Congressional contribs to DeLay’s legal defense fund – MONEY LAUNDERING?

[Nothing Without Hope]

Writing in the non-to-be-done-without all-DeLay blog The Daily DeLay ( http://dailydelay.blogspot.com) this morning, David Donnelly pointed out a number of interesting twists and subtleties in the aftermath of the House ethics rules reversal by the GOP. One of them cites a NY Times article and raises the possibility of Congressional members may be doing what is in effect money laundering for DeLay’s legal defense fund. Donnelly notes the possible implications of

http://dailydelay.blogspot.com/2005/04/news-round-up_28.html
… the NY Times piece linking the money ARMPAC gave to members of Congress with the money members of Congress gave to DeLay's legal defense. Since ARMPAC is limited, like any other donor, to $5,000 per year to DeLay's legal defense fund, if ARMPAC spread money to other members of Congress and they passed the money back to the legal defense to evade the limits, that could be money laundering. Let's have a look at that, Chairman Hastings.

Here is an excerpt from the NY Times article David Donnelly is citing:

http://www.nytimes.com/2005/04/28/politics/28delay.html

Some Who Got Checks via DeLay Gave to His Defense

By ANNE E. KORNBLUT
Published: April 28, 2005

(snip)

WASHINGTON, April 27 - Dozens of Republicans who have received sizable campaign donations from Representative Tom DeLay's political action committee have also donated to his legal defense fund, in a few cases making the contributions within months of receiving their campaign checks.

There is no evidence that House members were pressured to pitch in or invited to make donations to Mr. DeLay with the promise of reciprocity. But Mr. Delay, the House majority leader, has benefited from the generosity of peers he helped elect with his Americans for a Republican Majority PAC, campaign finance records show.

(snip)

Altogether, about 53 current and former House lawmakers have a similar give-and-take relationship with Mr. DeLay, contributing some $200,000 to his legal fund since 2000. There is nothing illegal about the donations on either side. And the bulk of the new donations to Mr. DeLay's defense fund, which has collected nearly $1 million since it was created in 2000, occurred in the latter part of last year.

Watchdog groups and nonprofit organizations that track campaign finance say any donations made in such close proximity could be construed as an effort to circumvent legal restrictions on contributions, capped at $5,000 per individual a year.

(snip)

[merh]

1. It's a common practice for these guys.

The way they get around the FEC laws.

If you are ever up to a huge game of connect the dots, try to check out the PACs and how they are distributed and to which candidates.

It will make you go nutts! :eyes:

But you will see that they have all (dems & repugs) developed a system to get around the law and campaign contribution limitations.