The Report is 88 pages long, is very informative, and provides the following findings regarding ACORN.
U.S. House of Representatives
Committee on Oversight and Government Reform
Committee on Oversight and Government Reform
111th Congress
July 23, 2009
July 23, 2009
FINDINGS:
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• Piercing ACORN’s corporate veil in order to determine which individuals own or
control the organization is a necessary step for preventing waste, fraud and abuse
of federal funds in the hands of corporate control.
control the organization is a necessary step for preventing waste, fraud and abuse
of federal funds in the hands of corporate control.
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• When ACORN commits bad acts, the individuals who are harmed are the low to
moderate income workers whom ACORN was founded to protect.
moderate income workers whom ACORN was founded to protect.
• Dale Rathke’s embezzlement and ACORN’s subsequent cover-up are violations
of ACORN’s corporate duties and constitute fraud. The identities and roles of
those involved must be disclosed.
of ACORN’s corporate duties and constitute fraud. The identities and roles of
those involved must be disclosed.
• ACORN failed to observe its corporate articles by loaning money without proper
legal documentation, by ignoring its duties under the corporate bylaws, by
misusing corporate funds, and by terminating its members without honoring the
process setup in its Articles of Incorporation. ACORN has not complied with IRS
filing requirements or ERISA.
• ACORN’s inadequate management structure nurtured a breakdown of corporate
integrity, encouraged improper political walls, fostered violations of the tax code,
cultivated the illegal use of federal funds and supported an inadequate response to
corporate embezzlement. ACORN accepts federal grant funds yet lacks any
whistleblower policy, fails to comply with IRS laws and lacks an ongoing
relationship with duly qualified legal counsel. Project Vote lacks hiring standards
and routinely employs convicted felons. The executive directors of several
ACORN affiliates lack sufficient control of their own funds, ACORN affiliates
lack independent boards that they can report to, and directors wear hats that
jeopardize their ability to act solely in the interests of their organizations.
ACORN is responsible for Project Vote’s fraudulent registrations because
ACORN authorizes the selection of members engaged in voter registration.
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• An essential aspect of Project Vote, CCI, Citizens Services Inc. (“CSI”),
Communities Voting Together (“CVT”), and other ACORN affiliated 501(c)(3)s
is to promote desirable governmental policies consistent with its objectives
through legislation.
• ACORN and its affiliates cannot delineate their 501(c)(3) work from their non-
501(c)(3) work. Ignoring ACORN’s nonprofit protections reveals the same
individuals made strategic decisions about which regions do 501(c)(3) versus non-
501(c)(3) voter registration work.
Communities Voting Together (“CVT”), and other ACORN affiliated 501(c)(3)s
is to promote desirable governmental policies consistent with its objectives
through legislation.
• ACORN and its affiliates cannot delineate their 501(c)(3) work from their non-
501(c)(3) work. Ignoring ACORN’s nonprofit protections reveals the same
individuals made strategic decisions about which regions do 501(c)(3) versus non-
501(c)(3) voter registration work.
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• Lobbying is a substantial part of what ACORN does. It has endorsed Senator
Sherrod Brown (D-OH), Representative Albert Wynn (D-MD), and
Representative Donna Edwards (D-MD). ACORN keeps donor records from the
Clinton, Kerry and Obama campaigns with the intent to engage in prohibited
communications. ACORN receives federal funding yet engages in improper
lobbying. ACORN and its nonprofit affiliates do not have separate accounts.
Neither ACORN nor any of its affiliates have properly reported their political
activities to the IRS. These harms fly under the legal radar because the IRS rarely
checks for compliance. The “no substantial part” test is rarely enforced and the
accounts of ACORN and its affiliates are illegally commingled.
Sherrod Brown (D-OH), Representative Albert Wynn (D-MD), and
Representative Donna Edwards (D-MD). ACORN keeps donor records from the
Clinton, Kerry and Obama campaigns with the intent to engage in prohibited
communications. ACORN receives federal funding yet engages in improper
lobbying. ACORN and its nonprofit affiliates do not have separate accounts.
Neither ACORN nor any of its affiliates have properly reported their political
activities to the IRS. These harms fly under the legal radar because the IRS rarely
checks for compliance. The “no substantial part” test is rarely enforced and the
accounts of ACORN and its affiliates are illegally commingled.
In short, ACORN is one of the most indepth corrupt organizations in our time. They harm the people they seek to protect all for the sake of power. They embody everything that is unethical, ugly and corrupt in the political area. The shame in it all is that they are a wolf in sheeps clothing. They are not what they purport to be. This sounds a lot like the Mob; we are here to protect you, pay us money or we'll break your arm.
Only time will tell how ACORN will be handled at the State and Federal level. More importantly & the reason we take note at Legally UnBount, it because Nevada is on the cutting edge of making them accountable for their voter fraud.
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