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Showing posts with label Legal Defense Funds. Show all posts
Showing posts with label Legal Defense Funds. Show all posts

Saturday, September 30, 2017

Ethics office: Anonymous gifts to legal defense funds are not allowed

Megan Wilson
The Hill
Originally posted September 28, 2017

The Office of Government Ethics (OGE), the federal government’s ethics watchdog, clarified its policy on legal defense funds on Thursday, stating that anonymous contributions should not be accepted.

The announcement comes after a report that suggested the OGE was departing from internal policy regarding the donations, paving the way for federal officials to accept anonymous donations from otherwise prohibited groups — such as lobbyists — to offset their legal bills.

In 1993, the OGE issued an informal advisory opinion that allowed for such donations because the federal employee “does not know who the paymasters are.”

Immediately after, the office acknowledged the problems associated with allowing prohibited individuals to give to legal defense funds anonymously and instead advised lawyers not to accept those contributions.

Then-OGE Director Stephen Potts told a congressional panel in 1994 that the agency “recognized that donor anonymity may be difficult to enforce in practice because there is nothing to prevent a donor disclosing to the employee that he or she contributed to the employee’s legal defense fund,” the advisory published Thursday notes.

The article is here.

Friday, September 15, 2017

Trump ethics watchdog moves to allow anonymous gifts to legal defense funds

Darren Samuelsohn
Politico
Originally published September 13, 2017

The U.S. Office of Government Ethics has quietly reversed its own internal policy prohibiting anonymous donations from lobbyists to White House staffers who have legal defense funds.

The little-noticed change could help President Donald Trump’s aides raise the money they need to pay attorneys as the Russia probe expands — but raises the potential for hidden conflicts of interest or other ethics trouble.

“You can picture a whole army of people with business before the government willing to step in here and make [the debt] go away,” said Marilyn Glynn, a former George W. Bush-era acting OGE director who worked in the office for 17 years.

Lawyer fees have long been the source of controversy for presidents under fire. Richard Nixon’s White House took covert steps to pay the Watergate burglars, and a trust set up during Bill Clinton’s first term to deal with Whitewater and other controversies had to return hundreds of thousands of dollars in donations from a controversial Arkansas friend who was later indicted for campaign finance abuses.

At issue for the Trump staffers is a 1993 OGE guidance document that gave a green light to organizers of legal defense funds for government employees to solicit anonymous donations from otherwise prohibited sources — like lobbyists or others with business before the government. That Clinton-era opinion reasoned that if such donors were anonymous, such donations could be legal because the employee “does not know who the paymasters are.”

The article is here.