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Context of '(May 4, 2011): Republican Presidential Candidate Says Campaign Finance System Is ‘Dysfunctional,’ Runs against ‘Big Money’ Interests'

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The press reports that the US Chamber of Commerce and other lobbying organizations are the biggest winners in the controversial Citizens United decision by the US Supreme Court (see January 21, 2010), which allows corporations and labor unions to spend unrestricted amounts of money in support of, or opposition to, federal candidates. The Chamber of Commerce spends more on promoting Republican and conservative candidates than almost any other organization outside of the Republican Party itself. Other trade organizations, which tend to support Republicans, will almost certainly up their spending on behalf of their candidates, or in opposition to Democrats, according to experts interviewed by reporters, as will most corporations.
Unrestrained Spending to Favor Republicans - Democratic lawyer Marc Elias says: “It is a sweeping decision. In one opinion, the Court struck down all bans on corporate independent spending.” GOP lawyer Robert Kelner says that the ruling “will reflect a huge sea-change in campaign finance law. The Court went all the way. It really relieves any restrictions on corporate spending on independent advertising.” Another GOP lawyer, Ben Ginsberg, says: “It’s going to be the Wild Wild West. If corporations and unions can give unlimited amounts… it means that the public debate is significantly changed with a lot more voices, and it means that the loudest voices are going to be corporations and unions.” Former Federal Elections Commission member Brad Smith says, “This case will lead to more spending, I think, in political elections.” Lawrence M. Noble, the former general counsel for the FEC, says a lobbyist can tell a candidate, “We have got a million we can spend advertising for you or against you—whichever one you want.” Political science professor Robert Watson, who has consulted with Democratic campaigns, says: “It’s a game changer. And the last thing we need is for major corporations and nonprofits to have unlimited access to buy their members of Congress.” The New York Times writes: “It is expected to unleash a torrent of attack advertisements from outside groups aiming to sway voters, without any candidate having to take the criticism for dirty campaigning. The biggest beneficiaries might be well-placed incumbents whose favor companies and interests groups are eager to court. It could also have a big impact on state and local governments, where a few million dollars can have more influence on elections.” The National Journal states: “Over the long run, the ruling is likely to favor GOPers more than it does Dems. While it does apply to unions and corporations equally, Elias said the presumption is that corporations have more money to spend.” Major corporations will not openly run their own advertising, Kelner says, but they will funnel millions into trade associations such as the Chamber of Commerce. “If people think that individual companies are going to go out and buy ads, there may be some of that, but for the most part companies are going to flow this money through trade groups and other outside groups,” Kelner says. “This will open the floodgates for money flowing through groups like the US Chamber of Commerce and other associations [that] spend money on political advertising.… There was always a cloud of doubt around outside groups and trade associations, and this lifts those clouds of doubt and leaves behind clear skies.” Former Democratic National Committee (DNC) general counsel Joe Sandler says the ruling may open the door for more attacks on incumbents by corporate and other entities eager to spend money to ease them out. “You will see more sharp-edged, candidate-specific ads on the air closer to the election,” Sandler says. “That could make it more difficult for incumbents to take tough votes in an election year.” [Palm Beach Post, 1/21/2010; National Journal, 1/21/2010; New York Times, 1/21/2010] Think Progress, the liberal news Web site affiliated with the Center for American Progress, writes, “The ruling is a giant win for the US Chamber of Commerce and the big corporations, which tend to donate heavily to Republicans.” [Think Progress, 1/22/2010]
Citizens the Real Losers? - Paul Ryan of the Campaign Legal Center calls the ruling a complete loss for citizens, saying: “[T]he Supreme Court majority declared that corporate speech trumps the rights of American voters to government free of corporate corruption. The Court has nominally upheld campaign finance disclosure requirements applicable to corporations, but I think time will prove that those disclosure requirements are largely ineffective when dealing with contributions.” Brad Ashwell of the Florida Public Interest Research Group calls the ruling a “shocking burst of judicial activism.” Senator Russ Feingold (D-WI) calls the ruling “a terrible mistake,” and says the Court “chose to roll back laws that have limited the role of corporate money in federal elections since Teddy Roosevelt was president. Ignoring important principles of judicial restraint and respect for precedent, the Court has given corporate money a breathtaking new role in federal campaigns.” Feingold and other Congressional Democrats want to pass legislation that would curb the decision as soon as feasible. [Palm Beach Post, 1/21/2010; National Journal, 1/21/2010; New York Times, 1/21/2010]
Republicans Celebrate Victory for Free Speech, Say Decision Will 'Level Out' Spending - But Marco Rubio (R-FL), running for Florida’s open Senate seat, says, “Today’s Supreme Court ruling is a victory for those who truly value the freedoms outlined in our First Amendment.” And Republican consultant Ed Brookover, who represents Republican House candidate Allen West (R-FL), says he believes spending from liberal groups such as MoveOn.org will equal spending by corporations, and “level out” spending for the two parties. [Palm Beach Post, 1/21/2010; National Journal, 1/21/2010]
President Critical of Decision - President Obama speaks out against the decision (see January 21, 2010).

Entity Tags: Joseph Sandler, Bradley A. (“Brad”) Smith, US Supreme Court, Ed Brookover, Brad Ashwell, Ben Ginsberg, Barack Obama, Think Progress (.org), Russell D. Feingold, US Chamber of Commerce, Robert Kelner, Robert Watson, New York Times, Marc Elias, Lawrence M. Noble, Republican Party, Marco Rubio, National Journal, Paul S. Ryan

Timeline Tags: Civil Liberties

An image from a ‘Team Themis’ proposal given to the US Chamber of Commerce in late 2010.An image from a ‘Team Themis’ proposal given to the US Chamber of Commerce in late 2010. [Source: Docstoc (.com)]The liberal news Web site Think Progress, an affiliate of the Center for American Progress, reports that it has discovered evidence of a potentially illegal scheme to entrap and destabilize political organizations, including Think Progress, that support President Obama and other Democrats. The scheme, in development since November 2010 at least, centers around the US Chamber of Commerce (USCOC), a large trade organization that makes large secret donations to Republican candidates and organizations (see January 21-22, 2010 and October 2010), and a law firm, Hunton and Williams, hired by the USCOC. According to emails secured by Think Progress, Hunton and Williams is working with a set of private security firms—HBGary Federal, Palantir, and Berico Technologies (collectively called “Team Themis”)—to develop tactics to damage progressive groups and labor unions. Some of the organizations and unions targeted include Think Progress, a labor coalition called Change to Win, the Service Employees International Union (SEIU), US Chamber Watch, and StopTheChamber.com. The last two are small organizations dedicated to exposing some of the secretive practices of the USCOC. One project proposed by Team Themis is an entrapment scheme. The proposal called for the creation of a “false document, perhaps highlighting periodical financial information,” to give to a progressive group opposing the USCOC, and then exposing the document as a fraud, thus undermining the credibility of the organization. Another proposal involved using potentially illegal computer-hacking techniques to create what the group calls a “fake insider persona” to “generate communications” with Change to Win and to undermine the credibility of US Chamber Watch. The proposal actually advocates the creation of two such personas, one to be used “as leverage to discredit the other while confirming the identity of the second.” Together, “Team Themis” asked for $200,000 for initial background research and another $2 million for an active disinformation campaign. It is unclear from the emails whether any of the proposals were accepted, and if the disinformation campaign was ever launched. Think Progress was recently provided with the emails by members of “Anonymous,” an online “hacktivist” community responsible for attacking the Web sites of oppressive regimes in Tunisia and Egypt, along with American corporations that have censored the online information repository WikiLeaks. The emails were secured from HBGary Federal after one of that firm’s executives, Aaron Barr, tried to take Anonymous down. Barr claimed to have penetrated the group and intended to sell the data he collected to Bank of America (BoA) and to US federal authorities. In return, Anonymous hackers penetrated Barr’s email account and published some 40,000 company emails. Barr intended to approach Bank of America, Think Progress writes, because WikiLeaks is believed to have sensitive information about the firm that it intends to publish later in the year. BoA hired Hunton and Williams and other law firms to pursue WikiLeaks. BoA’s legal team also targeted Salon columnist Glenn Greenwald, an outspoken supporter of WikiLeaks, saying that it had plans for “actions to sabotage or discredit” him. The USCOC posts a response to Think Progress on its blog dismissing the report as “baseless attacks.” And prominent liberal blogger Marcy Wheeler (see April 18, 2009) says that the Think Progress report will probably “cause the Chamber of Commerce to rethink the spying work with HBGary it apparently has been considering.” [Berico Technologies, 11/3/2010 pdf file; Think Progress, 2/10/2011] Liberal blogger Brad Friedman, who has spent years covering voter suppression tactics by political organizations, will soon learn that he is targeted by Team Themis. An email sent by Barr and provided to Friedman “focused on me included names, personal information, home addresses, etc. of myself, family members, and a number of other members of VR,” Friedman will write. (Velvet Revolution is an “umbrella group” that includes StopTheChamber.) “Part of the plan included highlighting me as a ‘Tier 1’ player in a sophisticated disinformation/discrediting scheme that relied on high-tech tools developed for the US government’s ‘War on Terror.’ Team Themis’ US Chamber of Commerce plan was to deploy the very same techniques and technology used to track terrorists, terror organizations, and nations such as Iran, against private non-profit political advocates and citizens in the US.” The email also lists the names of people whom Barr clearly believes to be Friedman’s wife and two children (Friedman says the names listed are not family members—he is not married and has no children). The email also lists a Maryland address as Friedman’s home—another error, as Friedman lives in another state. Friedman will write that obviously Barr and his researchers found another, unrelated person named Brad Friedman and learned personal details about that person and his family. Prominent officials such as Ilyse Hogue of MoveOn.org and Robert Weissman of Public Citizen are also listed for “targeting.” [Brad Friedman, 2/14/2011]

Entity Tags: Democratic Party, Change to Win, WikiLeaks, Berico Technologies, Barack Obama, Bank of America, Aaron Barr, US Chamber Watch, Think Progress (.org), US Chamber of Commerce, Service Employees International Union, Ilyse Hogue, Marcy Wheeler, Hunton and Williams, Glenn Greenwald, HBGary Federal, StopTheChamber.com, Robert Weissman, Palantir, Brad Friedman

Timeline Tags: Civil Liberties

Long-shot Republican presidential candidate Buddy Roemer (R-LA), a former governor of Louisiana, gives an interview to the liberal news Web site Think Progress in which he blasts the current system of campaign finance. Roemer is campaigning on a promise to reduce the influence of the wealthy on the government, and refuses to accept over $100 in contributions from any one source. He also forces the disclosure of the identities of his donors. After speaking at a tea party rally in New Hampshire, Roemer speaks to Think Progress reporter Lee Fang. Roemer is highly critical of large corporate donors and the trade organizations that represent them, and decries the failure of the DISCLOSE Act to pass Congress (see July 26-27, 2010). “It’s disastrous, it’s dysfunctional, to their shame,” he says. Large corporations such as General Electric using their influence to avoid paying taxes is “what’s wrong with America.” Roemer adds: “Right now, too often the political debate has become about the money and not about the issues. And those who have the money have a vested interest in the results and you never know who they are.… I have full disclosure and I challenge my opponents to do the same.” Fang notes that some of the largest corporate donors and “bundlers” (groups like the US Chamber of Commerce, which “bundle” donations from corporations and individuals and funnel them to political organizations) support Roemer’s fellow Republican candidates, and are the primary reason why the DISCLOSE Act failed to pass. “They lobbied both Democrats and Republicans to kill the bill in the Senate,” Fang says. Roemer says Congress and the campaign financial system are both “dysfunctional,” and adds Democratic-supporting labor unions to the list of organizations that are corrupting politics. “The guys with the bucks want unfettered regulation. They want to run America.… The reason the tax code is four thousand pages long and paid no taxes last year and made five billion dollars? It’s [campaign] checks. That’s whats wrong with the American system. It’s not free anymore. It’s bought.” Roemer says the only way he knows to challenge the system is by example. “You know I’ve got to run against the system,” he says. “It’s corrupt. And the only way I know how to do it… is by example. I’m going to show that a grassroots campaign can capture New Hampshire, South Carolina. I’m going to whip ‘em, on my own terms.” The Republican Party does not support Roemer’s campaign, and is blocking Roemer from participating in primary debates. [Think Progress, 5/4/2011]

Entity Tags: US Chamber of Commerce, Republican Party, Think Progress (.org), Buddy Roemer

Timeline Tags: Civil Liberties

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