Turns out, some Obama PAC money came from PACs

Before he ostentatiously stopped taking money from political action committees to run for president, Sen. Barack Obama quietly took money from political action committees.

As a presidential candidate, Obama claims to be an outsider eager to shake up the Washington establishment by refusing to accept donations from political action committees and Washington lobbyists. This year, they're the bad guys.

But this wasn’t always the case.

Back in 2005 and 2006, Obama raised $123,283 from other political action committees and put them into a political action committee of his own. He called it Hopefund.

Hopefund is what is known as a “leadership PAC,” a frequent target of campaign watchdogs because it can raise money in much larger bundles than individual candidates. The Candidate of Hope from Illinois followed the example set by Senate and House members who establish such accounts to raise money and then spread it around to other politicians in the hopes of gaining new best friends. Legally, such PACs are supposed to operate independently and cannot coordinate with any campaigns of their owner.

Now that Obama is running for president, he's handing out the bulk of Hopefund money to politicians and groups who happen to be in early presidential voting states, as the Washington Post's John Solomon noted the other day. The pace of giving has increased in recent months and this has led to some remarkable coincidences.

New Hampshire state Sen. Jacalyn Cilley, for instance, received $1,000 from Obama's PAC last summer. Six days later she happened to endorse the same Obama for president. "I endorsed him because I believe in him and his policies," she said.

Likewise, Obama's PAC recently felt moved to donate $9,000 to Rep. Paul Hodes, who happens to have been the first member of Congress from New Hampshire to endorse Obama early this year.

With a straight face Obama spokesmen deny there's any connection between his...

presidential campaign and the PAC donations. "Sen. Obama has long been doing whatever he can to help elect fellow Democrats all across the country," said Joshua Earnest.

Of course, opposing campaigns seek to capitalize on such coincidences. Yesterday, the Clinton campaign issued two statements on the Post article. One said, "On the campaign trail, Sen. Obama is outspoken about his desire to reform the campaign finance system so it was surprising to learn that he has been using his PAC in a manner that appears to be inconsistent with the prevailing election laws."

When Obama's camp appeared to ignore the jab, Clinton's forces issued another statement, "The Obama campaign's failure to deny that it committed campaign finance violations speaks volumes."

But those who throw stones in political tit-for-tats should be careful. An Obama spokesman sought to turn the issue toward Clinton's reluctance to reveal financial records and to order the release of millions of pages of documents relating to her years as first lady, which are now locked up in her husband's presidential library until after the 2008 election.

And there is also the Clinton problem with fundraising bundler Norman Hsu and the coincidence, as detailed last summer by The Times' Dan Morain, of former Iowa Gov. Tom Vilsack giving up his own presidential campaign, endorsing Hillary Clinton and suddenly receiving thousands of dollars from Clinton supporters to help retire his campaign debt.

Altogether, Obama collected $4.4 million for Hopefund. The donations came from some of his biggest backers including the Illinois energy firm Exelon and the Illinois Pork Producers.

According to Federal Election Commission records, other significant Obama PAC donations in the last two years came from AT&T, Lockheed Martin, Comcast, and Walt Disney. There was even money from currently evil law firms that have major lobbying practices in Washington including Brownstein Hyatt and DLA Piper.

But that was then.

--Andrew Malcolm

Comments

[lpo115]

That's nothing compared to hillpac.

[VA]

This is a non-story, waste of time to even read.

[Where's the Beef?]

The PAC thing's a non-story. What is a story is Hsu, that South Texan and other bundlers for Clinton who are apparently shaking down others to give to her campaign.

Mc Cain's right; the system stinks, but until it is reformed, I don't blame any Democratic candidate for using all legal means especially when you're up against the grand master of polictics as usual, Hillary.

Now she's got Penn strongarming networks to sit on a poll that shows her losing to every, yes every, Republican candidate that is viable. Here's the link.

http://www.zogby.com/news/ReadNews.dbm?ID=1394

[Paul]

I always wonder why the LA times write in harsh critical tone about OBAMA and not about HILLARY. Its very obvious who they root for. I dont mind the newspapers holding candiddates responsible. If you are making the point that "money makes friends", sorry.. we knew that long ago. Wonder why CLINTON's have so many friends.. CLINTONS are even smarter.. they take MONEY and USE POWER FOR PROFIT. Its a whole can of worms that is in there.. talk about NORMAN HSU, ALONZO CONTUS and the like..

At least OBAMA was decent not to collect money from PAC when he stood for this campaign, unlike CLINTON who still has no SHAME.

Americans need to THINK before they choose the nominee and I see that IOWANS are doing that. God bless them.

[Tibwa]

Are trying to make some news? Clinton lost the news circle and she will not get it back umil next november. It over for her, sorry dude. Maybe if you did not corronate her, she could have some hope. But sorry and thank you for your big inside.

[vwcat]

obama never claimed to be pure. He has always said he did take PAC money until recently. He made the decision to quit taking pac money before running but, in the same vein, he also eschewed private jet travel quite some time before he ran. he has been seen on commericial airlines in 2nd class going to and from Chicago.
I think Obama has been working towards this since he got to the senate and saw what the deal was with most senators.
That said, a 2006 candidate who received funds from Hopefund was one Hillary clinton.
I think she needs to disclose what she is going to do with that money if she is going to throw stones.

[Danielle Clarke]

with the theme that the increasingly desperate-sounding Clinton campaign is
pushing that Obama has essentially traded money from the Hope Fund for
endorsements in the early primary and caucus states, I find it supremely
ironic that one of the recipients of a contribution from the Hope Fund (in
the amount of $4,200) was none other than the Senate campaign of one Hillary
Clinton. Given the fact that she dumped $10 million in unused money from
her Senate campaign into the Presidential campaign, it's pretty clear that
the Hope Fund has indirectly supported Hillary's campaign.

Since these were supposedly all about getting endorsements, I wonder when
Hillary will be endorsing Barack Obama. (And FWIW, some of the other
recipients have endorsed Hillary.)

By the way, here's a listing of all the House candidates who got money from
the Hope Fund for House races:

Altmire, Jason (D-PA) $7,500
Arcuri, Michael (D-NY) $5,000
Barrow, John (D-GA) $2,500
Bean, Melissa (D-IL) $15,000
Boswell, Leonard L (D-IA) $15,000
Boyda, Nancy E (D-KS) $2,500
Braley, Bruce (D-IA) $10,000
Burner, Darcy (D-WA) $2,500
Busby, Francine P (D-CA) $10,000
Carney, Chris (D-PA) $10,000
Castor, Kathy (D-FL) $1,000
Courtney, Joe (D-CT) $5,000
Cranley, John (D-OH) $5,000
Davis, Jack (D-NY) $5,000
Derby, Jill T (D-NV) $5,000
Donnelly, Joe (D-IN) $5,000
Duckworth, Tammy (D-IL) $10,000
Edwards, Chet (D-TX) $5,000
Ellison, Keith Maurice (D-MN) $2,500
Ellsworth, Brad (D-IN) $7,500
Evans, Lane (D-IL) $10,000
Farrell, Diane Goss (D-CT) $6,500
Filson, Steve N (D-CA) $2,500
Gillibrand, Kirsten E (D-NY) $2,500
Goldmark, Peter James (D-WA) $1,000
Hafen, Tessa (D-NV) $5,000
Hall, John (D-NY) $1,000
Hare, Philip G (D-IL) $5,000
Hill, Baron (D-IN) $10,000
Hodes, Paul W (D-NH) $10,000
Jackson, Jesse Jr (D-IL) $2,100
Jennings, Christine (D-FL) $2,500
Johnson, Hank (D-GA) $5,000
Kagen, Steven Leslie (D-WI) $2,500
Kellam, Phil (D-VA) $3,500
Kilroy, Mary Jo (D-OH) $5,000
Klein, Ron (D-FL) $7,000
Lampson, Nick (D-TX) $2,500
Loebsack, David (D-IA) $5,000
Lucas, Ken (D-KY) $5,000
Madrid, Patricia A (D-NM) $5,000
Maffei, Dan (D-NY) $2,500
Mahoney, Tim (D-FL) $5,000
Marshall, Jim (D-GA) $7,000
Matheson, Jim (D-UT) $2,500
McNerney, Jerry (D-CA) $5,000
Melancon, Charles J (D-LA) $5,000
Miller, Les (D-FL) $2,100
Mitchell, Harry E (D-AZ) $5,000
Murphy, Chris (D-CT) $5,000
Murphy, Lois (D-PA) $6,500
Murphy, Patrick J (D-PA) $16,326
Paccione, Angie (D-CO) $1,000
Perlmutter, Edwin G (D-CO) $5,000
Rodriguez, Ciro D (D-TX) $5,000
Salazar, John (D-CO) $5,000
Schakowsky, Jan (D-IL) $1,000
Seals, Dan (D-IL) $5,000
Sestak, Joe (D-PA) $5,000
Shea-Porter, Carol (D-NH) $7,500
Shuler, Heath (D-NC) $10,000
Space, Zachary T (D-OH) $5,000
Spratt, John M Jr (D-SC) $5,000
Spencer, Selden (D-IA) $2,500
Sulzer, Joe (D-OH) $5,000
Sutton, Betty Sue (D-OH) $5,000
Tinklenberg, Elwyn (D-MN) $2,000
Walz, Timothy J (D-MN) $3,500
Weaver, John Michael (D-KY) $1,000
Welch, Peter (D-VT) $7,500
Wetterling, Patty (D-MN) $3,500
Wilson, Charlie (D-OH) $7,000
Yarmuth, John A (D-KY) $3,500

I don't see any particular pattern of money going to early states (or even
to Obama supporters). The main pattern is that a lot of these people were
in very tight races (or at least races that were supposed to have been very
tight).

AND MY CONGRESSMAN JOE SESTAK ENDORSED HILLRAY GRR which shows This pac helped Hillary not Obama

[Danielle Clarke]

Hillary Clinton screams Obama donations from pacs but hers are illegal his aren't!

"Wash Post: Obama PAC Is Active In Key Election States"

This is legal, publically disclosed fundraising, which is in stark contrast to Clinton's campaign having convicted felon Norman Hsu re-distribute $40 million dollars of private funds to buy endorsements. This should only help us re-focus on the further developments in the Hsu case, which have gone unnoticed.

"In at least some cases, Clinton or her aides directly channeled contributions from Hsu and his network to other politicians supportive of her presidential campaign"

Hsu raised big money for Clinton supporters
http://www.boston.com/news/nation/articles/2007/09/26/hsu_raised_big_money_for_clinton_supporters/?page=full

"Mr. Hsu recently received $40 million from a Madison Avenue investment fund run by Joel Rosenman, who was one of the creators of the Woodstock rock festival in 1969."

Woodstock Creator Financed Norman Hsu: $40 million
http://online.wsj.com/public/article/SB118956680238724783.html

Woodstock Museum Gets Earmark from Hillary Clinton
http://www.examiner.com/blogs/tapscotts_copy_desk/2007/11/7/Its-like-back-you-know-the-Woodstock-Museum-earmark-you-know-dude?cid=rss-tapscotts_copy_desk
..................................

HopeFund detail. Scroll through the years and click on the links for the details.

http://www.opensecrets.org/pacs/lookup2.asp?strid=C00409052&cycle=2006

HillPac detail.

http://www.opensecrets.org/pacs/lookup2.asp?strid=C00363994&cycle=2006


Edward's One America Cmte detail. Something odd here. It specified $194k in expenditures but only details about $9k of it.

http://www.opensecrets.org/pacs/lookup2.asp?strId=C00368613

Remember, no PAC has donated
to the campaign -- we can have our own PAC, though and $1,000 is too
small an amount to cry over.

You tell me if giving $1,000 to a supporter equals offering to RETIRE the campaign debt of one in exchange. I can't see how the two
compare. But if the Hill camp wants to focus on it, it opens the door for blogs and videos listing the many obvious "buys" of their
campaign!

"Senator Obama's commitment to disclosure is one that Hillary Clinton does not share, and until Senator Clinton is willing to make this commitment -- by disclosing her White House records, the list of donors to her husbands
presidential library, how much her bundlers raise, and releasing her personal tax returns to the public -- she's not really in a position to
point fingers at others."

"Whatever happened to the confident frontrunner who said she wouldnt attack other Democrats just two weeks ago?" spokesman Bill Burton said in a release. "The latest personal attack from Hillary Clinton is a completely false attempt to misrepresent Barack Obamas full disclosure of his campaign finances.

"Senator Obama's commitment to disclosure is one that Hillary Clinton does not share, and until Senator Clinton is willing to make this commitment
--
by disclosing her White House records, the list of donors to her husbands presidential library, how much her bundlers raise, and releasing her
personal tax returns to the public -- she's not really in a position to point fingers at others."

God blessed those lucky candidates as Barack doesn't need the endorsements or the pac money because people like a disabled vietnam vet gives everything i can to help him get elected and change the direction of this country.

May those fortunate democrats also one day not need pac money and may they be able to show it like Barack did by passing the transparency bill with Senator Coburn republican from oklahoma. May they learn to be more like Obama and be able to get donations from simple people like me.

Barack you have lead the way to change by using the system then changing it. wow i am in awe

Danielle

[Steve]

Give me a break. They're raising $20 million per quarter, and we're supposed to get riled up over $100k? Why not talk about real issues? Spin, spin, spin spin...

[Jay Link]

Obama is just the same as every other politician who courts and takes money from special interest groups.
He is just a politician, no better or no worse than all the others...

[Larry from Purdue]

Obama has called his decision not to accept lobbyist or PAC money for his campaign an "imperfect symbol at best."

He is not perfect - but he is trying hard to push a terrible system of influence-peddling in the right direction. Give him so credit for that!

[John Wallace]

There are alternatives to candidates taking PAC and Special Interest Money.

THREE CONGRESSIONAL CANDIDATES LAUNCH NATIONWIDE OUTREACH WEBSITE

On July 4, 1776, fifty-six brave Americans signed the Declaration of Independence in Philadelphia declaring their independence from the chains of servitude to the King. In keeping with this "Spirit of '76" three congressional candidates, from two different states and from both major parties, have declared their independence from the chains of special interest money, political action committees, big private donors and lobbyists.

Vying for the opportunity to serve in the 111th Congress, the three candidates have launched a new nationwide website (www.Spirit1776.com) that will revolutionize politics and help grassroots candidates reach out to American voters and raise funds directly from the people.

The three candidates, two republicans and one democrat, are sending a clear message to Washington that candidates serious about making changes and wanting to restore the people's trust in the government need to put the people in their district first by refusing to take money from any special interest groups, political
action committees, big private donors and lobbyists.

Spirit1776.com is a nonpartisan website and its current members are actively seeking other congressional candidates from around the country, from any party, who will also agree not to accept contributions from influential special interest and PAC groups, as well as from power donors.

To be listed on this new national website, congressional candidates must agree to limit the amount of money they will accept from individuals to $76 (in the Spirit of '76). They must also agree to limit the solicitation of contributions to within the geographical boundaries of their respective congressional districts and to the internet.

The three candidates, Morris Guller (D) from NY-20CD, Paul Swiderski (R) from PA-10CD, and John Wallace (R) from NY-20CD, believe that the American people are tired of the influence big money has on federal elected officials and have set out to prove that federal elections can be won based solely on the support of individual American citizens, as was intended by our forefathers.

For more information, please visit www.spirit1776.com.