Saxton and the Scent of Scandal

by: Church Street

Fri Mar 14, 2008 at 02:35:58 PM EDT

House GOP officials acknowledged on Thursday that the longtime and trusted treasurer of the National Republican Congressional Committee may have skimmed as much as $1 million from the committee. From today's WaPo:

For at least four years, Christopher J. Ward, who is under investigation by the FBI, used wire transfers to funnel money out of the NRCC and into other political committees he controlled, then shifted the funds into his own personal accounts, the committee said.

According to the Federal Election Commission, Ward is treasurer of SAXPAC, Saxton's leadership PAC formed in 2005.

During the same time period, SAXPAC also made 21 payments totaling $35,000 for legal services to McGahn & Associates, PLLC. The firm's namesake, Donald McGahn, serves as general counsel to the NRCC and, like Ward, also works for a number of GOP candidates and committees.

SAXPAC has raised nearly $180,000 in the three-plus years since its formation, all but $4,500 raised during 2005-06 election cycle. Thus, nearly one-third of the SAXPAC's funds paid for legal, accounting, and filing services.

The PAC's current balance is zero after a three disbursements in January: $5,000 to Chris Myers, Saxton's choice as his successor to the Third District seat: $3,000 to McGhan & Associates; and $1,500 to PCS.

If Ward were funneling NRCC dollars through SAXPAC, it's not evident from FEC records. SAXPAC's donor list looks like a routine shakedown of his regular contributors - defense contractors and employees, lobbyists, and the odd "homemaker."

There's no evidence that Saxton was aware of Ward's financial shenanigans or that his PAC was illegally used (although he might want to check.) But he does find himself once again in the familiar role of bit player on the fringe of a messy GOP scandal.

Saxton's retirement means that he won't have to squirm while explaining to voters his connection to Ward. (He does owe his constituents an explanation and answers to questions like: Why is Ward still SAXPAC treasurer? Didn't it seem strange that nearly one-third of SAXPAC's funds were paying legal and accounting expenses?) But for those Republicans who are running in November, this latest scandal that does not bode well.

"The House Republican brand is so bad right now that if it were a dog food, they'd take it off the shelf," said retiring Rep. Thomas M. Davis III (Va.), who chaired the NRCC for four years earlier this decade.

Sounds about right. Woof.