Sizemore’s indictment could slow his run for governor

Kroger announces that grand jury has issued indictment in tax case

By Steve Law

The Portland Tribune, Nov 30, 2009, Updated Nov 30, 2009 (10 Reader comments)

Bill Sizemore’s campaign to run for governor in next year’s Republican primary may be in trouble after the initiative activist was indicted for tax evasion.

A grand jury indictment issued Oct. 27 against Bill Sizemore and his wife Cindy Sizemore alleges that they failed to file Oregon tax returns for the years 2006, 2007 and 2008.

The indictment, announced Monday by Oregon Attorney General John Kroger, was not unsealed until a state tax amnesty period expired on Nov. 19. Last week, Oregon Department of Revenue staff confirmed that the Sizemores failed to seek amnesty under that program, which would have enabled them to file or amend their tax returns in exchange for a waiver of civil penalties.

Evidence used for the indictment was uncovered during earlier civil lawsuit proceedings involving entities controlled by Bill Sizemore. He was accused of using a sham charity to camouflage political contributions to his various ballot measure campaigns.

After those civil case proceedings, the Oregon Department of Justice’s Charitable Activities Section referred the matter to the department’s Criminal Justice Division for potential criminal charges.

Sizemore, in a phone message, said he’ll plead not guilty. He denied trying to evade taxes, saying he and his wife paid $25,000 in state and federal taxes in 2006 and again in 2007.

However, Sizemore acknowledged he hasn’t filed the actual tax returns, in protest over a court order requiring him to deliver a copy of his tax returns to the teachers union, his primary political adversary, within 10 days after filing.

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