Subject: Fwd: Biden for President Final Audit Report and Related Issues
From: "Eric Schwerin" <[email-masked]>
To: <[email-masked]>
Date: Tue, 13 Jul 2010 14:54:24 -0400

FYI.

I called Alan and told him that I wanted no part of this.........

Eric D. Schwerin
Rosemont Seneca Partners, LLC
1010 Wisconsin Ave., NW
Suite 705
Washington, DC 20007
(202) 333-1880
[email-masked]
P Consider the environment before printing this email.

Begin forwarded message:

From: "William Farah" <[email-masked]>
Date: July 12, 2010 9:57:46 AM EDT
To: "Alan Hoffman " <[email-masked]>, "Dennis Toner" <[email-masked]>, "Eric Schwerin" <[email-masked]>
Cc: "Phu Huynh" <[email-masked]>
Subject: FW: Biden for President Final Audit Report and Related Issues

This Thursday, the Federal Election Commission has scheduled a meeting to consider the Biden For President Final Audit Report.  This is an “open session”.  I am obtaining more information about what materials will be made available to the public for that meeting, but I would expect the last FEC draft Final Audit Report will be made available.   
 
In the event there are media inquiries, I’d suggest we discuss the draft report that the Commissioners will be considering.  I am attaching a copy of the draft circulated earlier this year.  (In response to this latest draft, a revised declaration was submitted by a BFP campaign staff member.)   
 
Also, according to FEC regulations, once the final report is approved by the FEC, BFP will have 30 days in which to make payment to the US Government for accepting prohibited and excessive contributions.  Per my earlier e-mail, if preparations are not already underway, I think it would make sense to start planning ASAP to raise the necessary funds for this purpose.  I’ll keep you updated.
 
Bill Farah

William J. Farah
Oldaker, Belair & Wittie, LLP
818 Connecticut Avenue, NW, Suite 1100
Washington, D.C. 20006
202.496.3476 (Direct Dial)
202.728.1010 (General)
202.464.0669 (Fax)
[email-masked]
From: William Farah 
Sent: Tuesday, July 06, 2010 7:01 PM
To: Dennis Toner; Alan Hoffman 
Cc: Eric Schwerin; Phu Huynh
Subject: Biden for President Final Audit Report and Related Issues
 
The FEC may be close to finalizing the Final Audit Report on Biden for President (BFP).  This will be a public document.  When they do, things may happen quickly, and I think BFP needs to be ready (1) to respond to any media inquiries and (2) to implement a fundraising plan so BFP can quickly raise sufficient funds and make the payment required by the FAR.
 
As you may recall, the FAR calls on BFP to make a substantial payment to the US Treasury for (1) receiving excessive contributions totaling approximately $106,216, and (2) receiving an in-kind corporate contribution (a flight on a charter aircraft) valued at approximately $26,889.   In addition, the FAR identified approximately $85,900 in stale checks (checks that have not been cashed by vendors) that will need to be resolved by making a payment to the US Treasury for such amount.  The stale checks should not require any additional fundraising, because the money already in BFP’s bank account but attributed on BFP’s FEC reports to vendors (Becky McAndrews is checking the current balance).  But given that BFP has very little cash-on-hand (minus the stale checks), at minimum, another $135,000 to $150,000 will be required to comply with the audit report findings, i.e., pay the US Treasury for the excessive contributions and the prohibited contribution.
 
Finally, the last draft of the FAR noted that the campaign did not have documentation to prove it sent the “presumptive designation” notices required for approximately $1 million in contributions.  (The documentation was lost when BFP moved offices after the campaign ended.  BFP has submitted declarations and other circumstantial evidence to demonstrate the notices were sent, but to date the audit staff has been unwilling to accept the evidence as sufficient.)   While the FAR does not require BFP to refund the $1 million in contributions or pay a fine at this time, the problem will be cited in the FAR and the matter could be referred to the FEC’s enforcement division for subsequent legal action.  (If the matter is referred to enforcement, it will not be made public until the matter resolved.)
 
I suggest we meet to discuss this matter more thoroughly.  If it’s convenient, our offices are available for such a meeting.  We also could confer telephonically, if that is preferable.  (We may want to include Cynthia Hogan and/or Marc Elias).   Just let me know what you want to do.    
 
Bill Farah

William J. Farah
Oldaker, Belair & Wittie, LLP
818 Connecticut Avenue, NW, Suite 1100
Washington, D.C. 20006
202.496.3476 (Direct Dial)
202.728.1010 (General)
202.464.0669 (Fax)
[email-masked]