Erlene King allegedly directed a scheme where she sent money to associates to distribute to others for donations to a campaign.
The treasurer of a failed 2021 campaign for Brooklyn borough president faces charges for allegedly orchestrating a fraudulent donation scheme to access over $400,000 in public matching funds. Erlene King, 71, is accused of sending thousands of dollars to associates over a span of two and a half years to circumvent campaign finance regulations and boost the campaign of Anthony Jones, who ultimately received only 3 percent of the vote. Jones has not been implicated in the scheme.
King pleaded not guilty to wire fraud in federal court and could potentially face up to 20 years in prison if convicted. Her attorney, John S. Wallenstein, stated that they are in discussions with prosecutors regarding potential resolutions.
New York City’s public campaign financing program offers funds to campaigns that meet specific fundraising criteria. During the 2021 Brooklyn borough president campaign, the Campaign Finance Board proposed to match campaign funds up to $8 for every $1 raised, provided that the campaign garnered donations from a minimum number of contributors and raised at least $50,000 in eligible contributions independently.
To meet these requirements, King allegedly orchestrated at least $25,000 in fraudulent contributions to Jones’s campaign. Such contributions, where the donor’s identity differs from the listed name on fundraising records, are commonly referred to as “straw” donations.
Source: The NY Times
