Scientology Crime Syndicate

     Alan Lipkin, Special Agent
     Internal Revenue Service
     Criminal Investigations Department
     P.O. Box 2151
     Los Angeles, CA 90053
     May 1985

          SUBJECT:  DAVID MISCAVIGE S.S.# 261-73-0889

 Dear Sirs:
     I have information that the above individual has been active
     in numerous financial transactions involving large sums of
     money which he has not reported as income but which
     nevertheless have inured to his personal benefit.
     The above named individual is employed by "Author Services,
     Incorporated," ("ASI") which has offices on Wilshire
     Boulevard, Los Angeles, California.  The "Author" referred to
     in Author Services is L. Ron Hubbard, the founder of

     For several years up to and including 1982, Miscavige was an
     employee of the Church of Scientology of California.  During
     1981 and 1982, and possibly other years, Miscavige and/or his
     agents received large sums of money from the Church of
     Scientology of California through one of its treasury offices
     known as the "Treasury Office, House Keeping Unit" ("HKU")
     located at the Church of Scientology's International
     management headquarters in Gilman Hot Springs, California.
     These funds were in amounts ranging from $1,500 to $5,000 and
     more, and were secretly disbursed to Miscavige for his
     benefit and for the benefit of at least two other individuals
     -- Pat Broker and his wife Anne Broker.  I do not believe
     these funds were reported as income by Miscavige nor were
     they listed by the Scientology Church as anything other than
     "Mission Expenses."  A detailed audit of the records of the
     Church of Scientology of California for the years 1979-1981
     especially those records which relate to Gilman Hot Springs
     will undoubtedly reveal these questionable "invoices" for
     which no credible supporting documentation will be available.
     The individual who was directly involved in the disbursement
     of these funds was the Treasury Secretary of the House
     Keeping Unit ("Tres Sec HKU") who's name is Garry Press.  (I
     have no information as to the whereabouts of Mr. Press nor
     data as to whether he still works for the Scientology Church
     or not.)

     Up until about December 30, 1981, the funds were from the
     Church of Scientology of California corporation and were
     wired or transferred via the Church's financial offices in
     Clearwater, Florida out to the Treasury Office (HKU) at
     Gilman Hot Springs, California (through local accounts at
     Security Pacific National Bank located at or near Gilman

     After December 30, 1981, (when a new corporation--the Church
     of Scientology International--took over many of the assets of
     the Church of Scientology of California) these funds were
     then disbursed from the accounts of the Church of Scientology
     International, a California corporation.

     Mr. Miscavige does not now consider himself an employee of
     the Church of Scientology, but works for Author Services,
     Inc. (ASI).  Through ASI, however, Miscavige directly and
     covertly controls the operations of various aspects of the
     Scientology organizations.  Miscavige is one of the very few
     individuals who is and has been aware of Mr. Hubbard's
     whereabouts from 1979 to the present.  Miscavige is one of a
     small group of individuals who have "taken control" of the
     Scientology Churches through both corporate and
     ecclesiastical command lines.

     Miscavige, an employee of ASI (which is a profit making
     corporation) directs others at management level within the
     Church of Scientology structure through by alleging that he
     has a "private" communication line to Mr. Hubbard and
     subsequently gives orders and directions in Mr. Hubbard's
     "name" which management officials within the Scientology
     Churches are ecclesiastically bound to follow.  Those who do
     not follow the directions of Miscavige are heavily
     reprimanded, removed from their positions of authority, and
     in many cases expelled from the Church of Scientology.  Those
     who remain in positions of financial and managerial authority
     are completely obedient to Miscavige and the directions that
     come from ASI.  The organizations over which Miscavige has
     ecclesiastical and covert authority include the following:

                  RTC- the Religious Technology Center
                  COST- Church of Spiritual Technology
                  CSI- Church of Scientology International
          (under the corporate umbrella of CSI are the following units:
                  International Watchdog Committee (WDC);
                  Commodore's Messenger Organization International (CMO
                  International Management Organization (IMO);
                  International Finance Network (Int. Finance NW); and
                  Office of Special Affairs (OSA).

     All the members of ASI, RTC, COST, WDC, CMO INT and the IMO
     are Scientologists and are or were members of a fraternal
     organization known as the "SEA ORGANIZATION."  Through a
     series of interlocking directorates, and "friendships"
     Miscavige has placed his cohorts in positions of financial
     responsibility in various of these corporations and units.
     Miscavige and other staff at ASI receive private benefits
     from these Church units such as food, lodging,
     transportation, expenses, books, personal assistants, Church
     training services and counselling, etc.

     By comparison, the vast majority of Scientology Church staff
     members in the SEA ORGANIZATION receive a "staff allowance"
     (salary) of well under $30. per week.  Other Church staff who
     are not members of the SEA ORGANIZATION receive on the
     average less than $45. per week.  It is believed that
     Miscavige and several others at ASI receive salaries excess
     of $30,000 to $40,000 per year or more in addition to the
     services received from the Scientology churches.  The ASI
     staff are also involved in numerous financial investments,
     including investments in oil drilling in South Dakota.

     The true source of all of ASI's income is not know, but it is
     believed that a portion of it comes from a percentage of
     royalties from sales of the books of L. Ron Hubbard.  Through
     its ecclesiastical lines, ASI has been able to order the
     various Scientology Churches to purchase large quantities of
     these books for which they Church's overseas accounts are
     then debited, oftentimes without the knowledge or consent of
     the individual Churches involved.

     Over the past 3 years, Miscavige, and other ASI staff, have
     also directed or approved dispursments of large amounts of
     Church funds over which they have no legal or corporate

     Miscavige and others at ASI, have exercised covert influence
     over the financial expenditures of the three Scientology
     related Trusts by selective placement and/or approval of the
     appointment of the trustees of those trusts.  The trusts
     referred to are:

          "The U.S. Churches of Scientology Trust,"
          "The Scientology Endowment Trust" and
          "The Church of Scientology Religious Trust,"
     (sometimes collectively referred to as SOR--Sea Org Reserves.)

     Two of those who may be familiar with the administration of
     the trusts are Wendle Reynolds, formerly "International
     Financial Dictator" and and Nigel Oaks, an officer in the
     Church's International Finance Network.  Both are or were
     employees of the Church of Scientology International and
     members of the "SEA ORGANIZATION."

     Other individuals at ASI who are also involved in the receipt
     of money as "salary" in addition to "benefits" from the
     Church of Scientology include:
          Norman Starkey
          Terry Gamboa

     Another person who is involved in this covert control of
     Church organizational matters and finance lines is Lyman
     Spurlock, an officer/director of COST - Church of Spiritual

     In order to determine the actual control and authority over
     the Scientology Organizations, one has to look at ASI and its
     covert and ecclesiastical command lines to the Church
     Management via the Religious Technology Center (RTC) and the
     Watch Dog Committee (WDC) of the Church of Scientology

     It is my understanding the the Internal Revenue Service has a
     provision for rewarding those providing information that
     results in the recovery of lost revenue with a percentage of
     the tax revenue recovered.  I hereby waive any right to any
     reward monies in consideration of retaining my anonymity.

     Some of the information above comes from an individual within
     ASI who also wishes to remain anonymous.  It is our desire to
     see justice done by restraining this individual Miscavige
     from the criminal activities which he has been engaged in for
     some time in under the guise of "ethical leadership" and at
     the expense of the vast majority of well intentioned,
     dedicated Scientology Church staff members and Church public
                                        "Blue Eagle"

   CC:  Al Ristuccia
          Internal Revenue Service
          Criminal Investigations Department

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