In a Thomas Paine podcast episode with host Mike Moore, financial investigators John Moynihan and Larry Doyle describe how they came to be involved in this whistleblower case. In 2015, they were solicited by many wealthy, high-profile people across the country who wanted them to investigate the Clinton Foundation. After a preliminary look, Moynihan and Doyle agreed to investigate, but they decided to fund it themselves, as everyone else who was interested had a personal angle.
They Began a Methodical Investigation
They began to collect documents and methodically track the money coming in and the money going out. They looked at the Clinton Foundation’s non-profit forms, their income statements, and the attached schedules, which included lists of their major donations. They looked at the donations coming in and tried to reconcile them with the donors and the Foundation’s net assets. They tracked this information year and year. And they found that the amount of money coming in just didn't make sense with the expense of the projects and programs that the Clinton Foundation was running.
They looked at the donations coming in and tried to reconcile them with the donors and the Foundation’s net assets.
In 2016-2017, they began to analyze the Clinton Foundation’s state registration forms and discovered that in the foundation’s early years, it had been penalized for improper registration in some states, which it didn’t acknowledge in others as required and as stated under penalty of perjury.
They also looked at IRS documents, federal returns, emails, overseas documents, communication between Clinton Foundation officials, communication between foreign government officials, and conducted interviews.
Clinton Foundation's Own Employee Admits Knowledge of Wrongdoing
On November 8, 2016, Hillary Clinton lost the presidential election. The very next morning, Moynihan received a phone call from the Clinton Foundation CFO Andrew Kessel. Kessel was returning a voicemail from Moynihan in October, in which Moynihan told Kessel that he and Doyle were looking into the Clinton Foundation. Kessel arranged to meet with Moynihan and Doyle on November 30.
CFO Andrew Kessel told them about “mixing and matching of funds” and “expense abuse.”
November 30, 2016, the three men met for breakfast, and Kessel told them “very incriminating” information about the operations of the Clinton Foundation. (Moynihan and Doyle have since testified under oath about this conversation.) Kessel told them about “mixing and matching of funds” and “expense abuse.” Kessel also said that he and others had brought these incidents to Bill Clinton’s attention multiple times “but there was no talking to him.”
Kessel also acknowledged that the Clinton Foundation had undertaken internal reviews in 2008 and in 2011, which were also “very incriminating.” The Foundation’s own lawyers told the Clinton Foundation to get compliant with the law after the 2008 review, but nothing had been addressed by the 2011 review.
In their own investigation, Moynihan and Doyle found abuse of tax codes and brazen disregard for IRS rules and regulations.
Clinton Abused Her Position as Secretary of State To Enrich Her Foundation
Their investigation determined that the Clinton Foundation was accumulating tax dollars by avoiding paying taxes through the use of a non-profit organization status. Furthermore, their investigation also found that the Clinton Foundation was making money by the redistribution of taxpayer money through a multiple-step “donation” process.
The Foundation’s own lawyers told the Clinton Foundation to get compliant with the law after the 2008 review
While Hillary Clinton was Secretary of State, she was able to decide how the United States government donated money to global health organizations, like Unitaid and the Global Fund for Aids, Tuberculosis, and Malaria. But Unitaid is one of the biggest donors to the Clinton Foundation. This looks like Hillary was indirectly funneling government funds right into her organization.
Moynihan and Doyle also claim that the Clinton Foundation acts as the middle man, shuffling money between entities and taking a cut as a fee. They argue that this is taxable business, which means that the Clinton Foundation would be facing a multimillion-dollar tax bill. The implication of this is that anyone who knew what was going on and still donated to the Foundation runs the risk of also having a tax consequence.
On August 1, 2017, Moynihan and Doyle filed a whistleblower case in Utah. In 2018, they gave testimony at the congressional hearing. The IRS has sealed the case to keep it away from the public eye.