RGA Illegally Funnels More than $1,000,000 to NCGOP

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FOR IMMEDIATE RELEASE

Monday, Oct. 31, 2016

CONTACT: Dave Miranda

RGA Illegally Funnels More than $1,000,000 to NCGOP

Republican Governors Association launders corporate contributions, illegal in North Carolina, to support Gov. McCrory via North Carolina Republican Party

RALEIGH, N.C. – The North Carolina Democratic Party this morning delivered a legal complaint to the North Carolina State Board of Elections against more than $1,000,000 in illegal corporate campaign contributions funneled to the North Carolina Republican Party through the Republican Governors Association.

“According to campaign finance reports, the Republican Governors Association has funneled over $1,000,000 of illegal contributions, including illegal corporate contributions, through a federal super PAC to the North Carolina Republican Party in a last-ditch effort to bail out Governor McCrory’s campaign,” said NCDP Executive Director Kimberly Reynolds. Today, we call on Governor McCrory to disavow these illegal contributions and for the Republican Party to return this money. We also urge the State Board of Elections to hold these groups accountable in order to protect the integrity of our elections.”

RGA Right Direction PAC is a federal super PAC. Its only donor is the RGA. The RGA accepts tens of millions of dollars in contributions from sources (corporations) that are barred from contributing to North Carolina PACs and party committees and in amounts (more than $5,100 per election) that North Carolina PACs may not accept.  By laundering this corporate and high-dollar money from RGA to the North Carolina Republican Party, RGA is violating the law.

“I really don’t know how Governor McCrory and the Republicans thought they could get away with this,” said NCDP Counsel John Wallace. “This is the most clear-cut example of an illegal contribution I’ve seen in my career. And I’ve been doing this since 1980.”

ADDITIONAL BACKGROUND

Campaign finance laws: https://www.ncsbe.gov/Portals/0/FilesP/CFFiles/CFUserManualv2014.pdf

–        Page 44: “It is unlawful for any corporation, business entity, labor union, professional association, or insurance company to directly or indirectly contribute to any political party committee.”
–        Page 63: “It is unlawful for any corporation, business entity, labor union, professional association, or insurance company to directly or indirectly contribute to a PAC.”
–        Page 44: For example, the NC SBOE specifies that “registered referendum committees that received any contribution from a corporation, labor union, insurance company, business entity, or professional association may not contribute to a political party committee.”  The same logic applies to federal Super PACs like RGA Right Direction PAC.  If you accept contributions prohibited by North Carolina law, you can’t turn around and contribute that illegal money to a North Carolina party committee.

1) RGA Right Direction PAC Pre-general report – Discloses $90k to NC GOP on 8/09 and $500k on 9/23
http://docquery.fec.gov/pdf/991/201610149032488991/201610149032488991.pdf

2) RGA Right Direction PAC Pre-general report – Discloses $500k to NC GOP – Non-Federal on 10/07
http://docquery.fec.gov/pdf/235/201610259034579235/201610259034579235.pdf

3) NC GOP Non-Federal 48 hour report – discloses $500k to NC GOP  from RGA Right Direction PAC on 10/25

http://cf.ncsbe.gov/cf_rpt_search_org/cf_report_image.aspx?DID=202439

4) Governor McCrory 48 hour report – discloses $375k to Pat McCrory Committee from NC GOP on 10/26

http://ncdp.org/wp-content/uploads/pg11.png

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The North Carolina Democratic Party (NCDP) is the North Carolina affiliate of the Democratic Party. NCDP works to elect Democratic public officials, encourages North Carolinians to become involved in Democratic politics, and fights for equality, opportunity and prosperity for all North Carolinians.