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Obama’s crooked campaign cash-o-matic machine revisited; Updated

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By Michelle Malkin  •  October 7, 2012 11:49 PM

In advance of the new Obama donor scandal story that many conservatives have been buzzing about and which is purportedly set to hit the pages of Newsweek/Daily Beast tomorrow morning, I’m reprinting a selection of my previous blog posts over the last four years that exposed various aspects of the Obama crooked campaign cash-o-matic machine.

I hear that the new story/investigation will delve deep into online/credit card vulnerabilities and donations from foreign nationals — both subjects which this blog and many other conservative websites have covered extensively since the 2008 campaign. (Update: See Twitchy for links/round-up to all the latest breaking news.)

Here’s your refresher course in preparation for the latest developments.

***

APRIL 20, 2011
All the president’s funny money
by Michelle Malkin
Creators Syndicate
Copyright 2011

Ka-ching, ka-ching, ka-ching. President Obama’s perpetual campaign cash-o-matic machine kicks into high gear again this week as the celebrity-in-chief heads to Hollywood for several high-priced fundraisers. But while the Democrats’ 2012 re-election team stuffs its hands into every liberal deep pocket in sight, questions about the Obama 2008 campaign finance operation still fester.

Last week, the laggard watchdogs at the Federal Election Commission announced an audit of the Obama 2008 campaign committee — which raised a record-setting $750 million. White House flacks are downplaying the probe as a “routine review.”

But there’s nothing routine about the nearly $3 million Obama has spent on legal expenses to address federal campaign finance irregularities and inquiries. Roll Call reports that Obama’s campaign legal fees have exceeded all other House and presidential campaign committees, including members of Congress under ethics investigations.

There’s nothing routine about the whopping $6 million that Team Obama has refunded to individual donors since Obama took office.

And there’s nothing routine about the 26 warning letters to Obama for America totaling “more than 1,500 pages of questions and data that outlined compliance concerns — including the longest one ever sent to a presidential candidate,” according to Roll Call.

Among the Obama 2008 campaign committee’s shadiest transactions that have gone unpunished:

Foreign funny money. Federal election law bans foreign nationals from contributing to American candidates. But during 2008, the Obama campaign was forced to return an illegal foreign donation worth $31,100 made by two brothers in the Gaza Strip, and even mainstream news outlets reported that candidate Obama’s money-handlers had routinely failed to verify citizenship by checking donors’ passports. As the Associated Press reported at the time: “One donor, Tom Sanderson of Canada, made clear his $500 contribution came from a foreign source. He included a note that said, ‘I am not an American citizen!’ Obama’s campaign took the money anyway…”

Another illegal foreign donor, Australian Richard Watters, contributed $1,000, “entering a fake U.S. passport number — a random jumble of numbers and letters” onto the Obama donation website. “He said he also checked a box stating that he was an American living overseas, ‘because I could see it wasn’t going anywhere if I didn’t do that.'”

Obama raked in at least $2 million in overseas donations.

Online donor credit-card fraud. Weeks before the 2008 presidential election, investigative journalist Ken Timmerman blew the whistle on rampant phony straw contributors slipping through the Obama donation site. Just one example: “Mr. Good Will” from Austin, Texas. Mr. Good Will listed his employer as “Loving” and his profession as “You.” Timmerman’s analysis of 1.4 million individual donations to the Obama campaign discovered “1,000 separate entries for Mr. Good Will, most of them for $25. In total, Mr. Good Will gave $17,375. Following this and subsequent FEC requests, campaign records show that 330 contributions from Mr. Good Will were credited back to a credit card. But the most recent report, filed on Sept. 20, showed a net cumulative balance of $8,950 — still well over the $4,600 limit.”

Subsequent digging by conservative bloggers found that the Obama campaign’s donor website appeared to intentionally disable security protocols and facilitate illegal donations with bogus names, shell addresses and untraceable credit cards. Among Obama’s online “donors”: Bart Simpson, Family Guy, Daffy Duck, King Kong, O.J. Simpson, Mr. Doodad Pro, John Galt, Della Ware, Crazy Eight and Adolfe Hitler.

Social justice funny money. In 2008, the Obama campaign wrote checks totaling more than $800,000 to a nonprofit offshoot of ACORN called Citizens Services Inc. The campaign claimed the money went to nonpartisan get-out-the-vote services. But receipts showed the funds paid for polling, advance work and event staging supplied by a nonprofit that supposedly does simple canvassing work on behalf of low-income people. The FEC allowed Obama to wave his magic wand and amend the records to change political expenses into non-political ones. As a Republican National Committee staffer commented at the time: “For a candidate who claims to be practicing ‘new’ politics, his FEC reports look an awful lot like the ‘old-style’ Chicago politics of yesterday.”

On a related front, ACORN whistleblower Anita MonCrief filed announced plans to file an FEC complaint last year over illegal coordination between ACORN and the Obama campaign. MonCrief publicly released Obama donor lists supplied to ACORN affiliate Project Vote, which were allegedly used to target maxed-out presidential donors. The scheme involved converting the expenditures by Project Vote, ACORN and ACORN-affiliated entities to illegal, excessive corporate contributions to the Obama presidential campaign, in violation of federal law.

Nothing to see here, move along? The only “routine” business as usual being conducted here is Chicago-style self-exemption business as usual: Rules are for fools. Let the crooked cash flow in.

***

OCTOBER 11, 2010
Newly nativist Democrats and their own foreign funny money


(Photoshop credit: Sean via Doug Powers)

The Obama White House has been an echo chamber for the Soros-funded Center for American Progress from Day One — from bashing Fox News, attacking talk radio, and pimping “media justice” and the Orwellian Fairness Doctrine, to crusading for the government health care takeover using Astroturfed doctors and taxpayer-funded operatives installed in the health care bureaucracy.

Team Obama has gotten away with its left-wing myna bird routine. Until now.

Mimicking the Center for American Progress attacks on the U.S. Chamber of Commerce, the Soros suck-up-in-chief himself accused Republicans last week of benefiting from “money from foreign corporations” — which liberals claim the U.S. Chamber of Commerce is funneling into political ads. Democrat clown prince Al Franken is leading a Senate inquisition against the Chamber. Endangered Democrat candidates across the country are dutifully parroting the line. From here in my home state of Colorado:

Democrats are swinging hard at the U.S. Chamber of Commerce for potentially spending foreign money to support Republican campaigns across the country, including Ken Buck in Colorado’s U.S. Senate race.

The chamber has spent more than $400,000 in Colorado on ads attacking Sen. Michael Bennet, according to campaign-finance records.

Bennet spokesman Trevor Kincaid called on Buck’s campaign to reject the chamber’s help and disavow the ads allegedly made with “tainted foreign money.”

“Why won’t Ken Buck stand up against the practices of these shady special interests orchestrating attacks on his behalf?” Kincaid said.

It’s triple-snort-worthy to see the party that cries “RAAACISM” whenever conservatives question their shady foreign funny money suddenly sounding the alarm over non-U.S. campaign cash. Guess we are all “nativists” now, eh, President Obama?

But I digress. The Bennet campaign and every other endangered Democrat candidate preparing their CAP-approved attack press releases might want to get with the times. You see, a funny thing happened on the way to this desperate smear of American businesses exercising their political free speech: Liberal media outlets have called the Obama demagogues out. And now, Obama himself is backpedaling faster than high-wire clowns on a quadricycle.

The New York Times concluded on Friday that “there is little evidence that what the chamber does in collecting overseas dues is improper or even unusual, according to both liberal and conservative election-law lawyers and campaign finance documents. In fact, the controversy over the Chamber of Commerce financing may say more about the Washington spin cycle — where an Internet blog posting can be quickly picked up by like-minded groups and become political fodder for the president himself — than it does about the vagaries of campaign finance.”

And via Noel Sheppard at Newsbusters, liberal CBS journalist Bob Schieffer castigated White House senior adviser David Axelrod for the pathetic attack — which Schieffer derided as “peanuts:”

CBS’s Bob Schieffer on Sunday mocked President Obama’s senior adviser David Axelrod for echoing last week’s unsubstantiated charge by a liberal website that the Chamber of Commerce is funneling foreign money to support Republican candidates.

“The New York Times looked into the Chamber specifically and said the Chamber really isn’t putting foreign money into the campaign,” said the Face the Nation host.

“This part about foreign money, that appears to be peanuts,” chided Schieffer.

When Axelrod continued to press the issue, Schieffer said almost laughing, “If the only charge, three weeks into the election that the Democrats can make is that there’s somehow this may or may not be foreign money coming into the campaign, is that the best you can do?”

Oh, I’m sure they’ll sink even lower. Three weeks is plennnnnty of time to get to the bottom of the barrel.

In the meantime, GOP candidates who face this ridiculous onslaught must remind voters of all the shady foreign cash that the Democrats and their deep-pocketed donors have pumped into the political system. Strike back twice as hard:

Remember Obama/Hillary/Democrat top fund-raiser and convicted fraudster/campaign finance crook Norman Hsu.

Remember Obama/Hillary/Democrat top fund-raiser and convicted fraudster/campaign finance crook Hasan Nemazee.

Remember soft-on-China Obama Commerce Secretary Gary Locke, shady Buddhist temple cash collector.

Remember Senate Democrats raising funds in Canada.

Remember Obama’s presidential campaign soliciting foreign donations on its website (via Doug Ross):

Remember: Obama’s Foreign Donors: The media averts its eyes.

More:

Obama’s campaign said it would refund the money to the foreign donors the AP identified.

One donor, Tom Sanderson of Canada, made clear his $500 contribution came from a foreign source. He included a note that said, “I am not a American citizen!” Obama’s campaign took the money anyway, even publishing Sanderson’s cautionary statement about his citizenship in its official finance reports.

Obama has raised at least $2 million abroad, far more than McCain’s total of at least $229,000, according to the AP’s review of campaign finance records…

…The AP analyzed 1.27 million campaign contributions to Obama and McCain to identify 6,948 contributions from people who appeared to live outside the United States and who were not obviously in the U.S. military. The AP contacted 123 donors in Australia, Canada, France, Germany, Hong Kong, Israel, Italy, the Netherlands, South Africa, Spain and Switzerland and interviewed them about their citizenship and donations.

Obama has far more overseas donors than McCain, and that was reflected in the number of interviews: the AP was able to reach 116 Obama supporters, six McCain backers and one donor who gave to both.

Australian Richard Watters gave Obama’s campaign $1,000 over the Internet, entering a fake U.S. passport number — a random jumble of numbers and letters — so the site would take his money. He said he also checked a box stating that he was an American living overseas, “because I could see it wasn’t going anywhere if I didn’t do that.”

Watters was surprised when a reporter told him it was illegal for foreigners to donate to U.S. presidential campaigns, but he said he was still glad he gave.

…Swiss citizen Gilles Massamba gave Obama at least $436 and received campaign souvenirs. He said the campaign didn’t ask whether he was a U.S. citizen.

Remember: FEC Issues Record Fines In Democrats’ Scandals; Commission Faults Players in 1996 Foreign Fundraising.

And don’t forget this fun fact: “The outrage over the Chamber is especially amusing considering the role of foreigners in U.S. labor unions. According to the Center for Competitive Politics, close to half of the unions that are members of the AFL-CIO are international.”

Distraction. Deflection. Projection. Yup, it’s the best they can do.

***

NOVEMBER 7, 2008
www.change.gov smells like a fund-raising front

Government domain names (“.gov”) for websites are supposed to be restricted to eligible government organizations and programs.

Does Barack Obama’s transition website, www.change.gov — which is basically a souped-up version of his campaign site — qualify? As Ed Morrissey pointed out yesterday, “The incoming administration technically has no status as a government organization or program until January 20, 2009. The “Office of the President-Elect” doesn’t exist within the government.”

The primary goal of the transition site seems to be to collect e-mail addresses and personal information — for future fund-raising and political organizing projects. More on that in a moment.

Did the GSA, which administers the rules governing .gov websites, vet this site? One industry exec doesn’t think so, and has sent a complaint:

To whom it may concern,

Recently a new .gov domain name was registered. The name of this domain was http://www.change.gov. This appears to be a violation of the Domain Naming Conventions Summary located at https://www.dotgov.gov/dnc.aspx. The domain does not appear to meet the criteria outlined on that page. It is my belief that the name was granted without the proper review, due to the current political climate and may in fact have been a political favor which is a clear violation of federal law.

What is the process to file a complaint regarding improper use of the .gov TLD?

Thank you for your time and cooperation.

Charles Wyble
Chief Technology Officer
Known Element Enterprises – Corporate

Let’s look at who’s operating Obama’s .gov site. It’s being run by Blue State Digital, the left-wing Internet fund-raising company that presided over the credit card fraud-friendly Obama campaign site. A tipster traced the IP address:

CustName: Blue State Digital
Address: 1000 Vermont Avenue, NW
Address: Suite 1000
City: Washington
StateProv: DC
PostalCode: 20005
Country: US
RegDate: 2007-11-21
Updated: 2007-11-21

NetRange: 69.25.74.128 – 69.25.74.191
CIDR: 69.25.74.128/26
NetName: INAP-BSN-BLUESTATE-17797
NetHandle: NET-69-25-74-128-1
Parent: NET-69-25-0-0-1
NetType: Reassigned
Comment:
RegDate: 2007-11-21
Updated: 2007-11-21

RTechHandle: INO3-ARIN
RTechName: InterNap Network Operations Center
RTechPhone: +1-877-843-4662
RTechEmail:

Blue State Digital (BSD) is a leader in online fundraising, advocacy, social networking, and constituency development programs for nonprofit organizations, political candidates and causes, and corporations. Since our founding in 2004, we’ve delivered successfully on the promise of the Internet to over 200 satisfied clients, including Obama for America, Wal-Mart Watch, the Alliance for Climate Protection, and the Communications Workers of America, raising over $200 million in contributions to date and generating tens of millions of online signups and actions.

Walks, talks, and smells like a fund-raising front to me.

Meantime, readers have been sifting through the site. Here are screenshots of two creepy items to keep an eye on. America Serves…or else!

The Obama Administration will call on Americans to serve in order to meet the nation’s challenges. President-Elect Obama will expand national service programs like AmeriCorps and Peace Corps and will create a new Classroom Corps to help teachers in underserved schools, as well as a new Health Corps, Clean Energy Corps, and Veterans Corps. Obama will call on citizens of all ages to serve America, by developing a plan to require 50 hours of community service in middle school and high school and 100 hours of community service in college every year. Obama will encourage retiring Americans to serve by improving programs available for individuals over age 55, while at the same time promoting youth programs such as Youth Build and Head Start.

“NEED CONTENT.”

Unofficial motto of Obama-Biden ’08.

***
NOVEMBER 3, 2008
“I have never seen such flagrant disregard for online security as I have seen on Obama’s Website and ACTBLUE (DNC PAC)”

Over the past two weeks, I’ve noted the excellent work done by bloggers and investigative reporter Ken Timmerman on Barack Obama’s lax credit card/donation policies. The MSM grudgingly picked up on some of the Internet detective work, but it’s the tip of the iceberg.

Yesterday, I heard from an industry insider who says the problem goes beyond Obama — extending to nearly three dozen Democrat congressional candidates and a prominent left-wing fund-raising PAC site called ACTBLUE, which brags about raising $81,330,769 online since 2004.

My source writes:

I work for the credit card processing company that is culpable for allowing the DNC and the Obama Campaign to get away with rampant online donor fraud.

In a deliberate attempt to evade campaign financing laws, the Obama Campaign turned off certain security features on their online contribution page, which basically enables anyone in the world with a Visa/Mastercard to make donations in almost any amounts.

I have over 7 years experience in the payment services industry, and I have never seen such flagrant disregard for online security as I have seen on Obama’s Website and ACTBLUE (DNC PAC). In an age of identity theft and rampant online fraud, it is unconscionable for anyone to maintain an
ecommerce site without the basic security features. Yet, the majority of Democrats do. (McCain’s website and the Republican sites are in compliance with security regulations.)

I have followed the trail from the DNC to a PAC called ACTBLUE, which is responsible for the ecommerce portion of Democratic Party websites. ACTBLUE contracts the online fundraising portion to a company called, AUBURN QUAD. Auburn Quad has developed a software program, called Indigo, to make fund raising quick and easy. The secret sauce of Indigo appears to be the part of the program that turns off the Address Verification and CVV2 security features, which allows for untraceable, unlimited online donations.

There is no plausible explanation for these security violations other than wanting to skirt around campaign finance rules. I would vigorously argue that a large portion of Obama’s $579 million in individual contributions is in violation of campaign finance laws. Many donations may have been made by non US citizens, made in excess of the $2,300 individual limit, and made on
stolen credit card numbers.

This fraudulent donation scandal goes deeper than just the presidential election. 33 Democratic Candidates running for Senate have sites that are out of compliance. And a large number of Democratic House seats as well.

There needs to be an investigation into these online donations. The People need to know where the money is coming from. Elections should be won on ideas and not bought off by illicit campaign funds.

Glenn Reynolds writes today in the NYPost: “WHETHER or not Barack Obama wins election tomorrow, his campaign has exposed some gaping weaknesses in the electoral process – and some even more serious problems with today’s mass media. The question is whether the political establishment will be willing to do anything about them.”

More from National Journal’s Neil Munro and Obama Shrugged.

***

OCTOBER 22, 2008
Obama’s donor credit card fraud problem

More than a week ago, a north Kansas City couple blew the whistle on credit card fraud benefiting the Obama campaign.

Investigative journalist Ken Timmerman has uncovered more:

What do Bart Simpson, Family Guy, Daffy Duck, King Kong, O.J. Simpson, and Raela Odinga have in common?

All are celebrities; and with the exception of Odinga and O.J. Simpson, they also are fictional characters. And yet, all of them gave money earlier this month to the campaign of Barack Obama, without any apparent effort by the campaign to screen them out as suspect donors.

…The Obama campaign has turned a blind eye to the possibility of donor fraud. Reportedly, during the heated primary battle with Hillary Clinton, the Obama campaign “turned off” many of the security features on its online donor page, allowing any person with a valid credit card number to donate using any name or address.

Typically, card merchants require a cardholder’s name to match critical personal details, such as an address or, at the least, a ZIP code.

Though in recent months the Obama campaign has tightened up security and restored some of the security features used by merchants to weed out fraud, it still has left open easy ways for potential credit card fraud, including techniques similar to those employed by terrorists and drug traffickers to launder illicit funds.

For example, on Oct. 14, an individual using the name “O.J. Simpson” participated in Obama’s latest small-donor fundraising drive, making a $5 donation through the campaign’s Web site.

Giving a Los Angeles address, he listed his employer as the “State of Nevada” and his occupation as “convict.” The donor used a disposable “gift” credit card to make the donation.

The Obama campaign sent O.J. a thank-you note confirming his contribution, and gave him the name of another donor who had agreed to “match” his contribution.

Four minutes earlier, an individual using the name “Raela Odinga” also made a $5 contribution, using the same credit card.

The real Raela Odinga became prime minister of Kenya in April and has claimed to be a cousin of Obama’s through a maternal uncle…

“Good Will” and “Doodad Pro” have already been accounted for; no word yet on whether Mickey Mouse has charged his Visa yet for Hope and Change.

***
OCTOBER 1, 2008
Homeless Ohioans for Obama registering in droves; Plus: Meet Mr. “Good Will” and “Mr. Doodad Pro”

Oh, dear Lord. We are so screwed. Watch this:

The guy promoting the free taxi program to register the homeless in Ohio exults: “It’s a perfect opportunity for them to come in, register at a temporary address like a homeless shelter or a YMCA or something like that. They can register at that address because they don’t know where they’re going to be tomorrow or next week.”

Another woman describes trolling bus stops and picking up prospects: “I asked ‘em if they’re registered to vote and if they weren’t, I said ‘Get in the car, I’m bringing you!'”

A homeless thug now registered to vote comments: “They picked me up. They seen me walkin’ around. So day said, ‘You wanna vote?’ I said, ‘Yeah, I’ll vote.’ (laughs) Day said, ‘We’ll take you anywhere you want.’ I said, ‘Dat’s cool’…If day say ‘sign the ballot,’ just give ‘em and do exactly what they want you to do.’ I mean, hey, dis is America, you know?” (laughs).

Who does this new voter support?

“Barack! I mean, I want him to do his thang. You know, do his thug thizzle. You know. That’s how I like it to be. You know. (laughs).”

Organizers hoped to sign up 1,000 like him by the end of the day yesterday — and more all week.

Palestra reporter Shelby Holliday who intervewed the goons has a blog post on her encounters here.

ACORN, as you know, is heavily involved in these fraud-riddled voter registration efforts in Ohio.

Ohio-based blog Third Base Politics adds:

An unnamed source…related a heartwarming story of a 15 passenger van dropping off a load of drunk, homeless guys at Vet’s Memorial in Columbus. The organizers were just trying to allow these men to exercise their right to vote, but it seemed that they were all too drunk to get in line. What commenced was a “homeless rodeo” where the organizers had to wrangle the men from the parking lot and load them back in the van.

***

Speaking of voter fraud, Ken Timmerman sifts through Obama’s campaign donation records and finds some very phony baloney contributors:

In a letter dated June 25, 2008, the FEC asked the Obama campaign to verify a series of $25 donations from a contributor identified as “Will, Good” from Austin, Texas. Mr. Good Will listed his employer as “Loving” and his profession as “You.”

A Newsmax analysis of the 1.4 million individual contributions in the latest master file for the Obama campaign discovered 1,000 separate entries for Mr. Good Will, most of them for $25. In total, Mr. Good Will gave $17,375.

Following this and subsequent FEC requests, campaign records show that 330 contributions from Mr. Good Will were credited back to a credit card. But the most recent report, filed on Sept. 20, showed a net cumulative balance of $8,950 — still well over the $4,600 limit.

There can be no doubt that the Obama campaign noticed these contributions, since Obama’s Sept. 20 report specified that Good Will’s cumulative contributions since the beginning of the campaign were $9,375.

In an e-mailed response to a query from Newsmax, Obama campaign spokesman Ben LaBolt pledged that the campaign would return the donations. But given the slowness with which the campaign has responded to earlier FEC queries, there’s no guarantee that the money will be returned before the Nov. 4 election.

Similarly, a donor identified as “Pro, Doodad,” from “Nando, NY,” gave $19,500 in 786 separate donations, most of them for $25. For most of these donations, Mr. Doodad Pro listed his employer as “Loving” and his profession as “You,” just as Good Will had done. But in some of them, he didn’t even go this far, apparently picking letters at random to fill in the blanks on the credit card donation form. In these cases, he said he was employed by “VCX” and that his profession was “VCVC.”

Following FEC requests, the Obama campaign began refunding money to Doodad Pro in February 2008. In all, about $8,425 was charged back to a credit card. But that still left a net total of $11,165 as of Sept. 20, way over the individual limit of $4,600. Here again, LaBolt pledged that the contributions would be returned but gave no date.

In February, after just 93 donations, Doodad Pro had already gone over the $2,300 limit for the primary. He was over the $4,600 limit for the general election one month later. In response to FEC complaints, the Obama campaign began refunding money to Doodad Pro even before he reached these limits. But his credit card was the gift that kept on giving. His most recent un-refunded contributions were on July 7, when he made 14 separate donations, apparently by credit card, of $25 each.

Just as with Mr. Good Will, there can be no doubt that the Obama campaign noticed the contributions, since its Sept. 20 report specified that Doodad’s cumulative contributions since the beginning of the campaign were $10,965.

Andy McCarthy sums up:

Bottom line: the would-be President of the World is raising goo-gobs of money from foreigners outside the United States (a violation of federal law), and matching goo-gobs of money inside the United States from phantoms who are blowing out the individual contribution limits by, among other devices, making up identies and breaking up contributions in amounts less than $200, for which reporting requirements are less rigorous.

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