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Sharpton owes nearly $1.5 million in back taxes


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Sharpton has been investigated before
In 1990, he was acquitted of tax fraud and charges that he stole from one of his charities. He followed that up with what was essentially another victory in a tax case by pleading guilty to a misdemeanor charge of failing to file a state return.

In the latest probe, the official overseeing the investigation is U.S. Attorney Benton Campbell — the same Brooklyn-based prosecutor whom Sharpton is urging to file criminal charges in the Bell shooting. Campbell's office has said it is reviewing the case but declined to comment further.

Sharpton's reputation has undergone a remarkable renaissance since the Tawana Brawley days in 1987, when he was accused of helping create a hoax in which the 15-year-old girl claimed she had been kidnapped and raped by a gang of whites that included a police officer and a prosecutor. A grand jury concluded that Brawley made the story up.

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Since the late 1990s, his civil rights group has grown from an outfit with a few hundred thousand dollars in annual revenue to an organization that now routinely takes in $1 million to $2 million per year, thanks partly to corporate support.

Donors have included beer giant Anheuser-Busch, which gave more than $100,000 last year, and Forest City Ratner, a real estate development company that courted black leaders for support of a plan to build an NBA arena in Brooklyn. PepsiCo, for several years, gave Sharpton a compensated position on one of its advisory boards.

The group also enjoys financial support from the state's top politicians.

New York Gov. David Paterson has transferred at least $28,000 from his own re-election committee to the National Action Network since 2001. Rep. Charles Rangel, a top Democrat in Congress, has been another major backer, giving at least $83,000. New York Attorney General Andrew Cuomo has given $10,000.

"Everybody who runs for office in the Democratic Party wants to meet with him," said former Mayor Ed Koch, who once battled Sharpton but now calls him a friend and a "bona fide leader."

Koch said Sharpton's past will always be an issue with some whites, and he disagreed with the decision to engage in civil disobedience over the Bell case. But the former mayor believes the respect Sharpton enjoys among blacks is well earned.

"He is willing to go to jail for them," Koch said. "And he is there when they need him."

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


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