Whistleblower: Mormon Church misled members on $100B tax-exempt fund

[EvilEyeFleegle]

Looks like someones in trouble:

Mormon Church has misled members on $100 billion tax-exempt investment fund, whistleblower alleges

"A former investment manager alleges in a whistleblower complaint to the Internal Revenue Service that the Church of Jesus Christ of Latter-day Saints has amassed about $100 billion in accounts intended for charitable purposes, according to a copy of the complaint obtained by The Washington Post.
The confidential document, received by the IRS on Nov. 21, accuses church leaders of misleading members — and possibly breaching federal tax rules — by stockpiling their surplus donations instead of using them for charitable works. It also accuses church leaders of using the tax-exempt donations to prop up a pair of businesses."

 

[whitehall]

An anonymous "former investment manager"? The allegations that strangely include the non crime of "misleading members" seem to be rather anemic and complicated.

 

[EvilEyeFleegle]

An anonymous "former investment manager"? The allegations that strangely include the non crime of "misleading members" seem to be rather anemic and complicated.

It pays to read the article:

"The complaint provides a window into the closely held finances of one of the nation’s most visible religious organizations, based in Salt Lake City. It details a church fortune far exceeding past estimates and encompassing stocks, bonds and cash.
The complaint was filed by David A. Nielsen, a 41-year-old Mormon who worked until September as a senior portfolio manager at the church’s investment division, a company named Ensign Peak Advisors that is based near the church’s headquarters.
Nonprofit organizations, including religious groups, are exempted in the United States from paying taxes on their income. Ensign is registered with authorities as a supporting organization and integrated auxiliary of the Mormon Church. This permits it to operate as a nonprofit and to make money largely free from U.S. taxes.
The exemption requires that Ensign operate exclusively for religious, educational or other charitable purposes, a condition that Nielsen says the firm has not met.
In a declaration signed under penalty of perjury, Nielsen urges the IRS to strip the nonprofit of its tax-exempt status and alleges that Ensign could owe billions in taxes. He is seeking a reward from the IRS, which offers whistleblowers a cut of unpaid taxes that it recovers.
Nielsen did not respond to repeated phone calls and emails seeking comment.
His twin brother, Lars P. Nielsen, provided a copy of the complaint to The Post, along with dozens of supporting documents. Lars Nielsen, a health-care consultant in Minnesota, said he prepared the complaint with his brother and helped him submit it to the IRS.
Lars Nielsen said in a statement to The Post that his brother asked him to write an exposé on his former employer.
“Having seen tens of billions in contributions and scores more in investment returns come in, and having seen nothing except two unlawful distributions to for-profit concerns go out, he was dejected beyond words, and so was I,” Lars Nielsen wrote.
He said he was coming forward without his brother’s approval because he believed the information was too important to remain confidential. “I know that sometimes newspapers use anonymous sources,” he said. “But that is usually not best for a story.”"

 

[Bob Blaylock]

Aside from the level of anonymous hearsay involved, which by itself is enough to cast serious doubts on the credibility of this accusation, there is also this…

The confidential document, received by the IRS on Nov. 21, accuses church leaders of misleading members — and possibly breaching federal tax rules — by stockpiling their surplus donations instead of using them for charitable works. It also accuses church leaders of using the tax-exempt donations to prop up a pair of businesses.​

Seems to me that this is a common enough logical trap, that there ought to be a name for it. Perhaps there is, and I just don't know it. A claim based on alleged knowledge that the one reporting it could not possibly have, even if it's true. In this case, if this is truly a confidential document, then only the one who wrote and sent it, and those in the IRS would know what it contains. This reporter is making claims about the contents of a confidential document, which, if it exists, this reporter would not have had access to, and therefore could not know what it contains.

 

[EvilEyeFleegle]

Aside from the level of anonymous hearsay involved, which by itself is enough to cast serious doubts on the credibility of this accusation, there is also this…

The confidential document, received by the IRS on Nov. 21, accuses church leaders of misleading members — and possibly breaching federal tax rules — by stockpiling their surplus donations instead of using them for charitable works. It also accuses church leaders of using the tax-exempt donations to prop up a pair of businesses.​

Seems to me that this is a common enough logical trap, that there ought to be a name for it. Perhaps there is, and I just don't know it. A claim based on alleged knowledge that the one reporting it could not possibly have, even if it's true. In this case, if this is truly a confidential document, then only the one who wrote and sent it, and those in the IRS would know what it contains. This reporter is making claims about the contents of a confidential document, which, if it exists, this reporter would not have had access to, and therefore could not know what it contains.

Again, I suggest you read the entire article. It answers your concerns..at least, it does for me...I would point out that this is just an allegation..which merits closer investigation. It may well be that there are no financial improprieties at all..and all this is just the result of a dishonest man hoping to take advantage of the reward offered for blowing the whistle on the church. It may be that the church has misled its flock..even if this were so..it has no bearing of the religious validity of the church. Just another sad commentary on the frail nature of humans.

Early days, just yet.


"His twin brother, Lars P. Nielsen, provided a copy of the complaint to The Post, along with dozens of supporting documents. Lars Nielsen, a health-care consultant in Minnesota, said he prepared the complaint with his brother and helped him submit it to the IRS.
Lars Nielsen said in a statement to The Post that his brother asked him to write an exposé on his former employer.
“Having seen tens of billions in contributions and scores more in investment returns come in, and having seen nothing except two unlawful distributions to for-profit concerns go out, he was dejected beyond words, and so was I,” Lars Nielsen wrote.
He said he was coming forward without his brother’s approval because he believed the information was too important to remain confidential. “I know that sometimes newspapers use anonymous sources,” he said. “But that is usually not best for a story.”"

 

[Bob Blaylock]

Again, I suggest you read the entire article. It answers your concerns..at least, it does for me...I would point out that this is just an allegation..which merits closer investigation. It may well be that there are no financial improprieties at all..and all this is just the result of a dishonest man hoping to take advantage of the reward offered for blowing the whistle on the church. It may be that the church has misled its flock..even if this were so..it has no bearing of the religious validity of the church. Just another sad commentary on the frail nature of humans.

Early days, just yet.


"His twin brother, Lars P. Nielsen, provided a copy of the complaint to The Post, along with dozens of supporting documents. Lars Nielsen, a health-care consultant in Minnesota, said he prepared the complaint with his brother and helped him submit it to the IRS.
Lars Nielsen said in a statement to The Post that his brother asked him to write an exposé on his former employer.
“Having seen tens of billions in contributions and scores more in investment returns come in, and having seen nothing except two unlawful distributions to for-profit concerns go out, he was dejected beyond words, and so was I,” Lars Nielsen wrote.
He said he was coming forward without his brother’s approval because he believed the information was too important to remain confidential. “I know that sometimes newspapers use anonymous sources,” he said. “But that is usually not best for a story.”"

Whatever spin you choose to put on it, you can't get around the fact that some skulduggery is involved in the way this story is reported.

Either we have a reporter lying about a document being confidential, or we have a reporter lying about knowing the contents of a confidential document to which he would have no access, or we have someone who improperly disclosed the contents of a confidential document in a manner that he had no authority to do.

No matter how you cut it, this story rests on someone having engaged in unethical and dishonest behavior. Somewhere along its critical path, this story is based on lies.

Really, there is no reason why anyone should believe that this story is anything but solid digestive waste from a male bovine.

 

[EvilEyeFleegle]

Again, I suggest you read the entire article. It answers your concerns..at least, it does for me...I would point out that this is just an allegation..which merits closer investigation. It may well be that there are no financial improprieties at all..and all this is just the result of a dishonest man hoping to take advantage of the reward offered for blowing the whistle on the church. It may be that the church has misled its flock..even if this were so..it has no bearing of the religious validity of the church. Just another sad commentary on the frail nature of humans.

Early days, just yet.


"His twin brother, Lars P. Nielsen, provided a copy of the complaint to The Post, along with dozens of supporting documents. Lars Nielsen, a health-care consultant in Minnesota, said he prepared the complaint with his brother and helped him submit it to the IRS.
Lars Nielsen said in a statement to The Post that his brother asked him to write an exposé on his former employer.
“Having seen tens of billions in contributions and scores more in investment returns come in, and having seen nothing except two unlawful distributions to for-profit concerns go out, he was dejected beyond words, and so was I,” Lars Nielsen wrote.
He said he was coming forward without his brother’s approval because he believed the information was too important to remain confidential. “I know that sometimes newspapers use anonymous sources,” he said. “But that is usually not best for a story.”"

Whatever spin you choose to put on it, you can't get around the fact that some skulduggery is involved in the way this story is reported.

Either we have a reporter lying about a document being confidential, or we have a reporter lying about knowing the contents of a confidential document to which he would have no access, or we have someone who improperly disclosed the contents of a confidential document in a manner that he had no authority to do.

No matter how you cut it, this story rests on someone having engaged in unethical and dishonest behavior. Somewhere along its critical path, this story is based on lies.

Really, there is no reason why anyone should believe that this story is anything but solid digestive waste from a male bovine.

Interesting, that you appear to put some credence in logic..and then fail to apply it. The brother said he revealed the story to the WaPo, without his brother's permission. There is your, 'dishonest', behavior..if you care to deem it such..others might deem it answering to a higher ethic. You appear invested..and this clouds your reason. IMO.

However...that the brother went against the whistle-blowers wishes in revealing the confidential document does not, in any way, speak to the veracity and validity of said document. An allegation has been made..proof has been submitted..now an investigation will ensue. It could very well be that the brother feared that without public revelation and pressure--an investigation might NOT occur..so his motive was to force the IRS's hand.

But to dismiss the allegation out of hand..without investigation..would be a travesty, right?

 

[Bob Blaylock]

The brother said he revealed the story to the WaPo, without his brother's permission. There is your, 'dishonest', behavior..if you care to deem it such..others might deem it answering to a higher ethic. You appear invested..and this clouds your reason. IMO.

However...that the brother went against the whistle-blowers wishes in revealing the confidential document does not, in any way, speak to the veracity and validity of said document. An allegation has been made..proof has been submitted..now an investigation will ensue. It could very well be that the brother feared that without public revelation and pressure--an investigation might NOT occur..so his motive was to force the IRS's hand.

The only “proof” is hearsay from a source who has already proven himself to be dishonest. In fact, the word of that proven-to-be-dishonest person is the only evidence that we have that this “confidential document” or the accusations alleged to be contained therein even exist at all.

What we have, here, is the secondhand account from a proven unreliable witness, filtered through a left wrong-wing propaganda mill, the Washington Post, filtered again through a second similar propaganda mill, MSN. No confirmation from any other source that the document exists, or what the document may contain, or of the specific accusation being made.

There's nothing to see here. Move along.

 

[EvilEyeFleegle]

The brother said he revealed the story to the WaPo, without his brother's permission. There is your, 'dishonest', behavior..if you care to deem it such..others might deem it answering to a higher ethic. You appear invested..and this clouds your reason. IMO.

However...that the brother went against the whistle-blowers wishes in revealing the confidential document does not, in any way, speak to the veracity and validity of said document. An allegation has been made..proof has been submitted..now an investigation will ensue. It could very well be that the brother feared that without public revelation and pressure--an investigation might NOT occur..so his motive was to force the IRS's hand.

The only “proof” is hearsay from a source who has already proven himself to be dishonest. In fact, the word of that proven-to-be-dishonest person is the only evidence that we have that this “confidential document” or the accusations alleged to be contained therein even exist at all.

What we have, here, is the secondhand account from a proven unreliable witness, filtered through a left wrong-wing propaganda mill, the Washington Post, filtered again through a second similar propaganda mill, MSN. No confirmation from any other source that the document exists, or what the document may contain, or of the specific accusation being made.

There's nothing to see here. Move along.

Nope..not moving along..this is the lead in many news aggregates this morning. The 'witness' has not been 'proven' anything--and only a blind adherent would allege that the document does not exist. An investigation is warranted..and an investigation we will get.

From the article:

"While declining to discuss the extent of their holdings, church leaders have sought to explain the practice of continuing to collect tithes while accumulating financial reserves.
In a speech in March 2018, Caussé linked the church’s financial strategy to the “prophecies about the last days.” Just as the church maintains grain silos and emergency warehouses, Caussé said, so it “also methodically follows the practice of setting aside a portion of its revenues each year to prepare for any possible future needs.”

According to the complaint, Ensign’s president, Roger Clarke, has told others that the amassed funds would be used in the event of the second coming of Christ. Clarke did not respond to an email seeking comment.

The complaint filed by Nielsen comprised a signed Form 211, the formal piece of IRS paperwork for reporting tax avoidance, a notarized cover letter to officials, plus the 74-page narrative document co-written with his brother in which he detailed his allegations at length.
These documents were sent to the IRS whistleblower office in Ogden, Utah, together with a thumb drive containing digital versions of documents and emails that Nielsen collected during his time at Ensign, the complaint says. He also provided information on Ensign’s bank accounts and a list of employees whom officials should contact.

Little has been publicly disclosed by Ensign, whose website address redirects readers to the church’s homepage.

The company files abbreviated annual tax returns that report the taxes it paid on the small fraction of its investment activity that is taxable. The returns, which are publicly available, show that in some recent years, the company has reported losses of millions of dollars — a period in which, according to the complaint, a fuller accounting of its operations would have shown billions of dollars in profits.

This limited type of tax return requires Ensign to disclose the total value of its holdings, which the complaint asserts, has for years run to tens of billions of dollars. On those returns, Ensign has sometimes stated that it held $1 million, other times “more than $1,000,000,” and it once left this section of the paperwork unfilled."

FYI..MSN is just a news aggregate..a collector of articles according to individual algorithms--they do not 'report' anything. If you find propaganda turning up in your MSN news feed, it's because the algorithm has determined that you like such things.

 

[EvilEyeFleegle]

For those that wish to read the entire complaint:

Letter to an IRS Director | The Church Of Jesus Christ Of Latter Day Saints | Tithe

 

[Bob Blaylock]

Someone else posted this link in a posting starting a new thread…

Church responds to allegations made by former employee in IRS complaint

With this article, and the church's response, a much clearer picture emerges, of a disgruntled ex-church member, making a baseless complaint, and his brother unethically leaking the to the press the contents of a “confidential” document written by the first brother. Other than this clearly-untrustworthy pair of brothers, there is no other source supporting their complaint.

There appears to truly be nothing about this matter that is worthy of the attention that has been given to it.

As I said before, nothing to see here, move along.

 

[EvilEyeFleegle]

Someone else posted this link in a posting starting a new thread…

Church responds to allegations made by former employee in IRS complaint

With this article, and the church's response, a much clearer picture emerges, of a disgruntled ex-church member, making a baseless complaint, and his brother unethically leaking the to the press the contents of a “confidential” document written by the first brother. Other than this clearly-untrustworthy pair of brothers, there is no other source supporting their complaint.

There appears to truly be nothing about this matter that is worthy of the attention that has been given to it.

As I said before, nothing to see here, move along.

Deseret.com, eh? Perhaps not the most impartial site you could choose. There is no way anyone could determine whether or not the allegations are 'baseless', at this time.

 

[Bob Blaylock]

Deseret.com, eh? Perhaps not the most impartial site you could choose. There is no way anyone could determine whether or not the allegations are 'baseless', at this time.

Admittedly, not a completely unbiased source, but certainly far more credible than the Washington Post, and even more so, far more credible than a report in the Washington Post on allegations that come only from a pair of disgruntled brothers, with no support from any other source.

Here, in this forum, I could accuse you, personally, of just about anything, without offering any more supporting evidence than has been offered in support of this accusation against the church. Of course,nobody could know for sure that my accusation was completely baseless, but really, if I don't have any evidence to support it, what should anyone assume about my credibility in making that accusation?

 

[longknife]

I've read this and several other reports thoroughly.

Here's the main error in it - These activities were kept secret from the tithe-paying membership.

A massive lie.

Every individual church has a leadership that is routinely advised of the financial status of the church. These Bishops and Branch Presidents are not only responsible for the welfare of every member of their church, but the sound financial position of the church in general. They are fully aware of these financial entities and the hundreds of millions of dollars.

Here's something to chew on.

The LDS have churches throughout the world, along with many of their sacred and highly protected temples. The funds from tithing is an international holding that is controlled by the church leadership in Salt Lake City.

LDS don't believe in government handouts. If they encounter unexpected financial hardships, they turn to their local leaders for help. As long as they're "members in good standing," they receive what they need. The understanding is that until they can repay it, they are expected to work at church projects which include farms, ranches, storage warehouses, and other similar activities.

Tithing funds those activities too.

In the end, this is nothing more than yet another hit piece by atheists and progressives who hate LDS and their healthy, family-oriented life style.

 

[Vandalshandle]

I've read this and several other reports thoroughly.

Here's the main error in it - These activities were kept secret from the tithe-paying membership.

A massive lie.

Every individual church has a leadership that is routinely advised of the financial status of the church. These Bishops and Branch Presidents are not only responsible for the welfare of every member of their church, but the sound financial position of the church in general. They are fully aware of these financial entities and the hundreds of millions of dollars.

Here's something to chew on.

The LDS have churches throughout the world, along with many of their sacred and highly protected temples. The funds from tithing is an international holding that is controlled by the church leadership in Salt Lake City.

LDS don't believe in government handouts. If they encounter unexpected financial hardships, they turn to their local leaders for help. As long as they're "members in good standing," they receive what they need. The understanding is that until they can repay it, they are expected to work at church projects which include farms, ranches, storage warehouses, and other similar activities.

Tithing funds those activities too.

In the end, this is nothing more than yet another hit piece by atheists and progressives who hate LDS and their healthy, family-oriented life style.

True. The LDS does not believe in government handouts...as long as they are tax exempt, themselves.

 

[JoeB131]

Aside from the level of anonymous hearsay involved, which by itself is enough to cast serious doubts on the credibility of this accusation, there is also this…

The confidential document, received by the IRS on Nov. 21, accuses church leaders of misleading members — and possibly breaching federal tax rules — by stockpiling their surplus donations instead of using them for charitable works. It also accuses church leaders of using the tax-exempt donations to prop up a pair of businesses.
Seems to me that this is a common enough logical trap, that there ought to be a name for it. Perhaps there is, and I just don't know it. A claim based on alleged knowledge that the one reporting it could not possibly have, even if it's true. In this case, if this is truly a confidential document, then only the one who wrote and sent it, and those in the IRS would know what it contains. This reporter is making claims about the contents of a confidential document, which, if it exists, this reporter would not have had access to, and therefore could not know what it contains.

Mormon Bob, you are such a cultist.

Your Cult started as a scam, and you are really surprised to hear they are still scamming less smart people?

 

[JoeB131]

Nope..not moving along..this is the lead in many news aggregates this morning. The 'witness' has not been 'proven' anything--and only a blind adherent would allege that the document does not exist. An investigation is warranted..and an investigation we will get.

Bob Defines "Blind Adherent". He still likes to pretend Joseph Smith wasn't a polygamist.