Fraud
«The real stable datum in handling tax people
is NEVER VOLUNTEER ANY INFORMATION [...] The thing to do is to
assign a significance to the figures before the government can [...]
I normally think of a better significance than the government can. I
always put enough errors on a return to satisfy their bloodsucking
appetite and STILL come out zero. The game of accounting is just a
game of assigning significance to figures. The man with the most
imagination wins.» —
L. Ron Hubbard, Organization Executive
Course, Vol. 3, p. 63
Chris Owen (1998): "The
Corruption of Scientology"
One of the most controversial aspects of
that controversial organisation, the Church of Scientology,
is its financial dealings. The Church's corporate structure
is fiendishly complicated, involving scores of entities in
dozens of countries, which are supposedly "each totally and
legally independent from one another, connected only by
ecclesiastical bonds" 1 . The complexity of the structure
failed to deter the US Internal Revenue Service from
investigating Scientology's financial dealings following the
Church's exemption from taxes in 1957. The exemption was
revoked in 1967, leading to a 26-year legal battle which was
resolved in somewhat peculiar circumstances in 1993, with
exemption restored to Scientology and its associated
entities. What had the IRS discovered and why did they mount
against Scientology what insiders claim to have been the
biggest investigation in its history? The answer was simple:
Scientology had operated corruptly and fraudulently for
years under the cover of a respectable tax-exempt religious
institution. 2
The story of Scientology's corruption by its leaders is
an extraordinary and unedifying one, but the story really
begins many years before Scientology's foundation in 1952.
It begins, as does all else in Scientology, with that
extraordinary and perplexing man, L. Ron Hubbard. [...]
Caroline Letkeman:
"Fraudulent Claims"
Hubbard was really a very skilled
hypnotist, stage magician, malingerer, and confidence
trickster whose organization known as the Church of
Scientology used his directives to lure people in and feed
his lust for money and power. Hubbard is dead and now the
Ecclesiopath is David Miscavige. The operation is called
Keeping Scientology Working.
Scientology lures people
in with many lies, including fraudulent claims about
Hubbard, listed below. [...]
Clearwater Sun
(1982): "Witnesses Tell of Break-ins, Conspiracy" by Steven
Girardi
In his last mission with the church, he said, he and his wife
smuggled $200,000 in Krugerrands into the country from South America.
Mayer said he went into hiding for three years after leaving the
sect, until he was found by the the
Internal
Revenue Service. The IRS used Mayer as a witness and consultant in
the 1978 U.S. Tax Court trial concerning sect financial practices between 1968
and 1971, he said.
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