Let's Review Why He started The Prem Rawat Foundation
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Posted by:
OTS ®

03/02/2007, 08:30:21
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Back during the Rene Davis era of Divine Light Mission (early 1974), there was proclaimed (in a famous five minute film made by Rawat from the hand-carved desk in his Int'l Headquarters) a new organization to do great social works among the people of our communities.  The organization was to be called the "Divine United Organization" (DUO).  All the premies around the country began doing wonderful social service projects instead of 24/7 satsang and meditation.  This counted as "service," even though it wasn't directly to the Lotus Feet.  We went to old age homes, prisons, schools, hospitals and did volunteer work -- whatever was needed.  We snuck in a little satsang, and it all was just wonderful.  Except, all of a sudden, in about 2 years, DUO WAS DONE.  Toast.  Forget it.  The late 1976 revival of devotion and total surrender didn't seem to have a place for visiting hospitals and prisons any longer.  We were relegated once more to 24/7 satsang, meditation and service (direct -- no more community social activism.  Who had time for that crap when the LIVING LORD OF THE UNIVERSE was walking among us, bringing peace to people all over the world.  In many many far off lands now).  No more charitable works for premies.  The only gifts we were to propagate was the gift of Knowledge.   Can't eat?  No teeth?  No eyeglases?  Sorry.  We're finished assisting people in a social way.  We're only giving out techniques here.  No food, shelter or clothing. 

But, 25 years later, , the U.S. makes changes to the tax code and all of a sudden the Guru has a change of heart and now is promoting not only the Knowledge, but the charitable works of The Prem Rawat Foundation?  Why?  One Answer:  So he could keep his money.  That's all there is to it.  No change of heart about helping others.  It just was the only way he could keep more of his money. 

Recent news reports detail how Senator Hilary Clinton failed to disclose in her Senate Financial Disclosure forms that she was an officer of her family’s charitable foundation.  News reports say that “[Tthe foundation has enabled the Clintons to write off more than $5 million from their taxable personal income since 2001, while dispensing $1.25 million in charitable contributions over that period.”

Most very wealthy Americans have these family foundations because, according to news reports, as “[t]e retired chief of the IRS branch that oversees tax-exempt nonprofits said family-run foundations are commonly created by wealthy Americans, allowing them to earn tax breaks by donating to a charity whose future good works they can control. Such charities need only to give 5 percent of proceeds each year to maintain a tax exemption.”

"There are certain tax advantages to having your own foundations and not having the money as part of your estate," said Milton Cerny, formerly of the IRS. "They can take the tax deduction up front, as soon as they put the money into the foundation."

Whether it’s the Tiger Woods Foundation or the Charlie Villaneuva Foundation (a wonderful pro basketball player with the disease alopecia, whose foundation does educational works with Charlie and young people affected by this disease around the country .  This diseases causes hair loss and its devastating to kids' egos), many many rich Americans – athletes and Hollywood stars -- including cult leader Prem Rawat and his “The Prem Rawat Foundation” -- are taking full advantage of the family foundation tax breaks offered by the United States tax code.  Included in this endeavor, is the ability to hire one’s relatives to run the foundation, and the fact that the relative receives a salary (whatever the foundation deems proper).

 So that’s how Rawat went from a guru to a philanthropist.  Tax Breaks!  No other reason.  His all-of-a-sudden charitable streak evolved not from some revelation during meditation (after the brandy), but changes in U.S tax law.  Rawat seems very concerned with remaining a millionaire.  He loves to pollute the earth, flying around the world aimlessly wasting fuel doing his failed “propagation” routines on the private jet he is supplied with by his Foundation for world-wide travel  and first class hotels, restaurants, limos.  What a cryin shame.






Modified by OTS at Fri, Mar 02, 2007, 09:39:23

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Re: Let's Review Why He started The Prem Rawat Foundation -- OTS Top of thread Archive
Posted by:
geo ®

03/02/2007, 09:31:36
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OTS   Thanx for the explanation . I knew something was stinking to the High Heaven . As allways you do not say much but when you do WOW






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Thanks for that OTS
Re: Let's Review Why He started The Prem Rawat Foundation -- OTS Top of thread Archive
Posted by:
Marianne ®

03/02/2007, 09:34:44
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Even more enlightening than k!






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Re: Let's Review ..................... Urm ??
Re: Let's Review Why He started The Prem Rawat Foundation -- OTS Top of thread Archive
Posted by:
Nik ®

03/02/2007, 10:18:55
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While I don't think TPRF is about anything other than promoting Rawat and his spurious 'message', and the humanitarian stuff is just a sick PR angle, I don't think it is correct to compare a set up like TPRF, with a private family trust. Whatever the failings of TPRF it clearly has a constitutional base which sets it apart from a basic tax 'maximisation' Trust.

Rawat has never needed anything as clumsy as TPRF to maximise his own Tax position - his personal lawyer, Robert Jacobs is acknowledged to have been one of the foremost personal tax advisers of his generation.

TPRF fulfils a number of functions for Rawat; in my opinion the most significant is that it provides a PR facade, including an aparent open statement of finances, behind which EV can carry on unhindered with the larger operation of tax exemption using its Form 990 status as "operating for religious purposes" - without having to make any public statement about those much more substantial finances.

Of course none of this mitigates Rawat's greed and wastefulness - TPRF only supports a limited amount of the 'propagation pollution', the bulk of the $4million annual travel bill comes out of the EV finances, which the public never gets to see.

A final point on DUO - the real joke is that it never actually existed, at least not as anything other than the  ashram and registered association now called Raj Vidya Kender. A few US DLM subsidiaries were registered in the US under the DUO name but nothing approaching a seperate constitued entity was ever created, the whole thing was a myth.

Nik







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I humbly disagree, Nik
Re: Re: Let's Review ..................... Urm ?? -- Nik Top of thread Archive
Posted by:
OTS ®

03/02/2007, 10:31:03
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It is NOT a private family trust.  It is a nonprofit, government-reulgated CHARITABLE FOUNDATION.  These are two very distinct and separate entities under the United States tax code, which was changed since Mr. Jacobs set up the church/tax set up in the 70s.






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Re: I humbly disagree, Nik
Re: I humbly disagree, Nik -- OTS Top of thread Archive
Posted by:
PatD ®

03/02/2007, 16:59:40
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It is NOT a private family trust.


I thought that was exactly what Nik said.  I'm on the verge of getting confused here.






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Re: I humbly disagree, Nik
Re: Re: I humbly disagree, Nik -- PatD Top of thread Archive
Posted by:
Nik ®

03/03/2007, 06:39:20
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Yes, that's what I thought

But just in case I garbled the point - it is precisely because TPRF is not a Family Trust, I that I think it is unlikely to be of significant use to Rawat when it comes to managing his personal taxation. And although Robert Jacobs has now retired from his New York base, he continued to advise Rawat over many years. I really doubt anything other than a forensic accountantcy investigation will be able to reveal anthing significant about Rawat's personal dealings. At a guess I'd say any income from his 'successful investments' would be paid outside the US anyway - perhaps the Bahamas.

TPRF is a pretty basic set up with a fairly low income, probably representing less than 10% of the Cult's annual spend. Apart from usefully running interferance as a smokescreen for the real money operation - EV, I think TPRF should be viewed as much an artefact of competion for influence amongst fractious groups of Rawat's gauleiters, as it is being any real organisational departure.

Nik







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