AP/ September 6, 2012, 2:43 AM

Secret Service probing claimed theft of Romney tax records, $1M hush money demand

Sign outside PricewaterhouseCoopers office in Franklin, Tenn.

Sign outside PricewaterhouseCoopers office in Franklin, Tenn. / AP Photo/Erik Schelzig

(AP) FRANKLIN, Tenn. — The Secret Service said Wednesday it is investigating the reported theft of copies of Republican presidential candidate Mitt Romney's federal tax records during a break-in at an accounting office in Franklin. Someone claiming responsibility demanded $1 million not to make them public.

An anonymous letter sent to Romney's accounting firm and political offices in Tennessee and published online sought $1 million in hard-to-trace Internet currency to prevent the disclosure of his tax filings, which have emerged as a key focus during the 2012 presidential race. Romney released his 2010 tax returns and a 2011 estimate in January, but he has refused to disclose his returns from earlier years.

Romney's accounting firm, PricewaterhouseCoopers, said there was no evidence that any Romney tax files were stolen.

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"At this time there is no evidence that our systems have been compromised or that there was any unauthorized access to the data in question," PricewaterhouseCoopers spokesman Chris Atkins said.

In Washington, Secret Service spokesman Edwin Donovan confirmed the agency was investigating. The Romney campaign declined to comment, referring all questions to the accounting firm.

Franklin police said there were no recent alarms or break-ins reported at the site. "We've had nothing from that address in August," Police Lt. Charles J. Warner said.

There was no sign of forced entry at the five-story building that housed the accounting firm's local office, not far from the Cool Springs Galleria, a large mall about 20 miles south of Nashville.

The building does not restrict access during business hours and has no guard. After-hours access to the doors and elevators appears to be controlled by keycard. A spokeswoman for the building manager, Spectrum Properties, said the company would not speculate on the burglary claim.

"All of the tenants operate independently and the building is highly secured," the spokeswoman, Beth Courtney, said.

The data theft was claimed in letters left with political party offices in Franklin and disclosed in several Tennessee-area newspapers. Jean Barwick, the executive director of the Williamson County Republican Party, said employees in the GOP office found a small package on Friday with a hand-written address. The package contained a letter and a computer flash drive, she said.

Peter Burr, the chairman of the county's Democratic Party, said he received a version of the letter and a thumb drive on Aug. 27.

"I have no way of knowing this is real or not," he said. "I doubt it is, but I suppose it's conceivable."

An anonymous posting on a file-sharing website said the returns were stolen Aug. 25 from the accounting firm's office. After "all available 1040 tax forms for Romney were copied," the posting said, flash drives containing encrypted copies of his pre-2010 tax records were sent to the firm and to Republican and Democratic party offices.

The group threatened to divulge the tax files by late September unless it was paid $1 million.

Barwick and Burr said they turned over the materials to the Secret Service.

"The agents said there wasn't a whole lot they could say, but they agreed that bizarre stuff during campaign season isn't exactly unusual," Burr said.

© 2012 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.
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tmittelstaed says:
I will point out a few things about this incident.

How did the hackers know that Romney's records would be accessible in that particular PriceWaterhouse office? If the Romney returns were not accessible there then PriceWaterhouse would have said so and that would have been that.

Do you think that PriceWaterhouse makes a copy of every customers tax returns and have them accessible to every single office of theirs in the world?

PriceWaterhouse has many employees who are making peanuts. They are a revolving door for accounting graduates working on their CPA's license. You can be assurred that there is a fair chance that some of the employees who touched or had access to Romney's tax returns are not Romney supporters.

You can also rest assurred that PriceWaterhouse has no incentive at all to admit the truth if there really was a break in. If this is real they will deny there is a problem until the day Romney's returns are released.

Clearly the demand for a million dollars is rediculous. The crackers won't touch the money even if it was offered. The demand was calculated to increase news interest, and to help legitimize whatever is released.

While this does on the surface sound like a hoax, the fact that the Romney camp and PriceWaterhouse didn't immediately dismiss it as rediculous, and brought the Secret Service into it, lends legitimacy to it.

The cracker would never send an actual encrypted copy of the returns with a million dollars at risk. if the encryption was broken they lose any chance of getting their million. Instead the cracker probably took a file of random bits and encrypted that.

At this point if the cracker releases tax returns that are completely manufactured out of thin air, the damage has been done.
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Sue_Deaunym replies:
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You seem to take the story seriously. I don't, largely for the kind of reasons you cite.

The GOP has decided that they must release Romney's tax returns, because withholding them is alienating voters. They don't want it to seem as though Mitt was pressured into it, so they've staged a "theft" to make Mitt seem like the "victim." After this, Romney may begrudgingly release them on his own, or they may be "leaked."
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churchstate says:
It is no small secret Utah Senator Orin Hatch and other LDS faithful lawmakers seem to have convinced the US Government that only LDS/Mormon return missionaries are capable of reading, writing and speaking a foreign language. Yet when they return these missionaries test at only an intermediate level of fluency - thus federally funded statewide elementary school level mulitple languages immersion programs were established (in what appear to be predominately LDS neighborhood schools. These children are expected to have advanced level foreign language fluency upon graduation for high school). Mormon return missionaries (60,000 serving worldwide) have been recruited by the CIA and FBI for decades. It is quite interesting how most international abductions, assaults, and deaths of Americans abroad go unsolved for months if not years, but when a LDS/Mormon church member is kidnapped (Russia & England), killed (China), or assaulted (worldwide) the crime is solved by either the FBI/CIA in 7-14 days or less. My bets are on Romney's hijacked tax returns mystery being resolved and the culprits arrested in less than 7 days.
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tmittelstaed replies:
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I'll take that bet. I doubt the CIA is using many LDS missionaries for spying. Most of these LDS missionaries are young whites who look totally out of place in a foreign country. While thhey might possibly be used as couriers back to the US, the CIA typically prefers to recruit natives of countries that they are spying in.
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TimeToEvolve says:
They could EASILY sell this info for a million to MSNBC. What a blockbuster that would be for Rachel Maddow.
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JDinAustin says:
Talk about one upsmanship! Everyone else has been saying "show me your taxes!" This guy is screaming "show me the money!"
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newkungfu says:
33% of my annual bonus was withehld for taxes! I paid over 25% last year of my total income in taxes. I followed the rules obeyed the law and paid out the arse. Why do we in the middle class have to bear the largest part of the burden while the wealthy and their corporations get off with much lower rates? Time to level the playiung field. Pay your fair share Mitt!

OBAMA / BIDEN 2012!!!!!!!
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newkungfu replies:
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Boo is correct on the range and the bracket. My point is that everyone should pay their fair share. Nobody "likes" paying taxes. We do so in order to fund necessary public services, national defense, etc. I don't hide any money overseas or cheat. I expect my elected officials to act accordingly by being transparent about their finances along with every other factor that will allow me to make a fair judgement regarding my vote.

I have taken a serious look at Romney and have decided that he is not the right choice for the country at this or any other time. I also admit that the president has made some mistakes but he has also made progress.
tmittelstaed replies:
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I also co-own a business and let me point out that most of the so-called "loopholes" are actually government attempts to get me to spend (more like waste) money on stuff that is nice-to-have but I don't actually need.

Why is deducting office space rental a loophole? It isn't a loophole it's a burden. In my company I, my partner, and all employees work out of our homes. My partner and I would rather pocket the lease money for office space and pay the taxes on it than put the money into a so-caled "loophole" With modern communications technology there's no need for an office. (hopefully the other business owners who commented aren't office building owners, sorry if you are, guys)
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dennisall77 says:
Of course this "crime" is bogus... but I'll bet it makes the Romney camp sweat to think they might get released. Everyone knows he is hiding something really big or he would not put up with the negative backlash his non-dislosure is generating. Only one other scenario works: he will release them as his October surprise and they will show nothing unusual with no time for the media to check their veracity (and truthfulness seems to be a big problem for that "Ryan/Romney" ticket)
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infantryman1968 replies:
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LOL!

I heard Obama's October Suprise is a strike on Iran. Are you cool with that?
dennisall77 replies:
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LOL! Let's add IM-INA-DINNA-JACKET to the long list of Obama strikes: Bin Laden and the other 10 top leaders of "Al Kyda" Ya gotta admit, Obama puts up w no crud from the middle east assassins.
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infantryman1968 says:
Secret Service probing claimed theft of Romney tax records, $1M hush money demand


LOL!


Definitely a Obama follower. They are the only ones obsessed with Romneys Taxes and Underwear.
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Rafterman11 replies:
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Imagine if Obama was hiding his tax returns for ten years. Can you imagine the conspiracy theory screeching from people like you and the rest of the nutbag right?
foodashes replies:
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ooooohhh..is that why Romney walks so funny? kinda crooked?? kinda tippy toed?? sorta feminine??..it's his underwear?? you watch him walk..you'll see what I mean...so, it's his underwear?? wow!!
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clydealan2 says:
Mitt's childhood home was Bloomfield Hills, MI; the fourth wealthiest city in the US. He was born into extreme wealth and has only known extreme wealth. I want to know if he has NOT PAID TAXES by manipulating the system. And: how the hell can this man identify with what the middle class struggle with? He cannot.
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infantryman1968 replies:
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LOL!

To the followers of Obama, extream wealth is anyone who makes over 250K a year.
dennisall77 replies:
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250K is extreme to me too! I cannot fathom how someone can be worth any more than that on a job. Any more than that is extortion. Have you ever worked directly with the poor? I have and I can tell you they are trying just as hard as the CEO's to succeed... only they are not blessed with a rich daddy or high intelligence or good looks or whatever else has opened the doors for the wealthy. A few wealthy, admittedly, worked their butts off and got rich, but they had breaks and help along the way that the poor do not nor ever will have. But the GOP continues propping up the myth that the poor are just too lazy to succeed. Ain't true! I have seen them work 3 jobs for peanuts, struggle with corrupt landlords who refuse to repair anything, deal with old cars that break down and no money for repairs, handle health issues with no insurance, and stare homelessness in the face and fight on. Any of you ever had those problems on daily basis?
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OldProfessor says:
As mentioned earlier, Romney is not yet age 70 and not required to make minimum withdrawals from his IRA, the reported $77 million in his IRA is still accumulating tax free.

Just another example that those who have gets!
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Sue_Deaunym says:
To repeat:

There are several problems with this alleged crime:

1) Anonymous wouldn't ask for money.

2) Real blackmailers would ask for alot more than $1 million

3) Romney's tax returns may be more valuable to the Democrats UNRELEASED.

4) The GOP's announcement of this during the DNC (when it allegedly occured weeks ago) is suspicious.

5) The accounting firm denies such a theft occured.

So, I believe the whole thing is a GOP concoction. My suspicions:

The GOP has decided that they must release Romney's tax returns, because withholding them is alienating voters.

They don't want it to seem as though Mitt was pressured into it, so they've staged a "theft" to make Mitt seem like the "victim."

After this, Romney may begrudgingly release them on his own, or they may be "leaked."

Sounds like Rove at work. . .
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rightontarget replies:
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Good theory! I never would have thought of it but it sounds perfectly logical to me.
bob_ID10T replies:
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The problem with number 4 is that just because they deny it doesn't mean it didn't happen it just means the cracker did a good job at wiping server logs and sys logs. this type of stuff goes unnoticed all the time in corporations. plus even if they were able to track it they would never admit it. that would affect there bottom line with other clients. it probably did happen and he will get paid under the table to the same swiss bank accounts Mitt has his stash.. irony...
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