IRS, DOJ declined to audit billionaire who admitted to funding Epstein’s island operation
Leon Black is expected to testify during an eight-hour deposition later this month regarding his relationship with Epstein.
Cam here 👋 bringing you your daily dose of what people are doing – good, bad, and otherwise – in the world of politics. We’re diving into the stories you won’t see anywhere else. And remember, you can also keep up with me over on TikTok and Bluesky.
Editor’s Note: I will be taking some time off for the next couple of weeks, but will be back at it on March 23. While I’m out, I’ll be sending you some longform, investigative reporting that has had some recent updates based on current events.
Since day one of Trump’s political career, people have desperately attempted to normalize his absurd abuses of power and blatant corruption – and 10 years later, much of corporate media remains a victim of their own attempts to return to a sense of normalcy.
It’s time to stop sane-washing the insanity.
What Happened
An ongoing congressional investigation into the assets of millionaire financier and convicted sex offender Jeffrey Epstein revealed last summer that the IRS has known for years about a major funding source of Epstein’s sex trafficking operation but did nothing about it.
The US Senate Finance Committee, led by Sen. Ron Wyden (D-Ore.), sent a letter to the IRS last July, demanding a report on any audit the agency has done of Epstein’s tax filings “to better understand the full scope of the financing of Epstein’s sex trafficking operation.”
The response is expected to be light, however, as the tax agency has so far failed to inspect Epstein’s finances, despite a number of red flags — both official and unofficial.
“Epstein lacked any professional training or certifications in accounting or tax law, yet was chosen by very wealthy people to execute very complex tax-related financial transactions. Despite this glaring lack of qualifications that might lead anyone to double-check Epstein’s work, it appears that the IRS failed over the course of many years to audit major tax transactions involving Epstein,” Wyden wrote. “Highly complicated tax arrangements between Epstein and one of his billionaire funders have never been audited by the IRS.”
Spokespeople for the IRS and US Treasury did not respond to requests for comment on this story.
The billionaire funder in question is former Wall Street executive Leon Black, who admitted as part of a $65 million settlement with the US Virgin Islands that “Epstein used the money Black paid him to partially fund his operations in the Virgin Islands.” Those operations are alleged to include an extensive, international sex trafficking ring that forced underage women to have sex with Epstein’s wealthy clients.
Over 200 victims have come forward to testify against Epstein, including former Mar-a-Lago employee Virginia Giuffrie. President Donald Trump admitted in late July that he was aware Epstein used Mar-a-Lago to target and groom teens for years before he barred him from the property. Now, as president, Trump has proven to be a roadblock to transparency and accountability, closing the criminal investigation into Epstein and blocking Congress from accessing Treasury documents.
“There has been a concerted effort by the Trump administration to play down these important records that we have worked with for more than three years,” Wyden said. “We saw what was going on in Florida, we saw what was going on in New York. We saw wire transfers that were moving money and young underage girls into sex trafficking all over the world.”
Black told the committee in 2023 that the IRS had not audited his financial ties to Epstein for suspicious activity, even after the billionaire admitted his checks helped keep Epstein’s island up and running; Black had also vastly overpaid Epstein for his high school-level accounting savvy.
Reports from the four banks Epstein had accounts with should also have triggered an audit. In the short time Wyden’s team was allowed Treasury access to review these reports, they found suspicious activity reports filed on nearly 5,000 of Epstein’s transactions. Two of the institutions, JP Morgan Chase and Deutsche Bank, even settled Epstein-related lawsuits for hundreds of millions of dollars over their failure to act responsibly, although both admitted no wrongdoing. Even still, government regulatory bodies declined to investigate.
“At a time when so many Americans think that the political system is rigged, this is about whether there’s going to be accountability for the people who were involved and who enabled it,” Wyden said. “The question is, is the government going to look out for victims — people who have no power — or are they going to keep on protecting the rich and powerful who are part of Epstein’s network, even when those people have committed horrendous crimes?”
Without the support of Republicans on the committee, Wyden lacks the authority to subpoena the suspicious activity reports. Should the IRS comply with his request, it has until September 1 to deliver a report on any audit conducted into Epstein’s financial dealings.
Attempts to Sanewash
Apollo, Leon Black Face Legal Trouble Over Undisclosed Jeffrey Epstein Business
Wyden presses DEA for answers on secret Epstein investigation
Far-Right Spin
Leon Black allegedly colluded with Epstein, Paul Weiss head, to ‘silence and destroy’ accusers: suit
‘I was not aware’ of Epstein’s abuse, claims accountant in testimony to US Congress
Epstein’s Accountant Speaks Out: FIFTH Witness Confirms Trump Had ZERO Financial Dealings
It’s easy for individual members of Congress to get overlooked by national outlets as they quietly skate to reelection again… and again, and again. The following is an overview of different congressional representatives you may not have heard of, with fun facts about their origin stories they’ve tried to keep out of the public narrative.
Oklahoma US Sen. Markwayne Mullin
Since being elected to Congress in 2103, Sen. Mullin has:
Seen his net worth increase from $4 million to $65 million
Sponsored 162 bills, four of which have been signed into law
Lied to voters about collecting his salary for being a member of Congress
Violated the code of ethics by promoting his plumbing company as a member of Congress
Received $600,000 for promoting his plumbing company while in Congress
Fun Facts
Despite being incredibly wealthy, Mullin seems to never miss an opportunity to pocket a few extra bucks. In addition to paying himself $600,000 for violating ethics rules and using his syndicated home improvement radio show while in Congress to promote his businesses, Mullin has been accused of using his position to profit from insider trading.
He’s also benefited from millions in taxpayer dollars, a fact he has repeatedly denied. Mullin told voters that he doesn’t take his congressional salary—which he does—and, while he’s railed against student loan forgiveness, has taken a much more sympathetic approach towards his own forgiven loans. Mullin’s company received nearly $1.5 million, which would cover almost three years of his salary, in PPP loans he never paid back.
Trump nominated Mullin to be the next Department of Homeland Security Secretary, despite Mullin’s apparent lack of experience in nearly every aspect of government DHS touches. Instead, he was chosen primarily for his loyalty to the president and his background as a mixed-martial arts fighter.
“A MAGA Warrior, and former undefeated professional MMA fighter, Markwayne truly gets along well with people, and knows the Wisdom and Courage required to Advance our America First Agenda,” Trump wrote on his personal social media platform, Truth Social. “Markwayne will make a spectacular Secretary of Homeland Security. Thank you for your attention to this matter!”
🤮🤮our DOJ should all be jailed permanently. The good people have all quit, leaving the remaining criminals. Bondi should be tar and feathered and left on the Jefferson Memorial to rot. The rest should all be imprisoned and never allowed to communicate with each other..