Pennsylvania law firm to pay penalty for Gephardt campaign donations

Wednesday, July 1, 2009 | 4:16 p.m. CDT

JEFFERSON CITY — A Pennsylvania law firm is to pay $155,000 to settle allegations that it illegally funneled money to the presidential campaign of former Missouri Rep. Dick Gephardt.

The Federal Election Commission had accused the Karoly Law Offices, of Allentown, Pa., and its president John Karoly Jr. of reimbursing employees for $13,000 of contributions to Gephardt's campaign in 2003.

Federal law bars corporate contributions to candidates and prohibits people from contributing money under another person's name.

The settlement, announced Wednesday by the federal agency, includes no admission of wrongdoing by the law firm, but requires it to pay the penalty within  six months. Gephardt was not accused of any wrongdoing.


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