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Former Hillary Clinton campaign official indicted

 
 
Reply Mon 10 Jan, 2005 10:50 am
Former Hillary Clinton campaign official indicted

WASHINGTON (AP) -- Sen. Hillary Rodham Clinton's former finance director has been indicted on charges of filing fictitious reports that misstated contributions for a Hollywood fund-raising gala for the senator, the Justice Department said Friday.

The indictment, rare for a political campaign, was unsealed in Los Angeles charging David Rosen with four counts of filing false reports with the Federal Election Commission. The charges focus on an August 12, 2000, dinner and concert supported by more than $1.1 million in "in-kind contributions" -- goods and services provided for free or below cost. The event was estimated to cost more than $1.2 million.

The FBI previously said in court papers that it had evidence the campaign deliberately understated its fund-raising costs so it would have more money to spend on her campaign. The indictment refers to Clinton only as "Senator A."

While the event allegedly cost more than $1.2 million, the indictment said, Rosen reported contributions of about $400,000, knowing the figure to be false.

The indictment charged that he provided some documents to an FEC compliance officer but withheld the true costs of the event and provided false documents to substantiate the lower figure.

In one instance, Rosen delivered a fraudulent invoice stating the cost of a concert associated with the gala was $200,000 when he know that figure was false, according to the indictment. The actual cost of the concert was more than $600,000.

Each of the four counts of making a false statement carries a maximum penalty of up to five years in prison and up to $250,000 in fines upon conviction.

Rosen's attorney, Paul Mark Sandler, did not return a call asking for comment. Mrs. Clinton's lawyer on campaign finance matters, David Kendall, had no immediate comment.

The businessman who hosted the event, Peter Paul, has told federal authorities that it cost more than $1 million and that he had been surprised when he saw that most of the contributions were not reported.

The money raised at the fund-raiser went to Mrs. Clinton's campaign, the Democrats' national Senate campaign organization and a state Democratic party committee.

The joint fund raising made the rules more complicated, because the gala raised both "hard money" -- funds given to candidates subject to federal limits -- and unlimited "soft money" that was unregulated and unlimited under the former campaign finance law.

If the the cost of the event was underreported, the committee would have spent less of the coveted hard money, contributions that unlike soft money could be used to cover Clinton's campaigning costs.

Federal law governing such joint fund-raisers was designed to prevent joint committees from circumventing restrictions on the contributions given directly to candidates.

Most allegations of campaign finance irregularities are handled administratively through the FEC, although the Justice Department has investigated such matters in the past.

During President Clinton's administration, a Justice Department campaign finance task force charged more than two dozen individuals and two corporations with fund-raising abuses from the 1996 election cycle. Many of the charges involved Democratic fund raising.

In addition to his Clinton effort, Rosen has raised money for several other high-profile Democratic candidates, including former presidential hopeful Wesley Clark. Most recently, he was named to the fund-raising team of Donnie Fowler, a candidate for the Democratic National Committee chairmanship.

[Nelson]HA-HA[/Nelson]
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Type: Discussion • Score: 0 • Views: 586 • Replies: 3
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woiyo
 
  1  
Reply Mon 10 Jan, 2005 11:23 am
So much for campaign finance reform.
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McGentrix
 
  1  
Reply Wed 12 Jan, 2005 07:49 am
THE indictment of Hillary Clinton's 2000 campaign-finance director, David Rosen, may pose a threat to the senator's presidential bid. For now, the federal indictment is focused only on Rosen, but it is not hard to see the process creeping up the campaign food chain to the senator herself.

At issue are the expenses the campaign incurred in an August 2000 fund-raiser for Hollywood glitterati. Rosen was indicted for claiming that the event cost $400,000 when, federal prosecutors allege, he knew the actual cost to be $1.1 million. Under federal campaign-finance rules, the Clinton campaign was obliged to pay for 40 percent of the cost of the fund-raiser. So, if the gala cost $400,000, the campaign had to pay only $160,000, but if the price tag was actually $1.1 million, the campaign would have been on the hook for $440,000.

By understating the cost of the party, Rosen was, in effect, giving Hillary's campaign an extra $280,000.

While there is no indication that the Senate candidate knew of the understating of the cost of the event, is it credible that she would not be aware of a decision that gave her campaign more than a quarter of a million dollars as it entered the final three months before the election?

Remember what was happening in August and September of 2000 in the New York Senate race. Republican Rick Lazio was gaining traction despite his late start (after Rudy withdrew) and had raised massive amounts of hard money through direct mail. Most of Hillary's money was in soft-money contributions.

Exploiting Hillary's long-time stand against soft money, Lazio challenged the first lady to eschew soft money and restrict her campaign to hard-money donations, raised under a limit of $1,000 per contributor.

This challenge threw Hillary's campaign into a panic. It could not hope to compete in hard money. It was at this time that Rosen chose to underestimate the cost of the Hollywood fund-raiser.

The sum involved was enough to pay for almost an entire week of television advertising in New York City and exceeds the total media budget of many smaller campaigns.

To raise this sum, Hillary would have had to get 280 donors to give the maximum $1,000 individual donation permitted under federal law at the time. A decision of this magnitude ?- how much to say the event cost ?- would have been a huge issue within the campaign.

This is no clerical error, nor is it likely to be one young man's decision to commit fraud to help the campaign. It is just not credible to believe that Hillary didn't know about and approve of the understatement of the event's cost.

Hillary has always been a detail person who kept a hawk-like focus on the cost of even her husband's campaigns. How much more involved and fixated she must have been on a major financial decision that affected her own election effort.

The federal indictment of the key financial officer in Hillary's campaign ?- an event The New York Times did not see fit to put on the front page ?- shows that Sen. Clinton has not escaped from the culture of scandal that dogged her husband's presidency.

The question of who understated the cost of the Hollywood event now joins the pantheon of questions that have haunted the senator's past ?- Who hid the billing records? Who ordered the travel office firings? Who helped Hillary to make a killing in the commodities market? Did the first lady know her brother was paid to secure a pardon for a major drug trafficker? Did Hillary represent the Madison Bank in a fraudulent real-estate deal? Who ordered the removal of the FBI files?

Hillary's ethical obtuseness is truly Nixonian. Usually campaign-finance filing errors are so mundane that they draw light fines from the Federal Elections Commission. That her campaign committed so important a breach of the finance laws that govern elections that her finance chairman is under a federal indictment is truly extraordinary.

If young David Rosen wants to take the fall for Hillary and join the likes of Web Hubbell and Susan McDougal, who chose to languish in prison rather than tell the truth, that is his decision. But don't ask us to believe something the average 8-year-old knows can't be true ?- that a gain to the campaign of $280,000 was beneath Hillary's notice.

source
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blueveinedthrobber
 
  1  
Reply Wed 12 Jan, 2005 07:53 am
[quote="McGentrix"]THE indictment of Hillary Clinton's 2000 campaign-finance director, David Rosen, may pose a threat to the senator's presidential bid. For now, the federal indictment is focused only on Rosen, but it is not hard to see the process creeping up the campaign food chain to the senator herself.

While there is no indication that the Senate candidate knew of the understating of the cost of the event, is it credible that she would not be aware of a decision that gave her campaign more than a quarter of a million dollars as it entered the final three months before the election?

.If young David Rosen wants to take the fall for Hillary and join the likes of Web Hubbell and Susan McDougal, who chose to languish in prison rather than tell the truth, that is his decision. But don't ask us to believe something the average 8-year-old knows can't be true ?- that a gain to the campaign of $280,000 was beneath Hillary's notice.

source[/quote]

It certainly isn't hard to imagine this going all the way.... you guys must have what passes for you as rock hard erections and drooling problems thinking about this one....maybe you can top the 40 million spent on Clintons blow job this time around..... Laughing
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