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The IRS Scandal: “That’s a Lie”

Posted by Larry Doyle on June 14, 2014 9:36 AM |

Saturday morning in America.

Should be a great day and a beautiful weekend with plenty of sports activity to captivate fans and fathers in the crowd. In the process of making the most of the weekend, though, let’s not lose sight of the fact that our nation remains under assault both from without and within.

As a father, I am very concerned for the future of this country. While I am concerned about the threat of terrorism and our fiscal condition among many other issues, my greatest concern actually centers on the lack of moral fiber and true leadership that are integral to the ongoing degradation of the rule of law in America.

Why so concerned — er, actually pissed off — on a beautiful Saturday morning? I am insulted, and hope you are as well, that we are forced to swallow such a line of horse$&it that e-mails within the IRS were lost because a computer crashed. This crock might only be compared to the junior high excuse that my dog ate my homework.

But rather than my railing further on this degrading end-of-week insult, let’s review Karl Denninger’s commentary “That’s a Lie” at The Market Ticker:

I don’t believe it.

The Internal Revenue Service told Congress Friday it has lost a trove of emails to and from Lois Lerner, a central figure in the agency’s Tea Party controversy, sparking outrage from congressional investigators who have been probing the agency for more than a year.

The IRS said it cannot locate many of Lerner’s emails prior to 2011 because her computer crashed during the summer of that year.


Lerner’s computer sent those emails through a mail server.  That server is a centralized device that, in a government installation (like the IRS) is, with a high degree of certainty, backed up and those backups are archived on a permanent basis.

In addition good business practice requires that Lerner’s computer be subjected to the same routine backups and some generation of those are typically retained permanently by policy, law or both.

Where are the backups?

“The fact that I am just learning about this, over a year into the investigation, is completely unacceptable and now calls into question the credibility of the IRS’s response to congressional inquiries,” said Rep. Dave Camp, R-Mich., chairman of the House Ways and Means Committee. “There needs to be an immediate investigation and forensic audit by Department of Justice as well as the inspector general.”


I don’t believe there are no backups of both the server and Lerner’s computer.  This means that they were almost-certainly deliberately destroyed, which is a crime (obstruction.)

This, in fact, is what usually gets government people when they get busted.  It’s not the original act — it’s the attempt to cover up what they did.

As for Mr. Camp he needs to get a special prosecutor and independent auditor in there.  Asking the DOJ to look into this is sort of like asking a Mexican Drug Lord to investigate whether one of his “mules” is involved in money laundering…..

Thank you, Mr. Denninger, for laying it out so poignantly. This issue is not one of right vs. left, but rather right vs. wrong.

If it looks like corruption and abuse of power, and smells like corruption and abuse of power, and feels like corruption and abuse of power, then . . . quack, quack . . .

America and our children deserve so much better.

Yes, I’m pissed and I am glad I have the voice provided by this blog to voice my concern and disgust. I hope that regardless of your political leanings you are pissed, as well. Abuse of power is central to degrading the rule of law which undermines our democracy.

I think fighting for our democracy is a worthy cause.

To add further fuel to this fire and to confirm Denninger’s line of reasoning, you might find this 5-minute clip from a hearing on April 1, 2014 to be of real interest. In fact, you really need to watch this. Specifically at the 2:25 mark, the current head of the IRS John Koskinen is quoted as saying, “We can find Lois Lerner’s emails.”

Happy Saturday . . . and, as always, navigate accordingly.

Larry Doyle

Please order a hard copy or Kindle version of my book, In Bed with Wall Street: The Conspiracy Crippling Our Global Economy.

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  • Van




  • Joe

    The govt and NSA has the capacity to intercept and store every e-communication in the US…and yet can lose a substantial batch of email within an agency?

    I think not.

  • Peter Sivere

    Wow – that was disturbing. I wanted to get the background on this ARROGANT civil servant and here it is.

    John Koskinen is the 48th IRS Commissioner. As Commissioner, he presides over the nation’s tax system, which collects approximately $2.4 trillion in tax revenue each year. This revenue funds most government operations and public services. Mr. Koskinen manages an agency of about 90,000 employees and a budget of approximately $11 billion.

    In his role leading the IRS, Mr. Koskinen is working to ensure that the agency maintains an appropriate balance between taxpayer service and tax enforcement and administers the tax code with fairness and integrity.

    Prior to his appointment, Mr. Koskinen served as the non-executive chairman of Freddie Mac from 2008 to 2012 and its acting chief executive officer in 2009. Previously, Mr. Koskinen served as President of the U.S. Soccer Foundation, Deputy Mayor and City Administrator of Washington D.C., Assistant to the President and Chair of the President’s Council on Year 2000 Conversion and Deputy Director for Management at the Office of Management and Budget. Mr. Koskinen also spent 21 years in the private sector in various leadership positions with the Palmieri Company, including President and Chief Executive Officer, helping to turn around large, troubled organizations. He began his career clerking for Chief Judge David L. Bazelon of the DC Circuit Court of Appeals in 1965, practiced law with the firm of Gibson, Dunn and Crutcher and served as Assistant to the Deputy Executive Director of the National Advisory Commission on Civil Disorders, also known as the Kerner Commission. Mr. Koskinen also served as Legislative Assistant to New York Mayor John Lindsay and Administrative Assistant to Sen. Abraham Ribicoff of Connecticut.

    Mr. Koskinen holds a Law Degree from Yale University School of Law and a Bachelor’s Degree from Duke University. He also studied International Law for one year in Cambridge, England. He and his wife Patricia have two grown children and live in Washington, DC.

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