The Rev. Al Sharpton and his National Action Network have been slapped with a record $285,000 fine for violating a slew of federal election rules during his 2004 bid for president, the Post has learned.
In a decision to be made public next month, the Federal Election Commission found that Sharpton’s Democratic primary campaign accepted hundreds of thousands of dollars in contributions from private sources.
It also “kept poor records of its activities and expenditures” and commingled funds with Sharpton’s civil-rights group. All are prohibited under the Federal Election Campaign Act.
Earlier this month, Sharpton and former campaign manager Andrew Rivera signed an agreement with the FEC to pay the fine — among the highest in the regulatory body’s 34-year history.
“Sharpton 2004 materially misstated its receipts and disbursements, as well as cash on hand in 2004,” says the April 8 FEC report, which followed an investigation of the Sharpton campaign’s expenses.
The review followed a 2004 complaint to the FEC from the National Legal and Policy Center, a Virginia-based watchdog group.
“We are pleased that the FEC has ruled on our complaint and found that Sharpton ran an off-the-books presidential campaign,” said the center’s chairman, Ken Boehm.
At one point, Sharpton racked up $509,188 in campaign expenses on his American Express card. His campaign committee paid $121,996, according to the FEC, but the bulk was paid by the National Action Network and two private corporations controlled by Sharpton. A further $65,000 was paid by unknown sources, the FEC investigation found.
Sharpton also received “excessive in-kind contributions” from La-Van Hawkins, a wealthy supporter and principal of the now-defunct Hawkins Food Group.
Hawkins hosted a posh 2003 fund-raising dinner for Sharpton at his home in Atlanta and flew him to the event on his company jet. The total cost of the flight and the fundraiser — which featured Cristal champagne at $200 a bottle and fresh crab cakes and beef tenderloin for 60 guests — was estimated at more than $12,000, but was not reported by the Sharpton campaign.
The FEC requires the disclosure of all in-kind contributions over $1,000.
In June 2005, Hawkins was convicted of perjury and wire-fraud charges stemming from a corruption scheme involving the payment of bribes to the Philadelphia city treasurer in exchange for city contracts.
The FEC also noted that political consultant Roger Stone loaned more than $200,000 to the National Action Network in the run-up to the political campaign in order to pay for Sharpton’s campaign expenses. However, Stone denied the allegations, and the FEC took no action against him.
“Rev Sharpton is gratified that after full review of the record, the FEC significantly reduced the original fine and stated in the agreement that there was no evidence of intentional wrongdoing by National Action Network or the campaign,” said Rachel Noerdlinger, a Sharpton spokeswoman.
According to an earlier audit, Sharpton was to pay a $500,000 penalty.