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| FEC Fines Pelosi for Circumventing Campaign Contribution Limits |
| 2005-10-01 |
| The Federal Election Commission (FEC) has fined two leadership PACs associated with House Minority Leader Nancy Pelosi (D-CA) in response to a Complaint filed by the National Legal and Policy Center (NLPC) on October 25, 2002. The FEC also has fined three campaigns that failed to return excessive contributions from Pelosiâs PACs within 60 days, as required by law. Under conciliation agreements reached with the FEC, Pelosiâs two committees â PAC to the Future and Team Majority â will pay $21,000. Julie Thomas for Congress Campaign Committee (DâIA) and Van Hollen for Congress (DâMD) will each pay $2,500, and Joe Turnham for Congress (DâAL) will pay $2,000. The three campaigns also agreed to disgorge $5,000 each to the U.S. Treasury. In its Complaint, NLPC alleged that Pelosi violated federal election law by operating two âleadershipâ political action committees (PACs) in order to circumvent contribution limits. Members of the Democrat and Republican leaderships in the House and Senate may legally have one so-called leadership PAC in addition to their own campaign committee. The purpose of leadership PACs is to make contributions to the campaigns of other Congressional candidates. NLPCâs Complaint cited a second circumvention of the law, that of the limits on amounts donors may give to PACs. Team Majority, the newer PAC, reported sixteen contributions of $5,000 each from donors who also gave the maximum to Pelosiâs other PAC. Five of the donors gave to both PACs on the same day. NLPC Chairman Ken Boehm reacted by stating, âWe are delighted that the FEC has acted favorably on our Complaint. No member of Congress has ever set up a second leadership PAC to evade contribution limits. Pelosi has been caught violating the clearest and most basic law of all, the limits on contributions. Talk about hypocrisy.â Within twenty-four hours of NLPCâs Complaint, Pelosi announced she would shut down Team Majority and retrieve contributions already made to candidates. The PAC made thirty-six contributions to candidates in the amount of $5,000, the legal limit. Her surviving PAC, which is called PAC to the Future, distributed $1.7 million to candidates in the 2001-2002 election cycle. Pelosi has been an outspoken advocate of campaign finance reform and Shays-Meehan, the companion bill to the McCain-Feingold legislation, that became law. In January 2002, she asserted, "One threat to our Constitution, indeed to our participatory democracy, is the role of the special interest money in the political process today." At an April 2002 kick-off event in San Francisco to the so-called Campaign Finance Victory Tour, Common Cause President Scott Harshbarger proclaimed, "The cynics in Washington said we couldnât beat the entrenched power of big money, and thanks to courageous, independent people like Nancy Pelosi, we started the job." Pelosi complained of "extremists in the Republican Party who have repeatedly tried to undermine campaign finance reform" and of "sneaky tactics employed by the Republicans" to weaken Shays-Meehan. Team Majority did not officially exist until October 16, 2002 but had been raising money since April 2002, and by September 30, 2002 had made donations to five House and one Senate challenger. Leo McCarthy, the treasurer of both PACs and the former Lt. Governor of California, candidly admitted to Roll Call that the "main reason" for setting up the second PAC was to "give twice as much (sic) hard dollars." The only defense offered by McCarthy was that he claimed the FEC somehow approved the improper arrangement in a phone call. He could not, however, provide the name of the FEC official with whom he allegedly spoke or provide evidence that such a call occurred. Indeed, it is the FECâs policy that so-called Advisory Opinions be obtained in writing. McCarthy further acknowledged that he obtained no legal counsel despite the fact that Pelosiâs PACs collectively raised over a million dollars. Pelosi was elected Democratic Whip on November 14, 2002 after Richard Gephardt (D-MO) announced he would step aside. She was propelled to the post in part by her ability to raise money for her colleagues. In addition to the $1.7 million given to Democratic candidates by PAC to the Future, Pelosi also crisscrossed the country taking part in fundraisers that reportedly generated over $6 million... |
| Posted by:Anonymoose |
| #7 How come I never heard a peep from the national media that the top Democrat in the House of Representatives has been under investigation for the last 3 years for election law vioations? Gee I'm starting to think there is a code of omerta when it comes to the press and Democrats. |
| Posted by: ed 2005-10-01 10:50 |
| #6 I'm shocked, shocked to find that gambling is going on in here! |
| Posted by: Captain Renault 2005-10-01 10:36 |
| #5 Ok,so wear is the Grand Jury?Where is the Pelosi article?All I see ar 2 areticles on fuel prices. |
| Posted by: raptor 2005-10-01 07:47 |
| #4 So is any crusading AG gonna step up to the plate and harrass Pelosi? Fair is fair, y'know. |
| Posted by: Alaska Paul 2005-10-01 02:05 |
| #3 Captain, did ya see muckys comment at reid's site? Our man is on the case! Didn't we just hear Stretch Pelosi has a 6 ton come along mounted at the back of her head. no wonder she can't blink. |
| Posted by: Red Dog 2005-10-01 00:56 |
| #2 Nope. Nothing to see here. Political persecution. Minor slip-ups. They all do it. Let's talk more about Delay, the Indicted Republian from Texas. |
| Posted by: The MSM 2005-10-01 00:47 |
| #1 Most unfortunate for Bambi-eyes in headlights, Bela-pelosi. Just when the donks are launching their party of corruption campaign against the Repubs, this news splashes. If you haven't been to the Harry Ried, "Giveemhellharry.com" web site, it's a hoot. Check out the comments. |
| Posted by: Captain America 2005-10-01 00:16 |