Posted on 11/12/2005 3:30:15 PM PST by neverdem
Associated Press
WASHINGTON — The federal case against one of President Bush's boosters in Ohio is a signal to political campaigns that they will suffer more grief than usual if their biggest fundraisers run afoul of campaign finance laws.
Criminal provisions of the 2002 Bipartisan Campaign Reform Act, also known as "McCain-Feingold," were invoked in the Oct. 27 arrest of coin dealer Tom Noe, a leading GOP fundraiser in the Toledo area. The Justice Department says it's the largest case of its kind under the law.
Noe pleaded innocent Oct. 31 in federal court in Toledo to charges that he illegally funneled $45,400 to the Bush re-election campaign. He had pledged to raise $50,000 for the campaign at an event in Columbus on Oct. 30, 2003, but, according to the indictment, paid friends to contribute money when the event fell short of the goal.
In the past, schemes to launder campaign money were considered civil cases for the Federal Election Commission to handle or had to be prosecuted criminally in a roundabout way, under the guise of causing false statements to be made to the government.
McCain-Feingold provides for criminal penalties for the fundraiser and, consequently, greater embarrassment for the campaign. It might even open the door wider for court action against the campaigns themselves, said Larry Noble, a former general counsel for the FEC.
"Criminally, I don't know if you can hold the campaign liable," said Noble, who runs the nonprofit Center for Responsive Politics. "But civilly, if you can show the campaign had reckless disregard for the law, you could go after them for that."
More rules and regulations may be needed to protect politicians who can't keep tabs on their massive armies of solicitors, said Dan Hoffheimer, a Democratic National Committee member who served as a lawyer for John Kerry's 2004 presidential campaign in Ohio.
"Campaigns need to continue to take a more active role in supervising the activities of their people in the field, but the problem is, how do we create a clear set of written rules for doing that?" Hoffheimer said.
Veteran Democratic campaign chief Craig Smith said fundraising rules have always been imperfect - and continue to be.
"Being sloppy has a damaging effect on campaigns, but because of the campaign finance laws in this country there always will be problems," said Smith, who ran the Democratic presidential campaigns of Al Gore and Joe Lieberman. "All you can do is make your best effort."
Lawmakers who pushed for campaign-finance reform say they hope the Noe case forces politicians to review how they motivate supporters with honorary titles and rewards of ambassadorships and other political appointments.
"Let's hope so," said Sen. John McCain, R-Ariz., who spearheaded the 2002 law with Sen. Russell Feingold, D-Wis.
McCain-Feingold doesn't discourage such practices. It can, however, make the campaigns more careful about who gets those titles.
"We have procedures in place to make sure we're following FEC regulations, and we've always done that," said Republican National Committee spokesman Aaron McLear. "We're doing all we can do to ensure these donations are given appropriately."
Smith said his campaigns also gave out manuals detailing legal guidelines and directed those depositing donations to check for handwriting irregularities, sequential money orders and other red flags.
All campaigns can do a better job of training their fundraisers, Noble said, but Hoffheimer warned of over-regulating.
"There can't be so many traps (in the law) that it either deters people from running or from volunteering and joining campaigns," he said. "They can't be afraid that someone else's action that they can't effectively supervise can get them into trouble."
Noe has problems with the law unrelated to campaign fundraising. He is under investigation for how he handled a $50 million investment in rare coins he managed for the state workers' compensation fund. His attorney has acknowledged that up to $13 million is missing, and the state attorney general has accused Noe of stealing as much as $6 million.
However, ChiCom money to the Dimwits in exchange for national security secrets is just okey dokey.
(Denny Crane: "I Don't Want To Socialize With A Pinko Liberal Democrat Commie.Say What You Like About Republicans. We Stick To Our Convictions. Even When We Know We're Dead Wrong.")
Spoken like a true RAT. That's just what America doesn't need. We are buried under rules and regulations now. I would like to see John Kerry's records to see just how much of Soros' money made it to his campaign, or perhaps his wealthy wife's money.
Give that warning to Hillary Clinton. She has paid no price for the biggest campaign finance fraud in history -- her 2000 Senate race. I don't think it will frighten her.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.