A loophole in the tax code allows Karl Rove's Crossroads GPS Super PAC to keep the identities of its donors hidden from the public. Now an attorney for the Obama re-election team has filed a lawsuit to get that changed. Ed Schultz discusses the shadow money with the big panel – MSNBC contributor Krystal Ball, radio host Mark Simone, and MSNBC political analyst Karen Finney.
Last night on the big show we talked about the Obama Campaign's complaint that the FEC that Karl Rove's Crossroads GPS should have to disclose its donors. Of course, Rove won't.
That said, he actually went on Fox News last night and defended the group he founded. The charge by the Obama campaign is that Karl Rove's group Crossroads GPS is a political attack machine (which it is) and not a group that promotes "Social Welfare" that should receive special tax status and not have to reveal donors.
Rove's response to Greta's question is priceless. He can barely contain a smile as the world's top political operative pretends he's just looking out for the common good. Barf (hits at the top of the Fox News video below)
Greta: Karl, once again, you're in the news again. So the big question is, Crossroads GPS -- is it a political committee or a social welfare organization? And how do you know?
Karl Rove: Well, it's a social welfare organization because it spends the vast preponderance of its money in furtherance of its social welfare goals. It's an issue advocacy group.
Rove went on to rip the Obama Campaign lawyer who dared to call out Crossroads GPS. According to the Obama camp's lawyer, Rove is full of baloney and needs to retract his statements. Watch towards the end to see Rove go off.