Watchdog Wants IRS to Look at Koch-Tied Nonprofit Business Fund

A campaign-finance watchdog group is calling on the Internal Revenue Service to investigate Freedom Partners, a nonprofit business league that gave $235-million in grants to conservative organizations during the 2012 election season, National Journal reports.

Citizens for Responsibility and Ethics in Washington, or CREW, contends that Freedom Partners, a 501(c)(6) organization with ties to billionaire industrialists Charles and David Koch, engaged in no activity last year beyond supporting other groups.

The 501(c)(6) designation is for trade associations and chambers of commerce that represent members’ interests. Such groups are not required to disclose donors. CREW wants the IRS to clarify regulations on political activity by 501(c)(6) entities ahead of the 2014 election.

James Davis, the spokesperson for Freedom Partners, said the organization “follows all IRS regulations as a nonprofit, nonpartisan business league that advances our members’ common business interests by promoting free-market policies.”