Q&A
Definition and examples of fraud or material misrepresentation in campaign finance
0:49:32
·
95 sec
Paul Seamus Ryan explains the concept of fraud or material misrepresentation in the context of CFB rules, using a historical example to illustrate how it can lead to ineligibility for public funds.
- Ryan cites the John Liu campaign case as an example of fraud and misrepresentation leading to ineligibility for public funds
- The determination of fraud is fact-dependent and based on legally defined terms
- Fraud or material misrepresentation can involve breaches of certification and promises to abide by applicable laws and regulations
- Ryan emphasizes that he cannot comment on specific ongoing cases, including any related to Mayor Adams' campaign
Lincoln Restler
0:49:32
Could you explain what that would entail?
Paul Seamus Ryan
0:49:37
I'll give you one example that occurred.
0:49:41
I think this was the rule that was the basis for the final determination of ineligibility for public funds of the John Liu campaign, which unfolded beginning a decade ago and concluding several years later, I believe, in 2017, in which case the board found that the Lou campaign was in breach of its certification, of its promises to abide by all the applicable laws and regulations to be eligible for public funds.
0:50:06
And that breach of certification had to do with fraud and misrepresentation by campaign staff in the context of complying or failing to comply with, campaign contribution limits and other campaign finance restrictions.
0:50:22
So there, you know, it's a fact dependent analysis, but fraud is a legally defined term.
0:50:28
It's defined a little bit differently in different places, and, yes, it is a basis for the board to determine that a campaign is ineligible for public funds.
Lincoln Restler
0:50:39
There was evidence in the federal indictment against mayor Adams that he orchestrated straw donor schemes, directed his staff to route foreign donations through US citizens, and intentionally sought to delete records and withhold information.
0:50:53
And to the credit of the CFP staff, they identified some of these issues during the 2021 cycle.
0:50:59
What else is needed to demonstrate fraud in this particular instance?
Paul Seamus Ryan
0:51:03
I am not at liberty to comment on mayor Adams and his campaign at all.
Lincoln Restler
0:51:07
The CFB rules grant the board additional authority over pre election payments.
