A report obtained and extensively sourced by the Journal Sentinel points to the possibility that Presidential Candidate Herman Cain may have gotten his campaign off the ground by using illegally-raised funds from a supposed nonprofit then run by his current chief and deputy chief of staff.
Financial records indicate that Prosperity USA claimed Friends of Herman Cain owed it $40,000 for a slew of items in February and March including travel and iPads after Cain began taking donations for his presidential bid in January. The purchases may constitute a breach of federal law, according to Daniel Bice of the JS.
Items purchased but not yet paid for included: an “Atlanta invoice” for $15,000, $17,000 for chartered flights and $5,000 for travel and meetings in Iowa, Las Vegas, Houston, Dallas and Louisiana, Bice wrote.
“The national election expert who works with GOP candidates said it would be a violation of the tax code for Prosperity USA to advance money to the Cain campaign for these items. She said there also are strict federal election regulations on reporting debts and incurring travel obligations.”
“‘I just don’t see how they can justify this,’ she said. ‘It’s a total mess.’”