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Tilting at Windmills

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July 21, 2010

THE RNC, A 'CIVIL WAR,' AND A HIDDEN DEBT.... It's clearly a busy media day, with a variety of stories generating plenty of discussion, but the RNC's hidden-debt controversy is probably under-appreciated at this point. It has the potential to be a very big deal.

A GOP civil war has broken out between RNC Chairman Michael Steele and RNC Treasurer Randy Pullen.

The dust-up reveals new levels of dysfunction at the RNC and suggests the Republican National Committee is having real money problems.

In a memo obtained by ABC News, Pullen makes startling allegations against Steele's chief of staff, accusing him of trying to hide unpaid invoices and causing the RNC not to report more than $7 million in debt in its April and May filings with the Federal Election Commission.

Now, we know that at least some of what Pullen is charging is already true -- the RNC had to file amended reports to explain previously unreported debt. But according to the RNC's own treasurer, Steele and others at party headquarters did this deliberately, allegedly going to literally criminal lengths to hide party debts and financial troubles.

Ed Morrissey, a prominent conservative blogger, added, "If Pullen's claims turn out to be true, it's a potential disaster for the RNC and Republican candidates, and not just because of the restricted cash flow. The GOP has been arguing that they are the party of fiscal responsibility and reform."

Right. What makes this story serious is the fact that it has multiple angles, all of them bad news for the RNC. We have (1) the in-fighting among RNC officials, with the chairman going up against his own treasurer; (2) potentially illegal accounting tricks; (3) weak RNC fundraising in advance of a critical election season that necessitated the illegal accounting tricks; (4) another distracting scandal for Steele to deal with, just a few weeks after the last one; and (5) the fact that the controversy itself steps all over the Republican message of fiscal responsibility.

Steve Benen 3:40 PM Permalink | Trackbacks | Comments (28)

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On my way to work today I was just thinking that I hadn't heard Steele's name in a couple weeks and that he was due for a gaffe or they hid him somewhere.

Steve, if you could be so kind, would you post the fund raising totals with the new numbers for both the DNC and RNC ?

Posted by: ScottW714 on July 21, 2010 at 3:46 PM | PERMALINK

What fun....

Posted by: stevio on July 21, 2010 at 3:49 PM | PERMALINK

Ah, but remember, it's ALWAYS good news for Republicans!

Posted by: AdamNYC on July 21, 2010 at 3:53 PM | PERMALINK

"Hey, remember all those shady accounting practices Wall Street used to topple our economy? Did the RNC use them first or pick them up along the way?"

Posted by: Art on July 21, 2010 at 3:58 PM | PERMALINK

All of this is meaningless to Red State voters because the President is black and his liberal agenda must be stopped!!! The RNC fiscal irresponsibilities will disappear once they elect a white male to run the party.

Posted by: Meady on July 21, 2010 at 3:58 PM | PERMALINK

Your #3 (weak RNC fundraising in advance of a critical election season) is immaterial, given the gazillions of cash that outside organisations will be pouring into Repub campaigns across the country (thanks, the RATS of SCOTUS).

Posted by: exlibra on July 21, 2010 at 4:00 PM | PERMALINK

Really, we can never thank the RNC enough for appointing Steele. He is the poster child for affirmative action as implemented by and for morons.

Posted by: Rathskeller on July 21, 2010 at 4:02 PM | PERMALINK

The real scandal that will be endlessly analyzed and reported on will be when Andrew Breitbart reveals that someone at the DNC neglected to report a $10 coffee mug "gifted" by an ACORN lobbyist in 1992.

Posted by: qwerty on July 21, 2010 at 4:06 PM | PERMALINK
the controversy itself steps all over the Republican message of fiscal responsibility.

In a sane world, reality would step all over that message -- the reality that GOP budgets are responsible for $10 trillion of our $12 trillion in national debt ... the reality that tax cuts don't pay for themselves ... the reality that Bush II rang up $6 trillion in debt, and not a single conservative said a damn word about "fiscal responsibility" ... etc. etc. etc.

Don't get me wrong. I LOVE seeing the GOP imploding. I just don't think it will mean much in the long run since actual facts don't seem to matter any more.

Posted by: Mark D on July 21, 2010 at 4:16 PM | PERMALINK

This one may be the one that does Steele in. I don't think they were going to throw out Steele over the Afghanistan thing, but this one they might feel able to act on.

Posted by: mcc on July 21, 2010 at 4:20 PM | PERMALINK

They're supposed to be about "family values" as well, but look where that's going.

Posted by: Daniel Kim on July 21, 2010 at 4:21 PM | PERMALINK

Clearly this is excellent news for John McCain.

Posted by: sherifffruitfly on July 21, 2010 at 4:25 PM | PERMALINK

Rathskeller - Steele's rise to RNC Chairman was NOT due to affirmative action. It was for a purely political (and cynical) reason that a black man won the Presidential race. (He also took office on Jan. 20, 2009. How very clever). Just like Sarah Palin was selected by McCain's campaign to run with him because a woman was the other front runner for President. However, both of THOSE actions WERE implemented by and for morons.

Posted by: winddancer on July 21, 2010 at 4:27 PM | PERMALINK

The sad thing is that no matter how badly the Republicans screw up, they're still overwhelmingly likely to make huge gains in the House and the Senate. There is no incentive for Republicans to be competent, or thoughtful, or conscientious, since they get rewarded anyway.

Posted by: Daryl McCullough on July 21, 2010 at 4:27 PM | PERMALINK

This is nothing new nor is it that important.

A while back there was a scandal in which money was being embezzled from the RNC so this has happened before. The real money is a parallel effort on the part of Karl Rove and there are other Republican money groups out there backing favorite sons and philosophies.

Since the RNC is the official party voice, there will be a few problems ("officially" at least), but the RNC has been a paper tiger for some time and since the RNC or its chairman are not involved in the intercine fighting that is going in the Republican party, few of the movers and shakers in the party are paying attention. Otherwise Mr. Steele would have lost his job a long time ago.

The real power in the Republican party lies elsewhere. What you are seeing here is just distraction. I suspect that no one wants a powerful or competent chairman of the RNC as he might interfere with the agendas of the two factions that are trying to determine who is really in charge. (The Lott vs. DeMint crowds.)

Hence Mr. Steele keeps his job, the RNC flexes no muscle, scandals are buried or ignored and the real business happens elsewhere.

Posted by: mikeyes on July 21, 2010 at 4:30 PM | PERMALINK

"I LOVE seeing the GOP imploding. I just don't think it will mean much in the long run since actual facts don't seem to matter any more."

Agree with Mark - the narrative that the R's are the party of fiscal responsibility won't be hurt by some little shenanigans from RNC headquarters. 90% of people don't know what the RNC or DNC are. If this "fiscal responsibility" narrative can survive in the face of, say, Reagan and Bush II absolutely exploding the cumulative national debt, then facts obviously don't matter.

Posted by: flubber on July 21, 2010 at 4:33 PM | PERMALINK

And what else did you expect from a political party that insists you don't have to offset tax cuts when balancing the federal budget?

Posted by: Russell Aboard M/V Sunshine on July 21, 2010 at 4:50 PM | PERMALINK

[...] causing the RNC not to report more than $7 million in debt in its April and May filings with the Federal Election Commission.

Clearly, the requirement to file the status of the bank account with the FEC is unconstitutional and should be refudiated *immediately*. One's finances are a private matter!

Posted by: exlibra on July 21, 2010 at 5:03 PM | PERMALINK

Perhaps they're covering their butts for when they get swept out of office in November. Perhaps, contrary to the spin they're publicizing (e.g. presumed gains in congress, etc), they have identified likely losses amongst themselves and have decided by planting the seed now that it was weak leadership that contributed to these 'unforeseen' Democratic wins, attention is drawn away from the idea that maybe Americans are fed up with their bull. Conversely, should the propaganda work that contingency plan is pretended away. Now only if the Democratic Caucus unified and pressed the sensibility of their policy positions and 111th and soon to be 112th Congress accomplishments.

Posted by: Bless on July 21, 2010 at 6:07 PM | PERMALINK

The GOP does not need any money to spread it's devilish drivel; it has many thousands of evil, horn'ed-headed, pitchfork-wielding, cloven-hooved teabagger-type minions, all willing to pay good money for an event ticket granting the right to lie their fool asses off to the entire world in front of a faux-nooze camera team.....

Posted by: S. Waybright on July 21, 2010 at 7:12 PM | PERMALINK

Dang, this show has been going on so long I finished my popcorn!

Yo, Slappy! Pass me the Twizzlers.

Posted by: toowearyforoutrage on July 21, 2010 at 7:42 PM | PERMALINK

The Party of Fraud - A twelve act play by Sarah Shakespalin

Posted by: John Henry on July 21, 2010 at 8:07 PM | PERMALINK

The real scandal that will be endlessly analyzed and reported on will be when Andrew Breitbart reveals that someone at the DNC neglected to report a $10 coffee mug "gifted" by an ACORN lobbyist in 1992.
Posted by: qwerty on July 21, 2010 at 4:06 PM

Isn't that the sad truth. Fox and Friends would have a field day: a non-stop bozothon of bitter, conservative white men on to console Steve Doocy and pretending to be "shocked" by this "outrage." It would be the show's only topic for a month, provided no attractive white woman turned up missing.

Posted by: electrolite on July 21, 2010 at 8:43 PM | PERMALINK

Seriously, I want to know - how the hell does Steele keep this job??? He must have pictures...

Posted by: zappawannabe on July 21, 2010 at 8:56 PM | PERMALINK

This just couldn't happen to a nicer organization. ROFL

Posted by: Bonnie on July 22, 2010 at 6:28 AM | PERMALINK

I don't see what there is to worry about. The Republican Party will always be the party of "fiscal responsibility" no matter how many financial scandals they get caught in. That is because the dominant media narrative SAYS they are the party of fiscal responsibility, and whatever the dominant media narrative says must be true. Of course, that narrative gets a little stronger every time it is re-inscribed, as it is in this article.

Posted by: Derek on July 22, 2010 at 10:20 AM | PERMALINK

I am still convinced Steele has the head RNC job still only because no one else wants it. And I don't know that this change it since it actually makes the RNC look like an even worse situation than it was - something I didn't think could happen.

I feel like any news on the RNC should end with the "Tune in Tomorrow for....."

Posted by: ET on July 22, 2010 at 12:42 PM | PERMALINK

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Posted by: Bypersiospeve on August 17, 2010 at 3:28 PM | PERMALINK




 

 

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