Scientology chief got millions, ex-aides say - 1984-07-11
Former officials of the Church of Scientology say they helped L. Ron Hubbard, the reclusive founder of the cult- like organization, to secretly divert more than $100 million from the church into foreign bank accounts he controlled.
The organization, long a subject of investigations in this country, Britain, France, Australia, South Africa, Spain and elsewhere, has maintained that Mr. Hubbard cut his ties to it in the mid-1970's, that he has received only a token consulting fee of $35,000 annually since then and that its millions of dollars a year in revenue are being spent for charitable purposes.
But former senior officials of the group asserted in interviews that at Mr. Hubbard's direction in the 1970's and into 1982, they had established a series of shell corporations set up to channel much of the church's resources to his overseas accounts. They said the scheme was also intended to shield him from criminal and civil proceedings against the organization by creating an illusion that he was no longer connected to it. Most of the money, they said, was on deposit in Luxembourg and Liechtenstein.