Major McHenry 04 funding fraudulent

Delay-related funding almost $200,000, nearly 20% of McHenry's campaign total

Also, two major in-district fundraisers reportedly under investigation for Medicaid fraud [scroll to bottom for this one]

Why McHenry's Delay-related chunk of funds was not covered during the 2004 primary season lies at the hands of the pathetic 10th District press and the Charlotte Observer's total incompetence. And the whole sordid story certainly makes you wonder about Pat's Republican opponents. Of course, Delay wasn't in trouble then.

And still, when the organization funneling so much money to NC's 10th district settled an FEC lawsuit last week, the Charlotte Observer failed to mention McHenry's faulty funding even then. When you think that the 85-vote 2004 margin of victory is already suspect by one, you have to consider that the local newspapers have something to gain by covering up negative McHenry-related news.

Last week the Citizens Club for Growth PAC paid $350,000 to settle an FEC lawsuit which

arose after the Democratic Senatorial Campaign Committee filed a complaint with the FEC in 2003 alleging that the group was violating federal election laws. After an investigation, the FEC concluded that the 527 was required to register as a political action committee because it was accepting contributions and engaging in activities intended to influence the outcome of federal elections.

According to FEC Schedule E report the Citizens Club for Growth had funneled the McHenry donations through an organization called Red Sea LLC:

Red Sea LLC
1111 19th Street NW
Suite 211
Washington, DC 20036

Purpose of Expenditure: tv air buy
This Committee SUPPORTS The Following Candidate: PATRICK TIMOTHY MCHENRY
Candidate ID: H4NC10047
Office Sought: House of Representatives
State is North Carolina in District 10
Date Expended = 08/12/2004
Amount Expended = $49790.00
Calendar YTD Per Election for Office Sought = $182440.7

Red Sea is an invention of a former communications director for the disgraced Tom Delay, Jonathan M. Baron.

This information is right there in the FEC's Schedule E for the Citizens Club for Growth PAC. From Sourcewatch when the lawsuit was filed:

"The Federal Election Commission filed a lawsuit Monday [September 20, 2005,] in U.S. District Court in Washington against the Club for Growth, the first case of its kind to arise from high-dollar fundraising during the 2004 elections. The pro-Republican group spent at least $21 million in the 2003-2004 election cycle. ... The FEC contends the club spent enough in federal races to require it to file with the commission as a political committee and to follow contribution and spending limits. It wants the court to fine the group and order it to comply with campaign finance rules." --Associated Press, September 19, 2005

So, at least $182,000 of McHenry's $923,975 came from an organization donating fraudulently.

And now former North Carolina Conservative Coalition Chair Donnie Young is reporting that two of Pat's fundraisers, two Gaston County businessmen, are under investigation for Medicare fraud.

Admin: the remaining material from this post has been deleted. May, 2008.