This article is from the source 'nytimes' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at https://www.nytimes.com/2017/10/26/us/politics/irs-tea-party-lawsuit-settlement.html

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
Justice Department Settles With Tea Party Groups After I.R.S. Scrutiny Justice Department Settles With Tea Party Groups After I.R.S. Scrutiny
(about 1 hour later)
WASHINGTON — The Justice Department settled two lawsuits with conservative groups that claimed the Internal Revenue Service had unfairly scrutinized them during applications for tax-exempt status, Attorney General Jeff Sessions announced Thursday. WASHINGTON — The Justice Department settled two lawsuits with conservative groups that claimed the Internal Revenue Service had unfairly scrutinized them during applications for tax-exempt status, Attorney General Jeff Sessions announced on Thursday.
The government agreed to a multimillion-dollar settlement to resolve one lawsuit, which was brought on behalf of 428 groups, said Edward Greim, the lead attorney for the plaintiffs. The government will not pay damages to the 41 groups in the second lawsuit, but the Internal Revenue Service acknowledged its conduct was wrong. The government agreed to a multimillion-dollar settlement to resolve one lawsuit, which was brought on behalf of 428 groups, said Edward Greim, the lead lawyer for the plaintiffs. The government will not pay damages to the 41 groups in the second lawsuit, but the I.R.S. acknowledged its conduct was wrong.
The settlements mark the conclusion of two legal battles that have dogged the I.R.S. since the initial lawsuits were filed after a 2013 treasury inspector general’s audit that found groups with “Tea Party” or “Patriot” in their names received more scrutiny over their applications for tax-exempt status. The revelations plunged the I.R.S. into a firestorm that ultimately led to the ouster of the acting I.R.S. commissioner and prompted accusations that the tax collection agency was being used as a political weapon by the Obama administration. The settlements were the conclusion of two legal battles that have dogged the I.R.S. since the initial lawsuits were filed after a 2013 treasury inspector general’s audit that found groups with “Tea Party” or “Patriot” in their names received more scrutiny over their applications for tax-exempt status. The revelations plunged the I.R.S. into a firestorm that ultimately led to the ouster of its acting commissioner and prompted accusations that the agency was being used as a political weapon by the Obama administration.
“There is no excuse for this conduct,” Mr. Sessions said in a statement. “Hundreds of organizations were affected by these actions, and they deserve an apology from the IRS. We hope that today’s settlement makes clear that this abuse of power will not be tolerated.” “There is no excuse for this conduct,” Mr. Sessions said in a statement. “Hundreds of organizations were affected by these actions, and they deserve an apology from the I.R.S. We hope that today’s settlement makes clear that this abuse of power will not be tolerated.”
The Justice Department statement did not cite a specific monetary figure, but Mr. Greim said his group was pleased with the seven-figure settlement and the decision. He declined to give a specific number, citing court paperwork that had not been filed.The Justice Department statement did not cite a specific monetary figure, but Mr. Greim said his group was pleased with the seven-figure settlement and the decision. He declined to give a specific number, citing court paperwork that had not been filed.
“What we wish the I.R.S. would do is apologize, but the court can’t make the I.R.S. apologize,” Mr. Greim said.“What we wish the I.R.S. would do is apologize, but the court can’t make the I.R.S. apologize,” Mr. Greim said.
Jenny Beth Martin, a co-founder of the Tea Party Patriots who met with Mr. Sessions earlier this week, said in a statement that the decision Thursday was “a win for the Tea Party movement and for the First Amendment.” Jenny Beth Martin, a co-founder of the Tea Party Patriots who met with Mr. Sessions this week, said in a statement that the decision on Thursday was “a win for the Tea Party movement and for the First Amendment.”
The second lawsuit, in which the American Center for Law and Justice represented 41 groups in district court, was settled by apology and without monetary settlement because of the statute under which the groups brought their lawsuit. In a consent order filed Wednesday, the I.R.S. “expresses its sincere apology” for the “heightened scrutiny and inordinate delays” the groups experienced when filing tax forms from 2009 to 2012. The second lawsuit, in which the American Center for Law and Justice represented 41 groups in district court, was settled by apology and without monetary settlement because of the statute under which the groups brought their lawsuit. In a consent order filed on Wednesday, the I.R.S. “expresses its sincere apology” for the “heightened scrutiny and inordinate delays” the groups experienced when filing tax forms from 2009 to 2012.
In the agreement, the I.R.S. also admits to being wrong in demanding unnecessary information from the plaintiffs and screening groups based on name or policy affiliation.In the agreement, the I.R.S. also admits to being wrong in demanding unnecessary information from the plaintiffs and screening groups based on name or policy affiliation.
“This consent order represents a historic victory for our clients and sends the unequivocal message that a government agency’s targeting of conservative organizations, or any organization, on the basis of political viewpoints, will never be tolerated,” Jay Sekulow, a lawyer with the center, said in a statement.“This consent order represents a historic victory for our clients and sends the unequivocal message that a government agency’s targeting of conservative organizations, or any organization, on the basis of political viewpoints, will never be tolerated,” Jay Sekulow, a lawyer with the center, said in a statement.
While the I.R.S. acknowledged wrongly targeting groups based on political leanings, a report this month found that behavior crossed party lines. The Treasury Department’s inspector general reported that the I.R.S. had also targeted groups with liberal and progressive leanings, flagging organization names with terms that included “Progressive” and “Occupy.” Democrats celebrated the findings as confirmation that claims of partisan bias in the I.R.S. were unfounded.While the I.R.S. acknowledged wrongly targeting groups based on political leanings, a report this month found that behavior crossed party lines. The Treasury Department’s inspector general reported that the I.R.S. had also targeted groups with liberal and progressive leanings, flagging organization names with terms that included “Progressive” and “Occupy.” Democrats celebrated the findings as confirmation that claims of partisan bias in the I.R.S. were unfounded.
The I.R.S. initially apologized to the groups in 2013, and President Barack Obama later demanded the resignation of Steven T. Miller, the acting I.R.S. commissioner at the time.The I.R.S. initially apologized to the groups in 2013, and President Barack Obama later demanded the resignation of Steven T. Miller, the acting I.R.S. commissioner at the time.
Republican legislators have continued to criticize his successor, John A. Koskinen, for his handling of the scandal’s aftermath. Mr. Koskinen’s term expires on Nov. 12. On Thursday, President Trump announced his intention to designate David Kautter, the assistant Treasury secretary for tax policy, as acting I.R.S. commissioner.Republican legislators have continued to criticize his successor, John A. Koskinen, for his handling of the scandal’s aftermath. Mr. Koskinen’s term expires on Nov. 12. On Thursday, President Trump announced his intention to designate David Kautter, the assistant Treasury secretary for tax policy, as acting I.R.S. commissioner.
“David will provide important leadership while we wait to confirm a permanent commissioner,” Treasury Secretary Steven Mnuchin said in a statement.“David will provide important leadership while we wait to confirm a permanent commissioner,” Treasury Secretary Steven Mnuchin said in a statement.