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FEC complaint filed against Proft newspapers

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Illinois

* Meh…

Kim Savage, a Democrat from the Chicago suburb of Darien, argues in a Federal Election Commission filing that the DuPage Policy Journal is not an independent newspaper, but controlled by businessman and radio talk-show host Dan Proft through his political action committee, Liberty Principles PAC, which got a $2.5 million contribution last June from Republican Gov. Bruce Rauner.

The paper is one of 14 co-owned by Proft that appeared last spring before the state’s primary elections.

The complaint, filed last week in Washington, maintains the DuPage Policy Journal is illegally coordinating with GOP congressional candidate Tonia Khouri and that its publication costs should be reported as political contributions in her race to unseat incumbent Democratic Rep. Bill Foster.

The PAC, Proft, Khouri for Congress and the Khouri campaign treasurer are named in the FEC document. It contends the DuPage paper is not entitled to a press exemption from campaign finance laws because it’s run by a political organization, is not published regularly, is sent to doorsteps or left in high traffic areas for free and includes “coordinated communications” with a candidate that the law bars for so-called independent expenditure committees.

The problem with this filing is that, according to Bernie last summer, the papers are owned by a private company called Local Government Information Services. Proft is, however, a principal of LGIS.

Look, I do not want the federal government defining what is and is not a legit media company. Progress Illinois does good work, but it gets most of its money from SEIU. I don’t know who funds Illinois Review, but I’m fine with them, too. Stay the heck away.

* Meanwhile, the Proft papers came up in a recent story by David Giuliani at the Ottawa Times…

The chain was started in the winter by the Chicago-based Liberty Principles PAC, which receives much of its money from Republican Gov. Bruce Rauner. Over the summer, a private corporation, Local Government Information Services Inc., took possession of the papers, Proft said.

The company filed its corporate paperwork with the state in mid-August, a few weeks into its management of the papers.

The Times asked Proft how the company makes money with its newspapers.

“I’m certain you don’t understand how newspapers or businesses make money,” Proft said in an email to a reporter. “In addition to ads, have you ever heard of the concept of subscriptions as a revenue source for newspapers, for example? Are you familiar with the concept of seed capital used to launch and grow a business? I didn’t think so.”

Proft said the reporter could not be fair in reporting about his company’s newspapers, suggesting the reporter favors Long’s opponent, Rep. Andy Skoog, D-La Salle.

“That makes you an advocate not a journalist. So please make sure Andy Skoog reports your ’stories’ as in-kind contributions (in his campaign reports),” Proft said in an email.

That’s pretty funny considering that Giuliani has been all over Speaker Madigan’s involvement in Rep. Andy Skoog’s race and has filed numerous stories about the Frank Mautino scandal. Giuliani is also a former Illinois Policy Institute staff member.

posted by Rich Miller
Wednesday, Oct 12, 16 @ 1:18 pm

Comments

It’s really simple, is LGIS an actual business or a political campaign?

Comment by Precinct Captain Wednesday, Oct 12, 16 @ 1:25 pm
A subscription to a Proft paper must be REALLY expensive!

Comment by Anon221 Wednesday, Oct 12, 16 @ 1:33 pm
PC, it’s not simple. If the FEC goes there, they’re going down a slippery slope. Agree with Rich on this one.

Comment by Bored Chairman Wednesday, Oct 12, 16 @ 1:39 pm
Wev

Comment by Amalia Wednesday, Oct 12, 16 @ 1:42 pm
Sounds like someone got their fees-fees hurt.

Comment by Not It Wednesday, Oct 12, 16 @ 1:43 pm
Article should have noted that Savage was on the College of DuPage board during the Breuder years.

Comment by Kj Wednesday, Oct 12, 16 @ 1:46 pm
What does the College of DuPage Board have to do with alleged illegal federal campaign contributions?

Comment by Michael Westen Wednesday, Oct 12, 16 @ 1:51 pm
The “Sangamon Sun” website seems to contradict Mr. Proft: “Funding for this news site is provided, in part, by advocacy groups who share our beliefs in limited government.” But I guess the not “in part” funding is through ads and subscriptions, however strangely enough there are no ads and no way to get a subscription on the website.

There are articles about which local AFSCME members pulled a Democratic ballot in the primaries and what percent of residents in local communities receive food stamps. Seems pretty legit to me.

Comment by Jon Wednesday, Oct 12, 16 @ 1:53 pm
MAYBE Guiana got shorted on an IPI scam and got the Ottawa paper and 1st dibs on all the Rauner/Edgar County stuff he could swallow…maybe he is bitter

Comment by Annonin' Wednesday, Oct 12, 16 @ 1:58 pm
Michael Westen- the DuPage Policy Journal was along with other outlets such as the Herald and the Tribune really hard on Bruder and the board at the time. Acting as this is coming from a citizen without motive is a little deceiving.

Comment by Kj Wednesday, Oct 12, 16 @ 1:59 pm
Don’t really see the FEC wading into this one.

Comment by Indochine Wednesday, Oct 12, 16 @ 2:07 pm
Jon- The Sangamon Sun is a good read. Thanks for the heads up and the new bookmark.

Comment by Anon112 Wednesday, Oct 12, 16 @ 2:07 pm
Not sure why everyone is missing the point on this. Liberty Principles PAC owned and published the “papers” using donations. These weren’t legal independent expenditures. They transferred all the IP and asset to a private company. I would say big no no. A number of big complaints should be filed on the state level.

Comment by Missing the point Wednesday, Oct 12, 16 @ 2:28 pm
The DuPage Policy Journal now has a small blurb about subscribing and I think it said 95 cents a week/month? Not dumpster diving in the rain to verify the terms.

Comment by Cable Line Beer Gardener Wednesday, Oct 12, 16 @ 2:45 pm
Every time he makes these goofy statements, all i remember is this: Proft is still the clown shoes of Illinois politics.

Comment by Dee Lay Wednesday, Oct 12, 16 @ 4:14 pm
A lot of newspapers, now considered legit, got started this way. Leave it alone.

Comment by walker Wednesday, Oct 12, 16 @ 4:30 pm
So far no one has filed a complaint against this PAC on the basis that the newspapers were not valid independent expenditures. The hearing officer actually said this in one of the complaints. The PAC is acting as both a regular PAC and an independent expenditure committee and can a PAC transfer assets to a for-profit company? Don’t think so.

Comment by Anonymous Wednesday, Oct 12, 16 @ 5:17 pm
No fan of Proft, but anyone can print a “newspaper,” whatever that might mean to the reader.

The First Amendment certainly allows for cheap hustlers dependent on rich sugar daddies.

Comment by wordslinger Wednesday, Oct 12, 16 @ 5:36 pm
Kim is listed as the Downers Grove Township Democratic Party Chairwoman. Probably the only person willing to file the complaint.

Comment by Touré's Latte Wednesday, Oct 12, 16 @ 6:48 pm
Proft is awfully arrogant about “business” for someone that lives on the handouts of the Uihleins of the world.

Comment by Daniel Plainview Wednesday, Oct 12, 16 @ 7:02 pm
“Savage, formerly an administrator at the University of Illinois at Chicago, collected a state pension of $74,637 in 2014. Svoboda, who worked as a College of DuPage counselor, collected $149,796. Both also receive free health care benefits.

According to their Linkedin profiles, both Savage and Svoboda currently supplement their taxpayer-funded pensions with paid consulting work. Savage works as an independent consultant focused on “strategic planning, assessment program development (and) administrative services;” Svoboda advises doctoral candidates at Illinois Benedictine College in Lisle.

Comment by Cherubic Kirk Dillard Wednesday, Oct 12, 16 @ 7:08 pm
What does whatever Savage gets as a pension have to do with if these “papers” are legitimate or not? Many of the “articles” are just PR written by campaigns repackaged as news stories. Does that constitute an in-kind? If the PAC has divested them, but still runs them, is it a coordination violation? Neither question has anything to do with what constitutes a newspaper, only what constitutes a campaign activity.

Comment by Jeeves The Car Wednesday, Oct 12, 16 @ 8:48 pm
I for one am happy about these things that come in the mail. Now that i have moved back to Murphy, i am in dire need of combustibles to start the wood burning stove.

Comment by Blue dog dem Wednesday, Oct 12, 16 @ 9:51 pm