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Monday, March 28, 2011

Kabbalah Centre Under Investigation

Madonna‘s “religion” and the main object of her charity giving, the Kabbalah Centre, is being investigated the IRS. Sources tell me that a federal grand jury has been convened to ask questions about the organization. I’ve personally spoken to two people who were served subpoenas from the grand jury, being held at the U.S. District Court in the Southern District of New York.

The targets of the investigation, sources tell me, are the Kabbalah Centre, Raising Malawi, and the Berg family–mother Karen and sons Yehuda and Michael, who own the company. Madonna, they say, is aware of the grand jury. The pop star has given millions–not “loaned” as some reports say–to the Kabbalah Centre and its offshoots SFK and Raising Malawi. In 2008-2009, she donated $2.5 million to them.

This may be yet another reason that she hired top gun pr specialist Mark Fabiani through the Kabbalah Centre. As I told you this weekend, the Kabbalah Centre is being sued in Los Angeles for $20 million by Courtenay Geddes, a wealthy donor who claims now that she was swindled by the Centre and the Bergs. Madonna is being sued in Malawi by the board of directors of her cancelled school project for Raising Malawi, her charitable effort there with the Kabbalah Centre.

One of the things the grand jury might be asking about is who actually does the bookkeeping for the Kabbalah Centre, Raising Malawi, and SFK. The two women who’ve handled the business in house are said to be the daughters of Karen Berg, the leader of all the organizations and wife of Philip Berg, known as the “Rav.”

Carly Sullivan of the US Attorney’s office in Manhattan said the office could neither confirm or deny anything about grand jury proceedings.

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