FEC’s Stance On Craig Legal Fee Payments Affirmed

The United States Court of Appeals for the District of Columbia Circuit affirmed findings that former Idaho Senator Larry Craig violated campaign laws by using funds to finance his efforts to withdraw his guilty plea to criminal charges.

The FEC’s complaint charged that the defendants violated FECA, 52 U.S.C. § 30114(b), by disbursing more than $200,000 in campaign contributions to the Sutherland, Asbill & Brennan and Kelly & Jacobson law firms to pay for legal expenses incurred in connection with efforts to withdraw Senator Craig’s guilty plea. The FEC sought declaratory and injunctive relief, disgorgement by Senator Craig of all improper disbursements, and the assessment of civil penalties.

The court

There is no doubt, then, that the allegations standard is the standard the FEC has long and repeatedly applied to discern prohibited personal use of campaign funds to pay legal expenses…

we conclude that the FEC’s allegations standard — and not the appellants’ proposed “reasonableness,” “officeholder’s motive,” or “delta” standard — offers the better interpretation of the statutory definition of personal use. And because the criminal allegations against Senator Craig were not related to his campaign activity or official duties, we conclude that the appellants’ use of campaign funds to pay the expenses of fighting those allegations violated 52 U.S.C. § 30114(b).

…we conclude that the district court did not err in finding that the appellants unlawfully converted campaign contributions to personal use by spending them on Senator Craig’s effort to withdraw his guilty plea. Nor did the court abuse its discretion by ordering the Senator to disgorge $197,535 to the United States Treasury and pay a civil penalty of $45,000.

Chief Judge Garland authored the opinion. (Mike Frisch)