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11-18-2014, 10:47 AM #1
Obama Campaign Strategist Guilty of Wire Fraud
A good example of the abuse of agency grants.
Obama Campaign Strategist Guilty of Wire Fraud
BY: Washington Free Beacon Staff
November 17, 2014 4:10 pm
A Democratic campaign strategist who worked on President Obama’s 2004 Senate campaign pleaded guilty to one count of conspiring to commit wire fraud,Town Hallreports.
Thomas Lindenfeld participated in the wire fraud scheme while he was consulting for the 2007 election campaign of Philadelphia’s mayor.
“Elected Official A” (the title given by the FBI) and Lindenfeld arranged an illegal campaign contribution in the form of a $1 million loan that he routed through his own political consulting firm, LSG Strategies Services Corporation. Documents show that $600,000 of that money was used in “Elected Official A’s” political campaign and the rest returned to the creditor (who also hasn’t been charged and is unnamed).Additionally, “Elected Official A” funded Lindenfeld’s fake environmental advocacy group, called “Blue Guardians,” using federal funds.
When the creditor who loaned LSG the money that was used for “Elected Official A’s” campaign sought to have the loan paid off, Lindenfeld paid the debt with stolen charitable funds and federal grant money that he routed through LSG and several other entities.
In 2009, “Elected Official A” requested $15 million for the phony group, but was only approved for $500,000 from an earmark through the National Oceanic and Atmospheric Administration (“NOAA”).
NOAA did some digging into the organization because it did not have a website or contact information. Lindenfeld and the elected official conspired to make the organization look legitimate.
From the beginning, NOAA was suspicious of “Elected Official A” and Lindenfeld’s involvement with each other and the incredibly shady “Blue Guardian.” The $500,000 never made it to Lindenfeld and he was indicted in August of 2014.
Lindenfeld faces up to 20 years in prison and as much as a $250,000 fine.
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