This will be a short diary of my series on Blackwater as it a pretty straight forward story. Henry Waxman is investigating Blackwater for tax evasion. He is claiming that Blackwater has been classifying it's employees as individual contractors rather than employees in order to avoid paying social security, Medicare and workman's compensation taxes, and also for failing to withhold federal income taxes from their employee's paychecks. I am personally familiar with this scam as I worked for a man several years ago who tried to pull it on me. I didn't let him get away with it. This is Henry Waxman's letter to Erik Prince. and this is the IRS letter to Blackwater. This is a common tax evasion scam and it only came to the IRS's attention because a Blackwater empolyee blew the wistle.
It seems pretty clear to me that Blackwater is guilty and I don't see any way that they are are going to be able to weasle out of this. We're talking about millions of dollars here. Even worse, after the IRS ruled against Blackwater in the case where it's employee blew the wistle to the IRS, Blackwater made that employee sign a nondisclosure agreement which specifically prevented him from informing any "politician" or "public official" of the IRS ruling. This was an obvious coverup. None of the other two private security contractors, DynCorp or Triple Canopy tried this shit. Henry Waxman is pissed and you don't want Henry pissed off at you.
The Great Dismal Swamp, nickname.............