{"id":417502,"date":"2021-01-19T22:39:36","date_gmt":"2021-01-20T03:39:36","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=417502"},"modified":"2021-01-19T22:39:36","modified_gmt":"2021-01-20T03:39:36","slug":"ncla-skewers-irs-efforts-to-avoid-court-scrutiny-of-its-unlawful-crypto-data-collection-practices","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/ncla-skewers-irs-efforts-to-avoid-court-scrutiny-of-its-unlawful-crypto-data-collection-practices\/","title":{"rendered":"NCLA Skewers IRS Efforts to Avoid Court Scrutiny of Its Unlawful Crypto Data Collection Practices"},"content":{"rendered":"<h2>\nJames Harper v. Charles P. Rettig, et al.<br \/>\n<\/h2>\n<div class=\"mw_release\">\n<p>Washington, D.C., Jan.  19, 2021  (GLOBE NEWSWIRE) &#8212; The New Civil Liberties Alliance, a nonpartisan, nonprofit civil rights group, filed a <strong><a href=\"https:\/\/www.globenewswire.com\/Tracker?data=ArVxXU8KwrjAHQyl7BSKQICXYQBYyuJOlo9QoOQ9oR1IvG5J9yRZry494bACCdM-RJyFILBMqh0eWa0h2Xgiuivh5dcS0nrszKZhBoGL3EgSd5qOzzspCwohUB7FahYszusiBK2t9UYfuXgcoh7gKklSMxHbZhLIBO9rVN04BT0o6DWJVn3NxOySmUbTHCoF\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">Memo in Opposition<\/a><\/strong> to IRS\u2019s Motion to Dismiss today in the U.S. District Court for the District of New Hampshire in the case of <i>Harper v. Rettig, et al<\/i>. The Internal Revenue Service (IRS) seeks to dismiss the case of NCLA client and cryptocurrency holder, James Harper, who is suing the agency\u2014and several unknown individual IRS agents in their personal capacity\u2014over violations of his Fourth and Fifth Amendment constitutional rights.<\/p>\n<p>Mr. Harper had contracted with third-party virtual currency exchanges to protect his private information against unlawful government intrusion. Despite his efforts to ensure his records were properly safeguarded, IRS brazenly gathered sensitive information about Mr. Harper\u2019s use of virtual currency from the third-party exchanges without a lawful subpoena. NCLA contends that IRS\u2019s attempt to avoid the Court\u2019s jurisdiction is a misguided effort to avoid a significant constitutional challenge to IRS\u2019s unlawful data collection practices.<\/p>\n<p>Mr. Harper is one of 10,000 virtual currency owners who received a <strong><a href=\"https:\/\/www.globenewswire.com\/Tracker?data=SwsvwBNGENJ1yUBASrNaxhuUbZ4CJZMB5KJeGCNofocZms9-XnRKGp6OaSoQ1g9n_QkbeVdBENIaat4eibqdrinVy550zxJxtlxBxKkugh1RNmhCb_C7Eb9QfLJ6MqqmpGIVfu_EUcwRlWILL9hhF92dpq90gR3w3fvD1DRZBSi-w7OTyBQuqPMcLqiX6LdmwMyS8kvh1T8bhyYw06192QUH3p93xFtM1mqQR0usfV18R1jT_QS4hou306XOFwnj3pSLdN3step4pu-M9-880A==\" rel=\"nofollow noopener noreferrer\" target=\"_blank\">letter<\/a><\/strong> from IRS in 2019 informing him the agency had obtained his financial records related to ownership of bitcoin. In this case, IRS violated the Fourth Amendment by issuing an informal demand for Mr. Harper\u2019s financial records from a third party, even though it lacked any particularized suspicion that he had violated any law.<\/p>\n<p>Notably, IRS does not dispute in its motion to dismiss that it acquired Mr. Harper\u2019s information without a lawful subpoena. IRS\u2019s sole argument in defense of its attack on Mr. Harper\u2019s Fourth Amendment claim is its assertion that Mr. Harper \u201cdoes not have an expectation of privacy in his financial information.\u201d However, the Fourth Amendment significantly constrains the types of searches IRS may conduct, particularly where a person has contracted with an exchange to keep his information private.<\/p>\n<p>Mr. Harper is also entitled under the Fifth Amendment\u2019s Due Process Clause to a notice and an opportunity to protect his private information from unreasonable searches and seizures. IRS concedes that it did not comply with this bare minimum due-process requirement.<\/p>\n<p>\n        <b>NCLA released the following statements:<\/b>\n      <\/p>\n<p>\u201cWhen you enter into a third-party agreement, the reasonable expectation is that the third party and the government will respect contractual rights. But the IRS agents in this case departed from cherished Constitutional principles that prohibit peeking into a person\u2019s private papers without first obtaining a judicially-approved subpoena. Not only did IRS demand <i>and<\/i> seize Mr. Harper\u2019s private information, but it is unlawfully holding on to that data without <i>any<\/i> judicial process. NCLA will right these wrongs.\u201d<\/p>\n<p>\n        <b>\u2014 Caleb Kruckenberg, Litigation Counsel, NCLA<\/b>\n      <\/p>\n<p>\u201cThis motion to dismiss shows how IRS requires law-abiding citizens to jump through numerous procedural hoops to even have their day in court. At the same time IRS tries to claim in the same motion that it would be impossible for them and their agents to abide by the Constitution to obtain Mr. Harper\u2019s private financial information. Assuredly, the Constitution does not protect IRS from Mr. Harper\u2019s suit. It protects Mr. Harper from IRS\u2019s illegal surveillance.\u201d<\/p>\n<p>\n        <b>\u2014 Adi Dynar, Litigation Counsel, NCLA<\/b>\n      <\/p>\n<p>\n        <b>ABOUT NCLA<\/b>\n      <\/p>\n<p>NCLA\u00a0is a nonpartisan, nonprofit civil rights group founded by prominent legal scholar\u00a0Philip Hamburger\u00a0to protect constitutional freedoms from violations by the Administrative State. NCLA\u2019s public-interest litigation and other pro bono advocacy strive to tame the unlawful power of state and federal agencies and to foster a new civil liberties movement that will help restore Americans\u2019 fundamental rights.\u00a0<\/p>\n<p align=\"center\">\u00a0<\/p>\n<p align=\"center\">###<\/p>\n<p>      <img loading=\"lazy\" decoding=\"async\" class=\"__GNW8366DE3E__IMG\" src=\"https:\/\/www.globenewswire.com\/newsroom\/ti?nf=ODEzODQ5NyMzOTM2NjA1IzIxMzYzODU=\" width=\"1\" height=\"1\" \/><br \/>\n      <br \/>\n      <img loading=\"lazy\" decoding=\"async\" class=\"__GNW8366DE3E__IMG\" src=\"https:\/\/ml.globenewswire.com\/release\/track\/cd8537ea-e5d5-4174-a5c7-6bda4b975a0b\" width=\"1\" height=\"1\" \/>\n    <\/div>\n<div class=\"mw_contactinfo\">\n<pre>Judy Pino, Communications Director\r\nNew Civil Liberties Alliance\r\n202-869-5218\r\nmedia@ncla.legal\r\n<\/pre>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>James Harper v. Charles P. Rettig, et al. Washington, D.C., Jan. 19, 2021 (GLOBE NEWSWIRE) &#8212; The New Civil Liberties Alliance, a nonpartisan, nonprofit civil rights group, filed a Memo in Opposition to IRS\u2019s Motion to Dismiss today in the U.S. District Court for the District of New Hampshire in the case of Harper v. Rettig, et al. The Internal Revenue Service (IRS) seeks to dismiss the case of NCLA client and cryptocurrency holder, James Harper, who is suing the agency\u2014and several unknown individual IRS agents in their personal capacity\u2014over violations of his Fourth and Fifth Amendment constitutional rights. Mr. Harper had contracted with third-party virtual currency exchanges to protect his private information against unlawful government intrusion. Despite his efforts &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.marketnewsdesk.com\/index.php\/ncla-skewers-irs-efforts-to-avoid-court-scrutiny-of-its-unlawful-crypto-data-collection-practices\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;NCLA Skewers IRS Efforts to Avoid Court Scrutiny of Its Unlawful Crypto Data Collection Practices&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-417502","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>NCLA Skewers IRS Efforts to Avoid Court Scrutiny of Its Unlawful Crypto Data Collection Practices - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/ncla-skewers-irs-efforts-to-avoid-court-scrutiny-of-its-unlawful-crypto-data-collection-practices\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"NCLA Skewers IRS Efforts to Avoid Court Scrutiny of Its Unlawful Crypto Data Collection Practices - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"James Harper v. Charles P. Rettig, et al. Washington, D.C., Jan. 19, 2021 (GLOBE NEWSWIRE) &#8212; The New Civil Liberties Alliance, a nonpartisan, nonprofit civil rights group, filed a Memo in Opposition to IRS\u2019s Motion to Dismiss today in the U.S. District Court for the District of New Hampshire in the case of Harper v. Rettig, et al. The Internal Revenue Service (IRS) seeks to dismiss the case of NCLA client and cryptocurrency holder, James Harper, who is suing the agency\u2014and several unknown individual IRS agents in their personal capacity\u2014over violations of his Fourth and Fifth Amendment constitutional rights. Mr. Harper had contracted with third-party virtual currency exchanges to protect his private information against unlawful government intrusion. 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Charles P. Rettig, et al. Washington, D.C., Jan. 19, 2021 (GLOBE NEWSWIRE) &#8212; The New Civil Liberties Alliance, a nonpartisan, nonprofit civil rights group, filed a Memo in Opposition to IRS\u2019s Motion to Dismiss today in the U.S. District Court for the District of New Hampshire in the case of Harper v. Rettig, et al. The Internal Revenue Service (IRS) seeks to dismiss the case of NCLA client and cryptocurrency holder, James Harper, who is suing the agency\u2014and several unknown individual IRS agents in their personal capacity\u2014over violations of his Fourth and Fifth Amendment constitutional rights. Mr. Harper had contracted with third-party virtual currency exchanges to protect his private information against unlawful government intrusion. 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