Murphy's Law

As Jefferson Democrat said - He's there guy in the 20th Congressional race, and they should be proud. He is just like every other Democrat in Washington these days.

The following was received via email from the, 
National Republican Congressional Committee


While Scott Murphy was meeting with Nancy Pelosi yesterday, White House Press Secretary Robert Gibbs had this to say about the withdrawal of cabinet nominees Tom Daschle and Nancy Killefer following revelations of tax evasion:

“I think they both recognized that you can't set an example of responsibility but accept a different standard in who serves. They both decided and recognized that their nominations would distract from the important goals and the critical agenda that the president put forward.” (Transcript, 02/03/09)

Scott Murphy clearly did not receive that message.  Instead, he chose to add to the growing list of explanations why his company, Small World Software, failed to pay its business taxes.

To review – YESTERDAY, Murphy outlined the following explanations:

1)      First he “had no idea” what it was about. (“GOP takes aim at Murphy,” Post Star, 02/03/09)

2)      Murphy attempted to say that Small World Software “was under new management” at the time. (“GOP takes aim at Murphy,” Post Star, 02/03/09)

3)      Finally – Murphy had no “responsibility for things like taxes.” (“GOP takes aim at Murphy,” Post Star, 02/03/09)

TODAY, Murphy has a new evasion:

"I think it's totally unrelated. I sold this business and the people that bought it from me failed to pay the taxes. It's just that simple.” (“Murphy Answers Tax Issue,” Post Star, 02/04/09)

However, when Small World Software was merged (not SOLD) with IXL, Inc. in 1998, Murphy signed the merger documents as “Secretary” of Small World Software.  The detailed timeline below begs more questions for Murphy in the days to come, most notably – if Tom Daschle, Tim Geithner, and Nancy Killefer are accountable for their tax troubles, why isn’t Scott Murphy?

SCOTT MURPHY AND SMALL WORLD SOFTWARE – TIMELINE

1994

·         5/10/94 – Small World Software founded by Scott Murphy and Mark Jacobstein.[1]

1997

·         12/31/97 – Tax period ends in which Small World Software later receives warrants in the amount of $298.50 and $446.85 (WARRANT ID: E-012468258-W003-3 and WARRANT ID: E-012468258-W002-8, NY TAX COMPLIANCE DIVISION).[2]

1998

·         01/23/98 – Small World Software merges with IXL, Inc.  Scott Murphy signs merger documents as “Secretary” of Small World Software.[3]

·         02/28/98 – Tax period ends (FY March 1, 1997 thru February 28, 1998) in which Small World Software later receives warrant for $20,808.25 (WARRANT ID: E-012468258-W001-4, NY TAX COMPLIANCE DIVISION)[1]

1999

·         07/22/99 – NY Department of Taxation & Finance issues three warrants for unpaid taxes, interest and penalty.[5]

·         12/29/99 – Tax warrant for period ending 2/28/98 for $20,805.25 is satisfied (WARRANT ID: E-012468258-W001-4, NY TAX COMPLIANCE DIVISION)[6]

c. 2000

·         Scott Murphy leaves position at IXL, Inc.[7]

_____________________

[1] Certificate of Incorporation of Small World Software, Inc., New York Department of State, May 10, 1994
[2] “Tax Compliance Division Warrant: Commissioner of Tax and Finance against Small World Software, Inc.,” New York Department of Taxation and Finance, July 14, 1999
[3] Certificate of Merger of Small World Software, Inc. into iXL-New York, Inc., New York Department of State, Jan. 23, 1998
[4] “Tax Compliance Division Warrant: Commissioner of Tax and Finance against Small World Software, Inc.,” New York Department of Taxation and Finance, July 22, 1999
[5] “Tax Compliance Division Warrant: Commissioner of Tax and Finance against Small World Software, Inc.,” New York Department of Taxation and Finance, July 22, 1999
[6]“ Judgment Docket Update: Small World Software,” New York Department of State, Dec. 29, 1999

[7] New York Times, March 12, 2000