The degree to which taxpayers are effectively funding fraudulent non-profit activities buggers the mind:

The American Israel Public Affairs Committee is helping to fund a Super PAC launching attack ads against Sen. Bernie Sanders in Nevada on Saturday, according to two sources with knowledge of the arrangement. The ads are being run by a group called Democratic Majority for Israel, founded by longtime AIPAC strategist Mark Mellman.

The Nevada attack ads, which will air in media markets in Reno and Las Vegas, follow a similar spending blitz by DMFI ahead of the Iowa caucuses. Like the ads that aired in Iowa, the Nevada ads will attack Sanders on the idea that he’s not electable, Mediaite reported.

DMFI spent $800,000 on the Iowa ads, while the spending on the Nevada ads remains private. AIPAC is helping bankroll the anti-Sanders project by allowing donations to DMFI to count as contributions to AIPAC, the sources said. As is typical with most big-money giving programs, the more a donor gives to AIPAC, the higher tier they can claim — $100,000 level, $1 million level, and so on — and the more benefits accrue to them. A $100,000 donor gets more access to members of Congress at private functions, for instance, than someone who merely pays AIPAC’s conference fee. A $1 million donor gets still more, which means that it is important to donors to have their contributions tallied. There is also status within social networks attached to one’s tier of giving. The arrangement allows donors to give directly to DMFI, which is required to file disclosures naming its donors, without AIPAC’s fingerprints.

Rachel Rosen, a spokesperson for DMFI, said she was unaware of any AIPAC encouragement to donate to the organization. “As far as we know, what you are suggesting is completely untrue,” she said. “But because we are a separate organization, we can’t know exactly what other organizations are doing. Therefore, we are the wrong address for the the specific questions you ask — they need to [be] directed to AIPAC.”

AIPAC denied the arrangement. “AIPAC is not and has not been involved in the ad campaigns of any political action committee,” spokesperson Marshall Wittmann wrote in an email. “The accusation that AIPAC is providing benefits to members for donating to fund these political ads or this political action committee is completely false and has no basis in fact.”

If you believe AIPAC’s denials, I have some prime swamp land in Tel Hazor to sell you.