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Tuesday, June 25, 2013

Porn, wine, Nerf footballs bought with IRS credit cards, IG says

The IRS made more than 273,000 purchases totaling more than $103 million by using credit cards and another $4.4 million using convenience checks, the inspector general said in a June 20 report. The purchases took place in 2010 and 2011. - Kelly Cohen/Washington Examiner

The IG's office found that the cards were also misused for managers' meetings, team-building exercises and fundraising activities. This includes almost $4,000 in "improper decorative and give-away items" such as a popcorn machine rental, Nerf footballs and the "world's largest crossword puzzle" bought for team-building.

Alcohol purchases totaled more than $50,000 — including an instance of buying 28 bottles of wine for 41 guests. Two cards were also used to buy online pornography. The cardholders claimed their individual cards were stolen, but only after the audit was done.

PLUS:

Report: IRS fraudulently awarded $500 million in contracts to friend of top agency officia - Susan Ferrechio/Washington Examiner

House investigators say the largest contract issued by the Internal Revenue Service in the last 15 years has been award fraudulently, but the agency has no plans to revoke it.

House Oversight and Government Reform Committee Chairman Darrell Issa, R-Calif., said the IRS handed a $266 million purchasing agreement to Strong Castle, an information technology company based in Leesburg, Va., based on the company owner’s “longstanding relationship,” with an IRS deputy director Gregory Roseman, who is in charge of the agency’s Enterprise Networks and Tier Systems Support.