Back in the early '90s Mr. Cisneros was considered the rising savior of the Democratic Party in Texas. "So there were people who wanted to save his political future," a source tells us. To that end, when the IRS began investigating him for tax fraud an extraordinary thing happened: The investigation was taken from the IRS district office that would always handle such an audit and moved to Washington, where it was killed.
"Never in the history of the IRS has a case been pulled out of the regional office and taken directly to Washington," our source continues. This information was originally provided to Mr. Barrett, some years into his investigation, by a whistleblower in the IRS regional office with 30 years of experience.
Using his subpoena power, Mr. Barrett also found that the IRS would not have been able to kill the case on its own. It had to have cooperation from the Justice Department, particularly the Public Integrity and Tax divisions. We're told Mr. Barrett beat back several attempts by Justice to squelch or otherwise limit his investigation, and that a lot of important names from the Clinton era appear in the report. One key figure is likely to be former Clinton Administration IRS Commissioner Peggy Richardson, a prominent Texas Democrat, and a friend of both Mr. Cisneros and Senator Hillary Rodham Clinton.
Public Integrity? Now that's an oxymoron if I ever hoid one.