Dear Concerned American: 

Effective September 1, 2002, the Wallace Institute ceased operations. For over four years we have worked very hard to bring lawsuits in court on critical cancers killing our Republic. Our ability to do this has only been possible through donations and we want to thank each and every individual who faithfully donated all these years. 

    However, it has never been enough. When Larry and I started the Wallace Institute, we refused to get trapped into the 501(c)(3) tax exempt status with the IRS. We know they are not a legitimate agency of the government and we know the jurisdictional problem. We refused to sleep with the enemy. We refused to take the chance of being a target of a political audit and having to use your donations to fight these criminals who work for the IRS. To us, it has been a matter of principle.

    Despite applying to more than 200 foundations for grants or donations, not a single one would donate without getting a 'tax break.' I spent countless hours investigating each and every foundation, their boards, their activities and
so forth, just to make sure we would not be accepting money from those who don't support our Republic. Unfortunately, tax breaks are more important than freedom and the truth.

    Larry has donated hundreds of hours to the institute without any financial compensation. We have believed in our mission and did everything humanly possible to make it work. I have received no compensation during the last 4 1/2 years for my work. Unfortunately, it just wasn't enough.

    We simply could not continue without the proper funding. Cases like Klamath Falls, very complicated and made more so by 20 different bureaucracies, required anywhere from $100,000-$250,000 from start to finish. Travel, depositions, legal research, investigations, pre-trial conferences, court time  - all consume huge amounts of money. 

    As a result of this inability to raise large amounts of money, we were never able to expand into the organization we envisioned four and a half years ago. Organizations like Judicial Watch, which I donate to on a regular basis, have operating budgets in excess of $11 million dollars a year. 

   But, all of them are 501(c)(3)s and get large chunks of money at one time. Judicial Watch and just about every other 'conservative' organization in this country been audited to the tune of hundreds of thousands of dollars. It has been nothing more than political harassment by the IRS, but the money to fight these audits is very real. Money that should be used to stop government corruption is used instead to fight audits.

    In any event, Larry will continue to do the research he's been doing to once and for all terminate the IRS's unlawful activities against the people of this country. I will continue doing as I have done for the past 12 years. Your support has meant a great deal to us. I will continue to post updates on the last Wallace cases as Larry moves them through the courts.