Oklahoma (June 16, 2008) - Are Oklahoma taxpayers subsidizing huge windfall profits for state officials and friends?
A program that allows investors, without risking one dime, to automatically take 200% of their investments in tax credits.
Tax credits that can be immediately sold, using the proceeds to fund the entire investment and pocket an additional 100% profit.
Something for nothing!
Example, a claim to invest $50 million automatically allows taking tax credits worth $100 million. $50 million to fund the
investment and a $50 million profit. A profit that can be realized in less than one month, without investors risking one dollar.
The program operating with complete autonomy is kept totally hidden from all but one political appointee. With no law to prevent participation,
state officials are free to reap huge unearned profits without risk of a conflict of interest or their involvement being discovered.
The program is the Capital Formation Incentive Act created in 2006 when a committee chairman, Kevin Calvey, running for congress,
held the 30 page bill until the closing days flurry of bills arrived on both floors. When Cavley released the bill there
was a 50 page amendment. An amendment Paul Doughty,
President of Altus Venture, the biggest known abusers of the previous loophole was allowed to advise on the content. A close examination of Calvey's
campaign funding report reveals suspicious activity, including donations by Altus Venture principals -- one of which was the advisor on the 50 page amendment.
Information has since leaked that at least another $630 million in future tax revenue has disappeared through this scheme.
This program is open to Oklahoma's wealthiest which would include ownership of the state's two largest papers, major donors and the who's who of Oklahoma.
Any reasonable person would have to question if involvement explains the reason state officials and the press are turning their backs?
Examples, specifics and background including a detailed examination of the Oklahoma's corruption riddled Capital Formation Incentive Act
and suspicious campaign donations can be found at