The contribution limits for individuals in the presidential primary race is $2300. This has been a problem for Hillary Clinton whose money primarily came from big contributions, and quite a number of contributors who hit the limit, and could not be hit up for more, versus Barack Obama, whose contributions came from more individuals in smaller amounts --- individuals he could go back to several times, with no fear of their hitting the limit.
Although there is a limit on contributions from individuals to a candidate, the big loop hole in the campaign finance laws is that a candidate can contribute unlimited amounts to his or her own campaign.
So when she was running out of money in February Hillary Clinton loaned her campaign $5 million, and with continuing fundraising difficulties, she lent another $6.4 million in trying to beat back Obama in Indiana and North Carolina.
Now please note there is a Second Loop Hole in the campaign finance laws - Candidates don't have to actually lose the money they put into their campaigns, they can simply LOAN the money as Clinton did, and PAY THEMSELVES BACK with later contributions.
With Clinton's poor showings in North Carolina and Indiana, the political pundits have all but written off her chances of winning the nomination, especially as the math is against her possibility of getting enough pledged delegates to close the gap with Obama.
Many pundits are debating as to just why Hillary is still campaigning so hard, when it appears her chance of victory is somewhere between slim and none.
The pundits talk about her future political career, possible vice president aspirations, and the possibility of behind the scenes deals with the Super Delegates, as being her motivation.
I believe you simply have to FOLLOW THE MONEY !
Hillary does not want to eat her contributions --- she wants other folks to pay the bill. After all, that has always been the Clinton Way !
By continuing her campaign, Hillary will continue to collect contributions. But future contributors should not be too surprised to find that instead of using their money to continue the campaign, it may just be going back to Hillary's pocket !!!
Showing posts with label Campaign Finance Laws. Show all posts
Showing posts with label Campaign Finance Laws. Show all posts
Friday, May 9, 2008
Friday, February 8, 2008
Hillary Clinton’s Loan of $5 Million to Her Own Presidential Campaign Fund is Same Old Way to Get Around Campaign Finance Laws that Bill used in 1992.
A loophole in Campaign Finance Laws that is big enough to drive a Mack Truck through, is that the Candidate is not restricted in the amount they Give or Loan to Their Own Campaign !
That is why we see so many Rich Folks running for Office.
An added bonus for any politician who is in an office and who can attract a lot of Political Donations is that they can Lend Themselves Money Now --- and Pay Themselves Back Later from more than Willing Lobbyists, PAC Funds, and Those Who Want To Buy Influence.
In 1992 when Bill Clinton’s campaign was neck and neck with Paul Tsongas, they both pretty much depleted their campaign war chests by the time of the Florida primary.
But Clinton, being the Sitting Governor of Arkansas was able to get an “unsecured” loan of $ 3 million for his Campaign from an Arkansas Bank --- Worthen National. With Fresh Money, he was able to bury Tsongas in Political Ads !
Much has been made of the fact that there was a lot of foreign intrigue involved in the Worthen loan --- but regardless of who owned or controlled the bank, and whether or not Clinton later paid off with political favors --- it was a very safe loan for the bank to make.
When you make a loan to a Sitting State Governor for political purposes, you know that whether they win or lose the race, they can hold fundraisers after the race (and a governor attracts a lot of political campaign funds) to pay off the loans.
So the question becomes --- Is Hillary Betting $5 Million that she can win the Nomination ? If She Loses the Campaign, does She Lose Her Money ?
My guess is that as a Sitting Senator from the State of New York --- Win or Lose --- Hillary can quickly Pay Herself Back through Future Fund Raisers.
Her $5 Million is as safe as being in the bank.
What Do You Think ? Please Leave Your Comments !
That is why we see so many Rich Folks running for Office.
An added bonus for any politician who is in an office and who can attract a lot of Political Donations is that they can Lend Themselves Money Now --- and Pay Themselves Back Later from more than Willing Lobbyists, PAC Funds, and Those Who Want To Buy Influence.
In 1992 when Bill Clinton’s campaign was neck and neck with Paul Tsongas, they both pretty much depleted their campaign war chests by the time of the Florida primary.
But Clinton, being the Sitting Governor of Arkansas was able to get an “unsecured” loan of $ 3 million for his Campaign from an Arkansas Bank --- Worthen National. With Fresh Money, he was able to bury Tsongas in Political Ads !
Much has been made of the fact that there was a lot of foreign intrigue involved in the Worthen loan --- but regardless of who owned or controlled the bank, and whether or not Clinton later paid off with political favors --- it was a very safe loan for the bank to make.
When you make a loan to a Sitting State Governor for political purposes, you know that whether they win or lose the race, they can hold fundraisers after the race (and a governor attracts a lot of political campaign funds) to pay off the loans.
So the question becomes --- Is Hillary Betting $5 Million that she can win the Nomination ? If She Loses the Campaign, does She Lose Her Money ?
My guess is that as a Sitting Senator from the State of New York --- Win or Lose --- Hillary can quickly Pay Herself Back through Future Fund Raisers.
Her $5 Million is as safe as being in the bank.
What Do You Think ? Please Leave Your Comments !
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