* This Tribune revelation is coming at a horrible time for Gov. Pat Quinn, but I have a hard time believing that Quinn did anything intentionally untoward…
Quinn has kept [his US Senate campaign fund] alive by pumping in a series of personal loans and then soliciting political donations so he can pay himself back, at interest rates approaching 10 percent. The end result is that Quinn has made at least $24,000 in interest from the campaign fund he controls, according to documents filed with the Federal Election Commission.
Quinn spokeswoman Elizabeth Austin said Quinn first began extending loans to his campaign in 1996 and at that time believed federal law required him to be paid back in full with interest.
But a spokesman for the FEC told the Tribune there are no such requirements. Austin said Quinn aides checked with the FEC after the newspaper raised questions about the interpretation of the law and found that Quinn’s fund did not have to pay him interest.
OK, so he made $24K in interest since 1996. That works out to what? Less than $2,000 a year? It isn’t nothing, and he probably deserves a little ding, but I’m just not all that excited. Still, this is the Tribune, so they can push a story into the public realm with ease. The paper’s online “political docket” makes it clear what they’ll be pursuing today…
Quinn’s also is likely to face questions about today’s Tribune story that looks at why he’s still raising money for his failed 1996 U.S. Senate bid. The end result of the unusual practice is that Quinn has made at least $24,000 in interest from the campaign fund he controls, according to documents filed with the Federal Election Commission.
* Related…
* Marin: A test for Quinn, Hynes: Back real reform
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- VanillaMan - Wednesday, Jan 27, 10 @ 9:41 am:
If my candidate made $2000 a year in interest on their campaign fund - I would have hammered them over the head to ensure that this interest money was directed towards a charity in order to avoid looking like an insider.
You can ask my VanillaBrother. It is a good campaign staffer who recognizes possible conflicts of interest that could derail the campaign.
Quinn’s staffers must totally stink if they allowed this silly cash to damage their campaign - which it just did!
- Obamarama - Wednesday, Jan 27, 10 @ 9:51 am:
I’m with VanillaFriend. It really isn’t that big of a deal so much as it is stupid from a political standpoint. Also, I would like to point out that this is yet another example of Quinn surrounding himself with incompetent people who give him bad advice.
- budget boy - Wednesday, Jan 27, 10 @ 9:51 am:
He was intentionally using a polictical fund as a guaranteed 10 percent investment vehicle. There was no reason for him to make a loan to this fund after 1996. If he wanted to keep the fund open with a minimal amount of money, he could have simply had a handful of supporters write checks. Nope… instead he saw loop hole, and decided to create a $2,000 per year annuity for himself. Let’s give the Trib some credit for exposing this abuse.
- wordslinger - Wednesday, Jan 27, 10 @ 9:52 am:
It’s not a ton of money. But it sure looks like he’s gaming the system for some walking around cash, which doesn’t really conform with the public image.
Quinn’s quoted in the story, but offers no explanation as to why he’s doing it. That’s odd.
- Wondering - Wednesday, Jan 27, 10 @ 9:52 am:
I agree with VM. You may say that the amount of money involved is small but it says a lot about Quinn, and his so-called staffers, that they let this go on… and what is says - none of it is good.
Think about it… this wasn’t something done so innocently or by mistake, Quinn purposefully has had to name the 1996 Senate fund as that for donors to donate to. And if you are a donor what the hell are you giving to a 1996 political fund for if it isn’t so Quinn can pay himself.
The whole this stinks and it makes Quinn look more and more like your typical political hack as opposed to the reformer as he has always tried to portray himself.
- Pretty N' Polish - Wednesday, Jan 27, 10 @ 9:55 am:
Hynes’ never paid his $75,000 fine from the FEC. He just let it sit there unpaid for years while he continued to raise money for his state fund. He still owes the federal government money to this day.
- Scooby - Wednesday, Jan 27, 10 @ 9:57 am:
This is so stupid. I’m no Quinn apologist but please. The FEC requires that you charge interest on any loans. And for most of the last 16 years there was no one willing to go and give or loan Pat Quinn money so what was his option other option here? Just another example of the Cubs newspaper being as bad as the Cubs.
- well - Wednesday, Jan 27, 10 @ 9:58 am:
“Hynes’ never paid his $75,000 fine from the FEC. He just let it sit there unpaid for years while he continued to raise money for his state fund. He still owes the federal government money to this day.”
The Quinn staffers have arrived.
- Irish - Wednesday, Jan 27, 10 @ 10:09 am:
I agree that it is a small amount of money and if he wanted to keep the fund open in case he decided to run again that could be an explanation. But if you are running on the transparent, outsider reformist platform why wouldn’t you shut this down or at least not add money to it to put yourself in this position before you run for Governor? There isn’t enough information to determine intent or wrongdoing but it speaks volumes to Soy Boy’s ability to run any organization. Couple this with the early release fiasco, the agreement with Madigan to not push a tax increase until after the February election, and it becomes evident Quinn is incompetent to govern.
- A Ha - Wednesday, Jan 27, 10 @ 10:25 am:
The Trib article states that Joe McInerny of Cardinal Capital hosted Quinn’s fed committee fundraiser. McInerny and Cardinal also invested in da mare’s son Patrick Daley’s sewer cleaning company.
- Stuck with Sen. CPA - Wednesday, Jan 27, 10 @ 10:28 am:
Sure looks like Hynes paid that fine. Not sure if this link will work, but here goes.
http://eqs.nictusa.com/eqsdocsMUR/00005A3C.pdf
Nice try, Quinnsters.
- Responsa - Wednesday, Jan 27, 10 @ 10:31 am:
It’s a darn shame that Quinn opened himself up to all this unpleasantness by deciding to run for governor after being appointed–instead of using his clean image to make a real impact on Illinois’ budget problems and insider ethics issues. Don’t get me wrong, he deserves what he’s reaping by appearing to be so incompetent and wishy washy. But I will always believe he is a good and honest man who governed very differently and much less effectively because he decided to run and campaign, rather than to work full time to clean up Blago’s messes in the year he was given to do so. He coulda been a hero to Illinois residents and kept his boy scout reformer image intact. Instead, he has probably reached the end of the road with little to show for the opportunity he fell into.
- Lincoln Parker - Wednesday, Jan 27, 10 @ 10:40 am:
Well said Responsa, I was so happy almost a year ago when Blago was shown the door and Quinn was sworn in. He had a golden opportunity to clean up this state and push for real change. Unfortunately little has changed, its just more of the same. Instead he became to worried about the election & politics, when I think if he had been a strong leader and brought about change, that would have given him enough merit to be elected.
- corvax - Wednesday, Jan 27, 10 @ 10:44 am:
it averages $2000/yr only because, before he became guv, he didn’t have the clout to raise more $$$. $19,000 of what he raised came after he became governor and he inflated the loans even after he lost the 1996 election. It’s not a lot of money, but not apparently for lack of trying.
- Jackson - Wednesday, Jan 27, 10 @ 10:44 am:
Whether or not people think this is an issue is for them to decide, so I’m glad the Tribune ran with it. Apparently things in Illinois are at the point where 24K isn’t bad. It’s tolerating things like this that breed corruption in Illinois politics.
- Carl Nyberg - Wednesday, Jan 27, 10 @ 10:44 am:
The Trib’s best catch for the day is $24,000 of non-gov’t money over a dozen years?
I’m glad there’s so little corruption to investigate that this is their #1 story.
- ILPundit - Wednesday, Jan 27, 10 @ 10:51 am:
I’m having a very hard time seeing how Quinn couldn’t see the political danger in paying himself over $20K more than he actually loaned the campaign — and then keeping the debt on the books and continuing to raise money.
- Bill - Wednesday, Jan 27, 10 @ 11:09 am:
Speaking of the Feds I wonder if Quinn paid taxes on his “interest”.
- Will County Woman - Wednesday, Jan 27, 10 @ 11:22 am:
I appreciate those of you who are allowing for some benefit of the doubt here, but like others I’m considering the broader implications at play here. Then to read about the Daley/McInerny connection in comments, which as the ring of truth after googling McInerny’s name makes me all the more concerned about Quinn. Is there something in the water on the 16th floor of the JRTC???????
Does everyone who goes there have lapses in judgment or ethical problems or both or worse?
i, too, am glad the tribune ran with this story now as opposed to later. for me, it makes Quinn’s being unusually quiet, low key and subdued after the Ford event yesterday all the more understandable. Trying to get his story straight?
- Chicago Cynic - Wednesday, Jan 27, 10 @ 11:35 am:
This is just classic. He’s not a crook. He’s just sloppy. Oops.
- Justice - Wednesday, Jan 27, 10 @ 12:43 pm:
Perhaps there is a new Treasurer in our future….an investment whiz??
I agree with CN….this is the best the Trib has, with all the other corruption afoot? Each must judge the ‘ethics’ of this action but I see it as a stinging shot for Quinn. His actions border on “goofy” and continues to make him highly suspect as not being entirely home.
- Pretty N' Polish - Wednesday, Jan 27, 10 @ 1:57 pm:
@ Stuck with Senator CPA
-Sure looks like Hynes paid that fine-
Thanks for clarifying that. So after he was ordered by the federal government to pay the $76,500 fine in thirty days, he waited three years to pay it. And I am sure that $76,500 was raised in a squeaky clean fashion too and Hynes cut all ties with the guy.
- Snap - Wednesday, Jan 27, 10 @ 4:51 pm:
Paid state boards and commission posts have a lot of former City Hall workers filling them, thanks to Quinn.
- fed up - Wednesday, Jan 27, 10 @ 6:16 pm:
So he keeps raising money for a campaign he never runs and makes money off it. Before he just seemed kinda clueless and in over his head now hes looking more and more like just another slimy politician trying to make a buck by exploiting any loop hole he can. Bill’s right I bet he has never declared as income any of this money but he has no problem going into taxpayers pockets saying give me more give me more.
- Rich Miller - Wednesday, Jan 27, 10 @ 6:24 pm:
===I bet he has never declared as income any of this money ===
He has. C’mon. This is Pat Quinn we’re talking about.