From: WEWoodsMPH Date: Mon, 30 Mar 1998 22:33:14 EST Subject: Hawaii Political Fundraiser - Findings and Allegations, and Due Process Hawaii Political Fundraiser - Request for Investigation, Presentation of Personal Investigation Findings and Allegations, and Due Process Aloha Folks, Today a new level was achieved in the process of my investigation into the campaign spending and related issues of Save Traditional Marriage 98 and Hawaii's Future Today. Following the guidelines for filing complaints and assuring due process I met with Hawaii State Campaign Spending Commission Executive Director and their staff attorney to present the 20 or so different issues and items that I believe identify allegations of Hawaii state law that should warrant a formal investigation that only the State Attorney General of City Prosecutor would have the authority to conduct appropriately. I also invited representatives of the League of Women Voters as observers to the process. They are currently involved with the clean money campaign spending recommendations and have a historical active concern for proper use of the political system. A representative of the Citizens for Separation of Church and State was also present as there have been found to be reported political contributions of churches to the fundraiser. After more than an hour of presentations of individuals issues and providing of some background information and statements from some reported contributors a discussion of the possibilities and next step(s) took place. For the original seven formal complaints to the commission the first two's preliminary determination for cause appears to be completed with neither side appealing the review of facts. If this is true then the Commission need only finalize their penalties, fines or whatever at their April 7, 1998 meeting to complete that complaint. If you recall these complaint related the contribution and acceptance of foreign source funds, which is a violation of state law. Coming up at that meeting will be: 1. the complaints regarding DFS-Hawaii contribution exceeding cap of $1,000 and to determine if this, too was foreign money in accordance with Hawaii law. DFS-Hawaii is a company wholly owned by foreign corporation. 2. Complaint requesting the CSC to declare Hawaii's Future Today a political action organization and require them to report in accordance with those reporting guidelines. and 3. Complaint alleging that Stephen Covey contributed $139,000 in excess of contribution (in-kind) to a political action organization and the Franklin Covey Company be either designated a political action organization under Hawaii Campaign Spending laws if it can be established they spent more than $1,000 cash or inkind for the political cause or that it be noted as an error of omission in the campaign spending report since nothing was declared as a contribution by that organization, but its resources were utilized. It appears from the discussion that Commission ED will request permission from Commission to commence an investigation. If that is done and some level of probable cause evidence is found a request could then be made for recommending to State Attorney General or City Prosecutor to begin a larger or greater issue scale investigation. It was known to be and noted by others that following due process will take some significant time. Identifying the facts and what constitutes evidence is an essential focus of this level of the complaint process. Although many statements and opinions have been offered in various news and information reports on this situation, only a government organization with additional legal powers such as subpoena powers can bring about the clear truth while keeping track of due process concerns we all have. The following is the first few paragraphs of the letter given to the Campaign Spending Commission outlining what issues I believe have come to light as allegations and violations based upon the investigation I conducted and some of the materials and statements I have amassed to date. Now the evidentiary portion has got to take place to see which ones may be, are or are not valid under the law. do good William E. Woods, MPH Mr. Robert Watada March 30, 2998 Executive Director Campaign Spending Commission 235 S. Beretania Street, Room 300 Honolulu, Hawaii 96813 Dear Mr. Watada; I believe that the investigation that I have been working on regarding the political action campaign practices and solicitation of Hawaii's Future Today, Save Traditional Marriage 98, The Franklin Covey Company, Stephen Covey, Rosehill & Associates, their officers and representative agents has produced an overwhelming amount of information of clear, apparent and alleged violations of Hawaii State law that necessitates a major criminal investigation to be commenced. Many of the violations that have been identified and alleged before and within this letter began with a singular review of the Save Traditional Marriage 98 January 30, 1998 filing of their initial campaign spending report under the campaign spending laws of this state. Initially a few glaring violations appeared which led to my further in-depth investigation. However, as more and more information was forthcoming, the results clearly suggest allegations of numerous Hawaii State law violations, including, but not limited to allegations of misleading and fraudulent political solicitations, conspiracy to defraud, failure to report political action activities, false reports of contributions not made by the reported contributor, failure to pay appropriate taxes, acceptance of political contributions made by prohibited foreign sources, solicitation and acceptance of political action funds from tax-exempt organizations prohibited from making such contributions, solicitation and acceptance of government funds precluded by law from being used for political purposes, failure to report gifts to politicians, and acceptance of political contributions in excess of legal caps. I believe that the extensive material and statements collected demonstrates at a minimum the threshold for an extensive legal/criminal investigation by all appropriate regulatory and state authorities. Since the issues cover campaign spending, ethics, taxation, business registry and regulation, and consumer protection laws, I believe the State Attorney General or City Prosecutor should be requested by your office to immediately open this up for the appropriate investigation and where necessary, prosecution. Five more pages follow this in the actual letter filed with the commission.