While Trita Parsi was engaged in lobbing since 1997 and NIAC in large scale lobbying since 2006, they continued to file fraudulent tax returns reporting zero percent lobbying until November 2009 when Washington Times decided to run a story on NIAC's unlawful lobbying. After November 2009, NIAC continued to underreport its lobbying activities to IRS
- NIAC tax returns 2006, 2007 and 2008 reporting zero lobbying
- Just a Few examples of NIAC lobbying since 2006 while reporting zero to IRS
- NIAC filed these fraudulent tax returns while its own employee Patrick Disney warned his boss at NIAC that they should register as lobbyist.
Disney's memo to his boss at NIAC
Disney wrote: "“Under this expansive view of ‘lobbying,’ I find it hard to believe Emily, and I devote less than 20 percent of our time to lobbying activity. I believe we fall under this definition of ‘lobbyist,’ ” he wrote, referring to NIAC’s legislative director at the time, Emily Blout."
- In early November 2009, Washington Times was given some of NIAC's internal documents obtained during the lawsuit. They interviewed Trita Parsi and decided to publish a report about NIAC using these documents. NIAC asked the Federal court to prevent the publication of NIAC's internal documents
- NIAC Emergency Motion to prevent public disclosure of discovery documents
- Judge denied their request
- As the court denies NIAC's request and Washington Times did not bow to their pressure, NIAC realized that their unreported and unlawful lobbying would become pubilc. NIAC contacted its accountant and asked to amend the 2008 tax return that had been already filed 5 months earlier in June 2009.
NIAC email to its accountant in November 2009 asking to amend 2008 tax return
2008 amended tax return sent in November 2009
- Meanwhile, NIAC was again defrauding IRS and did not report its entire lobbying. It simply took 10% of salaries from 3 employees and reported as the amount of their 2008 lobbying
Court deposition of NIAC's accountant
Then, NIAC employees generated their lobbying time records for the entire year of 2009 in November and December of 2009 after the Washington Times article. David Eliot deposition (P. 34-35), Patrick Disney deposition (P. 183-190), Emily Blout (P. 43-44)