By Amit R. Paley for the Washington Post
Thirteen of the largest recipients of the government's massive bailout failed to pay more than $220 million in federal taxes, congressional investigators said yesterday, prompting a new round of accusations that banks were abusing the financial rescue program.
The Internal Revenue Service said late yesterday that a portion of the money had been paid back since congressional investigators gathered their information. Still, many in Congress were furious, noting that firms with the largest tax liabilities owed $113 million and $102 million.
"This is shameful. It is a disgrace," said Rep. John Lewis (D-Ga.), chairman of the House Ways and Means Committee's oversight subcommittee, which examined the IRS data. "The American people are fed up, and they are fired up. And they are not going to take it anymore."
The head of the federal watchdog agency charged with prosecuting fraud in the program said his office would investigate to see whether any crimes had been committed by the firms, none of which were named. Executives of banks receiving bailout funds had to certify that their firms did not owe taxes, and if they knowingly lied, they could be prosecuted.
Friday, March 20, 2009
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