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White House Says It Didn’t Loop Obama In on I.R.S. Inquiry White House Says It Didn’t Loop Obama In on I.R.S. Inquiry
(about 3 hours later)
WASHINGTON — White House officials were first notified on April 16 about an investigation into Internal Revenue Service scrutiny of conservative groups and discussed its potential findings with the Treasury Department but never told President Obama, the White House said Monday.WASHINGTON — White House officials were first notified on April 16 about an investigation into Internal Revenue Service scrutiny of conservative groups and discussed its potential findings with the Treasury Department but never told President Obama, the White House said Monday.
The I.R.S. inspector general informed the White House counsel’s office about the agency’s nearly finished audit along with other reviews nearly a month before its release, the White House said. Kathryn Ruemmler, the White House counsel, was personally told on April 24, and she notified the White House chief of staff, Denis McDonough, and other senior aides without informing the president, the White House said. The Treasury Department’s legal office informed the White House counsel’s office about the nearly finished I.R.S. audit along with other reviews nearly a month before its release, the White House said. Kathryn Ruemmler, the White House counsel, was personally told on April 24, and she notified the White House chief of staff, Denis McDonough, and other senior aides without informing the president, the White House said.
“She made the decision or the judgment that it was not necessary or appropriate to inform the president of this, and that didn’t happen,” said Jay Carney, the White House press secretary. “And most importantly, no action was taken by anyone in this building to intervene.”“She made the decision or the judgment that it was not necessary or appropriate to inform the president of this, and that didn’t happen,” said Jay Carney, the White House press secretary. “And most importantly, no action was taken by anyone in this building to intervene.”
He added that the president would not have acted even if he had known. “Obviously, that would be wholly inappropriate,” Mr. Carney said.He added that the president would not have acted even if he had known. “Obviously, that would be wholly inappropriate,” Mr. Carney said.
The details provided by the White House on Monday went beyond its previous account, and may provide additional fodder for critics pressing to understand what and when the president and his team knew about the I.R.S. misconduct. During a series of television interviews on Sunday, Dan Pfeiffer, the president’s senior adviser, made no mention that Mr. McDonough or others had been notified and said that the White House had “no idea what the facts were” when Ms. Ruemmler was informed. The details released by Mr. Carney on Monday went beyond a previous White House account, and may provide additional fodder for critics pressing to understand what and when the president and his team knew about the I.R.S. misconduct. During a series of television interviews on Sunday, Dan Pfeiffer, the president’s senior adviser, made no mention that Mr. McDonough or others had been notified and said that the White House had “no idea what the facts were” when Ms. Ruemmler was informed.
Mr. Carney on Monday acknowledged that she was in fact told that certain key words like “Tea Party” and “patriot” were used to target conservative organizations. “We knew the nature of some of the potential findings,” he said, “but we did not have a copy of the draft report, we did not know the details, the scope or the motivation surrounding the misconduct, and we did not know who was responsible.” Mr. Carney on Monday acknowledged that Ms. Ruemmler was in fact told that certain key words like “Tea Party” and “patriot” were used to target conservative organizations. “We knew the nature of some of the potential findings,” he said, “but we did not have a copy of the draft report, we did not know the details, the scope or the motivation surrounding the misconduct, and we did not know who was responsible.”
He said the White House discussed the pending report with officials in the offices of Treasury Secretary Jacob J. Lew’s chief of staff and general counsel “to understand the anticipated timing of the release of the report and the potential findings” by the inspector general. He said the White House discussed the pending report with officials in two offices of Treasury Secretary Jacob J. Lew his chief of staff and general counsel “to understand the anticipated timing of the release of the report and the potential findings” by the inspector general.
Mr. Carney said that I.R.S. efforts to single out conservative groups applying for tax-exempt status for special scrutiny had ceased by the time the White House was made aware of the near-complete inspector general’s report, so no action was needed at that time to stop it.Mr. Carney said that I.R.S. efforts to single out conservative groups applying for tax-exempt status for special scrutiny had ceased by the time the White House was made aware of the near-complete inspector general’s report, so no action was needed at that time to stop it.
The revised version of White House events came as the Senate Finance Committee sent a six-page letter to Steven Miller, the outgoing acting I.R.S. Commissioner, with 41 questions on the matter. The questions, which are to be answered by May 31, go well beyond the I.R.S. to the question Republicans have been focused on for a week: Who in the Obama administration knew what and when? With new hearings into the I.R.S. misconduct scheduled to open on Tuesday, Republicans on the Senate Finance Committee planned to take Mr. Pfeiffer to task for what they say has been a confrontational, partisan attitude that undercut Mr. Obama’s promises of cooperation. Many Republicans praised Mr. Obama’s promises last week that he would hold accountable those responsible for the political targeting and that he would fully cooperate with Congressional investigations into the matter.
Then on Sunday, Mr. Pfeiffer fanned out to five talk shows and said Republicans were trying to “drag Washington into a swamp of partisan fishing expeditions, trumped-up hearings and false allegations.”
Senator Orrin G. Hatch of Utah, the committee’s ranking Republican, said Monday, “I hope the Obama administration isn’t referring to the Finance Committee investigation or the hearing we are having, because we need their full cooperation to get to the truth.”
Mr. Hatch and Senator Max Baucus, the Montana Democrat who is chairman of the committee, sent a six-page letter on Monday to Steven Miller, the outgoing acting I.R.S. Commissioner, with 41 questions to be answered by May 31. They go well beyond the I.R.S. to the question Republicans have been focused on for a week: Who in the Obama administration knew what and when?
“Provide copies of all documents between I.R.S. employee(s) and anyone else regarding the targeting of applications based on the existence of certain phrases and/or subjecting those targeted applications to full development and heightened scrutiny,” read one demand.“Provide copies of all documents between I.R.S. employee(s) and anyone else regarding the targeting of applications based on the existence of certain phrases and/or subjecting those targeted applications to full development and heightened scrutiny,” read one demand.
“Was the decision to target any tax-exempt applications for review and subject them to full development or heightened scrutiny influenced or prompted in any way by political pressure directed at the I.R.S. from any members of the Congress or other elected officials?” read another.
“Provide documents relating to communications between any and all I.R.S. employees and any and all White House employees, including, but not limited to, the president, regarding the targeting,” another requested.“Provide documents relating to communications between any and all I.R.S. employees and any and all White House employees, including, but not limited to, the president, regarding the targeting,” another requested.
Another demand sought the identity “by name, grade and position title” of “every I.R.S. supervisor, I.R.S. manager or other I.R.S. employee who became aware that any individual in the White House or Treasury Department became aware of any improper targeting.”Another demand sought the identity “by name, grade and position title” of “every I.R.S. supervisor, I.R.S. manager or other I.R.S. employee who became aware that any individual in the White House or Treasury Department became aware of any improper targeting.”
The letter was signed by Senator Max Baucus, the Montana Democrat who is chairman of the committee, and Senator Orrin G. Hatch of Utah, the committee’s ranking Republican. The Finance Committee plans to convene a hearing on the issue on Tuesday that is to feature Douglas Shulman, a Bush administration appointee who led the I.R.S. for much of the targeting effort and has yet to be questioned. On Bloomberg Government’s “Capitol Gains” television program, Mr. Baucus said Monday, “I have a hunch that a lot more is going to come out, frankly.”
“I have a hunch that a lot more is going to come out, frankly,'’ Mr. Baucus said Monday on Bloomberg Government’s “Capitol Gains” television program. “It’s broader than the current focus. And I think it’s important that we have the hearings, and I think that will encourage other information to come out that has not yet come out. I suspect that we will learn more in the next several days, maybe the next couple three weeks, which adds more context to all of this.” “It’s broader than the current focus,” he said. “And I think it’s important that we have the hearings, and I think that will encourage other information to come out that has not yet come out.”
At its hearing on Tuesday, the committee plans to hear from Douglas Shulman, a Bush administration appointee who led the I.R.S. from March 2008 until November 2012, when much of the targeting effort took place.
One crucial question is when Mr. Shulman learned that employees had been giving more scrutiny to applicants affiliated with conservative groups.
Mr. Shulman testified before Congress in March 2012 and denied accusations, then circulating in the news media, that the I.R.S. had been singling out conservative groups. “There is no targeting,” he testified then.
But the inspector general’s report released last week indicated that a high-level official at I.R.S. headquarters in Washington, Lois Lerner, the director of the exempt organizations division, learned of the inappropriate screening as early as June 2011.
Mr. Shulman’s successor, Mr. Miller, testified last week that he did not think Mr. Shulman was aware of the issue when he testified in March 2012.
But some members of Congress are skeptical. Representative Joseph Crowley, Democrat from New York, told Fox News last week that he thought Mr. Shulman had lied in his testimony. Mr. Shulman did not return calls and e-mails on Monday.

Michael D. Shear contributed reporting.

Michael D. Shear contributed reporting.