The International Franchise Association Franchising Political Action Committee also reported a thief cashing a $2,500 check on Feb. 7, according to recent correspondence with the Federal Election Commission.
The thefts are relatively small but emblematic of a larger problem in American politics: millions of donor dollars being stolen of late from dozens of political campaign committees.
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Raw Story has identified several members of Congress and various PACs who’ve been victimized by fraudsters in what’s become open season on politicians’ campaign accounts.
Libby Keefe, comptroller for the DFL, said the check was an obvious forgery because it included the phrase “Authorized Signer,” which the organization doesn’t use on its checks. The bank refunded the $490, so the DFL did not contact law enforcement. She said fraudulent checks are becoming a bigger problem in general.
“I’m going to meet with the bank soon,” Keefe said. “They have a new product for the purpose of stopping this. They send you a daily list of payments and you check off that you wrote them. It’s more work but it’s worth it.”
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The International Franchise Association said in an FEC filing that its loss was “a check that was intercepted after being mailed and fraudulently cashed by an unknown party.” The check was intended for the Moran Victory Committee, the fundraising committee for Sen. Jerry Moran (R-KS).
Moran’s own campaign committee was the victim of a cybertheft incident late last year — first reported by Raw Story — that cost his campaign $690,000. The FBI is investigating the theft.
Neither Timothy Gottschalk, treasurer for the Moran Victory Committee, nor The International Franchise Association immediately responded to a request for comment.
Political committees: soft targets
Some political committees have acknowledged flaws in their internal security protocols. And some have failed to recover significant portions of the cash they’ve lost despite the efforts of law enforcement and banks to retrieve it.
In May, Raw Story reported that the Managed Funds Association PAC was targeted more than 20 times between Jan. 1 and March 31, initially losing $147,000 in fraudulent check payments, although it appears to have since recouped the money, according to filings with the FEC.
The Retired Americans PAC, a super PAC that supports Democrats, recouped more than $150,000 it lost in late 2022 after paying fraudulent bills sent to the committee, according to an April 21 letter to the Federal Election Commission, Raw Story reported.
Other current and former Republican members of Congress targeted by thieves include Rep. Troy Nehls of Texas (his campaign lost $157,626), former Rep. John Katko of New York ($14,000), Rep. Neal Dunn of Florida ($10,855), Rep. Russell Fry of South Carolina ($2,607.98), Rep. Greg Murphy of North Carolina ($2,500) and Rep. Matt Gaetz of Florida ($362.04).
The Republican National Committee and Rep. Diana Harshbarger (R-TN) also experienced recent campaign cash thefts.
The problem isn’t unique to Republicans: In November, Senate Majority Leader Chuck Schumer’s campaign fell victim to check fraud worth $10,085, Raw Story reported, and President Joe Biden’s 2020 Democratic presidential campaign committee lost at least $71,000, according to Insider.
Democratic Rep. Alexandria Ocasio-Cortez of New York ($873.17) and Rep. Shontel Brown of Ohio also experienced thefts this year.
One-time Democratic presidential candidate and congresswoman Tulsi Gabbard and rapper-turned-2020 presidential candidate Ye, formerly Kanye West, are among others who reported money stolen from their political accounts.
At the end of February, the Business Industry Political Action Committee — the nation's oldest federal business — reported losing $14,156 to thieves, while the federal PAC of State Farm Insurance lost $12,220 to thieves, Raw Story first reported.
In June, the PAC for banking giant Goldman Sachs lost $6,000, Raw Story revealed. In March, the Energy Marketers of America Small Business Committee PAC reported to the FEC $5,000 in check fraud supporting Sen. Kevin Cramer (R-ND), and thieves went on a $195 shopping spree at Chick-fil-A with funds for Rep. Larry Bucshon (R-IN), according to a March FEC filing.
The International Longshoremen’s Association, a labor union, was able to get a $726.42 fraudulent automatic payment on the same date reversed, according to an FEC filing.
The Build Political Action Committee of the National Association of Home Builders (BUILDPAC) reported $500 and some change in fraudulent debits on February 27, according to an FEC filing.
The McKesson Corporation, a pharmaceutical and medical supplies company, informed the FEC that it, too, had fallen victim to someone who "created, forged and cashed a fictitious PAC check for $12,000" on Nov. 7.
The McKesson Company Employees Political Fund notified its bank "immediately upon discovery of the fraudulent activity" and attempted to secure return of the lost funds.
"To date," the committee added, "the bank has not returned the stolen funds."
The political action committees of Google, National Association of Manufacturers, Consumer Technology Association, National Air Traffic Controllers Association, International Brotherhood of Teamsters, MoveOn.org, and law firms Akerman LLP and Blank Rome LLP have also experienced theft of various kinds, be it cyber theft, forgeries or check tampering, according to Insider.
