ACORN Bombshell: Legal Document Warn of Comming Collaspe

Writer Matthew Vadum of the Capitol Research Center was given some important documents about ACORN legal council advising the community organization to clean up its act.

The letter from  Elizabeth Kingsley for the Law Firm of Harmon, Curran, Spielberg Eisenberg LLP in Washington,D.C. The letter advises ACORN to a major restructure of the Organization. Kingsley say the community organization is not run like a 501(C)(3) non profit firm but like a small family business. The letter was given ACORN on June 19,2008 the day ACORN founder Wade Rathke was fired.

The letter was also placed on Andrew Brietbart’s The letter was addressed to ACORN and all of it’s Affiliates including ACORN Housing,  ACORN Votes, et al.  Kingsley,point out the four major categories areas of concern: “respect for corporate integrity, the necessary separation between different types of political work, the niceties of 501(c)(3) tax compliance and accounting for those funds, and a big-picture question about organizational capacity.” She goes to great pains explaining that she is not trying to single any person out, “but to point to systemic institutional concerns.”

Follow the Money

Follow the Money, the easier said than done. There is little accountability. and no one knows how big ACORN’s budget is. If that not enough ACORN founder Wade Rathke was fired From ACORN.Also the Obama Administration and congress has budgeted nearly $8.5 billion in Federal Funds via Housing and Urban Development.

No lines of separations or division.

Vadum reports that Kingsley said ACORN has no line of demarcation  or delineation between ACORN and its various…”‘affiliated,’ ‘related,’ or ‘controlled’ by or with each other, for various legal purposes, while allowing actual control to be exercised in a highly coordinated manner,” she writes. ACORN suffers from “an organizational culture that resembles a family business more than an accountable organization.”

Nepotisim and Conflicts of Interest

Vadum’s article on Kingsley’s letter reveals ACORN has familial hiring procedures: “Also, though we have not created a draft policy at this point, all corporations with staff should adopt an appropriate anti-nepotism policy,” she writes. But don’t go overboard.

ACORN’s leadership features a the top of hierarchy of the Rathke Family: Disgraced founder Wade, His brother Dale, Who embezzled nearly $1 million from the organization and never prosecuted for it.  In addition,  Wade’s wife Beth Butler and their two children work there.

Kingsley admonish ACORN for lousy record keeping  on following the rules for non profit organization.  Kingsley takes ACORN to takes to task in regard to political activities especially they receives $850,000 from the Obama campaign for the get out vote campaign.

There more at Matthew Vadum collumn at The American Spectator.

Hat tip to Big Government.


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