[Congressional Record Volume 148, Number 131 (Tuesday, October 8, 2002)]
[Extensions of Remarks]
[Pages E1798-E1799]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                         TRUTH IN FINANCING ACT

                                 ______
                                 

                             HON. RON PAUL

                                of texas

                    in the house of representatives

                        Tuesday, October 8, 2002

  Mr. PAUL. Mr. Speaker, I rise to give taxpayers the power to prevent 
their tax dollars from subsidizing illegal activity by introducing the 
Truth in Financing Act. Hard as my colleagues may find it to believe, 
groups which violate federal and state laws, or make misrepresentations 
when filing for federal grants, continue to receive federal tax 
dollars.
  For example, according to information obtained by my office, federal 
bureaucrats are giving taxpayer funds to groups which routinely flaunt 
laws requiring that cases of statutory rape and child molestation be 
reported to the relevant authorities.

[[Page E1799]]

  In order to insure that taxpayers are not subsidizing this type of 
unconscionable and illegal behavior, the Truth in Financing Act forbids 
federal funds from going to anyone who violates a federal law, 
regulation, or state or local law punishable by 6 months imprisonment 
or a fine of at least $5,000. The prohibition would also apply to those 
who aid or abet serious criminal activity, or who lie on an application 
for federal funds.
  Most importantly, the Truth in Financing Act allows any U.S. citizen 
to use the courts to force federal officials to cut off funds from 
those who violate the law. No longer will taxpayers have to sit 
silently by while federal bureaucrats shovel money to those who flaunt 
the laws of this country.
  Providing federal funds to those who engage in illegal behavior 
undermines the rule of law and forces taxpayers to fund illegal 
behavior. If federal bureaucrats will not act to prevent taxpayer funds 
from going to organizations that violate the laws, then Congress has no 
choice but to give taxpayers the power to stop this outrage. I hope my 
colleagues will stand up for the rule of law and the American taxpayer 
by cosponsoring the Truth in Financing Act.

                          ____________________