The Washington Times reports that the White House Gift Shop has gone broke and couldn't pay its employees, although it had money to restock its shelves. You won't be able to shop for holiday decorations there any more or other gifts with White House themes or connections. Long run by a nonprofit group that helps uniformed Secret Service officers and their families the official White House Gift Shop, lists more than $600,000 in liabilities in a pending bankruptcy petition in Washington.
The bankruptcy petition, filed in June in a case that remains active, doesn’t explain why the fund went bankrupt in the first place, but court records reveal a recent history of tax troubles and litigation. Check out the October 10, 2013 Washington Times, news article, by Jim McElhatton, "Christmas spirit dies at White House as ornament-hawking gift shop goes broke."
The assets remaining are being put up for sale. The fund, billing itself as the official White House Gift Shop, operated a retail outlet in the Eisenhower Executive Office Building before moving into National Press Club, which the fund has since vacated. For further details, check out the Washington Times article. Or see the October 11, 2013 Newsmax.com article, "White House Gift Shop Files for Bankruptcy."
The proceeds from the gift shop went to the Secret Service Uniformed Division Benefit Fund, which helped Secret Service agents and their families.
Court documents list about $600,000 in liabilities in a pending bankruptcy petition, which includes about $6,000 in back taxes, according to the October 11, 2013 Newsmax.com article, "White House Gift Shop Files for Bankruptcy." If you look at the IRS forms compiled by CitizenAudit.org, the benefit fund lost $24,000 in 2011 with a reported revenue of $273,000. That's almost a $100,000 decrease from the $365,000 in revenue the fund reported three years prior.
You can check out the most recent financial report lists several expenses for 2011, in the article, "White House Gift Shop Files for Bankruptcy." Reports about the gift shop's money problems were available in 2012 when the shop didn't have enough money to pay its employee salaries. Instead, it kept replacing items sold on the shelves in hopes of selling more of its inventory. And it ended up bankrupt, just at the moment the government shut down is in progress.
Also, check out the Los Angeles Times reports on more White house history. For more information on the White house gift shop's bankruptcy, also check out the article, Friday (Ironic) Humor: White House Gift Shop Declares Bankruptcy. Or see, "White House Gift Shop Files for Bankruptcy - Movie Balla."