A Closer Look At Cruz's Keep The Promise, Carly Fiorina, and Sarah Flores (ray76)

Mar 27, 2016 | Ray76

[Ray76]

In an attempt understand the allegation that Cruz paid "hush money" to Sarah Flores via Carly Fiorina I've researched filings available on the FEC website. The research is not 100% complete but I think there's enough to say "maybe", meaning it's not out of the question. There's enough here to warrant further investigation.

I'll try to provide updates, motivation and time permitting.

- - -

Claim: The ($500K, excerpted) money from the Fiorina campaign was laundered through a company called MLJ Consulting. Nearly half of the money spent on ads, over $251,795, was paid to MLJ Consulting. On top of that, MLJ Consulting received an additional $271,152 for services described in FEC reports as “Political Strategy Consulting/Staff Management” or “Political Strategy Consulting/Travel.” (The FEC is currently requesting coordinating information on the payments and deposits left out in the filing by the Fiorina campaign.)

So: 252K + 271K = aprx $523K From Fiorina to MLJ.

Supporting documentation:

Payer                     Payee                       Amount   Reference
-----------------------   -----------------------   --------   -----------------------------------------------------------------------------------
Keep the Promise          Carly for America         $500,000   http://docquery.fec.gov/pdf/144/201507319000522144/201507319000522144.pdf  
Carly for America         Unlocking Potential PAC   $104,000   https://www.opensecrets.org/pacs/pac2pac.php?cycle=2016&cmte=C00564534  
Carly for President       Unlocking Potential PAC    $30,000   http://www.opensecrets.org/outsidespending/contrib.php?cycle=2016&cmte=C00564534and    
Unlocking Potential PAC   MLJ Consulting            $100,500   https://www.opensecrets.org/expends/vendor.php?year=2016&vendor=Mlj+Consulting
Carly for President       MLJ Consulting              $5,724   https://www.opensecrets.org/expends/vendor.php?year=2016&vendor=Mlj+Consulting

MLJ has received aprx $106,000 from Fiorina and affialtes. This is far less than the $523,000 claimed.

Conclusion: Maybe. More research is needed.

- - -

Claim: The payments to MLJ from the PAC Unlocking Potential have continued into the current campaign cycle. Nearly half of the $210,656 the super PAC has spent has been paid to MLJ Consulting, mostly for “Political Strategy Consulting/Staff Management.”

Supporting documentation: http://docquery.fec.gov/cgi-bin/forms/C00564534/1019819/sb/ALL

Conclusion: True, Unlocking Potential PAC paid MLJ Consulting aprx $100,000 in the first quarter of 2015

- - -

Claim: Sarah Isgur Flores received a one-time payroll check of $3,582 from Unlocking Potential PAC, which she joined in February 2015 after leaving the Republican National Committee.

Supporting documentation: http://docquery.fec.gov/pdf/432/201507319000510432/201507319000510432.pdf    http://www.politico.com/story/2015/05/carly-fiorina-2016-campaign-staff-power-players-117606

Conclusion: True, Flores did receive a payroll check from Unlocking Potential PAC in the amount of $3,582. She did work at the RNC as deputy communications director.

- - -

Claim: Two months later, she was paid $148,375 by Carly for America, the super PAC. (Note: Carly for America was previously named Conservative, Authentic, Responsive Leadership for You and For America, sometimes referred to as C.A.R.L.Y. for America)

Supporting documentation: http://docquery.fec.gov/cgi-bin/forms/C00573154/1019958/sb/ALL

Conclusion: Not proven. Flores was paid by Carly For America the amount of $48,375 not $148,375. Where is the $100,000 difference, is the claim false or is my research deficient? Did Carly For President pay Flores? MLJ? ** More research is needed **

- - -

Claim: And one week after that, Flores received an in-kind payment of $12,700 from the Fiorina campaign.

Supporting documentation: http://docquery.fec.gov/pres/2015/YE/C00577312/B_PAYEE_C00577312.html

Conclusion: Plausible, Flores is listed has having received payments from the Fiorina campaign in 2015: $24,321 and $91, more than what is claimed.

- - -

Claim: She then began receiving biweekly payroll checks of $10,052 as the deputy director of Fiorina’s campaign.

Supporting documentation: http://docquery.fec.gov/cgi-bin/forms/C00577312/1015551/sb/ALL    http://docquery.fec.gov/cgi-bin/forms/C00577312/1029240/sb/ALL    http://docquery.fec.gov/cgi-bin/forms/C00577312/1046958/sb/ALL    http://www.politico.com/story/2015/05/carly-fiorina-2016-campaign-staff-power-players-117606

Conclusion: False. Flores received biweekly payroll checks from Carly For President in the amount of $4053, not $10,052. Was she on the payroll of an affiliated committee (Carly For America? ** More research is needed **), does that account for the difference? She was deputy campaign manager for the Fiorina campaign.

- - -

Claim: This is the most reasonable manner that the 'Hush Money' was paid by Keep the Promise I. (The Ted Cruz Super PAC Operation!)

Supporting documentation: see above

Conclusion: Maybe the claim of money being funneled from Cruz to Flores via Keep the Promise and various Fiorina groups is true. The research is inconclusive. One thing I think we can say is that it's not out of the question. There's enough here to warrant further investigation.

Keep the Promise paid Carly for America $500,000.

Carly for President payroll paid at least $61,000 to Flores and Carly and affiliated groups together paid a total of aprx $75,000 non-payroll. All together that totals $136,000. (Did MLJ also make payments to Flores? Another topic to research.)

All this may or may not mean a thing.

I weary of looking at this and now pass the baton to others.

[keving]

Great job!

[E. Pluribus Unum]

You do know you’re not supposed to question anything Cruz does, right?

[tflabo]

Maybe when I get another e-mail from the Cruz campaign asking for contributions I will reply as to why 500/k was given to fund competitor Carly’s campaign? Thats a chunk of change to donate.

[PGalt]

Thanks very much for your research, Ray76. FReeporter BUMP!

[cincinnati65]

http://www.opensecrets.org/news/2015/11/opaque-payment-streams-for-two-top-consultants-to-fiorina-groups/

Some help untangling the mess. Nice chart of money flow.

[John Valentine]

Lots of facts, zero evidence.

[jonrick46]

It is your kind of research that makes the Free Republic proud. Thank you.

[tflabo]

We can call you Ray or we can call you...

[Ray76]

$500,000 was given to a rival campaign, at least $136,000 of it ended up with Flores.

Why give money to a rival?

Was Fiorina used to launder payments to Flores?

I don’t claim to have evidence of wrongdoing, if there was wrongdoing, only facts about unusual behavior which has yet to be explained.

[Innovative]

Thanks for your research. Great job! Keep it up.

[scooby321]

Great Work.

[smokingfrog]

Bkmk

[Yaelle]

Awesome work. There needs to be a public explanation. I dare say this will be asked of him at some point no matter what happens with the sex bits.

[dp0622]

I think if she was willing to pull antics as CEO, who knows?

I think ted is in over his head.

he should have been happy with the senate seat.

something’s not right, there

[RitaOK]

I know.

Facts and evidence are so always miles apart, aren’t they?

LOL!

Thanks, Ray, for the research. Facts can be such pesky things in a cover up.

FEC needs to move along a little faster.

[cincinnati65]

You might want to delve into the name Cabell Hobbs, because I’ve seen OpenSecrets.org docs where he is listed as Treasurer for both MLJ Consulting and Unlocking Potential PAC

[dynachrome]

Thanks for doing this.

[jonrick46]

I am suspecting that the Fiorina campaign and Fiorina affiliates could be laundering hush money to Sarah Flores. It is Cruz is doing this to keep himself from being revealed by Flores, using deflection politics. Why would Flores be paid $148,375 by the Carly for America super PAC for her work? She can’t be that valuable. I expect the FEC will be digging into this funny money situation.

[heights]

Everybody gives money to political rivals, its only fair.