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Schmidt Can't Pay Ethic Panel Fines

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  • Schmidt Can't Pay Ethic Panel Fines

    Schmidt Can't Pay Ethic Panel Fines

    asbarez
    Thursday, August 2nd, 2012

    Rep. Jean Schmidt

    WASHINGTON - Embattled GOP Representative Jeanne Schmidt is having a
    tough time raising funds for the roughly $500,000 that the House
    Ethics Committee fined her to pay, reported Jordy Yager of The Hill.

    The Ethics panel told Schmidt last August to repay nearly half a
    million dollars in services she accepted from lawyers with the Turkish
    American Legal Defense Fund (TALDF), but she has raised only $5,000 so
    far.

    In five months the Ohio Republican will leave Congress and will no
    longer be required to pay back the money, according to people familiar
    with the chamber's ethics rules.

    A spokesman for Schmidt did not return a request for comment. But
    Schmidt's office pointed to a legal expense fund that she established
    as evidence that, `she wants to pay these bills,' according to
    previous remarks made to USA Today.

    But according to the latest financial filing this week for the fund,
    Schmidt did not raise any money from April through June to meet the
    Ethics committee's mandate. Schmidt paid down part of the legal debt
    with about $43,000 earlier this year.

    Read the entire article published in The Hill.


    GOP Rep. Schmidt fails to raise funds to pay Ethics panel fines

    http://thehill.com/homenews/house/241667-gop-rep-schmidt-fails-to-raise-funds-to-pay-ethics-inquiry-fines
    By Jordy Yager - 08/01/12 04:34 PM ET

    Since losing her primary election in March, Rep. Jean Schmidt
    (R-Ohio) has failed to raise any of the roughly $500,000 that the
    House Ethics Committee ordered her to pay.

    The Ethics panel told Schmidt last August to repay nearly half a
    million dollars in services she accepted from lawyers with the Turkish
    American Legal Defense Fund (TALDF), but she has raised only $5,000 so
    far.


    In five months the Ohio Republican will leave Congress and will no
    longer be required to pay back the money, according to people familiar
    with the chamber's ethics rules.

    A spokesman for Schmidt did not return a request for comment. But
    Schmidt's office pointed to a legal expense fund that she established
    as evidence that, `she wants to pay these bills,' according to
    previous remarks made to USA Today.

    But according to the latest financial filing this week for the fund,
    Schmidt did not raise any money from April through June to meet the
    Ethics committee's mandate. Schmidt paid down part of the legal debt
    with about $43,000 earlier this year.

    In its report to the Ethics committee last year, the Office of
    Congressional Ethics (OCE) found that the Turkish Coalition of America
    (TCA) paid lawyers with the TALDF `approximately $500,000 for legal
    services provided to Representative Schmidt' over a two-year period.

    The Ethics committee declined to launch a subcommittee to officially
    investigate Schmidt, which would have allowed the panel to sanction
    the four-term lawmaker.

    Instead, committee Chairman Rep. Jo Bonner (R-Ala.) and ranking member
    Rep. Linda Sanchez (D-Calif.) ordered Schmidt to `repay the improper
    gift' and authorized her to accept contributions through the `Jean
    Schmidt Legal Expense Trust.'

    The committee, in its report, said that Schmidt had cooperated
    extensively with congressional investigators and was unaware that the
    TCA had paid for her legal services.

    `Given the evidence that Representative Schmidt lacked knowledge of
    the arrangement, the committee does not believe that any sanction is
    necessary,' the report stated.

    And while her actions technically violated House ethics rules, the
    panel concluded that paying back the roughly $500,000 in services
    would be sufficient punishment, and it authorized her to raise money
    through her legal fund to help do so.

    But the only outside contribution to the fund came in January from
    Global Eclipse, a Delaware limited liability company that donated
    $5,000. And though the Ethics committee approved the company's
    contribution, several of Global Eclipse's top managers have Turkish
    ties, which raised eyebrows in the press, considering the nature of
    the allegations first levied against Schmidt.

    Schmidt lost her reelection bid in March to GOP challenger Brad
    Wenstrup, who made the shadow of the probe and other ethics questions
    central to his campaign against the incumbent lawmaker.

    The legal fees that Schmidt was ordered to pay back arose during a
    lawsuit she brought in 2010 against her former Democratic opponent
    David Krikorian, who she sued, accusing him of making false statements
    about her during his campaign for the Ohio seat.

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