During this time, Norquist worked with Abramoff, Ralph Reed and Abramoff’s partner Michael Scanlon in a money-laundering scandal that bilked millions of dollars from Indian tribes. Abramoff and Scanlon grossly overcharged the tribes for work on casino gambling issues, using Norquist’s ATR and the ATR Foundation as a pass-through to support their lobbying effort. Contributions were made to ATR, which then skimmed a fee off the top before passing the money on to Ralph Reed and other anti-gambling activists.
In one example, the Choctaw Indian tribe in Mississippi paid Americans for Tax Reform $1.1 million in 1999. Norquist passed the money to Reed, who ran the powerful Christian Coalition and a for-profit political consulting company. Reed used the money to run a religious-based anti-gambling campaign with the veiled purpose of preventing a rival tribe from cutting in on the Choctaw casino business.
This allowed Norquist, Reed and Abramoff to disguise the fact that the money used to fund anti-gambling activities was generated through Indian gambling. Abramoff utilized Norquist’s cachet and access, referring to him once in an email as a “hard-won asset.”
Investigations in 2006 by the Senate Indian Affairs and the Senate Finance committees (then chaired by Republican Sens. John McCain, Ariz., and Chuck Grassley, Iowa, respectively) found that Norquist not only used ATR as a cash “conduit” for Abramoff’s clients, but that ATR and four other conservative nonprofit groups “appear to have perpetrated a fraud” on American taxpayers.
Which raises the question: Just what is it that 236 GOP House and 41 GOP senators fear from an operative known to be involved in illegal activity involving taxpayer fraud and influence peddling?