CAIR Sued by Former Clients for Racketeering, Fraud, & Breach of Fiduciary Duties

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Mon Nov 24, 2008 8:00am EST

CAIR Sued by Former Clients for Racketeering, Fraud, & Breach of Fiduciary
Duties

WASHINGTON, Nov. 24 /PRNewswire-USNewswire/ -- Four clients of the Council on
American-Islamic Relations (CAIR) have filed a federal civil complaint
alleging criminal fraud and racketeering against CAIR, a self-described public
interest civil rights law firm. The lawsuit also names CAIR's national
leadership as individual defendants. 

The defendants were served with the complaint and summons to appear while
attending the CAIR 14th Annual Dinner Sunday night in Arlington, Virginia.
Congressman Ellison (D-Minn) was a guest speaker at this affair.

The lawsuit, filed in the United States District Court for the District of
Columbia, alleges that Morris Days, the "Resident Attorney" and "Manager for
Civil Rights" at the now defunct CAIR MD/VA chapter in Herndon, Virginia, was
in fact not an attorney and that he failed to provide legal services for
clients who came to CAIR for assistance and who had paid for CAIR legal
services. 

While attorney David Yerushalmi represents the four plaintiffs in this
particular lawsuit, two of whom are African American Muslims, the complaint
alleges that according to CAIR internal documents, there were hundreds of
victims of the CAIR-Days fraud scheme.

According to the complaint, CAIR failed to conduct a background check on Days
prior to hiring him and when they did discover his massive fraud, they
immediately set about to cover it up. CAIR officials purposefully concealed
the truth about Days from their clients, law enforcement, the Virginia and
D.C. state bar associations, and the media. When CAIR did get irate calls from
clients about Days' failure to provide competent legal services, CAIR
fraudulently deceived their clients about Days' relationship to CAIR,
suggesting he was never actually employed by CAIR, and even concealed the fact
that CAIR had fired him for criminal fraud. 

"The evidence has long suggested that CAIR is a criminal organization set up
by the Muslim Brotherhood and Hamas to further its aims of stealth Jihad in
the U.S.," Mr. Yerushalmi said referring to the fact that CAIR has been named
by the federal government as an unindicted co-conspirator in the Holy Land
Foundation terror financing trial. 

"But our investigation and this complaint make clear that CAIR's criminal
activities know no bounds," Yerushalmi continued.

"According to the facts as carefully laid out in this complaint," Yerushalmi
explained, "CAIR has engaged in a massive cover-up of a criminal fraud in
which literally hundreds of CAIR clients have been victimized and because of
the CAIR cover-up they still don't realize it. The fact that CAIR has
victimized Muslims and non-Muslims alike demonstrates that CAIR is only
looking out for CAIR and its ongoing effort to bilk donors out of millions of
dollars of charitable donations thinking they are supporting a legitimate
organization."

The complaint also alleges that in addition to covering up the Days fraud
scheme, CAIR officials in D.C. forced angry clients who were demanding a
return of their legal fees to sign a release that bought the client-victims'
silence by prohibiting them from informing law enforcement or the media about
the CAIR-Days fraud. According to the agreement, if the "settling" clients
said anything to anyone about the fraud scheme, CAIR would be able to sue them
for $25,000.

This enforced code of silence left hundreds of CAIR client-victims in the dark
such that to this day they have not learned that Days is not an attorney and
that he had not filed the legal actions on their behalf for which Days and
CAIR publicly claimed credit.

The four plaintiffs contacted their attorney David Yerushalmi only after they
had spoken to Dave Gaubatz, a private researcher who had been investigating
CAIR for its connections to the Muslim Brotherhood and its ties to global
jihad. Had Gaubatz not informed the plaintiffs of the fraud, they would still
be under the impression that Days was a competent attorney representing their
legal interests in various lawsuits and administrative proceedings.

The complaint identifies CAIR as a racketeering enterprise under the federal
Racketeer Influenced and Corrupt Organizations Act (RICO), which is a criminal
racketeering statute that allows victims to sue the defendants in civil court.
In addition to damages, the plaintiffs are seeking injunctive relief under
this and other statutes to shut down CAIR and to prevent the individual
defendants from engaging in public interest legal work in the future.

The named defendants are: the Council on American-Islamic Relations Action
Network Inc. (dba CAIR); Nihad Awad aka Nihad Hammad who serves as executive
director of CAIR National; Parvez Ahmed who was the chairman of the board of
CAIR National during the relevant time period; Tahra Goraya who was the
national director of CAIR but who has since resigned; Khadijah Athman who is
the manager of the "civil rights" division of CAIR; and Nadhira al-Khalili,
Esq., who is in-house legal counsel for CAIR. 

According to the complaint, CAIR's in-house Washington, D.C.-based attorney
Khalili was directly involved in taking the legal files out of the CAIR
Virginia office and concealing them in the D.C. office. 

Also named as defendants are Ibrahim Hooper and Amina Rubin, CAIR's director
of communications and coordinator of communications, respectively. According
to the complaint, these two were directly responsible for issuing fraudulent
press releases about the Days fraud scheme, thus aiding and abetting the CAIR
cover-up. 

About David Yerushalmi, Esq.
David Yerushalmi has been practicing law for almost 25 years. He is a
litigator specializing in securities law, public policy relating to national
security, and public interest law. Mr. Yerushalmi is licensed and practices in
Washington D.C., New York, California, and Arizona.

For a copy of the complaint, go to SANE Works for US web log
(http://www.saneworks.us/uploads/news/applications/27.pdf.)


SOURCE  Law Offices of David Yerushalmi

David Yerushalmi, Esq. of Law Offices of David Yerushalmi, +1-646-262-0500,
ContactYerushalmiLaw@verizon.net
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