As CEO of Renaissance Global Logistics, James may have illegally authorized use of corporate funds to influence the 2018 Senate election and illegally coordinated with a super PAC
End Citizens United (ECU) filed a complaint with the Federal Election Commission (FEC) against John James, Republican candidate for U.S. Senate in Michigan. The complaint states that James broke campaign finance laws by using corporate treasury funds from his business to fund a super PAC ad that benefitted his campaign, which also raises questions about illegal coordination.
The Federal Election Campaign Act of 1971 prohibits federal candidates from soliciting, directing, or spending corporate money to influence a federal election. It is illegal for a candidate to use corporate funds to support his campaign or to ask someone else to use corporate funds in support of his campaign. While corporations are allowed to contribute to super PACs, a candidate cannot move corporate funds to a super PAC or even solicit such a contribution. The Act also prohibits federal candidates from accepting contributions, including in-kind contributions, from corporations or entities like super PACs that can be funded by corporations. Paid communications, like digital advertising, that are coordinated with a candidate are illegal in-kind contributions. Coordination occurs when a candidate gives a super PAC information about a candidate’s plans, projects, activities, or needs, or suggests, requests, or assents to super PAC spending.
The Violation:
In 2018, John James ran for U.S. Senate. In the final days of his campaign it appears that he had the company where he was CEO, Renaissance Global Logistics, contribute $10,000 to the Super PAC supporting his candidacy for a last-minute advertising buy, during the very short window just before the election when the transaction would not be disclosed until after people had voted. The timing and circumstances of this transaction suggest that James and the Super PAC were illegally coordinating, and that James then illegally solicited, directed, or spent corporate money through his company to help his campaign.
“John James can’t win the support of Michigan voters on his own merits, so he’ll do anything at his disposal to boost his political ambitions, even if it means breaking the law,” said Tiffany Muller, President of End Citizens United. “The law is abundantly clear: federal candidates are expressly prohibited from soliciting or moving corporate money to influence an election and they cannot coordinate with a super PAC. It appears that John James broke the law and hoped no one would catch him. In light of this new information, the FEC should immediately investigate John James and hold him accountable.”
Click here to read the FEC complaint.
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