Litigation

Advice for Companies on Ducking ?Public Scrutiny?

By Peter Hardin

Corporations looking for a little shelter from public scrutiny over their political spending can find a friend in a middleman.

That’s the bottom line of an advisory issued online by lawyers for a Washington lobbying firm, and brought to light recently by the Talking Points Memo Muckraker blog.

Lawyers for K&L Gates wrote a “Public Policy and Law Alert” on the recent Citizens United decision of the Supreme Court. According to TPMMuckraker blog, the alert said companies can pump political money into political campaigns through middlemen groups like the U.S. Chamber of Commerce and escape the toughest “public scrutiny.”

Here’s a key section of the policy alert:

“[G]groups of corporations within an industry may form coalitions or use existing trade associations to support candidates favorable to policy positions that affect the group as a whole. While corporations that contribute to these expenditures might still be disclosed, this indirect approach can provide sufficient cover such that no single contributing entity receives the bulk of public scrutiny.”

Leading congressional Democrats have outlined a legislative package, including proposals for enhanced disclosure, in response to Citizens United. You can read about the legislation by clicking here for Gavel Grab.

Full post as published by The Gavel on February 23, 2010 (boomark / email).