GOP Challenged on using Charity status for soft money grab

The complaints involve a cynical plan by the Bugman ( Tom Delay) to use the pretext of helping abused children in order to raise large amounts of money that will instead be funneled to the Bush re-election campaign.
I'm not kidding on this one, folks.
DeLay's "charity," Celebrations for Children, will hold parties during the convention and host a luxury suite for donors to watch George W. Bush's nomination acceptance speech. Somehow, this is supposed to raise money for the little chillen. Fred Wertheimer's Democracy 21 dropped a dime on DeLay, noting that "Representative DeLay is using the nation's charity tax laws and the pretext of helping children as a cynical cover to raise and spend huge amounts of prohibited soft money to finance political activities."

Two campaign finance watchdog groups complained to the Internal Revenue Service yesterday that House Majority Leader Tom DeLay (R-Tex.) is using a tax-exempt charity as "a scheme . . . to allow him to raise and spend unlimited 'soft money' funds for political activities" during the Republican convention next summer in New York.
DeLay plans to hold a series of convention-week fundraising events for Celebrations for Children Inc., a charity for abused and neglected children. A 13-page brochure describes the benefits that donors would receive depending on the size of their gifts to the group.

For a donor in the $500,000 "Upper East Side" category, for example, benefits include being named a sponsor at private dinners with DeLay before and after the convention and at other events, the opportunity to bring nine friends to a special golf tournament, 12 tickets to a Broadway show, 25 tickets to "the Members reception before/during/after Presidential acceptance speech" and a private yacht cruise "w/TD" [with Tom DeLay].

The complaint by Democracy 21 and the Campaign Legal Center alleged that "DeLay, Republican officeholders and candidates and Republican party officials will receive systematic opportunities to meet and network with wealthy individuals, corporate officials, lobbyists and other donors in an inherently partisan political environment. . . . They will also have opportunities to solicit contributions from these donors for the 2004 elections."

"Representative DeLay is using the nation's charity tax laws and the pretext of helping children as a cynical cover," said Democracy 21 President Fred Wertheimer, one of the two complainants.

Glen Shor, a lawyer with the Campaign Legal Center, said: "The IRS must not allow the tax exemption for charities to serve as a shelter for a political operation."

Roll Call first reported on the new charity and its plans on Nov. 13.

DeLay spokesman Stuart Roy described the complaint as a "publicity-seeking screed put out by a Democratic front group."

In an e-mail headed "Wertheimer doing the Dems Dirty Work," Roy contended that Celebrations for Children Inc. devotes 75 percent of all money raised to the care of abused and neglected children -- 10 percent more than the minimum set by the Better Business Bureau's "Wise Giving Alliance Standards for Charity Accountability."

Roy noted that DeLay has been active in foster care and in programs helping abused children for nearly 20 years, and that he is trying to raise as much as $20 million to finance housing and care for abused children who are difficult to place in foster homes.

The brochure declares that the Aug. 31 "Late Night Party promises to once again be the hottest ticket at the GOP Convention . . . this event will top the Blues Traveler and Lynyrd Skynyrd parties of 2000. Featuring a big name national act, yet to be announced, the show will be held at the legendary Hammerstein Ballroom."

Similar packages, but with fewer tickets, will go to lesser donors in the "Upper West Side: $250,000," "Central Park: $100,000," "Midtown: $50,000," "Soho: $25,000" and "Greenwich Village: $10,000" categories.

Roy charged that Democracy 21 is "bought and paid for," citing news reports that the organization has received about $250,000 over five years from financier George Soros, a major backer of liberal and Democratic groups.

Wertheimer responded by noting that he and his group have filed complaints against both parties and their elected officials.

He cited the complaints he filed over the years against then-House Speaker Jim Wright (D-Tex.), Rep. Tony Coelho (D-Calif.), President Bill Clinton, Sen. Hillary Rodham Clinton (D-N.Y.) and the Democratic National Committee. "The track record is very clear: We let the chips fall where they may," he said.

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