Report outlines Fattah's money woes
WASHINGTON - Rep. Chaka Fattah's campaign fund is nearly empty and his leadership PAC is in the red. Now, a new filing shows that his legal defense fund spent $100,000 on lawyers in its first month of operation, while raising $19,000 from the congressman's allies.
WASHINGTON - Rep. Chaka Fattah's campaign fund is nearly empty and his leadership PAC is in the red. Now, a new filing shows that his legal defense fund spent $100,000 on lawyers in its first month of operation, while raising $19,000 from the congressman's allies.
Fattah, a Philadelphia Democrat fighting federal corruption charges, kept the fund afloat by loaning it $85,000 from his own pocket and giving it $5,000 from his political leadership PAC, leaving a $9,000 balance as of Sept. 30, the date of the fund's first public filing with the IRS.
The report adds to the picture of mounting costs for a lawmaker whose charges stem from difficulties raising money. The accusations center on Fattah's alleged scheme to repay an illegal $1 million campaign loan when he ran for mayor. Fattah has said he is innocent.
But he appears short on money.
Drained by legal expenses, Fattah's campaign account was down to $2,607 in cash with debt of $1,785 as of Sept. 30. His leadership PAC had $6,843 cash and $17,000 of debt.
Fattah, however, stressed the political support he has received, and said he would continue to battle the charges.
"First and foremost I'm innocent, so I have no doubt about the outcome of this matter," he said. "Obviously we will do what is required in terms of making sure that I have the representation that I need."
The Sept. 30 filing for the legal defense fund came after only a few weeks of fund-raising. The House Ethics Committee approved the account in early September.
Donors to the fund include fellow Philadelphia Rep. Bob Brady, chairman of the city's Democratic Party, whose campaign account gave the maximum $5,000 allowed. The House's third-ranking Democrat, South Carolina Rep. James Clyburn, and Philadelphia City Councilwoman Cindy Bass, a former Fattah staffer, also donated the maximum.
Lee Vartan, a defense attorney and former federal prosecutor, said that the cost of a defense depends on the lawyers, charges, and legal strategy, but that with such a high-profile case, it could cost at least several hundred thousand dollars to fight the allegations to the end.
"There's no part of this that is not time intensive, labor intensive and resource intensive," Vartan said, especially when facing prosecutors with the resources of the federal government behind them.
Money, he said, can affect strategy. He has seen some clients facing massive bills opt to settle rather than paying to go to a trial.
Fattah has vowed to prove his innocence and hold onto his House seat.
His legal fund can help cover the costs of his defense, which have topped $200,000 before the trial even begins.
His campaign spent $120,588 on lawyers in the first nine months of the year, according to filings with the Federal Election Commission, on top of the $100,000 that the defense fund spent in September. Fattah was indicted in late July.
Facing three primary challengers, he said he will worry about his reelection first. The April 26 primary arrives six days before his trial is scheduled to start.
"My big focus is on our work and I'm getting a major award in Italy around neuroscience," Fattah said. "Then the next issue is, I do have an election coming up, which is well before the resolution of these allegations."
He downplayed any political danger, saying last week he received the party endorsement in the 21st Ward, the largest in his district.
The $85,000 Fattah loaned his defense fund could be forgiven, or he could pay himself back with any donations that roll in. After his legal bills, Fattah's biggest campaign expense this year has been $18,710 spent on a fund-raising consultant.
@Jonathan Tamari
Inquirer staff writer Chris Brennan contributed to this article.