Posted on 11/02/2005 12:17:55 PM PST by Lurking Libertarian
But there is another side to Jay Sekulow, one that, until now, has been obscured from the public. It is the Jay Sekulow who, through the ACLJ and a string of interconnected nonprofit and for-profit entities, has built a financial empire that generates millions of dollars a year and supports a lavish lifestyle -- complete with multiple homes, chauffeur-driven cars, and a private jet [...][snip]
That less-known side of Sekulow was revealed in several interviews with former associates of his and in hundreds of pages of court and tax documents reviewed by Legal Times. Critics say Sekulow's lifestyle is at odds with his role as the head of a charitable organization that solicits small donations for legal work in God's name.
For example, in 2001 one of Sekulow's nonprofit organizations paid a total of $2,374,833 to purchase two homes used primarily by Sekulow and his wife. The same nonprofit also subsidized a third home he uses in North Carolina.
At various times in recent years, Sekulow's wife, brother, sister-in-law, and two sons have been on the boards or payrolls of organizations under his control or have received generous payments as contractors. Sekulow's brother Gary is the chief financial officer of both nonprofit organizations that fund his activities, a fact that detractors say diminishes accountability for his spending.
According to documents filed with the Internal Revenue Service, funds from his nonprofits have also been used to lease a private jet from companies under his family's control. And two years ago, Sekulow outsourced his own legal services from the ACLJ, shifting from a position with a publicly disclosed salary to that of a private contractor that requires no public disclosure. He acknowledged to Legal Times that his salary from that arrangement is "above $600,000" a year.
(Excerpt) Read more at law.com ...
The amounts involved are substantial. CASE reported receiving nearly $14 million in donations for 2003. Its board of directors has three members: Jay Sekulow; his wife, Pam; and his son Jordan, who sometimes appears on Sekulow's radio show. The ACLJ also has only a three-member board: Pat Robertson, who is unpaid; Jay Sekulow; and Thomas Monaghan, a Kentucky-based lawyer who was paid $224,995 in salary, benefits, and expenses by the ACLJ in 2003.
Sekulow serves as chief counsel for both the ACLJ and CASE. His brother Gary serves as chief financial officer for both organizations. As one former employee puts it: "With Gary there, nobody is looking at what Jay is doing. Nobody." Jay Sekulow notes that his brother is a certified public accountant. Gary was paid $200,000 by CASE and $143,699 by the ACLJ in 2003. Gary Sekulow could not be reached for comment.
Pam Sekulow is not listed on ACLJ tax forms. But CASE reported to the IRS that she was secretary-treasurer of that organization with an annual salary of $180,878. Former employees say that she currently has few operational duties, but Jay Sekulow, speaking for her, says she has significant responsibilities, including event planning.
Sekulow says his son Jordan is paid by his company, Regency Productions, which produces the radio show. His other son, Logan, has a late-night comedy show that airs on Christian television networks and is sponsored by CASE.
And what about Sekulow's own salary? In an interview with Legal Times in June, Sekulow estimated his salary to be $275,000, but that appears to be an incomplete number. In 2002, for example, the ACLJ reported paying him $255,042, and CASE paid him $228,783, for a total of $483,825.
In 2003, CASE paid Sekulow $213,098 in salary, according to its IRS filing, along with an additional $154,643 in benefits and expenses. Curiously, though, the ACLJ's tax filings for 2003 report that Sekulow's salary from that group went to zero.
The disappearing-salary mystery is perhaps solved in another section of the ACLJ's 2003 disclosure. There, on a list of independent contractors that the ACLJ paid that year, a new entity shows up for the first time, the "Center for Law and Justice," without the word "American" at the beginning. This new entity received $733,389 from the ACLJ for "legal services." The ACLJ form offers no details about the center.
But CASE's tax form for 2003 is more revealing. CASE paid the Center for Law and Justice $625,599 that year, also for legal services. In a supplementary statement explaining transactions the organization has had with trustees and directors, CASE states that the Center for Law and Justice is "a law firm partially owned by the president and chief counsel" of CASE -- in other words, Jay Sekulow. Together, the ACLJ and CASE paid the center $1,358,988 in 2003.
Other sources state that the firm was formed by Sekulow and two others: longtime business partner Stuart Roth, listed that year as vice president for litigation at the ACLJ with a salary of $109,250, and Monaghan, a member of the ACLJ's board of directors. Sekulow's salary from the newly created law firm is no longer ascertainable from the Form 990, but late last week, Sekulow confirmed it was "above $600,000."
The bottom line: Sekulow performs legal services as before, but now he is paid as an outside contractor, blurring the exact compensation he personally receives from the groups. One former employee quotes Sekulow as saying, before the law firm was created, "We've got to get the salaries off the 990s." Sekulow denies making that statement.
If the figure for his salary is accurate, Sekulow would be the 13th-highest-paid executive of a charitable organization in the United States -- just below the United Way's CEO, Brian Gallagher -- according to a ranking by the American Institute of Philanthropy, another charity watchdog group.
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Sorry....I'm hesitant to donate money to a group playing shell games like this.
These deals with for-profit firms being operated under not-for-profit "umbrellas" may have seemed like a good idea, but they often give the appearance of using religion to make money. This is never right (remember Jesus and the temple money changers), and can often lead to abuse. Even if people are completely "above board", it still leaves a smell. Far better if people just stick to one thing or the other.
The ACLU would love nothing more than to see Sekulow ruined. This guy does good work. He deserves to benefit from it. How many lawyers of his stature to you know that don't make REALLY good money?
Sounds like someone is trying to discredit Jay..I would say he works mighty hard for ever cent he has..Below is a picture and a small article...
http://www.wxan.net/jaysekulowpage.html
On the other hand, I don't care in the slightest what work a person has done in the past, if they act unethically it should be revealed and reviled. Just like with Abrahamson (or whatever his name was). If someone is in this for the money I don't really give a damn about them either. I'll use them as long as they're helpful.
Now he who received seed among the thorns is he who hears the word, and the cares of this world and the deceitfulness of riches choke the word, and he becomes unfruitful. -Matthew 13:22
Then Jesus said to His disciples, “Assuredly, I say to you that it is hard for a rich man to enter the kingdom of heaven. -Matthew 19:23
And again I say to you, it is easier for a camel to go through the eye of a needle than for a rich man to enter the kingdom of God. -Matthew 19:24
And the disciples were astonished at His words. But Jesus answered again and said to them, “Children, how hard it is for those who trust in riches to enter the kingdom of God! -Mark 10:24
...and that's a very small sample of His discourses on the topic.
Unless he is breaking the law - who cares. He can have as much as he is able, I do not care, as long as he is getting the job done.
There's a difference between poor and extreme flaunting of wealth.
If you really want to get a good picture of how these organizations work, just go through a list of their well-compensated directors or trustees and ask someone who works for the organization how often he or she is ever seen there.
I wonder if the timing of this hatchet job was not linked to the fact that Sekulow was apparently endorsing, or at least involved in the failed nomination of Miers. Perhaps the calculus is that the conservative support for ACLJ would weaken.
I listen to the guy on the radio and like him, however I called in for the "free" freedom package. (Copy of the constitution, decleration of ind., gettsysburg address etc.) I spent twenty minutes on the phone being hit hard for donations, long distance phone service and something else that slips the mind. Bottom line... I never got my "free" freedom pack because I couldn't share a freedom offering.
You're right. It's not that he's making money. The problem comes when the "nonprofit" and "for-profit" lines are blurred. That invites trouble, particularly when lower income people are making contributions.
BTW, it's not just religious organisations. I was disturbed to learn that the head of the Red Cross had a $1M/yr salary. It makes one hesitate to contribute.
I'm waiting for Jesse Jackson's tax returns to be released. Then again, the temperature in hell remains constant.
BTW, look at the money that "public servants" like the Clinton's are able to rake in.....
1Tim 6:7 For we brought nothing into [this] world, [and it is] certain we can carry nothing out.
1Tim 6:8 And having food and raiment let us be therewith content.
1Tim 6:9 But they that will be rich fall into temptation and a snare, and [into] many foolish and hurtful lusts, which drown men in destruction and perdition.
1Tim 6:10 For the love of money is the root of all evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows.
1Tim 6:11 But thou, O man of God, flee these things; and follow after righteousness, godliness, faith, love, patience, meekness.
Jay is not my spiritual hero - that would be Jesus. I just hope Jay is a good lawyer. If he gets rich fighting the ACLU, more power to him.
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