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1991

First groups formed in Poland, Bulgaria and Malaysia. (CofS)


Hemet California is a small town of about 1000 people. It is where "the Base" is, in other words, International management. One day they received orders to go vote for a certain candidate for Mayor. So, 500 Sea Org members were bused to town to vote and this person was then elected to office.

Note: It is illegal for a religion in the U.S. to involve itself in political lobbying. It cannot endorse candidates, etc. To do so will cost it it’s tax exempt status. (Criminal Time Track: Issue III, (42))

1991 (baby-watching)

The Scientologists call it "baby-watching", but it has nothing to do with looking after infants. Tim Kelsey and Mike Ricks investigate the potentially dangerous, and possibly illegal, secret treatment that the world's largest cult uses to deal with difficult members.

The middle-aged German student started screaming. He seemed to have lost control. He was a Scientologist, a member of the world's largest cult, on a course of study that, he had been promised, would bring him closer to the secrets of the universe and, eventually, give him the key to eternal life. According to eyewitnesses, the man, whose name is known to the Independent, was taken to an isolated room in a communal building not far from Saint Hill, a 17th-century manor house in East Grinstead, West Sussex, and the UK headquarters of the cult.

For two weeks, the room was locked. The German had been placed on an "isolation watch" - or what Scientologists more informally refer to as a "baby watch". It is a treatment that was prescribed by the founder of the cult, L Ron Hubbard, a science fiction writer, for members showing signs of psychosis or mental ill-health - people who are, literally, plagued by evil spirits. It is the last resort for dealing with difficult Scientologists. It is a treatment that the organisation has so far kept secret.
The subject of the watch is observed at all times, and not allowed to talk to anybody. He or she is, in the language of the cult, "muzzled". Our witnesses, who have asked to remain anonymous, remember that the German was sometimes incontinent and that they had to wash him down at the sink in the otherwise bare room. The five people who guarded him were only allowed to communicate with him in writing. Eventually, he was allowed to return to Germany.

...The "baby-watching" incident with the German student occurred in 1991. (Independent, January 31, 1994, The Prisoners of Saint Hill, By Tim Kelsey and Mike Ricks (excerpt))

1991, beg. (IRS-CofS)

Our church staff and attorneys fought this hard in the courts and were able to get hearings before judges across the country to declare these IRS actions illegal. And, that's where we stood at the beginning of 1991. Scientologists were being harassed left, right and center and our hopes were hanging on the judicial system while judges across the country considered our motions to stop this latest and most vicious assault. And then, just when it looked like we may get a fair shake, "Time" magazine hit the newsstands. It was but a few weeks later that we found one of the judges on our case had framed the cover and placed it in his chambers. And that the IRS attorney coordinating this assault against Scientology was playing tennis with this same federal judge. 

...They not only were hitting us on every front - but they had even prejudiced the courts to ensure no objective review would occur. IRS arrogance reached its peak - one IRS agent was told that the volume of documents being requested was so great that it would literally fill several boxcars.

His response? "I've got twelve years till retirement."

And just to ensure the pressure was really on, the tax collection branch of the IRS was set loose. They froze church bank accounts. Issued a warrant to seize church property. Started calculating a trumped-up tax bill that would reach upwards of a billion dollars. And just for good measure, started hitting the top church executives with arbitrary assessments totaling millions of dollars. And freezing what little bank accounts they did have. This was truly the most critical juncture in our history. 

...As grim as this period was, the IRS had once again underestimated us. Because now we had the International Association of Scientologists. And for the first time in history we could level out the playing field when it came to resources and ability to fight this battle on the public front. First we took out ads in "USA Today", to deal with "Time" magazine. It was time for them to face up to their history.

(ad) - How would you like to be known as the magazine that extolled Adolf Hitler as the: "messiah of Germany"?

(ad) - Or the one who promoted Benito Mussolini as a "virtuoso of politics, a wizard with economic and military gadgets, an athlete and a leader of men".

... And the campaign continued. "Time" magazine was going to pay for their sins and once we finished running our ads - we sued them for 416 million dollars to make sure they would make amends.

But where did that leave us with the IRS? As 1991 continued, the IRS had set up whole branches exclusively dedicated to attacking Scientology. The key attacker later admitted under oath that: "literally thousands of agents were working on the Scientology problem." Fighting the IRS is like fighting shadows. We stepped up our efforts to get government documents about us, through the freedom of information act. This would escalate to literally thousands of requests, and when the IRS wouldn't comply we never failed to take them to court. Slowly we were able to start piecing together the picture. And we were also beginning to impinge on government resources. In fact, the attorneys working for the government defending these law suits were to become so inundated that their entire budget would be wiped out handling our cases - so much so that they didn't even have money to attend the annual American Bar Association conference of lawyers - which they were supposed to speak at!

We became known across the country as the one group willing to take on the IRS.

... First we had "Freedom" magazine.

Again - don't underestimate the impingement of this magazine. In fact, the exposes of IRS crimes were so hated that possession of "Freedom" magazine was banned by IRS officials in the IRS building. You know how people respond when they are told they can't see something. They want it more. When we took our next edition down to the IRS building - employees were running to get their copy! 

...And all the while the wars continued to rage in the courts. During this entire period - we desperately tried to meet with IRS officials to resolve these matters. It was a war out of control. And utterly baseless. But meet they wouldn't - they steadfastly refused to communicate with us in any other way than assaults. And only when it seemed hopeless, did we decide to really escalate matters.

First we filed a suit for 128 million dollars on the IRS and the individual IRS agents committing these criminal acts.

We were able to piece their crimes together from the bits of documents we had received. And then the International Association of Scientologists sponsored more ads in "USA Today". You have no idea how much the IRS hates publicity. But to see their own faces? It was more than they could handle. Everyone told us to not place these ads. That it would end any hope of ending this war. That they would never forgive us. But the decision was made to move ahead. As their agenda to destroy the church had already been exposed, what more could the IRS do to us anyway? And if upsetting them was a concern, what were they now - happy? Here you can see some of these ads:

  • "Don't you kill my daddy"
  • "What he didn't know about the IRS could affect you too", - showing how the IRS had targeted John Wayne.
  • And - "All of America loved Lucy - except the IRS."
  • "How do you spell IRS in Russian? Answer - KGB!"
  • And here's one: IRS playing God. With a picture of the man running the current assault.
  • And just so we weren't picking favorites, we even gave an ad to Fred Goldberg - the Commissioner of the IRS.
  • And, another one for good measure: to get an idea of how heavy this war had gotten, consider this report from another newspaper:
  • "The IRS vs. the Scientologists! Even God should think twice before picking sides on this one!
  • A warning frequently laid on me by a nun I once knew was - 'Remember to be good because God is watching.'
  • And the United States Internal Revenue Service is getting its share of God watching right now. The Church of Scientology has been crucifying the Federal agency for its sins on a regular basis, both in and out of court!" (David Miscavige's IAS speech, 8 October 1993)

1991, Feb.

February -- A Federal judge upholds the City of Clearwater's ordinance requiring nonprofit organizations to report fundraising activity within city limits. Scientology appeals.

A bomb threat evacuates several hundred people from Ft. Harrison Hotel; police report that the threat was phoned in to the Church of Scientology switchboard. After 40 minutes of police and Scn staff searching the building, the occupants return without incident.  (Brief History of Scientology in Clearwater)

1991, 19 February 

Twenty-fifth anniversary of Narconon, which has grown from one program started by a prison inmate to a network of centers in twelve countries. (CofS)

1991, 28.2.

Library of Congress records show that: CSI copyrights their squirrel version of the Hubbard Life Orientation Course. (Criminal Time Track: Issue III, (68))

1991, March 

The Church of Scientology of Mountain View, California founded. (CofS)

1991, 13 March 

The new Organization Executive Course (OEC) and Management Series volumes were released, containing over 10,000 pages of L. Ron Hubbard’s administrative technology, twice as many as in the OEC volumes issued in the 1970s. Along with the 44 tapes on the OEC, the Flag Executive Briefing Course tapes and the Establishment Officer tapes, also newly released, these materials comprise L. Ron Hubbard’s complete technology of organization. (CofS)

1991, 3.4.

On April 3, 1991, an addition to this Flag Order (Flag Order No. 3905) was issued. Part of that supplement provided that anyone who did get pregnant would be sent to a non-expanding Class IV Org. The Commanding Officer of CMOI, Marc Yager, endorsed application of this supplement to all crew at the base and added to it. It stressed that Sea Org members were the top echelon of the Sea Org. As such Yager admonished us that we had the responsibility on our shoulders for the expansion of Scientology and freeing mankind. Scientology's Senior management determined, we, at this high level, could not afford the time and resources it would take to raise children. Having children was found to undermine our production and our purpose. It became an Ethics matter. (Mary Tabayoyon)

1991, 20 April 

Grand opening celebration of the L. Ron Hubbard Life Exhibition at the Hollywood Guaranty Building. The ribbon cutting was performed by the president pro tem of the California Senate and the president of the Hollywood Chamber of Commerce. The exhibition features more than thirty displays and audiovisual presentations on the life of L. Ron Hubbard. (CofS)

1991, May

May -- TIME magazine prints the issue in which Scientology makes the cover: "The Thriving cult of Greed and Power," and Time-Warner is immediately sued. (In 1995, 90% of Scientology's case is thrown out of court) (Brief History of Scientology in Clearwater)

1991, 6 May 

Opening of the newly built 25,000 square foot Sandcastle Technical Delivery Building in Clearwater, Florida, especially for the delivery of advanced levels. (CofS)


An article appears in Time Magazine "Scientology:The Cult of Greed". Steven Fishman is quoted in the article. Former RTC exec, Vicki Aznaran, also says in the article "This is a criminal organization day in and day out." (Criminal Time Track: Issue III, (13))

The church sues Fishman for defamation in the US District Court for the Central District of California. In the course of that trial, Fishman submitted 69 pages of OT materials to the court in his defense. Thus, as a matter of public record, copies of the OT materials got out, until August 1995 when the church got the files sealed. (Criminal Time Track: Issue III, (70))

1991, 9 May 

The Technical Bulletins volumes were released in a new edition of 18 volumes and over 11,000 pages. These contain all of L. Ron Hubbard’s technical articles and bulletins on Dianetics and Scientology. (CofS)

1991, 13.5.

Norman Starkey, Trustee of Author’s Family Trust-B, makes an additional agreement with RTC regarding use of the Advanced Technology. It is called; Addendum to Advanced Technology Covenant. (Criminal Time Track: Issue III)

1991, June

June -- Church of Scientology International President Heber Jentzsch, when asked about some of his organization's unpaid bills in the Clearwater area: "Thanks for bringing this to our attention."

During the past year, the Times reports, Scientology settled or obtained voluntary dismissals of at least 10 lawsuits from plaintiffs that sued for more than $300,000. Most of the creditors suing said Scientology simply left them with unpaid bills for construction work, equipment, furniture, and more than $125,000 worth of food supplies. Other suits include those of Michigan resident Mark Lewandowski and Maria Echavarria of California, who both sued the church to get their money back: Mark for $13,300 and Maria for $28,000.  (Brief History of Scientology in Clearwater)


Aaron Rents of Georgia is suing Scientology in Clearwater for $65,512 in unpaid bills. Twincraft Inc, which dropped its suit for promises of further purchases, is suing again for $38,614 when no further purchases happened. Sysco Food Services of Central Florida is suing for $127,104 in unpaid bills (Clearwtaer Times, June 30, '91). (Brief overview of Scientology's interaction with Clearwater Florida)

1991, 4.6.

Memorandum Opinion And Order in RTC v Robin Scott: This motion revives the issue of authorship of certain Scientology scriptures called  NOTs. RTC argues that the "work made for hire" doctrine, as codified by the Copyright Act of 1976, necessarily imputes authorship of NOTs to Hubbard whether he or David Mayo actually created the materials.

The thrust of the defendants opposition is that Mayo was not an employee of Hubbard when Mayo developed the NOTs materials.

The court finds that it is an established fact that Mayo substantially participated in the drafting of NOTs. Ordinarily the creator of a written work is the author. However, the Copyright Act of 1976 treats "works made for hire" differently. If the written work is a work made for hire, "the employer or other person for whom the work was prepared is considered the author." 17 U.S.C. section 201(a).

RTC submitted documents to the court showing that Mayo was hired by CSC to perform work under the supervision of Hubbard. The court rejects that Hubbard was Mayo’s employer but finds that CSC was his employer. It was established by the court that: 

NOTs is based on Mayo’s auditing of LRH. The Church literally follows everything Hubbard said, therefore, Hubbard’s suggestions and criticism regarding the earlier drafts of NOTs would be adopted verbatim by CSC. 

Moreover, as reflected in the excerpted transcripts of the tapes, Hubbard actually exercised his right to control by making suggestions and criticisms.

The court determined that Mayo was an employee of CSC acting within the scope of his employment when he drafted NOTs, thus his substantial contribution to NOTs constitutes work made for hire under the Copyright Act. (Criminal Time Track: Issue III, (5))

1991, 7 June 

Christening of the historic Sea Org vessel, Diana, a 62-foot ketch which played an important role in the early history of the Sea Org as the first Sea Org vessel. Completely restored, she returned to service to provide sea training for Sea Org members. (CofS)

1991, 14.6.

Library of Congress records show that: CSI copyrights their squirrel version of Technical Volume IX. (Criminal Time Track: Issue III, (68))

1991, 17.7.

The main forum for discussion of Scientology on the Internet is a Usenet newsgroup known as alt.religion.scientology (a.r.s). This newsgroup was created on July 17, 1991, with a forged "newgroup" message from the MIT Artificial Intelligence Laboratory posted under the name of "David Miscaviage" (the misspelled name of the head of the COS). (Skeptic: Scn vs Internet)

1991, 13.8.

Los Angeles Times, Weinstein, Henry - Scientologists Sue 17 IRS Officials

ChurchThe lawsuit accuses them of waging a 33-year campaign against the organization and a large number of its members. It seeks $120 million.

The Church of *Scientology* International filed a $120-million federal lawsuit against 17 Washington- and Los Angeles-based Internal Revenue Service officials Monday, accusing them of waging a 33-year campaign of illegal acts against *Scientology* and a large number of its members.

According to the suit, filed in U.S. District Court in Los Angeles, documents obtained under the Freedom of Information Act and testimony from IRS officials detail a lengthy history and unchanging pattern of improper, harassing and illegal activities against the church by IRS officials.

Among those sued are IRS agents who in the mid-1980s conducted a criminal tax investigation against Scientology founder L. Ron Hubbard, whose death in 1986 reportedly ended the probe.

The suit alleges that IRS agents in Los Angeles, along with a former church member, schemed to plant forged documents in the Church of Scientology's files, which the IRS could then seize in a raid. At the same time, the suit alleges that there was collusion between the IRS' Exempt Organizations Branch and Criminal Investigation Division, in which phony tax exemption proceedings were conducted to covertly gather information for the IRS criminal probe.

And church lawyers contend that the chief counsel of the IRS attempted to redefine the word church in IRS regulations as "one method to attack Scientology." Monday's suit represents the latest chapter in the lengthy battle between the church and the IRS. In the past, the IRS has revoked the tax-exempt status of various Scientology organizations, accusing them of operating in a commercial manner and of financially benefitting private individuals.

But church officials assert that the IRS has violated their rights to practice their religion as guaranteed by the Constitution. They contend that the agency also has abridged their right to due process of law.

Scientology attorney William T. Drescher said that a victory in the suit would offer all American churches "inviolable protection" from illegal government intrusions into their religious affairs.

The Rev. Heber C. Jentzsch, president of the Church of Scientology International, said that Scientology's long history of exposing IRS' "abuse of power has resulted in prolonged retaliation" by the agency.

IRS spokesman Robert Giannangelli in Los Angeles said the agency would not comment on the suit. "The proper venue for the discussion of the issues will be in the courts," Giannangelli said.

Although the suit accuses the IRS of decades of wrongdoing, a principal focus of the case stems from a criminal tax investigation that the agency launched into Hubbard and the church in 1984 and whether it was connected to Scientology's application for tax exemption a year earlier.

Among the defendants in the case are Philip Xanthos, branch chief of the IRS' Los Angeles Criminal Investigation Division, and Alan Lipkin, a group manager within the division. The suit said the two spearheaded the criminal probe.

The investigation "included the use of mail covers, paid informants, summonses to dozens of financial institutions and church members, and infiltration of Scientology's ecclesiastical hierarchy," the suit alleges.

Furthermore, Scientology contends that a draft copy of a report by Xanthos and Lipkin was improperly given to the Exempt Organizations Branch. The suit alleges that William Connett, then district director of the IRS' Los Angeles office, lied to church officials when he told them that the criminal investigation was separate from the exemption application process. In fact, the suit alleges, Connett, now the IRS representative in Paris, coordinated "collusive actions" between the two IRS branches.

Scientology learned of the alleged collusion through litigation in which it obtained internal IRS documents released under the Freedom of Information Act, according to the suit. Additionally, the suit contends that three IRS agents referred to Scientology religious services as a "dog and pony show" and referred to members of the church as "crazy devotees" while they were interviewing defectors.

In addition to money damages, the suit asks that all 17 defendants be permanently enjoined from "any and all further participation in and responsibility for any matter" involving the IRS and Scientology.

Scientology was founded in the 1950s by Hubbard, a science fiction writer.

Jentzsch said that Scientology is an applied religious philosophy which recognizes that man is composed of three parts--the spirit, the mind and the body. A central part of the religion is a process called "auditing," wherein a minister helps "clear" parishioners of their problems. Scientology claims to have a worldwide membership of 8 million. Jentzsch said it has 1,127 churches and affiliated organizations in 90 countries. Critics of the church have asserted that the actual number of active members is far lower.

Jentzsch said that each church is separately incorporated. However, he said that if the assets of all the churches were combined "we would fit in the Fortune 500."

Scientology's critics claim it is a sham religion which, in reality, operates like a business. Defectors charge that Scientology bilked them out of their life savings and some have recovered damages after suing.

BACKGROUND: Over the years, Scientology has brought numerous lawsuits against the IRS accusing the agency of harassment and illegally withholding public records. From the late 1960s through the mid-1970s, IRS agents classified Scientology as a "tax resister" and "subversive," a characterization later deemed improper by a judge. In the late 1970s, 11 Scientologists went to prison for burglarizing and bugging the IRS and other federal agencies.

1991, 7 September 

  • Release of the new Saint Hill Special Briefing Course which includes 437 taped lectures reproduced and made available in Clearsound and with written transcripts.
  • Release of the updated, finalized and totally complete Grade Chart including all new technical releases since its original issuance in 1965. (CofS)

1991, Oct.

October -- Deputy Sheriffs notice deplorable conditions while performing an anti-drug presentation for children at the Scientology Cadet Org school. An HRS investigation ensues, and Scientology successfully has the results legally sealed. (Brief History of Scientology in Clearwater)

Scientology announces plans for a Super Power building and asks it's members for $40 million for the project. (Brief overview of Scientology's interaction with Clearwater Florida)

1991, Oct. (Miscavige-IRS)

In October of 1991, while this war was raging at its apex, Marty Rathbun and I were in Washington DC. to attend one of these court hearings I mentioned. It was to be the next day. We had just finished a lunch meeting and our next appointment wasn't for a couple of hours. In other words - we had some spare time on our hands. That's not something we're accustomed to, so - we thought at last we could create a bit of mischief. We told the lawyers we'd see them in an hour or so and that we would be down at the IRS building. Of course they had a good chuckle as we left the room. Off we proceeded to 1111 Constitution Avenue - which if you didn't know is the address of the national headquarters of the IRS. We presented ourselves to security at the front door, signed the visitors log and informed them we were there to see Fred. They asked - Fred who? We answered, Fred Goldberg of course, the Commissioner of the IRS. "Is he expecting you"" they asked. "No", was our response. "but if you phone him on the intercom and tell him we are from the Church of Scientology, I am sure he'd love to see us." (David Miscavige's IAS speech, 8 October 1993)


Scientology leader David Miscavige and Marty Rathbun, another senior Scientology official, claim to have held an unscheduled meeting with IRS Commissioner, Fred T. Goldberg Jr. Miscavige offers to drop all the suits against the IRS if Scientology is given tax exemption. Goldberg agrees and creates a special five-member working group under Howard M. Schoenfeld to resolve the dispute, bypassing the agency's exempt organizations division, which normally handles those matters - an exceptionally unusual arrangement.Ref: New York Times, 9 March 1997 (Timeline of Scientology versus the IRS)


Miscavige pays an unannounced visit to IRS Commissioner Fred T. Goldberg Jr. Goldberg then created a "special committee" to negotiate a settlement with Scientology outside normal agency procedures! The secret "negotiations committee" was chaired by Howard M. Schoenfeld. As a result of these negotiations:

The Exempt Organizations Technical Division was instructed not to review the exemption applications filed by the Church of Scientology and its affiliates for compliance with IRC 501(c)(3).

According to the New York Times, tax analysts Donna Moore and Terrell M. Berkovsky wrote memoranda specifying that they had been instructed by Shoenfeld not to address issues like whether the church was engaged in too much commercial activity or whether its activities provided undue benefit to its leaders. (Criminal Time Track: Issue III)

1991, 26 October 

IAS Freedom Medals awarded to Scientologists Keith Code, Kirstie Alley and Gabriele Segalla at the annual convention in Copenhagen, Denmark. (CofS)

1991, Late

Jesse Prince and wife were ordered to have an abortion in the S.O. It is a traumatic experience for each of them. Any Sea Org members getting pregnant are put in lower conditions and sent to welfare to have a free abortion. 

Note: Another indication of Miscavige bringing the tone level of the organization to 1.1 – no children allowed in the Sea Org and ordering abortions. (Criminal Time Track: Issue III, (27, 28, 39))

1991, December 

Church of Scientology Puerto Rico founded. (CofS)

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