THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Tuesday, December 13, 1994 TAG: 9412130305
SECTION: FRONT PAGE: A2 EDITION: FINAL
SOURCE: ASSOCIATED PRESS
DATELINE: WASHINGTON LENGTH: Short : 47 lines
Federal Election Commission auditors are recommending that President Clinton's 1992 campaign be ordered to repay the Treasury more than $4 million for a variety of irregularities.
Overall, $3.8 million of the repayment total was assessed to the primary campaign, while just $254,546 in repayments was assigned to the general campaign.
The bulk of the primary total - $3.44 million - came in federal matching funds to which the FEC audit team concluded the campaign was not entitled, according to documents made available Monday.
Most of the money in question stemmed from contributions that did not specifically direct the contribution to the primary campaign. Ultimately, the auditors concluded, $3,440,349 in money counted as primary receipts were contributions to the general campaign and must be repaid.
The total repayment figure recommended is $4,073,696.
The auditors also identified almost a quarter-million dollars in what they concluded were impermissible contributions, extensions of credit and the use of corporate facilities by the Clinton primary campaign. This included more than $14,000 paid to a video production company owned by Clinton friend and Hollywood producer Harry Thomason who produced a video for Clinton's campaign. The auditors concluded the arrangement amounted to an impermissible extension of credit, since no down payment was required, and they recommended that the campaign repay the $14,019 bill.
Also included in this was $120,000 paid for use of U.S. Trade Representative Mickey Kantor's D.C. law offices by the campaign.
The FEC auditors concluded this was an improper use of corporate facilities, since the campaign was using office space, not receiving legal advice. A similar recommendation was reached in about $16,000 in billings stemming from the use of office space in the New York offices of investment giant Goldman Sachs.
The rest of the $246,162 in recommended repayments came from rental of other office space.
KEYWORDS: CAMPAIGN FINANCE by CNB