Questionable tax filings by the Southern Utah Foundation and the Leavitt family have drawn the attention of the Internal Revenue Service, and tax watchdogs believe a pending audit will expose "ethical violations."

Rick Cohen of the National Committee for Responsible Philanthropy said even though the two foundations may be in the clear legally, he believes the audit will bring to light ethical abuses of public money. In particular, Cohen said the Southern Utah Foundation has funneled money back to the Leavitt family either directly or through scholarship schemes that actually benefited Leavitt family businesses.

Cohen said this particular case of questionable contributions needs special attention because of its ties to U.S. Health and Human Services Secretary and former Utah Gov. Mike Leavitt.

"Every taxpayer has a stake in what the Leavitt Foundation and the Southern Utah Foundation does," Cohen said. "Once it becomes tax-exempt money, that is money the public has entrusted to the Leavitts for their stewardship for the best possible public benefit."

Leaders of the Southern Utah Foundation said Tuesday that they're not worried about the IRS audit.

"There's nothing illegal here. The Southern Utah Foundation never gave money back to the Leavitts," said Scott Truman, president of the foundation, which is affiliated with Southern Utah University and located on its campus. "We look at it as one of those unfortunate things where people are trying to find a story that isn't really there."

Tax forms obtained by the Deseret Morning News show more than $60,000 annually over several years headed into the Leavitt Foundation coffers from the Southern Utah Foundation. But Truman said those tax documents were filled out incorrectly and are in the process of being fixed and refiled.

Truman said the money actually went directly to Southern Utah University, and a former treasurer of the Southern Utah Foundation, Rhea Tuft, had mistakenly listed the Leavitt Foundation as the recipient.

However, in an interview late last month with National Public Radio, Tuft said she listed the money as a contribution to the Leavitt Foundation because she knew the money would end up back in the Leavitt family. Tuft did not respond to a phone call from Deseret Morning News on Tuesday.

Cohen said he believes that Tuft's addition of the line item in the Southern Utah Foundation's tax filings was put in as a "tip to the IRS" as an act of "civil disobedience."

Dane Leavitt, spokesman for the Dixie and Anne Leavitt Foundation, said he could not comment on whether that foundation was also under scrutiny from the IRS, but added, "Our records are in good shape, and we'd welcome an audit. We're confident that we've handled our transactions properly."