| Record Campaign Finance Fine Assessed | |
|
According to a Justice Department press release of Jan, 16, 2001, an Indonesian citizen will pay $8.6 million in fines for illegally reimbursing U.S. election campaign donors with foreign corporate funds in violation of federal election law.
The $8.6 million fine to be paid be James Tjahaja Riady represents the largest sanction ever imposed in a campaign finance matter in the history of the United States, according to the Justice Department's Campaign Financing Task Force.
Along
with Riady. LippoBank California, a California state-chartered bank affiliated
with Lippo Group, will plead guilty to 86 misdemeanor counts charging its
agents, Riady and John Huang, with making illegal foreign campaign contributions
from 1988 through 1994. Riady is one of 26 people and two corporations
charged by the Campaign Financing Task Force, which was established four years
ago by Attorney General Janet Reno to investigate allegations of campaign
financing abuses in the 1996 election cycle. Under the terms of his plea
agreement, Riady will waive his statutory right to apply for reentry into
the U.S. for a period of two years, except when his presence is requested by the
government. He will also perform 400 hours of community service, forfeit to the U.S. Treasury
any refunds issued to him from any political campaign committees in the wake of
this announcement, and be barred from making, reimbursing or directing any
future campaign contributions in U.S. elections. The Justice Department alleged that between May 1990 and June 1994, Riady and Huang
conspired to obstruct the Federal Election Commission by illegally reimbursing political campaign contributions with funds often obtained from
foreign individuals and entities which were prohibited sources under the Federal
Election Campaign Act (FECA), and in violation of the dollar limitations
established by the FECA. According to the Justice Department, the reimbursements were accomplished through
the following mechanisms: What did Riady, LippoBank and Lippo Group expect in return for all their
"help?" Next page > What they wanted for their money
> Page 1, 2, 3, 4
(Source: U.S. Department of Justice)
