So, Republicans can’t even handle their own money, and taxpayers are supposed to trust them with their money?
I don’t think so.
Not even a second sign-off. I’ve NEVER worked for an organization that didn’t require at least two signatures to transfer money. Ever. This is not just fraud – it’s organizational stupidity.
NRCC Treasurer Accused of Campaign Fraud
The former treasurer for the National Republican Congressional Committee transferred as much as $1 million in committee funds into his personal and business accounts, officials announced today, describing a scheme that could prove to be one of the largest campaign frauds in recent history.
For at least four years, Christopher J. Ward, who is under investigation by the FBI, used wire transfers to funnel money out of the NRCC and into other political committees he controlled, then shifted the funds into his own personal accounts, the committee said.
“The evidence we have today indicated we have been deceived and betrayed for a number of years by a highly respected and trusted individual,” said Rep. Tom Cole (R-Okla.), NRCC chairman.
The committee also announced that it had submitted to banks five years of audits and financial documents allegedly forged by Ward, some of which were used to secure multimillion-dollar loans. It is a violation of federal bank fraud laws to obtain loans through false statements; such crimes are punishable by up to $1 million in fines and 30 years in prison.
Prior to today, the committee had not acknowledged that any money was missing. It announced Feb. 1 that it had discovered “irregularities” and had called in federal investigators to pursue a fraud case.
Robert K. Kelner, a lawyer with Covington & Burling, which has been hired by the committee to oversee a forensic audit, told reporters that at this point he could say for certain only that Ward had diverted “several hundred thousand dollars” in unauthorized payments dating to 2004. However, he said that the year-end report filed with the Federal Election Commission in 2006 overstated the NRCC’s actual cash on hand by $990,000.
That might be the upper level of how much money Ward allegedly skimmed from NRCC coffers, but Kelner said forensic auditors need to keep “drilling down” to determine how much was inappropriately taken and how much might have been the result of sloppy bookkeeping.
Kelner said that Ward had the sole power at the NRCC to use wire transfers to shift money into any accounts he wanted. “He was able to get a wire transfer without getting a second sign-off,” Kelner said.
No Responses