the quality of the vehicles, they didn't take the bailout. >> gary, great seeing you. >> my pleasure. glad to be here. >> it is the place for business, fox. a dial tone. that's right. that's all conservative groups are hearing from the fbi. the attorneys representing 41 of the organizations suing the irs for targeting them says he still has not heard a peep from the agency, even though the fbi claims it is investigating the irs. mind you, this story broke nearly two months ago. so is this proof that the administration is not taking the charges seriously? hi, everybody. lcome to "forbes on fox." happy fourth of july. let's go in focus with mr. steve forbes. steve is the fbi taking this seriously or not? >> they are taking it

seriously which is why they are dragging their feet and why all of the excuses about moral equivalence and the le are shown to be lies. that's why we need a special prosecutor. these people can't do it themselves. there may have been some organizations that shouldn't have gotten the exemption, but they knocked out. >> it is not only the fbi. this is the irs. the bureaucrats are good at printing things out on paper, but it is a pathetic joke. i read it cover to cover. they emit problems and then say nobody is to blame. nobody is taking it seriously in the administration. >> i am going to warn you ahead of time. you will not ke what i have to say about this. >> we like it when we don't like what you have to say. >> give me a little room. did you know i was down on the irs for this too? the more we learn about this, the more we are discovering there may have been good reason for targeting these groups. we are now seeing examples where thes groups are calling

for 401c4 and putting on their application that they had nothing to do with polics and mailing in the application on the same day. they up loaded commercials for the republican senator. >> they are allowed to do 40% of work on poll techs stuff. >> you are exactly right. >> if you can name one organization that lied on their tax form i am willing to hear it. >> you want to hear it? republican jewish association. listen what they did. not only did they put on their original application they had no interest in politics, they then fil with a different part of the internal revenue service claiming they spent millions of dollars, totally against what they -- and then they filed with the federal elections -- a whole other amount. >> there were 202 organizations singled out. the one defining characteristic of the overwhelming majority of these was the fact they were conservatives.

96 specifically had tea party or 912 in their names, these conservative names. that's the point. there were these triggers that sent the irs to do their stuff and there hasn't been an fbi investigation of that. is that shameful? >> it is. the obama administration hopes to run out the clock thinking a new scandal will take the place here. i think they are misguided. the reality is a lot of emotion was tied up in the 2012 election and a lot of people understandably feel the irs has blunted the obama ground game d may have changed the result. the longer they wait, the longer they delay the scandal grs. the fact is the fbi director seemed unprepared to even answer questions about this when he was questioned about it long of a it became public. let's pay a slot for those who have forgotten about fbi director muller answering what he was doing about this problem. >> tell me the lead investigator is? >> off the top of my head no. >> this is the most important

issue and you don't know who is heading the case, who the lead investigator is? >> at this juncture, no. >> can you get that information to us? how many people have you assigned to look into this situation. >> i have not had a recent briefing on it. >> the irs was used as a political tool to neutralize a political movement that had an affect on the 2010 election right before the president's re-election. isn't that worth all of the attention the fbi director has? >> everybody is assuming that there is some evil genius at the irs plotting against conservatives. investigators have failed to uncover a single genius a the agency. >> are you surprised though? >> i am not surprised. i am not surprised. they are understaffed. they would need eight million -- >> understaffed? >> they would need eight million agents to implement the tax code. >> a anybody who h been targeted by the irs if they are understaffed. they certainly have the staff to target the particular

individuals. >> the treasury inspector, russell george, says every one of the tea party cases that came up for reviewwere pursued where 30% of progressive party using the words progressive and so forth were pursued for further investigation. number one. number two, let us not forget when doug shman was the irs commissioner he visited the white house 157 times. what on earth was he talking about with people in the white house? >> i want to ask morgan that, but you said so what? what do you mean so what? 150 times not going to the white house? was he rolling easter eggs? >> what about obamacare? >> even the great darrell issa has finally admitted, fally said he never said this had anything to do with the white house. come on. enough already. >> morgan, the fact is some people still think where there is smoke there is fire. the irs guys are going 150

times to the white house. they are almost entirely focusing on conservative oups. right before a political election don't you think there is enough smoke to investigate? >> of course there is enough smoke to investigate. investigation is the key word. it is an active investigation. the only thing we know for sure is this beurocracy moves very slowly and is very painfully plotting along in its investigation. we have three different agencieshat are involved in this investigation right now. what we donow off of acting irs chief, his testimony last week is that they are doing an internal review of the irs right now and they have replaced five managers internationally. i think they are start thrg and moving outward. >> the testimony was a joke, a total joke. the guy didn't give any specific answers. he is a very skilled bureaucrat at knowing how to answer without sayg anything, but that's what the irs report is all about. >> david, it goes to show that know beurocracy will turn on

itself that can avoid it. the administration is running the clock and hoping for another scandal to get it out of the headlines. i hate special prosecutors, but this is a case where you have to do it. this gets done and soup to nuts and that's what we find out what happened. as for visiting the white house 150 times, you don't go unless there is a specific reason, a political reason. >> while the irs was busy targeting these 200 conservative groups, other groups, libel groups were getting green lighted right into the system and many had very questionable political deals. >> this is what is interesting. factually correct, many more conservative groups targeted than liberal groups. but guess what. as you do the research into these problems with the applications, very hard to find progressive groups who were being dishonest. >> not true. i will -- not true, i will give you the name of one we have investigated very carefully, american sustain built project. have you heard of that group?

>> i have. what did they do wrong jie. they are a 501c4. we looked for them. we can't find them. they are not on the application form where they should be. they were started by the former governor of montana, and he wants to run for the u.s. senate. apparently political money was channeled from these pack into this organization. it was almost an entirely political organization. they are only sup spend 40%. that's the example. this is 2011. >> 2011 and when did you go check to see if they were there? >> recently. they are n there. >> because they are not there today means they weren't there two years ago? >> the point is he is acting like a lawyer now. the point is this is a political organization that is claiming to be a 501c4 and they were brought in by the irs jie. that's part of the reason the entities had not been contacted yet. you are moving through a mine field, hundredof entities that have applied in the last couple years. you need to figure out who

deserves to be contacted and who was potentially wrongfully accused and wrongfully asked questions. >> the questions tt we asked of these people were purely political and designed for delay, way beyond what you get for the application. it was across the board and that's the key thing. it wasn't a handful they felt had specific reasons to look at. they did everybody. >> you report allowing enough room for incompetence. >> and that should show everybody why we need a new system. it is one based on incompetence. i think we all agree on that. coming up next, men need not apply. one airline flames hiring only women who look like these models in their ads will save you money. get ready for a fiery fair and get ready for a fiery fair and balanced debate coming next.

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news headquarters. >> ♪ >> go air wants to go skinny and go maleless to save you money. the airline is planing to hire only female flight attendants like the models seen in these go air ads. the company says it will lighten up the load on board if they get female attendants, and that cuts down on fuel costs. so let's start with our friend rip. rich, what do you think of this idea? >> i think the airline should

be honest about the intent. the weight argument is an absolute joke. the average airliner in the united states is a boeing 737. united short haul, southwest airlines. they take off with a maximum weight of 155,000 pounds. to reduce -- if you take two male attendants and replace them with two female attendants you will save about 100 pounds. that's equivalent of two ounces on a 200-pound man. it doesn't make any sense at all. >> so it the fact is they just want the female attendants because they look good, right? >> you candice cover an extr-- you can discover an extra hundred pounds will be extra in a year of fuel. american airlines or delta can get away with this. they put on a weight limit of 130 pounds. if it rules out the male football players, too bad. >> steve, is this a legitimate concern on the airline's part? >> it is a big, fat joke. it is the idea that --

>> watch your language. that's inpolitically correct. >> this is the form of sexism and beautyism. they are trying to justify by expense. they want to look like singapore airlines and they don't have the honesty to say what they want to do and that's to get the passengers to look at the models on the plane. >> if you want to do that, is there anything wrong with it? >> not at all. steve is hitting on something. it can lead to a far more aesthetically pleasing flying experience. we should embrace it. airlines in general should be able to hire whom they want and hire without fear of legal reprisal, right? >> well, morgan, all of these politicay correct gentlemen around me are going oooh, but it is true, we like to look at attractive ladies. if they are flight attendants doing their job, what is wrong with that? >> i like to look at attractive men so i take this a little personally. it is a two-sided debate. >> hold on. two males and two females, right?

>> two males and two females. rich makes a great point. we are talking tiny amounts of pounds in terms of what an area line is actually hauling. i think there is no coincidence here you are seeing it proposed by go air. you are not gog to see u.s. carriers do anything like this. we have discrimination laws on the books. it would see it be costly across the board for other aiines. >> i agree with john. i think a private airline should be able to do what it wants. however, the old days when all of the others focused on h -- they called them stewardess in the 60s and 70s and most of the fliers were men. that has changed as a result of society change. but maybe it hasn't in india. >> i am flipping on this one. i am with steve forbes. rich has the math right and he has it exactly right. tell me this, why is it everybody goes bonkers if mayor bloomburg wants to save you some weight by keeping you from drinking 175 ounces of soda at the movies, but if a

private business wants to discriminate on weight, it is all good. >> fair. john, what is the difference? >> there is a big difference and rick knows it. one is coercion by a politician and the other is a private business choosing to do what is best and most profitable. to compare the two -- >> that is the point. we don't like to be forced to do something we don't want to do. but why should a private airline be forced too something it wants to do? >> well look, at least in americthere are discrimination laws on the books. i will make a confession. i got a hand massage from a virgin flight attendant once and my wife almost forced me over it. i am for this for pro marriage. >> you know, folks when you dig a hole you stop digging. i think we need to leave that ere. we have run out of time for this one. delayed, the white house deciding to push back the mandate for big business to provide health insurance for full time workers.

is this prove the law is bad medicine for job creators? that's at the bottom of the hour. first right here, a message to congress this july 4th break. stay home. one lawmaker puing to plan to make our elected officials work from their homes to save our tax doars. would that work? that's coming up next.

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way, he is pushing a bill for

members to stay home and place their votes remotely with the click of a mouse. he says it is more efficient and it will save money. steve, i like the idea because it is against this whole idea against politicians who live in washington and don't have any connection back home. >> they only spend 2.5 days a week in washington. they are running for re-election and if you want to have congress do less damage and reduce the scope of government like starting with the flat tax and if you don't want them doing bad stuff limit the damage they can do. >> what about this idea? can they work at home instead of washington? >> i greaty with steve, but generally when politicians get together we should watch our wallets. they have for decades and decades solving problems. yet the problems exist alongside bier and more intrusive and more expensive government. anything that keeps them away from each other so that they are not passing laws is something we should

encourage. >> and our founding fathers had the idea of a citizen legislature where folks were much more attached to there home should do business than those attached to living in the belt way. >> that's absolutely true. the problem is we live in a very different world. here is my problem and i have two. back in the days when they used to be there all the time and socialize, people tded to disagree with -- and would least like each other and find agreement. steve's example of texas, here is the problem, when you only meet every two ars for 90 days you know what happens? the governor of that state has outside power. how happy would youe i the president had that kind of power? >> rich, i don't want them to be best of friends. i don't want them to be cluing with each other -- colluding with each other to spend more money. do you? >> no. the way the house districts are, that is not going to happen anymore. rick is talking about something in the past. we should experiment.

we have the thnology today. we are all concerned about the money congress is spending. if we can save on travel costs that would be a good thing. why not try it. >> morgan, what i wrong with an experiment? >> it sounds great in reality and it doesn't work. i will take a page from her playbook. they need to be in washington and networking with each other. we need to be able to track their productivity. there was a report out that tracked congressionall member productivity. they log 59 hours in their home district, but 70 hours working in the belt way. >> i grew up in washington so i know it pretty well. you ran for office so you know it very well. isn't there a problem with politicians becoming too stuck in the capital with this idea that they are different, they are an elite and different from the rest of us? >> when you are a member of congress today you have the mentality whether you are in washington itself or -- >> shouldn't we break it? >> the only way you break it is reduce the scope of government.

two, have term lims so they don't make it a career and do what texas does. the governor has the weakest power along with any governor in the union. texas works. it does very well thank you very much. less is more when it comes to politics. >> less is more, that's for sure. >> when it comes to politics. >> stick around for our fireworks that could give you financial freedom. that's by next july 4th.

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financials. the worst is they are volatile in the stock market. they will get hit hard. >> two votes thumbs up for akamai. that's it for us. have a great weekend. eric boling is next. >> iceberg, right ahead. obamacare ahead. businesses have been warning that the health care laws will sink jobs like the titanic. did the white house just admit that the job creators are right and why a major about face from the administration is reigniting calls to fix this law for good? plus is a new nsa bombshell about to backfire on america's econy? the journalists telling me that the world will be shocked , shocked by the next shoe to drop. cashing in is startin right now. hi, everybody. welcome to