To: American Spirit who wrote (371888 ) 3/16/2003 11:40:31 AM From: Volsi Mimir Respond to of 769667 John Kerry:fas.org This is the Campaign Financing Task Force's third prosecution in five weeks," said Attorney General Janet Reno. "This investigation is moving forward, but we are not going to let up now." The information charges Chung with violating the Federal Election Campaign Act (FECA) by conspiring to contribute, and causing to be contributed, funds exceeding the statutory limitations on campaign contributions, as well as conspiring to contribute and causing to be contributed funds in the name of others. (18 U.S.C. § 371 and 2 U.S.C. §§ 437g(d), 441a and 441f). The information refers to two fundraising events, one a Clinton/Gore '96 fundraiser held in Century City, California on September 21, 1995. The second was a September 9, 1996 fundraiser for Senator John Kerry in Beverly Hills, California. According to the information, Chung attended the Clinton/Gore fundraiser with approximately 20 guests. The cost of attending the event was $1,000, the maximum federal law permitted one person to contribute to Clinton/Gore '96. In order to pay for his guests without appearing to exceed the statutory limitation, Chung used a series of conduit contributors totaling at least $20,000. As explained in the information, he caused one of his employees to recruit conduit contributors by having them write individual checks in the amount of $1,000 payable to Clinton/Gore '96. Chung then caused cash to be withdrawn from his personal banking accounts, and had an employee reimburse the conduit contributors. The information details a similar scheme to violate the FECA through conduit contributions to the Kerry Committee. The September 9, 1996, Beverly Hills fundraiser for Senator Kerry was hosted by Chung. The federal limit on personal contributions was $2,000 ($1,000 for the primary campaign and $1,000 for the general election campaign). Chung attended the event with several guests. As set forth in the information, Chung contributed $8,000 of his own money disguised as contributions from four of his guests. Chung and one of his employees asked the four guests to write checks drawn on their own accounts in the amount of $2,000 payable to the Kerry Committee. Chung and his employee then reimbursed the four conduit contributors with checks drawn from Chung's personal bank account.