Public Policy (January 25, 2015)

by Gerry Armstrong 1

Caroline on ESMB: Gerry concluded some time ago that the key to the IRS decision and its cancellation is the “public policy” issue, or actually public policy violations issue. This explains why neither Rathbun nor Rinder have told the truth about their fair gaming of Gerry, Mike Flynn, etc., and have not told the truth about false statements to and dealings with the IRS. From the Introduction to the Armstrong Operation: […]

Wildcat on ESMB: This is good information, thank you! Can you provide a link or clarification about the “public policy” issue? I’m not sure what that is, but am very interested to know more.

Public policy. That principle of the law which holds that no subject can lawfully do that which has a tendency to be injurious to the public or against the public good. The principles under which the freedom of contract or private dealings is restricted by law for the good of the community. The term “policy,” as applied to a statute, regulation, rule of law, course of action, or the like, refers to its probable effect, tendency, or object, considered with reference to the social or political well-being of the state. Thus, certain classes of acts are said to be “against public policy,” when the law refuses to enforce or recognize them, on the ground that they have a mischievous tendency, so as to be injurious to the interests of the state, apart from illegality or immorality. — Black’s Law Dictionary, Fifth Edition

To see how “public policy” fits into the Scientologists’ IRS scheme, start with the September 1984 judgment in Church of Scientology of California v. Commissioner of IRS.2

The US was very aware of the Scientologists’ public policy violations against government, organizations and individuals because of the documents seized in the 1977 FBI raids, and because of testimony of Exscientologists. A broad statement reflecting the US’s knowledge of such public policy violations is provided in the December 1980 Sentencing Memorandum in the US v. Jane Kember & Mo Budlong case.

Thus, as the evidence shows, these defendants orchestrated an elaborate cover-up, beginning in June 1976 and continuing through   June 1977 and, no doubt, thereafter.  In fact, a significant part of the defense they presented at trial — their attack on the integrity and reliability of Michael Meisner — was foreshadowed in the “obstruction documents.”  They presented this Court with a shabby attempt at impeaching Meisner’s credibility by claiming that he stole money from the Church — the same false claim they made against another former Scientologist who had the courage to expose their crimes and thus fell victim to their fair game doctrine. Allard v. Church of Scientology of California, 58 Cal. App. 3d 439, 129 Cal. Rprtr. 797 (Ct. App, 1976), cert. denied, 97 S. Ct. 1101 (1977).


Other Crimes Committed by These Defendants

The defendants’ contention that they committed the crimes of which they stand convicted in order to protect their Church from Government harassment collapses when one reviews a sample of the remaining documents seized by the FBI during the execution of the two Los Angeles search warrants.  If anything, these documents establish beyond doubt that the defendants, their convicted co-defendants, and their unindicted co-conspirators, as well as their organization, considered themselves above the law.  They believed that they had carte blanche to violate the rights of others, frame critics in order to destroy them, burglarize private and public offices and steal documents outlining the strategy of individuals and organizations that the Church had sued. These suits were filed by the Church for the sole purpose of financially bankrupting its critics and in order to create an atmosphere of fear so that critics would shy away from exercising the First Amendment rights secured them by the Constitution. [ ] The defendants and their cohorts launched vicious smear campaigns, spreading falsehoods against those they perceived to be enemies of Scientology in order to discredit them and, in some instances, to cause them to lose their employment. Their targets included, among others, The American Medical Association (AMA) which had branded Scientology’s practice of “dianetics” as “quackery”; the Better Business Bureau (BBB), which sought to respond to private citizens’ inquiries about the courses offered by Scientology, newspapers which merely sought to report the news and inform the public, law firms which represented individuals and organizations against whom Scientology initiated law suits (often for the sole purpose of harassment); private citizens who attempted to exercise their First Amendment rights to criticize an organization whose tactics they condemned; and public officials who sought to carry out the duties for which they were elected or appointed in a fair and even-handed manner. To these defendants and their associates, however, anyone who did not agree with them was considered to be an enemy against whom the so-called “fair game doctrine” could be invoked. [cite]  That doctrine provides that anyone perceived to be an enemy of Scientology or a “suppressive person”  “[m]ay be deprived of property or injured by any means by any Scientologist without discipline of the Scientologist.  [He m]ay be tricked, sued, lied to, or destroyed.” [cite] This policy, together with the actions of these defendants who represent the very top leadership of the Church of Scientology, bring into question their claim that their Church prohibited the commission of illegal acts.



The above recitation of evidence establishes beyond dispute the massive and insidious nature of the crimes these two defendants engaged in over the years.  It also puts to rest their protestation, articulated by Mary Sue Hubbard from the witness stand, that they only burglarized Government offices and stole Government documents because of some imaginary Governmental harassment campaign against them.

The brazen and persistent burglaries and thefts directed against the United States Government were but one minor aspect of the defendants’ wanton assault upon the laws of this country.  The well-orchestrated campaign to thwart the federal Grand Jury investigation by destroying evidence, giving false evidence in response to a Grand Jury subpoena, harboring a fugitive, kidnapping a crucial witness, preparing an elaborate cover-up story, and assisting in the giving of false statements under oath shows the contempt which these defendants had for the judicial system of this country.  Their total disregard for the laws is further made clear by the criminal campaigns of vilification, burglaries and thefts which they carried out against private and public individuals    and organizations, carefully documented in minute detail.  One can   only wonder about the crimes set forth in the documents secreted in their “Red Box” data.  That these defendants were willing to frame their critics to the point of giving false testimony under oath against them, and having them arrested and indicted speaks legion for their disdain for the rule of law.  Indeed, they arrogantly placed themselves above the law meting out their personal brand of punishment to those “guilty” of opposing their selfish aims.

The crimes committed by these defendants is of a breadth and scope previously unheard.  No building, office, desk, or files was safe from their snooping and prying.  No individual or organization was free from their despicable scheming and warped minds. The tools of their trade were miniature transmitters, lock picks, secret codes, forged credentials, and any other devices they found necessary to carry out their heinous schemes.  It is interesting to note that the Founder of their organization, unindicted co-conspirator L. Ron Hubbard, wrote in his dictionary entitled “Modern Management Technology Defined” that “truth is what is true for you,” and “illegal” is that which is “contrary to statistics or policy” and not pursuant to Scientology’s “approved program.”  Thus, with the Founder-Commodore’s blessings they could wantonly commit crimes as long as it was in the interest of Scientology.

These defendants rewarded criminal activities that ended in success and sternly rebuked those that failed.  The standards of human conduct embodied in such practices represent no less than the absolute perversion of any known ethical value system.  In view of this, it defies the imagination that these defendants have the unmitigated audacity to seek to defend their actions in the name of “religion.”  That these defendants now attempt to hide behind the sacred principles of freedom of religion, freedom of speech and the right to privacy — which principles they repeatedly demonstrated a willingness to violate with impunity — adds insult to the injuries which they have inflicted on every element of society.

These defendants, their co-conspirators, their organization, and any other individual or group that might consider committing similar crimes, must be given a clear and convincing message: criminal activities of the types engaged in here shall not be tolerated by our society.3

In July 1987, the Ninth Circuit of the US Court of Appeals affirmed the Tax Court’s 1984 judgment in CSC v. Commissioner. Because the Ninth Circuit affirmed on the ground of inurement to L. Ron Hubbard, it did not address the public policy issue.

We conclude that the Church failed to establish that “no part of the net earnings … inures to the benefit of any private shareholder or individual….” 26 U.S.C. Sec. 501(c)(3). Because we may affirm the Tax Court on this ground, we do not reach the questions of whether the Church operated for a substantial commercial purpose or whether it violated public policy. 4

Because the Ninth Circuit affirmed the Tax Court judgment only on the ground of inurement, it did not mean that the IRS could ignore the other grounds for denial of tax exemption if the Scientologists cured their inurement problem. Hubbard’s death solved inurement. The Scientologists solved their public policy problem by committing more public policy violations against the people who were already victims of the Scientologists’ public policy violations. For corrupt reasons, the US abetted the Scientologists, indeed required such public policy violations.

The Scientologists’ strategy, as has long been known, became to blame their Guardian’s Office for everything off-public policy the Scientologists had been caught doing, disband the GO as a rogue operation, and swear that public policy violations were no longer committed or permitted. The Scientologists, of course, first under Hubbard and then under Miscavige, continued violating public policy unabated, and probably even escalated public policy violating by having the GO to scapegoat.

The blaming of the GO, and the smearing of the Scientologists’ public policy violation victims by association with the GO, is a key theme in the Scientologists’ negotiated submissions to the IRS upon which tax exemption was granted in 1993. The Scientologists, and the IRS, had to deal with the public policy issue that is so prominent in the 1984 Tax Court judgment. These submissions, negotiated to demonstrate that public policy violations had ended with the GO, are actually irrefutable, and astonishing, proof that Scientologists continued violating public policy, directed by the very top leadership of Scientology. 5

There are, naturally, many years of evidence of the Scientologists’ public policy-violating activities since their exemption-reaping submissions. Their actions against me in violation of public policy started during the Hubbard regime and have not stopped throughout the Miscavige regime. In significant part, the Scientologists’ actions targeting me as an SP or enemy comprise a conspiracy against rights (18 USC 241), which clearly is against public policy. The Scientologists’ public policy violations in targeting me in their submissions to the IRS are stunning. In negotiating with the Scientologists to file this material targeting me, by requiring or permitting this material to be filed, and by interference of any kind against me on behalf of the Scientologists ever since, the US has been participating in their criminal conspiracy, and vice versa.

Although in his 2013 book Memoirs Mark Rathbun did not confront his participation in the Scientology-IRS conspiracy, which defrauded Americans and criminally prejudiced the SP class, he did disclose a number of things that are useful in examining certain of the Scientologists’ fact statements in their IRS submissions. Comparing the public policy sections of these submissions with the US’s knowledge of public policy violations as shown in the 1980 US v. Kember sentencing memorandum, and analyzing both fact sets with what Rathbun has disclosed or what is known from other sources, would be a logical next step.