IRS not investigating Nikki Haley for tax fraud

South Carolina Gov. Nikki Haley's office Friday provided IRS documentation that she is not facing investigation for tax fraud, calling accusations that she was "totally contrived."

Haley denied the rumors of a looming tax indictment on Thursday. The rumors were based on an anonymously sourced blog post alleging that the Internal Revenue Service was investigating possible tax fraud at a Sikh center where the governor's parents are top officials. The Palmetto Public Record claimed Haley managed the temple's finances as recently as 2003 and implicated her in a failure by the temple to pay contractors. The governor denied keeping the books for the church.

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Haley's office provided The Hill a copy of the letter from the IRS to the Sikh temple that finds no investigation was warranted.

“After further consideration of your organization, we have determined that an investigation is not warranted at this time for the above tax period,” the letter states.

The Public Record alleged that an investigation into possible wrongdoing had been ongoing since March 2011. According to the IRS, the letter was sent in late September or early October.

"As we said from the very beginning, there was not an ounce of truth to any of these accusations — they were totally contrived, totally false, and it is a tremendous shame that once again the good names of the governor and her family were dragged through the mud by a media all too eager to believe anonymous sources and unaccountable bloggers," said Haley spokesman Rob Godfrey.