http://www.washingtonpost.com/wp-dyn/content/article/2006/07/22/AR2006072200683.htmlUnbeknown to Some, Those Signing Up With Firm Are Joining Conservative Group
In 2001, Jennifer B. Chace heard an insurance broker's pitch for a new insurance company marketing tax-free medical savings accounts. She jumped at the offer, but first, the broker told her, she would have to sign an application -- already filled out -- that would entitle her to a low group rate.
With that signature, Chace, a Florida dentist in the market for health insurance, unwittingly joined one of Washington's most prominent conservative organizations, Citizens for a Sound Economy, she would later testify.
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Chace's experience has brought to light an obscure arrangement between a prominent Republican businessman, J. Patrick Rooney, and a free-market interest group that has netted the grass-roots organization hundreds of thousands of dollars and thousands of new members. Citizens for a Sound Economy -- now called FreedomWorks and headed by former House majority leader Richard K. Armey (R-Tex.) -- has netted more than $638,000 and about 16,000 members through the sale of insurance policies.
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FreedomWorks and its predecessor, CSE, were careful about the deal's financial aspects. In a Sept. 13, 2000, letter, CSE's Quinn said documents should overtly refer to dues, suggesting they be set at $12 a year, to be raised at CSE's discretion upon notifying Medical Savings Insurance Co. She also noted: "I would assume that these people will become CSE members for all purposes and therefore will go on the CSE mailing list. Since the CSE mailing list is rented, as a matter of course, those names would be rented as CSE members . . . without specific identification as MSIC insureds."
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Richard Armey is a criminal punk