IRS Gives Hunter Biden Whistleblower Ultimatum after Explosive Interview: Accept Demotion or Resign

The IRS is retaliating further against one of the whistleblowers who came forward with allegations of misconduct in the Hunter Biden tax case, demanding that he accept a demotion or resign entirely from the agency.

Tristan Leavitt, an attorney for IRS whistleblower Gary Shapley, believes the agency is retaliating against his client following a viral interview about the Biden case with veteran investigative journalist Catherine Herridge.

“Less than an hour after @C__Herridge posted this story yesterday about the retaliation against the IRS whistleblowers, the IRS sent SSA Shapley this notice telling him he had 15 days to choose whether to be demoted or to resign. (Apparently they were sitting on it for two weeks before the story.),” Leavitt said.

The IRS crafted a letter to Shapley on October 15 informing him that he will be reassigned from his supervisory special agent role in the criminal division to a senior analyst position. If Shapley does not report for his new assignment, he can either request a lower level special-agent position or leave the agency.

The U.S. office of special counsel is currently investigating alleged retaliation against Shapley and IRS whistleblower Joseph Ziegler. Leavitt said the OSC should intervene to prevent the apparent retaliation against Shapley and called for the agency to brief congress on the progress of its 17-month-long investigation.

Leavitt wrote a letter to congress Thursday laying out the alleged retaliation and lost professional opportunities Shapley has experienced since coming forward. Shapley’s attorneys have notified the OSC of the apparent actions taken against Shapley and are asking House Republicans to request a briefing on the situation.

Leavitt’s letter is addressed to House Oversight Committee chairman James Comer (R., Ky.), House Judiciary Committee chairman Jim Jordan (R., Ohio), and House Ways and Means Committee chairman Jason Smith (R., Mo.).

They have lead the impeachment inquiry into President Biden over his son Hunter’s lucrative foreign business dealings and the IRS whistleblower allegations of misconduct by Justice Department officials during the years-long criminal investigation into Hunter Biden. The high-profile impeachment probe uncovered $27 million of payments from foreign sources to Hunter Biden and his business partners, and several interactions between Joe Biden and his son’s business partners last decade.

“From the moment USA Weiss received access to SSA Shapley’s protected whistleblower disclosures and contacted IRS leadership, the IRS has treated SSA Shapley differently,” Leavitt wrote.

“Their illegal reprisal increased after SSA Shapley made clear he intended to blow the whistle to Congress and others. And it continues to this day, when the IRS knows it can retaliate against SSA Shapley simply by waiting out the clock for him to be forced into the position of resigning or being demoted.”

The Republican committee chairmen responded to Leavitt’s request with a letter this afternoon to acting principal deputy special counsel Karen Gorman asking her to request that the Merit Systems Protection board order a stay to hold up the IRS’s action against Shapley.

“SSA Shapley’s and SA Ziegler’s whistleblowing took courage and bravery. Because of their important disclosures, Americans learned how the IRS treats individuals differently based upon their last names,” the letter reads.

“They made lawfully protected disclosures to Congress that resulted in unrelenting personal and professional attacks on them. But they have not wavered. As this case has rightfully garnered significant public attention, OSC must show the whistleblower community that OSC will take appropriate and immediate action to stand up for whistleblowers.”

The IRS did not respond to a request for comment.

Delaware U.S. Attorney David Weiss oversaw the entirety of the Hunter Biden case in his office and then as special counsel beginning last summer. Eventually, Weiss’s team prosecuted Hunter Biden on federal gun and tax charges after Shapley and Ziegler testified before congress and handed over a trove of documents to the Ways and Means Committee.

A Delaware jury found Hunter Biden guilty in June of three federal gun charges tied to false claims he made about his drug usage on gun paperwork and possession of a firearm while suffering from a crack cocaine addiction six years ago. In September, Biden plead guilty to nine federal tax charges in California rather than dealing with another explosive and emotional criminal trial. His sentences are expected to be handed down in the coming weeks.

Herridge interviewed Shapley and Ziegler earlier this week following Biden’s guilty plea on the tax charges. Her story has 13.8 million views on X and short clips of the interview have received similarly large engagement on the platform.

The IRS agents spoke to Herridge about the details of the Hunter Biden investigation and the alleged retaliation they have faced for coming forward. Shapley and Ziegler told Herridge investigators knew the “Big Guy” mentioned by one of Hunter Biden’s business partners was Joe Biden and recounted their previous testimony that the FBI and Justice Department knew Hunter Biden’s laptop was real in late 2019.

The IRS whistleblowers have already testified about most of what they discussed with Herridge. But, Herridge did reveal a congratulatory email the agency sent after Hunter Biden’s guilty plea, despite the alleged punishment the whistleblowers have faced.

Herridge was one of the most prominent journalists to extensively cover the Hunter Biden laptop story and the House GOP’s impeachment inquiry. She launched an independent newsletter earlier this year after CBS fired her as part of a network shake-up. During her reporting on the Hunter Biden case, Herridge reportedly dealt with “internal roadblocks” at CBS and clashed with a left-wing executive.