FEC v. Bank One

On May 20, 1987, the United States District Court, Southern District of Ohio, Eastern Division, approved a consent order between the Commission and the defendants in FEC v. Bank One, Columbus, N.A. (Civil Action No. C2-86-1082.) Defendants were: the John Glenn Presidential Committee, Inc., William R. White, treasurer, and Senator John Glenn (Glenn Committee); and Bank One, Columbus, N.A., Ameritrust Company National Association, BancOhio National Bank and the Huntington National Bank (the Banks).

Background

The FEC alleged that $2 million in loans made by the Banks to the Glenn Committee in 1984 were not made on a basis that assured repayment and, therefore, were in violation of 2 U.S.C. §441b(a). After failing to resolve the matter through the conciliation process, the FEC filed suit in federal court on September 9, 1986, and asked the court to find that:

• The four banks violated section 441b(a) of the election law by making prohibited contributions to the Glenn campaign; and
• The Glenn campaign, in turn, violated section 441b(a) of the election law by accepting the contributions.

The FEC also asked the court to assess a civil penalty against each defendant amounting to the greater of $5,000 or 100 percent of the amount involved in each defendant's violation.

Consent order

The consent order contained the following:

• For purposes of settlement of this litigation only, defendants agreed not to further contest the Commission's allegations that the making and acceptance of the loan was in violation of 2 U.S.C. §441b(a). By agreeing not to further contest the Commission's allegations, defendants did not concede that such allegations were proven by the record or could have been proven at trial.
• In settlement of the litigation, the Glenn Committee agreed to pay $4,000 to the FEC.
• The parties agreed to bear their own costs and fees in this matter.

Source: FEC Record— July 1987; and November 1986. FEC v. Bank One, Columbus, N.A., No. C-2-86-1082 (S.D. Ohio 1987).