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Cheney Profits From Katrina

Posted by Brooke Shelby Biggs on April 19th, 2006

A Notre Dame professor has analyzed Dick Cheney's 2005 tax return and concluded that our fair Vice President exploited a new tax law instituted post-Katrina to save himself several million dollars. It turns out that Smirky Dick used a loophole intended to encourage charitable donations for Katrina relief to write off charitable contribution which went to non-Katrina causes. That alone might not be enough to get irked about, except that it looks like the exploitation of the loophole was deliberate to minimize his overall liability, and he used Halliburton money to do it.

Cheney exercised some of his Halliburton options in late 2005, during which time that company's profits were soaring in part because of fat no-bid reconstruction contracts granted to its subsidiary KBR in the wake of Katrina. Cheney used those proceeds -- $6.8 million -- to donate to charities per his 2001 agreement to use his options only for charity.

Says the prof: "While there's nothing inappropriate about that from a legal perspective, it does demonstrate how the legislation, which was sold to the public as providing relief to Katrina victims, provided significant tax benefits to the VP (and potentially other wealthy individuals) in situations that have nothing to do with Hurricane Katrina."

Not illegal but definitely soulless, cynical, opportunist, and greedty. So, no big surprise.