NAVIGATION
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RM Original: Investigation into major Schauer campaign finance violations progressing... slowly...By Nick, Section News
With the November election now less than seven months away an extensive Secretary of state investigation into serious campaign finance violations committed by more than a dozen Democratic candidates for the state Senate two years ago may finally be seeing some movement, but not much-- A situation that's creating a king sized grey area in campaign finance law. An investigation into the campaign year 2006 violations that started last December inched closer to a resolution as the Secretary of state's office formally settled with a handful of Democrat Senate campaigns this past March. Inquiries into hundreds of thousands of dollars in illegal campaign cash continue to revolve around others including, most prominently, that of Senate Minority Leader Mark Schauer, though getting that much information from the Republican Secretary of state's office was quite an adventure. Late last year word started leaking out of Lansing about a series of major campaign finance violations committed by a boat-load of Democrat candidates for the Michigan Senate during the 2006 campaign. Complaints against Mike Prusi, Gretchen Whimer, Mark Slavens, Mickey Switalski and Liz Brater have now been settled. Schauer and several failed Senate candidates remain under investigation. The complaints centered around illegal contributions by individual campaign committees into a larger Senate Democratic Campaign Committee which was overseen and chaired by Senate Minority Leader Mark Schauer. (His Chief of Staff, Ken Brock, was the Treasurer.) The scheme worked something like this... Read on...
Candidate Schauer decided to go ahead and raise a bunch of illegal campaign cash for the SDCC. He received illegal funds from Democrats including Carl Williams, Alexander Lipsey, Bob Schockman, Gretchen Whitmer, Mickey Switalski, Buzz Thomas, Liz Brater, Mike Prusi, Gilda Jacobs, Glenn Anderson and Mark Slavens and then pitched in $167,000 more than the $20,000 limit himself.
Michigan campaign finance law limits the amount of money a candidate committee can give to another. It limits the amount of money an individual can give to another. But a committee like Schauer's? They're able to spend their money much more liberally. In other words, when Whitmer, Brater, Prusi, Schauer and the lot bumped up against donation limits they had to find some other way to pump their extra cash into the targeted races. The SDCC became a big giant washing machine. Insert money, detergent, rinse, repeat. And make no mistake, that's exactly what they did. When you get right down to brass tacks, each of these campaigns laundered money through the SDCC into targeted state senate districts, effectively skirting campaign donation limits in violation of Michigan law. Problem was, they got caught with their hands in the cookie jar. Each of the current state Senators accused of giving illegally demanded and received refunds from the Committee as soon as the press caught their scent. Their cases were formally closed in March by the Secretary of state. All of them... almost. Mark Schauer refuses to pursue a legal remedy and remains under investigation. Which is fitting, since Schauer chaired the committee and made nearly half the total "contributions" personally. The Battle Crek Enquirer reported in December:
For state races, this is a staggering chunk of change. The grievance is pretty cut and dried... All told Mark Schauer stands accused of twenty-two distinct campaign finance violations. But that's all old news. What's happened since? Inquiries made to the secretary of state's office produced a series of e-mail and phone conversations consisting, essentially, of one long "no comment." SoS spokeswoman Kelly Chesney says that the drawn out process is a matter of strict legality. The office is required by law to take their time. "This campaign finance complaint you are referring to alleges violations involving 13 different parties," said Chesney via email. "Decisions have been rendered on 6 parties. When addressing campaign finance complaints, we have to follow a prescribed process outlined in law that allows the complainant and the alleged violator the opportunity to present themselves fully. Further it requires the MDOS to offer conciliation. This is not discretionary." The legal process she cites is the Michigan Campaign Finance Act, Act 388 of 1976, 169.215 section 15. Which, by the way, is a big section of law that addresses a lot of things but doesn't discuss timelines. Nor does it allow the reader to draw any conclusions as to why six investigations wrapped up quietly a month ago while seven remain open with little evident movement. Asked specifically what the hold up seems to be Chesney offered, in total: "Again, 13 different parties were involved in this complaint." Maybe they're understaffed and unable to handle the load? Speaking last year on Off the Record, a political affairs program based in Lansing, Attorney General Mike Cox told the media panel that his office stood ready to take over should the Secretary of state ask for his assistance. With the investigations finally starting to produce some formal, legal results one might assume the decision on whether or not to bring in the State's top lawyer may not be far in the future. But you know what they say about assumption. "The Campaign Finance Act requires us to attempt to resolve complaints informally, if we determine that there is reason to believe that a violation has occurred, before the matter can be referred to the AG," claims Chesney. "We must follow the procedure outlined in the statute." Again, that'd be the Michigan Campaign Finance Act, Act 388 of 1976, 169.215 section 15. Of course, the Minority Leader's supporters will be quick to claim that the lack of a resolution proves there's "nothing to" the allegations. But that argument doesn't exactly hold water. If there's nothing to them, or if they're no big deal why didn't Schauer settle with the SoS along with his colleagues? Why hasn't the case against him been dismissed out of hand and taken off the books? Instead the investigation is 'ongoing' and the complaints remain open. The message from the Secretary of state's office seems to be, in essence, 'we know Schauer probably broke the law, we know he probably committed as many as 22 violations of campaign finance law, we're just not going to do anything about it.' Why the office is reluctant to pursue a resolution to one of the largest alleged campaign finance violations in the history of the state of Michigan is anyone's guess. Where in the chain of command the decision was made to give Schauer a pass is also a matter of speculation. The only thing that's clear at this point is the message Mark Schauer and the Secretary of state's Office are delivering to campaigns headed into the 2008 general election. `Laundering money is cool kids. Try it yourselves.'
RM Original: Investigation into major Schauer campaign finance violations progressing... slowly... | 6 comments (6 topical, 0 hidden)
RM Original: Investigation into major Schauer campaign finance violations progressing... slowly... | 6 comments (6 topical, 0 hidden)
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