June 2nd, 2013
11:18 PM ET
10 years ago

IRS controversy turns personal, nasty

(CNN) - An unusually harsh and personal war of words erupted on Sunday, even for the current hyper-partisan atmosphere in Washington, DC, with one of President Obama's top advisers bringing up the 40-year-old criminal record of the Republican congressman leading the investigation into alleged IRS abuses.

"Strong words from Mr Grand Theft Auto and suspected arsonist/insurance swindler," tweeted David Plouffe, the political guru (and unofficial adviser) for President Obama, referring to the chairman of the House Government Reform and Oversight Committee, Rep. Darrell Issa, R-Calif.

"And loose ethically today," Plouffe ended his tweet, linking to a story about Issa answering questions on CNN's “State of the Union” with Candy Crowley about the controversy over IRS staffers targeting conservative groups for scrutiny, in which Issa referred to White House press secretary Jay Carney as a "paid liar."

Asked for a response to Plouffe's tweet, Issa's spokesman Frederick Hill told CNN, "Looks like the Chairman hit a nerve today. Hopefully President Obama follows Plouffe on Twitter and may finally see some information from a senior advisor about what's going on at the IRS."

According to a source close to Issa, the congressman thought Plouffe's tweet about allegations against him from 1972 and 1982 particularly below the belt, given that "Rep. Issa has never used his position to investigate President Obama for things before he took office like his land deal with convicted felon Tony Rezko."

Issa using the "L" word - liar - is unusual in a town where pols and members of the media regularly dance around such a direct accusation, preferring words that allow for the possibility of misspeaking or misleading, but not deliberately speaking an untruth. Plouffe's reference to charges and suspicions against Issa from a generation and two generations ago is also unusual in a city where such mentions are considered gauche and uncollegial. (Take, as but two examples, those whose careers managed quite well despite Chappaquiddick and Iran-Contra.)

It began when Issa told Crowley that the White House was misleading the public about the extent of the IRS controversy.

(You can read the entire transcript HERE.)

"Their paid liar, their spokesperson, pictured behind, he's still making up things about what happens in calling this local rogue," Issa said, motioning towards a photograph of Carney on the screen behind Crowley. "The reason the (IRS official) Lois Lerner tried to take the Fifth is not because there is a rogue in Cincinnati, it's because this is a problem that was coordinated in all likelihood right out of Washington headquarters and we're getting to proving it."

These claims were based, Issa said, on interviews with IRS officials conducted by his committee and the House Ways and Means Committee, though as of now no definitive account has been made public establishing that the IRS officials engaged in the targeting of conservative groups, in the Cincinnati office, were doing so at the direction of officials in Washington, D.C.

"The president's spokesperson is saying whatever is convenient at the time and the story changes," Issa told Crowley. "What we have is people coming in to transcribed interviews. They're saying under penalty of crimes that certain things are true. We have subpoenaed documents that would support that, that they say, e-mails that went back and forth. The administration is so far not providing those documents. As we get those documents, as we will get Fast and Furious documents eventually and so on, we will learn the whole truth."

Asked what "lies" Issa was referring to Carney having said, a source close to Issa said "he was most directly referring to Jay Carney's multiple statements placing blame for the IRS scandal on IRS Cincinnati office employees while pointedly omitting the fact that these employees contend their direction came from the D.C. office and have testified to Congress as such. I'm sure that Carney's previous statement about the White House's role in editing the Benghazi talkers being limited to just one technical point was in the back of his mind as well."

Plouffe, however, is clearly interested in another focus, allegations one or two generations old about Issa, not current questions about the IRS and the Obama administration.

Asked what his tweet allegations have to do with whether IRS officials in Cincinnati took direction from officials in Washington, Plouffe told CNN "the credibility and motivation of accusers are valid here."

Republicans suggest that this is part and parcel of the Obama team's modus operandi, that every time a critic begins to succeed, a presidential ally begins to attack his character and change the subject. To, say, 41-year-old charges against a House GOP chairman, ones that were eventually dropped.

Issa, one of the wealthiest members of Congress, is the former owner of a car alarm company - it's his voice that warns would-be burglars "Protected by Viper. Stand back," which you can hear HERE.

Issa once noted to a Washington Post interviewer that "For years, I used to tell everyone that I went into it because my brother was a car thief. Then they found out when I ran for office my brother did spend time in prison as a car thief, and it ruined the whole joke."

In 1972, then-19-year-old Issa too was arrested under suspicion of stealing a car, but Issa claims it was a case of mistaken identity and the charges were ultimately dropped.

In 1982, the office and factory of two companies Issa had purchased, Quantum Enterprises and Steal Stopper International, caught on fire. The insurance company's investigation found "suspicious burn patterns" and company officials noted that in the month before the fire Issa had increased his insurance from $100,000 to $462,000. As the New Yorker's Ryan Lizza noted, the "Ohio state fire marshal never determined the cause of the fire and no one was ever charged with a crime"; Issa and the insurance company settled out of court.

Asked why he brought up Issa's criminal record from 1972 (when the charges were dismissed) and an arson investigation from 21 years ago where no one was charged with a crime, Plouffe told CNN that Issa's "ethics issues are far more recent. Look at ethics complaints filed."

There have been at least three ethics complaints filed against Issa, all from left-leaning groups. Complains filed in and of themselves don't necessarily mean anything, of course. House Ethics Committee or Office of Congressional Ethics judgments are much more important, and as of now there have been none against Issa.

Issa's office says neither the committee nor OCE "has ever contacted the Congressman's office seeking any response or additional information." Issa spokesman Hill called them all "nuisance complaints."

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soundoff (485 Responses)
  1. iamfree

    No big surprise here. It's the Chicago way.

    June 3, 2013 05:53 pm at 5:53 pm |
  2. John Mudd

    Oh, please, please, please MaryM from California make sure Issa is history after the next election!!!

    June 3, 2013 06:13 pm at 6:13 pm |
  3. Todd P.

    What a coincidence that the Obama Administration hacks are using every tactic that the crooked Nixon Administration used during Watergate! (e.g.- refuse to answer subpoenas, plead "the Fifth", stonewall investigators, accuse the investigators of being "crooks", blame "low level" staffers, claim total ignorance of anything, etc.) Barack Milhous Nixon : that's going to be Barry and the Democratic Party's legacy 5 years from now.......

    June 3, 2013 06:16 pm at 6:16 pm |
  4. rs

    I think it's pretty sad that people just mindlessly support President Obama. It is laughable that they are calling these "fake scandals". Yeah, using the IRS to target political opposition is really a fake scandal (you all seem to forget that Pres Obama said that he would punish his enemies – he literally said that so why would someone not think this was done per the direction of the White House? Not to mention that members of Congress asked them to target TEA Party organizations – these are FACTS)
    Well, no, these are not facts. These are Limbaugh-brand talking points- nothing more. This is Right-wing self-fulfilling delusion at work. Nothing more. If there were laws broken, there would be charges. There weren't and there won't be. Really? You think groups called "TAXED ENOUGH ALREADY" shouldn't receive extra scrutiny when they want 501 (c) 4 tax exempt status (reserved for social welfare groups)?
    The IRS did its job, the only error they made is they actually allowed the tax cheats to be tax exempt.

    June 3, 2013 06:21 pm at 6:21 pm |
  5. James Foley

    Darrell Issa Should not try so hard to emulate Prosecutor Mike NiFong of Duke LaCrosse fame.

    June 3, 2013 06:38 pm at 6:38 pm |
  6. cd

    Once again Obama has no interest in those who were hurt my his government ONLY himself. This man must GO,or face Jail time @ a later date.

    June 3, 2013 06:41 pm at 6:41 pm |
  7. PRussell

    the allegation might be old, but they speak to Issa's character. These old accusations along with his current actions are speaking louder than the word coming out of his mouth

    June 3, 2013 06:44 pm at 6:44 pm |
  8. Fred

    I see Jake is running back to his comfort zone of blaming Obama and his admin for everything.

    June 3, 2013 07:01 pm at 7:01 pm |
  9. waveshaper

    Jay Carney=Bagdad Bob

    June 3, 2013 09:25 pm at 9:25 pm |
  10. burgett85

    Members of BOTH parties have strongly suggested that rather than throwing insults back and forth why not try to resolve the IRS scandals and "exemption problems" by simply & quickly reforming the TAX CODE !!

    June 3, 2013 09:27 pm at 9:27 pm |
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