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Rangel Saved Loophole that Aided $1M Donor

Oil-drilling company helped finance NY rep's legacy project

By Matt Cantor, Newser Staff

Posted Nov 25, 2008 11:27 AM CST

(Newser) – As questions swirl over the methods Charles Rangel used to raise funds for a school in his name, a New York Times investigation finds that the New York representative and chair of the House Ways and Means committee fought to save a tax loophole that benefited one of the school's donors. The loophole enabled Nabors Industries, an oil-drilling firm whose CEO pledged $1 million to the project, to maintain an offshore tax shelter.

Rangel, who is facing a House ethics committee probe, said he helped keep the loophole open as a longtime opponent of retroactive tax increases. Nabors' CEO Eugene Isenberg said, “There was no quid pro quo” and that he had donated for the sake of the public policy school at New York’s City College. But others in Congress said Rangel’s actions came as a surprise: In the past, he had slammed firms for offshore moves.

House Ways and Means Committee Chairman Rep. Charles Rangel, D-NY arrives on Capitol Hill in Washington, Wednesday, Oct. 29,2008. (AP Photo/Lawrence Jackson)

In this Sept. 10, 2008 file photo, House Ways and Means Chairman Rep. Charles Rangel, D-NY, pauses as he responds to questions regarding allegations of financial improprieties. (AP Photo/Lauren Victoria Burke, File)

In this undated photo provided by Nabors Industries, Chairman, Director and CEO Eugene Isenberg is shown. (AP Photo/Nabors Industries)

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Rangel Saved Loophole that Aided $1M Donor

Oil-drilling company helped finance NY rep's legacy project

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Move would be attempt to address national debt

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'Double Irish' and 'Dutch Sandwich' maneuvers save big bucks

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Rangel Saved Loophole that Aided $1M Donor

Oil-drilling company helped finance NY rep's legacy project

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OTHER STORIES ON OUR RADAR

school • Charles Rangel • corporate tax • loopholes • political scandal • fundraising • tax shelter

MOST POPULAR STORIES

[ By Views ]

[ By Comments ]

More Newser Stories

30 Top Corporations Paid US No Taxes, Despite Profit

Few companies actually pay 35% rate

Real Villain of Tax Breaks: Middle Class

Corporations account for just 8% of tax breaks

Dems, GOP Back Push to Cut Corporate Tax Rate

Bipartisan support builds behind effort to close loopholes

Obama Mulls Tax Code Overhaul: Cut Breaks, Rates

Move would be attempt to address national debt

How Google Avoids Paying Billions in Taxes

'Double Irish' and 'Dutch Sandwich' maneuvers save big bucks

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Newser By Users

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