Jul 27, 2004 -- Press Release: Watchdog Group Files FEC Complaint Against Falwell Groups

The Campaign Legal Center on Monday filed a complaint with the FEC alleging that Jerry Falwell Ministries and a related entity, the Liberty Alliance, both corporations, violated campaign finance laws by endorsing President George W. Bush and soliciting funds for a federal PAC on their public website. Corporations are prohibited from making political communications to the general public, or raising PAC contributions from the general public.

" This is not an instance of a pastor in a pulpit preaching to his or her congregation, but instead, a corporate entity using undisclosed corporate funds to engage in campaigning and political fundraising with the general public. Campaigning by incorporated entities is blatantly illegal. This content on the Jerry Falwell Ministries website, aimed at getting the general public to contribute and vote for a federal candidate, shows complete disregard for the federal election laws ," said Gerald Hebert, director of Litigation at the Campaign Legal Center.

The watchdog group also sent a letter to the Commissioner of the IRS today asking the agency to look into the group's activities, which clearly violate the exemption requirements under the tax code section 501(c)(3).

The FEC complaint describes materials posted on the website of the two groups that clearly urge the reelection of the President and solicit contributions for a political action committee working for his reelection. The PAC, called Campaign for Working Families, is administered by conservative activists and sometime Republican presidential candidate Gary Bauer. In one excerpt from the site, Rev. Falwell writes:

"I am urging everyone reading this column today to take a moment to send a financial gift to the Campaign for Working Families in order to help in the crucial election of President Bush and conservative political leaders across this nation."

Such fundraising solicitations by non profit organizations squarely violate election law, as do endorsements of political candidates to the general public. These also are inconsistent with the exemption provisions of the tax code. A complaint concerning the Falwell political activities was also filed with the IRS early this month by Americans United for Separation of Church and State.

The solicitation also fails to carry the disclaimers required by federal law, an additional violation.

Professor Frances Hill, director of Tax Policy at the Campaign Legal Center, said: " Tax law is designed to give special advantages to groups that do important charity and educational work. The law doesn't confer the same advantages on groups that work to elect one candidate over another. The line between political groups and charities is important, and we hope this complaint will prompt the FEC to protect it ."

Click here to view the FEC complaint.

Click here to view the letter sent to the Commissioner of the IRS.