FEC Takes Final Action on Five Cases

FEC TAKES FINAL ACTION ON FIVE CASES

WASHINGTON – The Federal Election Commission recently made public its final action on five matters under review (MURs). In three cases, the Commission found reason to believe violations had occurred and it entered into conciliation agreements providing for the respondents to pay civil penalties totaling $31,500. In two of the cases, the Commission found no reason to believe a violation had occurred.

Under the law, the FEC must attempt to resolve its enforcement cases, or MURs, through a confidential investigative process that may lead to a negotiated conciliation agreement between the Commission and the individual or group.Additional information regarding MURs can be found on the FEC web site at http://www.fec.gov/em/mur.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 web site at http://eqs.fec.gov/eqs/searcheqs.

MUR 6121

RESPONDENTS:

Advanced Medical Technology Association; Advanced Medical Technology Association Political Action Committee and Kenneth Mendez in his official capacity as treasurer

COMPLAINANT:

Self-reported by Advanced Medical Technology Association Political Action Committee (“AdvaMed PAC”)

SUBJECT:

Advanced Medical Technology Association and AdvaMed PAC, its separate segregated fund, disclosed irregularities regarding AdvaMed PAC’s activities during the 2006 election cycle.  In an internal audit, AdvaMed PAC discovered improperly solicited contributions, reporting errors and corporate expenditures and other forms of corporate facilitation through PAC-sponsored fundraising events on behalf of federal candidates.

OUTCOME:

The Commission found reason to believe that respondents violated the Federal Election Campaign Act of 1971, as amended (the Act), as detailed above.  In a conciliation agreement with the FEC, the Advanced Medical Technology Association and AdvaMed PAC agreed to pay a civil penalty of $19,000.  AdvaMed PAC also agreed to refund or disgorge $62,600 in contributions raised outside its restricted class. It further agreed to file amended disclosure reports, reimburse the Advanced Medical Technology Association $14,025 for fundraising expenses and disclose all refunds, disgorgements and repayments on its 2009 disclosure reports.

MUR 5922

RESPONDENTS:

Richard Morrison Congressional Committee and Michael A. Gidley in his official capacity as treasurer

COMPLAINANT:

FEC Initiated

SUBJECT:

In the normal course of carrying out its supervisory responsibilities, the Commission found reason to believe that the Richard Morrison Congressional Committee violated the Act by understating its cash on hand and receipts and disbursements for 2004 and by failing to report 48-hour notices for contributions received. After an investigation, the Commission entered into pre-probable cause conciliation with respect to the reporting violations.

OUTCOME:

The Commission, the Morrison Committee and Gidley, in his official capacity as treasurer, entered into a conciliation agreement providing for the respondents to pay a civil penalty of $10,000.

MUR 5971

RESPONDENTS:

Mary Jennifer Adams

COMPLAINANT:

Lindsey Graham for Senate and Kevin Hall, in his official capacity as treasurer; and the FEC

SUBJECT:

The complaint alleged that Adams, the former Assistant Treasurer of Lindsey Graham for Senate (R-SC), embezzled more than $280,000 in funds from the Committee.

OUTCOME:

The Commission found reason to believe that Adams knowingly and willfully violated the Act when she commingled Committee funds with her personal funds, failed to track all disbursements properly, failed to report all receipts and disbursements accurately in the Committee’s disclosure reports filed with the Commission and converted Committee funds to her personal use. The Commission accepted a conciliation agreement with Adams including knowing and willful admissions to the violations and provisions that she pay a civil penalty of $2,500 to the FEC. The conciliation agreement also prohibits her for five years from working or volunteering for federal political committees in a capacity involving the Committee’s finances.

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 of Representatives, 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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