Anti-tax activist defends charity funding


Thursday, October 09, 2008 | No comments posted.

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PORTLAND (AP) — A judge won’t decide until after the November election whether anti-tax activist Bill Sizemore failed to obey a judge’s order on reporting political contributions.

The Oregon Education Association and the American Federation of Teachers-Oregon claimed during a three-day contempt hearing that Sizemore set up a sham organization in Nevada to collect money for political purposes and get around a court injunction.

Sizemore is behind five initiatives on the November ballot. The unions oppose several of them and say those measures made the ballot with money not properly reported.  The unions and Sizemore have been clashing in court since 2002.

Multnomah County Judge Janice Wilson said Wednesday she would deliver her findings Dec. 1.

In 2002, the unions won a $2.5 million jury verdict against him because the political organization he founded — Oregon Taxpayers United — filed false campaign reports and forged signatures on initiative petitions.

The unions say the biggest contributors to Sizemore in recent years have been Dick Wendt, co-founder of Jeld-Wen in Klamath Falls, and Loren Parks, the owner of a medical equipment manufacturing company who moved from Oregon to Nevada in 2002.

The unions claim that Parks and Wendt have contributed more than $1 million to the American Tax Research Foundation, a nonprofit controlled by Sizemore, who has paid himself more than $750,000.

Greg Hartman, the lawyer representing the unions, noted the money was used to buy a car driven by Sizemore’s wife, and another $200,000 went to multimillion dollar investment outside San Diego.

Sizemore defended the investment, car and other transactions, saying he did not abuse the foundation’s money and many of the purchases benefited the organization.

Sizemore’s lawyer, Gregory Byrne, argued that Sizemore did not engage in politics on behalf of the foundation and therefore did not violate the court’s order.

“It went to a lot of places, none of it to a political committee,” Byrne said.

Hartman, however, compared the foundation to Oregon Taxpayers United, and argued that Sizemore should be ordered to serve time in prison.

“This is all about abusing the money,” Hartman told the judge. “I think you are going to have judge Mr. Sizemore’s credibility.”

Sizemore said the foundation’s services include a Web site meant to help people research tax policies in their states.

The site, however, had a minimal amount of information that was taken from “publicly available” sources, according to court documents filed by the state and teachers unions. Hartman called the Web site “a smoke screen” and argued it was funded with only a fraction of the foundation’s $1.1 million.
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