Republican Pennsylvania candidate Mehmet Oz has drawn criticism for being a rich New Jersey resident attempting to buy a seat in the U.S. Senate for a state where he couldn't even spell the street where he "lived" correctly in his candidate filing paperwork.
According to the Daily Beast, however, Oz is now being accused of using a campaign finance loophole to essentially funnel money to his campaign.
Oz could easily self-fund his campaign if he wanted to loan the funds to his campaign, but instead, he's using a tactic one expert called "legalized money laundering."
The Supreme Court's decision to strike down campaign finance regulations years ago enabled Oz to set up a super PAC for "dark money" where he can raise money from a tax-free group.
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“The Supreme Court’s Citizens United decision allowed corporations, including nonprofit organizations, to make unlimited contributions to Super PACs, which then could spend those funds on independent expenditures supporting or opposing candidates,” campaign finance expert Brett Kappel said.
Nonprofit groups don't have to show who is donating to them, while campaigns must. The nonprofit group American Leadership Policy funneled about $4 million to Oz, spending about $3.5 million so far through the super PAC "American Leadership Action."
While they report getting two donations from corporate entities, another came from the nonprofit. The hefty cash came from his wife's parents. Oz is currently registered to vote under their address and the campaign office is registered at his father-in-law's strip mall address.
It's the same tactic that Trump has used. So, Trump has the America First Action super PAC along with the America First Policies nonprofit. He also has Make America Great Again Action and the Make America Great Again Policies nonprofit.
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“Citizens United essentially created a system of legalized money laundering, which allows wealthy donors to funnel unlimited amounts of money through nonprofit organizations to Super PACs to support candidates of their choosing without ever having to reveal their identities,” Kappel said.
In Oz's case, the two groups were founded just two days apart from Virginia. The nonprofit group claims it will operate as a "social welfare organization." So they can engage in political activity as long as it isn't the primary focus of the group.
They're not allowed to "coordinate" but they're sharing the same office space and they share a lawyer.
"The distaff branch of the Oz household has ties to two wealthy and influential mid-Atlantic families: The Asplundhs and the DuPonts, both of whom have given to the super PAC," the report explained.
The DuPonts are also linked to Oz through his wife, whose sister married into the dynasty.
