Proof of Accounting Irregularities

As you all know, I filed a Motion to Compel on Specially Prepared Interrogatories, Set #1: Clarification of Policy and Procedure.

I also prepared and submitted to a second set of interrogatories to FTB, called Specially Prepared Interrogatories, Set #2: Accounting Irregularities. Here are the questions. Many of the questions refer to the attached evidence, and specify which page of evidence to look at. Here are evidence pages 1 – 18 and pages 19 – 36.

Unfortunately, there is a limit to how many questions I am allowed to ask FTB. I went over my limit, so FTB isn’t required to answer any of these questions and I can’t file a Motion to Compel for answers on this one. But that is ok. I submitted this as Exhibit 49 in the Superior Court case to support my argument that FTB’s numerous and egregious accounting irregularities gave me and my husband reasonable cause for filing our tax returns late. It is also hard proof of fraud, falsely imposing penalties and fees, and overcharging interest which will go into the Federal Class Action Criminal Complaint.

Please, each one of you, ask FTB’s Disclosure Department for your accounting records. Look through your own records to see if your account has the same accounting irregularities. Irregularities include:

FTB employee Chelsea Hubbard stated under penalty of perjury that FTB does not keep accurate accounting records. See Q Sets #3, #5, #14, #15, #16, #19, and #27 C – H for questions regarding inaccurate bookkeeping.

Q sets #7, #8, #9, #10, #13, #16, #23 address new bills that were created on tax years that had already been zeroed out and closed, with many falsified line items on the accounting ledgers regarding payments that were “misapplied” to these newly created bills.

Overcharging interest was addressed in Qs #12A, #24A, #27 A-B, and in Q sets #18, #20 #22, and #26.

“Cooking the books” to hide the interest overcharge by adding a second demand penalty to 2014 was addressed in Q set #25.

The evidence that FTB has submitted indicates that estimated tax payments which are held in suspense are identified as “no payments.” This indicates that they are not yet counted as revenue (see Q set #4). There are many accounting irregularities surrounding these withheld payments. For example, Qs 10F/15C/16C/16D/16F/23C pertain to one $9,000 estimated tax payment intended for tax year 2011 that is listed on FTB’s books 4 times. This one payment shows up in multiple locations at the same time. The $9,000 wasn’t applied to our account until at least two months after our tax returns were processed (see Q set #17). In the interim, FTB filed a wage garnishment against my husband for $6,00O because the $9,000 could not be located no matter how many times I sent them the canceled check (see Q set #16). The only explanation I can come up with is that the “no payment” or “suspense account” is an illicit “off-the-books” spending account and FTB is “cooking the books” to hide the missing funds (see Q set #4, #5, #14, #15, #16).