DOJ: No charges for FTX $500k OR Dem donation
DOJ: No charges for FTX $500k OR Dem donation
Nishad Singh pleaded guilty to federal charges of campaign finance fraud; Oregon today declined to prosecute under state law
The Oregon Department of Justice today announced it will not pursue criminal charges against Nishad Singh, the former head engineer for now-bankrupt cryptocurrency firm FTX, for a $500,000 campaign contribution to the Democratic Party of Oregon just prior to the November 2022 general election. Singh pleaded guilty to federal campaign finance charges in connection to similar contributions to federal political action committees in the 2022 cycle, and testified against FTX founder Sam Bankman-Fried, who was convicted earlier this year on fraud charges.
DOJ also today announced it did not find evidence that “would demonstrate beyond a reasonable doubt” DPO knowingly received the contribution, the largest it has ever received, under a false name. When it received the historic influx of funds in the Fall of 2022, DPO put it immediately to use to help Democratic candidates in Oregon, including now-governor Tina Kotek, who at the time was trailing Republican Christine Drazan in polling.
The Oregon Secretary of State’s office initially investigated the misfiling, pursuant to a complaint made by then-Secretary of State Shemia Fagan after The Oregonian first publicized the incorrect attribution of the $500,000 donation. The Secretary of State’s office first proposed a $35,000 fine against the DPO for its incorrect filing.
DPO appealed. Just prior to a hearing on the appeal, DPO and the Secretary of State’s Elections Division, then as now headed by former DPO official Molly Woon, reached a settlement agreement slashing the fine to $15,000. In the settlement agreement, DPO and the Secretary of State’s office blamed DPO’s failure to correctly report the source of the donation arose from a “pattern of fraud” by Nishad Singh. Prior to the settlement, DOJ attorney Kevin Gleim, representing the Secretary of State, filed a brief arguing the full $35,000 fine was appropriate, and any fraud by Singh did not eliminate DPO’s obligation to verify the accuracy of its filings.
In dismissing the case following the settlement agreement, the Elections Division referred to DOJ investigation of any criminal liability arising from Singh’s donation. It was this referral that initiated the DOJ investigation culminating in its announcement today.
Oregon Attorney General Democrat Ellen Rosenblum, a major ally of, and contributor to, DPO, recused herself from the contribution probe in May 2023. DOJ has jurisdiction over prosecuting campaign finance crimes; it also, in theory, can prosecute official misconduct. During Rosenblum’s tenure, Oregon DOJ appears to have brought no charges for official misconduct during a time Salem has been roiled by scandal after scandal implicating Rosenblum’s fellow Democrats, who entirely control state government.
In the federal case, Singh’s guilty plea admitted that he made unlawful campaign contributions in his name with funds given to him for that purpose by Bankman-Fried or related companies.
The Oregon DOJ investigation report does not address, in any way, whether Singh similarly violated Oregon laws prohibiting making contributions in the name of another, despite the fact that the $500,000 donation to DPO follows the “pattern of fraud” Singh admitted to in federal court.
This is a developing story.
If Ellen conflicted herself out, who made the "no proseq" decision?
Doesn't sound kosher to me.
Kotek has been scrambling to fog the many fund-raising and influence-peddling scandals surrounding her (and her wife). She'll probably pull it off. The Oregonian reporting was cited--but the paper hasn't been terribly interested in going down that rabbit-hole.
Keep at it, Jeff.