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July 14, 2016

FEC Finds Violations by Formerly Koch-Linked Nonprofits

Three nonprofits formerly associated with Charles and David Koch’s conservative network have been fined by the Federal Election Commission for breaching campaign-finance rules in their funding of political advertisements, writes The New York Times.

The ruling on a complaint by watchdog group Citizens for Responsibility and Ethics in Washington, or CREW, represents a relatively rare intervention by regulators into spending by nonprofit “dark money” groups that exchange grants to finance election activity without being required to disclose their donors. CREW released documents related to the case Wednesday.

Americans for Job Security, the 60 Plus Association, and the American Future Fund ran ads backing Republican House candidates during the 2010 campaign. According to the FEC, a consultant who was then working with the Koch brothers helped direct the nonprofits’ spending, in violation of federal requirements that organizations identify the source of money earmarked for political use. The Koch network has cut ties to the groups, which agreed to pay more than $200,000 in fines to settle the investigation but did not concede that they violated the rules.