The complaint alleges Clinton and the DNC used state chapters as straw men to go around campaign donation limits, ultimately ‘laundering,’ the funds to her presidential campaign.
Dan Backer, the general counsel behind the complaint, believes the scheme mimicked a money laundering operation.
Backer wrote in Investor’s Business Daily:
The Committee to Defend the President has filed an FEC complaint against Hillary Clinton’s campaign, Democratic National Committee (DNC), Democratic state parties and Democratic mega-donors. […]
HVF solicited six-figure donations from major donors, including Calvin Klein and “Family Guy” creator Seth MacFarlane, and routed them through state parties en route to the Clinton campaign. Roughly $84 million may have been laundered in what might be the single largest campaign finance scandal in U.S. history. […]
Here’s what you can’t do, which the Clinton machine appeared to do anyway. As the Supreme Court made clear in McCutcheon v. FEC, the JFC may not solicit or accept contributions to circumvent base limits, through “earmarks” and “straw men” that are ultimately excessive — there are five separate prohibitions here.
On top of that, six-figure donations either never actually passed through state party accounts or were never actually under state party control, which adds false FEC reporting by HVF, state parties, and the DNC to the laundry list. […]
HVF bundled these megagifts and, on a single day, reported transferring money to all participating state parties, some of which would then show up on FEC reports filed by the DNC as transferring the exact same dollar amount on the exact same day to the DNC. Yet not all the state parties reported either receiving or transferring those sums.
Least we forget, Hillary Clinton and the DNC were also hit with their first FEC complaint in late October for hiding the Russia dossier payment.