john liu's campaign treasurer arrested for fraud

I'm way late posting this, but if you keep up with New York politics, by now you've heard that Comptroller John Liu's campaign treasurer was recently arrested for fraud, in yet another blow for the embattled city official: John Liu Campaign Treasurer, Jenny Hou, Arrested For Fraud In Fundraising Scandal.

Scandal. 25-year-old(!) campaign treasurer Jia "Jenny" Hou is accused of willfully participating in a campaigning scheme involving "straw donors" in order to make illegal contributions above the $4,950 limit authorized by the New York City Campaign Finance Board:

In the scheme, people who wanted to contribute more money than the law allows found "straw donors" who made contributions and were then reimbursed. The campaign then submitted fake contribution forms for the straw donors. Each form was signed falsely to indicate that the donors were not reimbursed.

Hou not only used campaign funds to reimburse one of the donors, in alleged violation of the law, she told a campaign volunteer to falisfy signatures on contribution forms. She also is accused of discussed how to hide information about campaign fundraisers to avoid tipping off authorities, and failing to disclose the name of all private fundraisers in violation of the law.

Several bundlers--or private individuals who collected campaign donations on Liu's behalf--held "multiple events" where straw donors were reimbursed for their contributions. The campaign keep the names of all bundlers from campaign finance authorities for more than two years, and then only provided a partial list.

More here: John Liu "Stunned" At Arrest of His Campaign Treasurer on Fraud Charges. Hou was charged with conspiracy to commit wire fraud, attempting to commit wire fraud and obstruction of justice. If convicted of all charges, she faces up to 60 years in prison.

Hou is the second of Liu's campaign aides to be indicted. In November, Xing Wu "Oliver" Pan was arrested on charges of bundling straw donors to funnel thousands of dollars in illegal campaign contributions.

Liu was once considered a top Democratic contender for New York City's 2013 mayoral race. Now, probably not so much. Still, the Comptroller remains adamant that he's not going anywhere: Liu turns a deaf ear at calls to quit.