lerner’s emails, indeed all government computer records, are backed up by the federal government in case of a government-wide catastrophe. The Obama administration attorneys said that this back-up system would be too onerous to search. The DOJ attorneys also acknowledged that the Treasury Inspector General for Tax Administration (TIGTA) is investigating this back-up system.”
This is in direct contradiction to what has been declared by Lerner and the current head of the IRS, among others, have stated about the emails and their recoverability, as well as possible perjury. “Current IRS Commissioner John Koskinen testified before the House Government Oversight Committee in June that the emails during the key period when the targeting occurred were “lost” due to a hard drive crash in 2011.”
With regard to Lerner’s Blackberry, apparently the IRS submitted sworn declarations late last Friday as a response to Judge Emmet Sullivan, who is overseeing the case involving Judicial Watch v. IRS. In these sworn declarations, we find that Lois had two Blackberries. One was wiped clean after the Congressional inquiries began, without any attempt at data recovery. The second was issued in 2012, which the IRS still has. From the NY Observer:
“In two elusive and nebulous sworn declarations, we can glean that Ms. Lerner had two Blackberries. One was issued to her on November 12, 2009. According to a sworn declaration, this is the Blackberry that contained all the emails (both sent and received) that would have been in her “Outlook” and drafts that never were sent from her Blackberry during the relevant time.
With incredible disregard for the law and the Congressional inquiry, the IRS admits that this Blackberry “was removed or wiped clean of any sensitive or proprietary information and removed as scrap for disposal in June 2012.” This is a year after her hard drive “crash” and months after the Congressional inquiry began.
The IRS did not even attempt to retrieve that data. It cavalierly recites: “There is no record of any attempt by any IRS IT employee to recover data from any Blackberry device assigned to Lois Lerner in response to the Congressional investigations or this investigation,” according to Stephen Manning, Deputy Chief Information Officer for Strategy & Modernization.”
Unfortunately, these bombshells only serve to re-emphasize two things we already knew. 1) the government is not above lying and cover-ups; 2) no one in the mainstream media has the fortitude to cover the story in-depth. With CNN, CBS, and ABC News having all have direct ties to the Obama Administration over the years, we certainly won’t see any Pulitzer Prize winning investigations on the IRS Scandal at all.
