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For Immediate Release                                                                               Contact: Bob Biersack
June 21, 2007                                                                                                         George Smaragdis
                                                                                                                              Michelle Ryan

ADR PROGRAM RESOLVES NINE CASES

WASHINGTON -- The Federal Election Commission has successfully resolved nine campaign finance enforcement matters through its Alternative Dispute Resolution (ADR) program.

In ADR 339, Friends of John Conyers (MI/14) agreed to pay a $3,000 civil penalty in connection with an FEC audit that revealed the Committee failed to disclose receipts properly, deposit receipts in a timely manner, and properly disburse funds.

In ADR 351, the Republican State Committee of Delaware agreed to pay a $1,500 civil penalty for failing to disclose all financial activity on its 2004 Post General Report.

In ADR 344, the International Association of Heat & Frost Insulators and Asbestos Workers Political Action Committee agreed to pay a $1,200 civil penalty for failing to disclose all financial activity on its 2005 Mid-Year Report. 

In ADR 342, the Indiana Democratic Congressional Victory Committee agreed to pay a $1,000 civil penalty for failing to disclose all financial activity on its 2005 September Monthly Report. 

In ADR 345, Independent Action, Inc. failed to disclose all financial activity on its 2005 Year End Report.  The Commission did not issue a civil penalty due to mitigating circumstances pertaining to the respondents’ financial hardship.

In ADR 352, EMILY’S LIST acknowledged it  did not forward a small percentage of earmarked contributions within ten days of receipt to designated authorized candidate committees.  The Committee agreed to prevent future similar mistakes and the Commission took no further action.

In ADR 360, Citizens for Altmire (PA/04) acknowledged that they did not include adequate disclaimers on billboard advertisements posted around the district until one week after they were initially erected.  The Committee and its treasurer agreed to take steps to prevent future similar mistakes and the Commission took no further action.

In ADR 378, the Commission dismissed allegations against the Braxton County Democratic Executive Committee and Callaghan for Congress.  The complaint centered on radio ads placed by the Braxton Committee that advocated the election of Congressional candidate, Mike Callaghan (WV/02) and allegedly violated disclaimer, coordination and contribution source provisions of the Act.

In ADR 368, Wynn for Congress (MD/4) was referred by the FEC’s Reports Analysis Division to the ADR program for failing to disclose all financial activity on its 2006 July Quarterly Report.  The Commission sent a letter of admonishment and dismissed the matter.

The FEC’s innovative ADR program has proven very effective at quickly resolving basic violations and reducing the agency’s costs for resolving enforcement matters.  Since its inception on October 2, 2000, the ADR program has resolved 340 cases.

The ADR process is designed to reach an expedient resolution with a mutually agreeable settlement that is in compliance with the Act.  For a case to be considered for ADR treatment, a respondent must express willingness to engage in the ADR process, agree to set aside the statute of limitations while the case is being resolved and participate in mediation, if necessary.  Settlements reached through ADR participation are submitted to the Commissioners for final approval.  Completed ADR negotiated settlement summaries are available on the FEC’s web site and through the Public Records Office.  Additional information regarding the ADR program is available at http://www.fec.gov/pages/brochures/adr.shtml

This release contains only summary information.  For additional details, please consult publicly available documents for each case in the Enforcement Query System (EQS) on the FEC website at http://eqs.fec.gov/eqs/searcheqs .

1.

ADR 339

RESPONDENT:

Friends of John Conyers and M. Mickey Williams, in his official capacity as Treasurer

SOURCE:

FEC Initiated (Audit Division)

SUBJECT:

Failure to properly disclose receipts, failure to timely deposit receipts, failure to properly disburse funds and failure to maintain accurate disbursement records

NEGOTIATED SETTLEMENT:

The Audit division referred Friends of John Conyers for failing to comply with multiple provisions of the Act.  Respondents acknowledged inadvertent errors and omissions, but contended that they worked with Audit staff to implement all recommendations and hired an accounting firm to assist with compliance.  Respondents agreed to pay a $3,000 civil penalty and to work with Commission staff to terminate the committee.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 339 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

2.

ADR 351

RESPONDENT:

Republican State Committee of Delaware and Thomas J. Shopa,  in his official capacity as Treasurer

SOURCE:

FEC Initiated (Reports Analysis Division)

SUBJECT:

Failure to properly disclose all financial activity

NEGOTIATED SETTLEMENT:

The Reports Analysis Division referred the Republican State Committee of Delaware for failing to disclose all financial activity on its 2004 Post General Report.  Respondents amended the Post General Report twice disclosing an additional $81,584.05 in disbursements.  The Committee acknowledged an inadvertent violation and contended that the additional disbursements were the result of data input errors.  Respondents agreed to pay a $1,500 civil penalty and send a representative to an FEC sponsored seminar.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 352 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

3

ADR 344

RESPONDENT:

International Association of Heat & Frost Insulators and Asbestos Workers Political Action Committee and James P. McCourt, in his official capacity as Treasurer

SOURCE:

FEC Initiated (Reports Analysis Division)

SUBJECT:

Failure to disclose all financial activity

NEGOTIATED SETTLEMENT:

The Reports Analysis Division referred respondents for failing to disclose all financial activity on its 2005 Mid-Year Report.  An amended Mid-Year Report disclosed additional receipts totaling $90,088.01.  The Committee acknowledged an inadvertent violation and agreed to pay a $1,200 civil penalty and designate a compliance specialist to train staff on FECA.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 344 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

4.

ADR 342

RESPONDENT:

Indiana Democratic Congressional Victory Committee and Linda Buzinec, in her official capacity as Treasurer

SOURCE:

FEC Initiated (Reports Analysis Division)

SUBJECT:

Failure to disclose all financial activity

NEGOTIATED SETTLEMENT:

The Reports Analysis Division referred respondents for failing to disclose all financial activity on its 2005 September Monthly Report.  An amended report filed in December of that year disclosed additional receipts of $65,166.94 and additional disbursements of $61,791.56.  Respondents contended that additional receipts and disbursements disclosed in the amended report were the result of a data importing error and an allocation error on the state portion of items paid.  Respondents agreed to pay a $1,000 civil penalty and develop a compliance manual to avoid future similar errors.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 342 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

5.

ADR 345

RESPONDENT:

Independent Action, Inc. and Ralph Santora, in his official capacity as Treasurer

SOURCE:

FEC Initiated (Reports Analysis Division)

SUBJECT:

Failure to disclose all financial activity

NEGOTIATED SETTLEMENT:

The Reports Analysis Division referred Independent Action, Inc. for failing to disclose all financial activity on its 2005 Year End Report. The Committee filed an amended Year End Report that disclosed an additional $95,197.78 in disbursements.  Respondents acknowledged an inadvertent violation of the Act due to problems with their data management vendor.  Independent Action, Inc. agreed to attend an FEC seminar and develop a compliance manual for staff.  Due to mitigating circumstances pertaining to the respondents’ financial hardship, the Commission did not assess a civil penalty. 

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 345 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

6.

ADR 352

RESPONDENT:

EMILY’S LIST and Ranny Cooper, in her official capacity as Treasurer

SOURCE:

FEC Initiated (Reports Analysis Division)

SUBJECT:

Failure to forward earmarked contributions within ten days

NEGOTIATED SETTLEMENT:

The Reports Analysis Division referred EMILY’S LIST for failing to forward a small percentage of its earmarked contributions within 10 days of receipt during 2005.  Review of the Committee’s 2005 monthly reports revealed the respondents distributed $35,698.44 in deposited earmarked contributions to various campaign committees more than ten days after receipt.  Respondents acknowledged the mistake and agreed to take steps to prevent similar future mistakes and send a representative to an FEC sponsored seminar.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 352 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

7.

ADR 360

RESPONDENT:

Citizens for Altmire and Joanne L. Clarke, in her official capacity as Treasurer

SOURCE:

MUR 5828: Complainant Martin H. Matthews

SUBJECT:

Failure to include adequate disclaimer on print communication

NEGOTIATED SETTLEMENT:

Citizens for Altmire acknowledged the inadvertent omission of adequate disclaimers on billboard advertisements and contended that appropriate disclaimers were added one week after the signs were originally posted.  Respondents agreed to designate a communications compliance specialist to review communications prepared by the Committee to ensure compliance with the Act and to send a representative to a Commission sponsored seminar within twelve months.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 360 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

8.

ADR 378

RESPONDENT:

(a) Braxton County Democratic Executive Committee (Braxton Committee) and Jennifer Grindo in her official capacity as Treasurer

(b) Callaghan for Congress and Stephen Callaghan in his official capacity as Treasurer.

SOURCE:

MUR 5832: Complainant Daniel Greear

SUBJECT:

Disclaimers, failure to register as a political committee, coordination

RESOLUTION:

Dismiss the matter.

The complaint alleged that the Braxton Committee placed two radio ads expressly advocating the election of Congressional candidate Mike Callaghan (WV/2) that failed to include adequate disclaimers and may have been coordinated with Mike Callaghan’s authorized committee and funded by sources prohibited under Federal law.  Additionally, the complainant alleged that the Braxton Committee failed to register as a political party committee even though it spent in excess of $1,000 for the radio spots.  The ads were reported to the FEC as an independent expenditure in the amount of $1,696.  The Commission dismissed the matter.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 378 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

9.

ADR 368

RESPONDENT:

Wynn for Congress and Gregory Holloway, in his official capacity as Treasurer

SOURCE:

FEC Initiated (Reports Analysis Division)

SUBJECT:

Failure to disclose all financial activity

RESOLUTION:

Dismiss the matter and send admonishment.

The Reports Analysis Division referred Wynn for Congress for failing disclose all financial activity on its 2006 July Quarterly Report.  An amended version of the report filed at the end of July disclosed an additional $50,143 in receipts.  The Committee contended that the increase in receipts was the result of a data input error by a new employee.  The Committee further contended that they corrected the matter by amending the report when the error was discovered.  The Commission rejected the recommendation to assign the case to ADR, dismissed the matter and sent a letter of admonishment.

DOCUMENTS ON PUBLIC RECORD:

Documents from this matter are available from the Commission’s web site at http://www.fec.gov by entering 368 under case number in the Enforcement Query System.  They are also available in the FEC’s Public Records Office at 999 E St. NW in Washington.

The Federal Election Commission (FEC) is an independent regulatory agency that administers and enforces federal campaign finance laws. The FEC has jurisdiction over the financing of campaigns for the U.S. House, the U.S. Senate, the Presidency and the Vice Presidency. Established in 1975, the FEC is composed of six Commissioners who are nominated by the President and confirmed by the U.S. Senate.

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