New Scientology financial disclosures reflect the dire state of its chief drug rehab

miscavigearrowhead

(Note: This article was originally published at Tony Ortega’s Underground Bunker and is reposted here for informational and archival purposes)

Contributor Jeffrey Augustine keeps a close eye on Scientology’s financial documents. And he has some new information today that backs up what we’ve been told anecdotally by our other sources — that Scientology’s flagship drug rehab center in Oklahoma, Narconon Arrowhead, is in serious trouble. Take it away, Jeffrey…

Here in the US, religious groups do not have to file tax returns. The only exception is if they have “unrelated business income.” If they do, thanks to a 2006 law change, religious groups must file an IRS form “990-T.” And even then, we don’t have much interest in the “unrelated” income that they report. The Church of Scientology, for example, owns a nine hole golf course at Gold Base that it rents out to local civic groups. The Flag Land Base in Clearwater and Celebrity Centre International in Hollywood each have ballrooms that they rent out. These tend to be trivial amounts and don’t tell us much about the real money they’re taking in for courses and donations.

However, the real value of the 990-T form is that it contains one really interesting question: It requires that the filer estimate the total “book value” of the organization. In other words, Scientology entities that submit these forms have to admit how much they’re worth.

And that’s forced several Scientology entities to admit to being worth a total of about $1.7 billion in assets. (And that’s only for the entities that report unrelated business income. Some of Scientology’s entities don’t submit 990-T forms, so we can only guess at their book value. But it would certainly mean that Scientology as a whole is worth billions more.)

Meanwhile, Scientology’s entities that can’t claim to be religious in nature — like the secular front groups, including the drug rehab companies under the Narconon umbrella — do submit annual tax returns (990 forms) if they have gross receipts of more than $200,000 or assets of $500,000 or more. There is typically a two year lag in getting 990s and 990-Ts. The forms Scientology submitted for the tax year 2014 are just now beginning to become available.

David Miscavige has always held out Narconon Arrowhead as the “flagship” of the drug rehab network. Located in Canadian, Oklahoma the facility has been rocked by a series of scandals and lawsuits – as have Narconon Georgia, Narconon in Canada, and several other Narconon centers.

The Underground Bunker has broken these stories to its international audience, and readers here have followed what seems to be the implosion of Narconon. Now, we can report that Narconon Arrowhead lost money in 2014 and has experienced a serious “stat crash.”

Narconon Arrowhead’s most recent 990 tax return, for 2014 (see below), paints a grim story.

Gross receipts that year were $4,117,845, a combination of gifts ($2,034,017) and sales of services ($2,044,407).

How did Narconon Arrowhead come up with $2 million in gifts? The answer is on another 990 tax form, the one submitted by Narconon’s Scientology umbrella organization, the Association for Better Living & Education (ABLE). In 2014, ABLE gave Arrowhead a “grant” of $1,879,286 for “general support.” Arrowhead’s remaining gift amount presumably came from other Scientology organizations. We can say that with some confidence based on precedent. In 2008, Scientology’s Social Betterment Properties International (SBPI) donated $180,000 to Narconon Arrowhead. Apparently, and for public relations reasons, David Miscavige cannot allow Narconon Arrowhead to become insolvent — it is, after all, the flagship of Narconon.

Arrowhead’s losses (revenues less expenses) for the year were $310,714. But that’s misleading. The real number, once you take away what was “gifted” to Arrowhead by ABLE to keep it afloat, is a real annual loss of at least $2,190,000. In other words, Scientology’s other groups had to prop up Narconon Arrowhead with $2 million in gifts so it would only show an annual loss of $310,714 in 2014. Of course, it is possible to work the numbers in different ways, but I am using very basic accounting. I welcome comments and analysis from the real numbers people here at the Bunker.

Even with Arrowhead’s lousy 2014 numbers, its losses in 2013 were even worse — a total of $3,713,907 in losses after subtracting operating costs from revenue. That might explain why Scientology found a couple of million to “gift” Arrowhead in 2014, which it didn’t do in 2013.

Meanwhile, ABLE wasn’t only propping up Arrowhead. It “gifted” plenty more to other Narconon entities that are struggling: Narconon International ($541,053), Narconon Fresh Start ($866,739), Narconon Pacific Coast ($15,561), Narconon Freedom Center ($34,047), International Academy of Detox Specialists ($30,762), and Narconon Georgia ($33,620).

For decades, Narconon was a reliable moneymaker for ABLE and the Church of Scientology. Now, after Narconon became a nightmare of lawsuits and scandals, Scientology is having to fork out serious money to keep it from collapsing.

Arrowhead’s decline is particularly stark. After its income rose to a peak of $12 million in 2012, it fell off a cliff after, that year, three patients died in a nine-month period:

2010: $8,793,476
2011: $11,091,425
2012: $12,333,912
2013: $4,332,483
2014: $2,044,407

As Tony reported recently, he’s heard from his sources that Arrowhead, which was designed to house more than 200 patients, is reportedly now down to ten staff and only three patients. If Miscavige is going to continue to prop up his flagship drug rehab, he’s going to have to keep giving it “gifts” in the millions.

Narconon IRS Form 990 for 2014

https://www.scribd.com/document/321652476/Narconon-Arrowhead-2014-IRS-990

Nancy Cartwright: Just Another Scientology Celebrity Pawn

Nancy Cartwright just did a video in which she attacked Going Clear. After watching the video, I’ve concluded that Cartwright is just another Scientology celebrity pawn who has been played to do the bidding of the Office of Special Affairs.

OSA may not have given Nancy the news: Going Clear earned seven Emmy nominations and won three Emmy’s. Going Clear also made the Oscar short list for Best Documentary. Alex Gibney won an Oscar for Best Documentary Feature for his 2007 work Taxi to the Dark Side.

In Nancy’s video she uses the same tired old PR line and tells people to find out for themselves what Scientology is by reading a book. Okay. I have met this requirement and more. I have found out for myself what Scientology really is and does and I think it is a malicious and dishonest criminal Cult. And I am hardly alone in my informed opinion.

Over the years I have read Dianetics, the Basics, and listened to the Congresses. I have also read and studied Scientology’s legal cases, IRS records, and interviewed many former top Scientology executives. I found $1.5 billion in Scientology assets listed in IRS 990-T forms filed by Scientology churches. More than ten million dollars of this money was presumably donated by Nancy Cartwright, and yet, the PR of the Church of Scientology continues to get worse. This is, apparently, why OSA needs Nancy’s face and name in another one of its failed attempts to dead agent Going Clear. Nancy Cartwright, however, is just not an OSA attack dog. She looked unnatural, forced, and uncomfortable in this attack video. If OSA needed an attack dog it should have called Kirstie Alley.

My wife Karen de la Carriere was a Class XII C/S who served onboard the Flagship Apollo and was personally trained by L. Ron Hubbard. LRH only trained seven Class XII’s and Karen was one of them. Karen knows more about Scientology than Nancy Cartwright does or ever will. My wife especially knows the sadistic side of Scientology Disconnection. When Karen’s son Alexander Jentzsch died at age 27, your Church did not have the basic human decency to tell her that her son had died. We found out through the kindness of a stranger whom, we later discovered, was former Sea Org executive Aaron Smith-Levin. He had the humanity to let us know Alexander had died — and he did so at great risk to himself when he was still in the Church. When we learned that Alexander had died, Scientology would not let Karen see her dead son’s body and kiss him goodbye one last time. Is Nancy Cartwright seriously defending this depraved Scientology conduct?

Nancy Cartwright is telling people to read a book about Scientology when she darned well knows that none of the books will ever tell the public the real truth about Scientology? For example, none of Scientology’s books will inform the public of the four unconscionable contracts Scientology uses to legally ensnare people and strip them of their legal rights.

Nancy Cartwright withholds from the public the worst parts of Scientology: Fair Game, Disconnection, sleep deprivation torture in the Sea Org, child labor, RPF, financial rape of parishioners, exploitation of Sea Org members by paying slave wages, and the Master Race and Genocide doctrines of Scientology. If Nancy Cartwright actually wanted people to truly learn about Scientology then she would have to give it to them straight: The good, the bad, and the ugly. She’s not doing herself or Scientology any favors by lying and withholding. She’s only making it worse by proving that Scientology has massive withholds on the public. Going Clear is not the problem here. Scientology is the problem.

Nancy Cartwright needs to tell the whole truth. She should talk about Xenu, volcanoes, BT’s, clusters, Marcabs and everything else that the public can’t read in Scientology’s books. She should talk about all the materials in the secret course packs in AO, Flag, and the Ship. These materials constitute the the real Scientology.

What Nancy Cartwright is saying — read a book — is dishonest and misleading because the books never describe the Real Scientology. This is why people out here in the real world write blogs, books, and make movies in order to expose what Real Scientology is actually about. Nancy and her fellow Scientology celebrities can’t talk about the real Scientology.  Like puppets dancing on strings, Scientology’s celebrities can only say and think what they’ve been ordered to say and think by the Office of the President, Celebrity Centre Int.

When it comes to The Simpsons, I enjoy Nancy Cartwright’s work and always have. When it comes to Scientology, however, I consider her to be just another Scientology pawn like Tom Cruise, Kirstie Alley, John Travolta and the rest of the Celebrity Centre pawns. Scientology invariably makes pawns out of its celebrities. These celebs do what they are ordered to do because they want to keep their OT eligibility.

Nancy Cartwright is a Scientology New OT VIII. She has reached the pinnacle of Scientology and so now what? Is her next step donating more money to Flag so she can run laps five hours a day on the torture program known as the Survival Rundown?
nancy_cartwright

Taking a hard look at Scientology’s slush fund, the unlicensed and unregulated IAS

David_Miscavige

In our last article, we showed that the word “Scientologist” is a collective membership mark used by members of the affiliated churches and missions of Scientology:

Scist1

This statement is found in the fine print of Impact, the official magazine of the International Association of Scientologists. Curiously enough, and as documented last week, the IAS itself is not a part of the ecclesiastical hierarchy of Scientology churches and missions:
IAS3

Given the autonomy of the IAS from the Church of Scientology, we are left to ask by what right or privilege is the IAS able to use the word “Scientologist.” The Scientology weasel answer is contained in the correspondence between the Church and the IRS in 1992:
Scis2
Let’s look at the Scientological sleight of hand here:

— The IAS is the official membership organization of the Church of Scientology.

— The purpose of the IAS is quite lofty and soaring:
IasPurposeDespite the IAS’ overarching purpose and centrality to the Scientology religion itself, the Church’s trademark counsel has advised all of us that the IAS engages in only “mere references” to Scientology’s trademarks and service marks.

One of those trademarks, by the way, is the word “scientologist” itself, which is owned by the RTC.

From the US Patent and Trademark Office:
Scientologist
So, Scientology is so anal, it trademarks the very use of the word “Scientologist,” and yet it somehow leaves unlicensed its massive slush fund, IAS. What gives?

An unlicensed IAS would seem to be a breach of David Miscavige’s duty to protect the ecclesiastical purity of the Scientology trademarks. Indeed, as we read in the Command Channels of Scientology, RTC is a policing function:

RTC

Why does David Miscavige apparently abrogate his primary duty to safeguard the “proper use of the trademarks” when it comes to the IAS? This most curious omission is “hats, not wearing” in the language of Scientology. “Hats, not wearing” means that one is not performing their assigned duties or not carrying out their assigned responsibilities. This is a very serious crime in the Church. L. Ron Hubbard warned against “hats, not wearing” in this policy letter:
Hats
Likewise, the IAS is not licensed by the Church of Spiritual Technology (CST). Instead, the IAS merely offers grateful acknowledgement to the Church of Spiritual Technology dba L. Ron Hubbard Library. This acknowledgement is also contained in the fine print of Impact Magazine:
ImpactCopyThe unlicensed IAS stands in stark contrast to the RTC-licensed Church of Scientology international (CSI) and all of its sub-licensees who must at all times operate under the strict licensure of RTC. And to be clear, all Scientology operations are done under licensure, i.e. they require a license from RTC, or from CST via RTC. In this sense, RTC could be viewed as the operating arm of CST. Thus, the “hats, not wearing” policy letter is relevant as it shows David Miscavige is not doing his duty by allowing the IAS to exist as an unlicensed Scientology entity.

One of the main lessons I have learned through many years of Scientology watching is this: Scientology never does anything legally without a reason, and, this reason is almost always hidden or not obvious. Therefore, even though it violates Miscavige’s duties and the stated functions of RTC, there is a reason David Miscavige and his attorneys did not want to license the IAS.

My thinking here is that IAS-IASA-US IAS Members Trust is a cabal that embodies a gigantic pool of unrestricted cash donations exceeding one billion dollars. Miscavige himself said of the IAS in 2014 “this is the year we went stratospheric.” I personally took this as Miscavige cryptically boasting that the IAS had crossed over some enormous target for cash holdings. It is fashionable these days for corporations to have large cash holdings and so the IAS would be no different.

Thus, in m my view, the IAS must be so completely autonomous legally that it cannot be sued as a licensee of RTC or CST. In the dismissed legal case Rathbun v. Miscavige et. al., Miscavige’s lawyers worked feverishly to prevent Rathbun from piercing the CSI and RTC corporate veils by proving that Miscavige is actually the managing agent of the Church. As presently constructed, Miscavige can secretly control the IAS money while being legally untouchable in any lawsuit.

As we mentioned previously, the invisible hand of the Sea Org is at work: As Captain David Miscavige controls the Sea Org, he therefore controls the IAS, the IASA, and the big fat piggy bank known as the US IAS Members Trust.

Therefore, the IAS must have the freedom to use RTC trademarks and CST copyrights on an unrestricted and unlicensed basis under the rubric of “mere references” in order for Miscavige to remain at arm’s length legally.

Still, one of my long-held suspicions is that David Miscavige has a personal services contract with the IAS and is paid for making speeches at IAS events. Perhaps Miscavige even receives 10% commission on his fundraising activities for the IAS? I say this because Scientology’s doctrine of exchange would demand the IAS compensate Miscavige for his appearances and not expect “something for nothing” as, per LRH, “something for nothing” is criminal:

“First consider a group which takes in money but does not deliver anything in exchange. This is called rip-off. It is the ‘exchange’ condition of robbers, tax men, governments and other criminal elements.” – L. Ron Hubbard, HCO PL 10 Sep 82 – Exchange, Org Income and Staff Pay.

(In the Church Scientology the one exception to the criminal condition of out exchange, of wanting “something for nothing” is  the phony Claims Verification Board (CVB). The CVB is a scam; it is a criminal entity that is fully allowed by RTC and CSI to deny repayments of “monies on account” and thus effectively steal “Advanced Payment” money for services that were never delivered and will never be delivered. See my article: Scientology: Refunds and Repayments of Monies on Account.)

All of this Church of Scientology conduct reflects badly upon the IRS. Why the IRS allowed such contradictions from the Church of Scientology is beyond the intellectual grasp of your humble correspondent. Had I been the IRS Commissioner, I would have thrown these chattering Scientology jackdaws and their lawyers out of my office. Nevertheless, as the Proprietor of the Underground Bunker maintains, the Church caved in the IRS. This would explain why the IRS chose to ignore contradictions that should otherwise throw up red flags.

For the IRS to have allowed the IAS, an autonomous fundraising organization (and one that pays fundraising commissions no less), to exist within the Church of Scientology seems very questionable.

But then, it was the IRS that didn’t flinch at the plans of the Church of Spiritual Technology to spend tens of millions of dollars to build twelve Scientology obelisks engraved with The Way to Happiness on each of them:
Obelisk
What a shame they were never built. Instead, Miscavige built his monument out of hard, unlicensed cash.

(This article was originally published on the Underground Bunker and is reprinted here for archival purposes,)

RIP Steve ‘Sarge’ Pfauth, 1945-2016

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Vaya Con Dios Sarge.

Sarge added important details about the last days of L Ron Hubbard and thereby clarified the historical records. These details are in Lawrence Wright’s book Going Clear: Scientology, Hollywood, and the Prison of Belief.

See our post: The Church of Scientology’s Great Big Lie About the Death of Founder L. Ron Hubbard.


Sarge is important because he helped to clarify the historical record of L. Ron Hubbard’s last days. Hubbard had two strokes before he died.

Hubbard’s own doctor, the late Gene Denk, told the Sheriff-Coroner that the post-stroke Hubbard suffered from “Dysphrasia.” This an older medical term that has, in more recent times, been replaced by the word aphasia which is defined as: “Impaired or absent comprehension or production of, or communication by, speech, writing, or signs; due to an acquired lesion of or injury to a language center of the brain; may be transient if cerebral swelling subsides.” That is why the Cult had Hubbard sign a new will the day before he died. This new will gave the Church Hubbard’s estate while leaving a pittance to Hubbard’s widow Mary Sue and their three living children, Quentin having committed suicide in 1976 under very strange circumstances.

The article I did at the Scientology Money Project on Hubbard’s death includes a video of the LRH Death Event at the Hollywood Palladium. This event was a complete fraud and a lie. This video proves that David Miscavige, Earle Cooley, and others engaged in a deliberate conspiracy to lie to Scientologists about how L. Ron Hubbard actually died.

OSA takes down this video from YT each time I find it on YT and post it at the Scientology Money Project. OSA takes it down because it proves David Miscavige is a liar and the Church itself lied about how L. Ron Hubbard actually died. Hubbard did not “causitively drop the body” or pick the time and place of his death. Hubbard was not healthy when he died. He had suffered a stroke, had pancreatitis, and was in terrible physical shape. He was being medicated with the psychiatric medication Vistaril to alleviate his anxiety.


L. Ron Hubbard died in hiding. He was hiding from the law, from his own Church, and from himself.

Steven “Sarge” Pfauth died a free man.


Sarge let us know that Hubbard wanted to end his own life and considered that he had failed. The Church of Scientology’s response to the truth was a great big lie propounded by David Miscavige and the late Earle Cooley, yet another scumbag Scientology attorney and paid liar. Cooley’s job was to assist RTC and OSA in lying, destroying people, and covering up the truth. Cooley, like all of OSA and RTC, had no redeeming qualities.

Here is the video OSA doesn’t want you to see:


The late Robert Vaughn Young, a former Sea Org member like Sarge, also discussed Hubbard’s declining mental state at the end of his life and the events surrounding Hubbard’s death.

Op Ed: Church of Scientology hires UFO/JFK/911 Truther Jim Marrs to promote Battlefield Earth

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Jim Marrs on a satellite broadcast pimping L. Ron Hubbard’s Battlefield Earth. Photo from Pacific Television Center.

Doomed forever to repackage and resell the same old works of L. Ron Hubbard over and over ad infinitum, the Church of Scientology has now decided to relaunch one of the worst SciFi books ever, and here we speak of Battlefield Earth — which was also one of the worst movies ever. That the movie starred Scientologist John Travolta was perhaps the main reason for the epic awfulness of the movie. The book and the movie were bad because L. Ron Hubbard’s “Battlefield Earth” fails in so many areas. The plot, characters, dialogue and the writing itself are idiotic, turgid, and laughable. The book is unreadable in its present form.

A cursory look at the Galaxy Press website show the original 1982 first edition of Battlefield Earth still being offered at $75.00. This means Galaxy was never able to move all of its 1982 Battlefield Earth stock — and yet it is now trying to sell a 2016 edition.

So what to do? How does the Church of Scientology’s for-profit Galaxy Press hype and sell the unreadable Battlefield Earth?

This is where UFO, NWO, JFK assassination writer, and 911 Truther Jim Marrs enters the picture. That Scientology’s Galaxy Press has hired master conspiracy theorist Jim Marrs to help promote Battlefield Earth is bizarre on so many levels:

1. Jim Marrs is taking Scientology blood money to promote Battlefield Earth. This is a bad way for Marrs to finalize his legacy; Jim Lynch is remembered only for taking blood money to work Scientology’s atrocious Freedom Magazine. Working for Scientology is the cultural equivalent of being an American who is paid to write propaganda for North Korea. There is an undertone of treason against reason and sanity, a sort of a Tokyo Rose motif in which these writers have crossed over to betray Culture itself in favor of a violent, secretive, and diabolical Cult bent upon world conquest.

2. Marrs’ book Alien Agenda is considered one of the best UFO books out there. For Scientology to associate itself with a UFO author only serves to heighten and underscore spacelord Xenu and the Xenutian genocide mythology embedded in the Section II of OT III.

3. Scientology does not like being called a “Space Alien UFO Cult” and yet they are hiring Marrs who is primarily associated with UFO’s, space aliens, and secret societies. Scientology is trapped by its own mixed messages: It is a space alien cult centered around Xenu; it is where spirituality meets technology; it has effective answers for life and yet is a doomsday cult that has spent hundreds of millions of dollars to bury Hubbard’s writings in nuclear proof vaults built to survive Armageddon. Scientology wants to be everything to everybody and yet it fails at everything except being what it is and that is a transnational criminal syndicate wrapped in a Doomsday Cult blanketed in lies, phony PR, and IRS tax exemption. Marrs evidently feels attracted to this morass of surreal Scientology lunacy.

4. Jim Marrs is now permanently associated with L. Ron Hubbard and everything L. Ron Hubbard stands for. I wonder if Marrs even knows the dark side of Scientology?

5. That Scientology had to hire yet another wog, yet another non-Scientologist, to promote Scientology and LRH proves, once again, that Scientology has no in-house talent capable of doing so or willing to do so. Scientology is being increasingly outsourced to wogs and the irony of this is enormous and very funny when we consider that Hubbard said “a wog is someone who isn’t even trying.” Why is Scientology hiring people who are not even trying?

6. Stalin and his Kremlin had their “Useful Stooges.” Scientology has its “Useful Wogs” and here I am thinking of people like Jim Marrs, L. Fletcher Prouty, J. Gordon Melton, and the newest useful wog Donald Westbrook the “religious scholar” from Claremont. Click the link to read some of Westbrook’s putrid apologia for Scientology. From my perspective, Westbrook does not comprehend Scientology in any meaningful way. He is bereft of a complete contextual understanding and, as it appears, quite willingly so. As expected, this willful blindness is a trait shared by all of Scientology’s useful wogs.

7. One major irony here is that Marrs writes books warning of the Luciferian NWO while pimping for the Luciferian Cult of Scientology. Looks like Jim Marrs took Scientology’s blood money and drank the Kool-Aid. Have a good time on the way down Jim.

8. David Miscavige ordered people at Gold Base to read Jim Marrs’s Alien Agenda and Rule by Secrecy and other Marrs’ books many years ago, this according to former Sea Org executuve Aaron Smith-Levin. David Miscavige felt that these books resonated with Scientology. Aaron Smith-Levin made a brilliant and insightful post today on the Underground Bunker:

Oh man, I’m late on this one for today. Jim Marrs’ books, “Rule By Secrecy” and “Alien Agenda” were mandatory reading for all OSA staff in Scientology around 2002-2003. Because of this fact, many rank and file staff & SO members read them as well, including me. The book was given to me by Bruce Thompson, the then-DSA Philly and also my then-step-father. Bruce now works in OSA’s special D.C. office.

Jim’s books match up perfectly with Scientology’s “Alien origin / prison planet” story about Earth and the human race. The reason for OSA to read the books was to reinforce the idea that “this whole-track alien agenda is the real enemy we are up against on this planet”. Believing this fact is what keeps some OSA staff (and Ethics Officers, etc.) from getting bogged down into the details of complaints from people who are publicly speaking out against SCN. No matter how true a specific series of complaints may be, the OSA/Ethics staff can brush it off as just another attack from a pawn in the alien agenda. They think “If their complaint was really what they were upset about, they’d be handling it internally, and not attacking SCN. They’re only pretending to be upset about these things. Their real intent is to destroy SCN”.

I’ve said it before…if someone believes in the state of Full OT and believes SCN’s prison-planet story, there is NOTHING they won’t do, and NOTHING that cannot be justified in the name of protecting Scientology. Jim Marrs’ books actually reinforce this belief for many staff / SO members.

If Jim is promoting Battlefield Earth it’s probably because LRH’s fiction matches up quite nicely with what Jim believes to be actually true. And Jim probably knows LRH thought it was true was well. So there’s a kinship of sorts. I don’t believe however that Jim has had any actual involvement with Scientology. I could be wrong though.

9. Jim Marrs has been associated with Scientology in the past. Tom Cruise purportedly had a copy of Marrs’ book on his bed stand according to this video. While I do not endorse this video, I am posting it as parts of it are quite interesting:

Scientology Inc: L. Ron Hubbard Never Appointed David Miscavige as his Successor (Mark Fisher)

In this podcast Mark Fisher — who was David Miscavige’s former assistant for many years at the Corporate Liaison Office and later RTC — discusses how L. Ron Hubbard never appointed  David Miscavige as his Successor. Instead, Mark describes how David Miscavige, who then worked as an employee of the privately-owned for-profit company Author Services Inc., used ASI to stage a palace coup to take over RTC, and thus the Church, after the death of L. Ron Hubbard.

Mark Fisher also discusses how he took personal possession of L. Ron Hubbard’s auditing folders and the OTVIII – OTX materials after Hubbard’s death, this at the direct order of David Miscavige.

 In my previous article Scientology claims L. Ron Hubbard chose David Miscavige to succeed him, proving he didn’t, David Miscavige used Scientology attorney Eric Lieberman to insist that he, David Miscavige, had rightfully inherited the mantle of L. Ron Hubbard. Lieberman insisted the Church has documents from L. Ron Hubbard supporting this claim. However, neither Lieberman nor the Church has ever publicly produced these alleged documents. It stands to reason that if such documents existed then David Miscavige would certainly have produced and publicly circulated these documents immediately upon the death of L. Ron Hubbard in January 1986. This never happened. Therefore, Lieberman’s claim must remain unsubstantiated until such a time as the purported documents are publicly posted online and made available for one and all to examine.

This matter also the question: Why, after 30 years at the top of Scientology, does David Miscavige suddenly feel the need to assert that he is the legitimate successor of L. Ron Hubbard? The answer may lie in the fact that many current and former Scientologists view Miscavige’s succession to power as having been the result of an illegitimate palace coup after L. Ron Hubbard died on January 26, 1966 without having appointed a successor.

 In the David Miscavige.Affadavit.17 Feb 1994 David Miscavige stated that L. Ron Hubbard went completely out of touch with any and all Church entities from May of 1984 until he passed away in January of 1986.

 This means that from May 1984 forward, Hubbard had absolutely no contact with David Miscavige or anyone else in the Church. And from 1982-1987 David Miscavige was COB Author Services Inc., a for-profit California corporation that was not a part of the Church of Scientology International. During this time period, however, David Miscavige arguably pierced the corporate veils between ASI, CST. RTC, and CSI at one crucial event when “Commander” David Miscavige showed up in the uniform of a Sea Org member to help conduct the Mission Holder Massacre of October 1982. As an employee of a privately-owned corporation, Miscavige had no authority to act within CST, RTC, or CSI. Nevertheless, Miscavige announced to the Mission Holders:

“Earlier this evening both Kingsley Wimbush and Dean Stokes were here. They have both now been declared and we are pursuing criminal charges against them. They have been delivering their own squirrel tech while calling it Scientology. Kingsley Wimbush’s ‘dinging process’ is complete squirrel. You won’t find it in any tech, yet he has been calling it Scientology. That’s a violation of trademark laws and he now faces some serious charges for this crime. This sort of activity is NOT going to go on any more.”

Question: By what right or authority did Commodore David Miscavige declare Kingsley Wimbush and Dean Stokes? As an ASI employee, Miscavige had absolutely no standing in CSI; he had no ecclesiastical or corporate authority to declare SP’s. And yet in the 1982 photo below we see David Miscavige declaring Mission Holder Dean Stokes of Dallas an SP:
DM.Dean.Stokes

Given David Miscavige’s lack of corporate and ecclesiastical standing in the Church, we must therefore assume David Miscavige declared Dean Stokes based upon Miscavige’s standing as a then Commander – and later Captain — in the Sea Org. However, this belies what CSI Legal Director Alan Cartwright stated in when he was deposed by Ray Jeffrey in Rathbun v. Miscavige:

Q. (By Mr. Jeffrey) Okay. Is David Miscavige captain of the Sea Organization?
A. No.

Q. What — does he have a rank within the Sea Organization?
A. He has a rank, just like I have a rank.

Q. And what is his rank?
A. From what I understand, he has a rank of captain.

Q. Okay. Is that an insulting term?
A. I don’t know about being insulting, it’s just an incorrect term.

Q. According to you?
A. Insulting?

Q. Yeah, that it’s — no, you said it’s incorrect. It’s incorrect according to you.
A. What I said to you was I don’t know him as Captain David Miscavige. I’ve never heard that being used.

Q. Have you ever seen him in his captain’s uniform?
A. I’ve seen him in his Sea Org uniform.

Q. And is it a captain’s uniform with captain’s rank?
A. You know, I’m not sure.

Q. Do you have a uniform?
A. Yes.

Q. And so, what you’re saying is that everyone within this group called the Sea Organization has a rank, but the ranks are meaningless?
A. Ranks — these — you have to understand what the Sea Org is. It’s a religious order, and these are — these are honorary positions that are given to someone because of longevity and what they’ve done for the religion. That’s all it is.

Q. Is there any chain of authority from rank to rank? Does a captain have authority in connection with an ensign?
A. No.

Q. There’s no authority that derives from that?

A. None whatsoever. Just to give you an example, I’m an ensign, Linda Hamel is a midshipman, I have a senior rank to her.

Q. And both of those ranks are beneath captain?

A. In the levels of ranks, yes.

Q. But, you are saying that the ranks are meaningless in terms of authority?
A. Totally.

According to CSI Legal Director Alan Cartwright,  Sea Org ranks are meaningless in Scientology. Hence, corporate ranks mean everything. So to repeat, how did David Miscavige, an employee of a for-profit privately owned corporation called Author Services Inc., have any corporate or ecclesiastical standing within CSI standing to declare Dean Stokes, Kingsley Wimbush, or anyone else an SP in 1982 at the Mission Holders Conference? The answer is that he didn’t.

David Miscavige’s claim that his Sea Org rank means nothing does not withstand scrutiny when we consider the actions of “Sea Org Commander David Miscavige” at the 1982 Mission Holders Conference. The for-profit ASI had no authority to declare anyone an SP. Miscavige could have only acted from his role and authority within the Sea Org when he declared people. This proves that the Sea Org actually runs the Church of Scientology; the “farrago of cavils” from Alan Cartwright notwithstanding.

 Likewise, David Miscavige’s claim to be the legitimate successor to L. Ron Hubbard does not withstand scrutiny when we consider the complete absence of any  succession document, or documents, written by L. Ron Hubbard. Rather, based upon the available evidence, we must conclude that David Miscavige came to power in a palace coup he staged to take over RTC after the death of L. Ron Hubbard.

Scientolgy Orgs Raided in Russia as Part of Criminal & Money Laundering Probe

While the American IRS refuses to actually enforce its own rules and revoke Scientology’s 501(c)(3) tax exemption for the Cult’s continuing violations of public policy, child labor, fraud, hoarding wealth while keeping Sea Org members in grinding poverty and servitude, false imprisonment, unconscionable contracts, and bad faith towards its own members, the Russians are very clear that Scientology is a dirty Mafia-style business. Footage from Russian raid of Scientology Orgs in Moscow and St. Petersburg of June 21, 2016:

From the UK Guardian:

Russia’s security service has raided over a dozen locations linked to the Church of Scientology in the latest step of a long-running battle between authorities and the US-based organisation.

The Federal Security Service (FSB) said officers “conducted simultaneous searches” at 14 addresses in Moscow and St Petersburg as part of an apparent investigation into alleged illegal business dealings by the Church of Scientology in Russia’s second city.

“Objects and documents were found and seized that proved the version of the investigators about the marketing functions for goods and services of the Church of Scientology of Saint Petersburg in violation of the law,” a statement carried by Russian news agencies said.

From the RT Times:

Raids on Tuesday were carried out as part of the ongoing investigation into the organization’s alleged money laundering activities, and in particular into one member of the community, who is being probed over allegations of real estate fraud, that amounted to 130 million rubles ($2 million), according to RIA sources.

In April, authorities detained Ekaterina Zaborskikh for allegedly stealing large sums from apartment buyers in St. Petersburg. Investigators believe that between 2012 and 2014 Zaborskikh through a construction company promised to build “affordable castles,” which were never delivered. Instead, the money was redirected through the Church of Scientology as donations. Detectives believe that some of the stolen funds were transferred to the organization’s account in Moscow.

During the raids the security services seized “objects and documents” confirming that the church’s agents in St. Petersburg offered goods and services in violation of Russian law, the FSB said in a press release. The property seized in the raids includes financial documents, hard drives and notebooks of organization members, a source in the security service told RIA.

Below are two images from the last three weeks to compare and contrast: The Russian police raiding a Scientology Org while David Miscavige speaks at the opening of Scientology Media Productions. Is this  juxtaposition of law enforcement in action against Scientology and phony Scientology PR images is the harbinger of things to come? It certainly appears that way in terms of Narconon, Scientology in Russia, and Scientology in Europe. When the American authorities decide to enforce existing laws, it will be the case here in the States.

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