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Don't forget also making massive donations to PACs supporting the very candidates that gave them taxpayer money in the first place. It's money laundering at its finest.
NGOs proliferated because they are primarily a tool to get around transparency requirements in government - document retention, FOIA, and sunshine laws. They are an attempt to break the traceability chain and allow large parts of the money to return to the people that appropriated the dollars in the first place. Why taxpayers of every political persuasion aren’t absolutely ready to riot over this is beyond me.