Obama Accepting Untraceable Donations

Washington Post: Campaign Takes Money From Prepaid Credit Cards That Could Be Used To Evade Limits, Mask Identity

(Washingtonpost.com)  This story was written by Matthew Mosk.

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Sen. Barack Obama's presidential campaign is allowing donors to use largely untraceable prepaid credit cards that could potentially be used to evade limits on how much an individual is legally allowed to give or to mask a contributor's identity, campaign officials confirmed.

Faced with a huge influx of donations over the Internet, the campaign has also chosen not to use basic security measures to prevent potentially illegal or anonymous contributions from flowing into its accounts, aides acknowledged. Instead, the campaign is scrutinizing its books for improper donations after the money has been deposited.

The Obama organization said its extensive review has ensured that the campaign has refunded any improper contributions, and noted that Federal Election Commission rules do not require front-end screening of donations.

In recent weeks, questionable contributions have created headaches for Obama's accounting team as it has tried to explain why campaign finance filings have included itemized donations from individuals using fake names, such as Es Esh or Doodad Pro. Those revelations prompted conservative bloggers to further test Obama's finance vetting by giving money using the kind of prepaid cards that can be bought at a drugstore and cannot be traced to a donor.

The problem with such cards, campaign finance lawyers said, is that they make it impossible to tell whether foreign nationals, donors who have exceeded the limits, government contractors or others who are barred from giving to a federal campaign are making contributions.

"They have opened the floodgates to all this money coming in," said Sean Cairncross, chief counsel to the Republican National Committee. "I think they've made the determination that whatever money they have to refund on the back end doesn't outweigh the benefit of taking all this money upfront."

The Obama campaign has shattered presidential fundraising records, in part by capitalizing on the ease of online giving. Of the $150 million the senator from Illinois raised in September, nearly $100 million came in over the Internet.

Lawyers for the Obama operation said yesterday that their "extensive back-end review" has carefully scrubbed contributions to prevent illegal money from entering the operation's war chest. "I'm pretty sure if I took my error rate and matched it against any other campaign or comparable nonprofit, you'd find we're doing very well," said Robert Bauer, a lawyer for the campaign. "I have not seen the McCain compliance staff ascending to heaven on a cloud."

The Obama team's disclosures came in response to questions from The Washington Post about the case of Mary T. Biskup, a retired insurance manager from Manchester, Mo., who turned up on Obama's FEC reports as having donated $174,800 to the campaign. Contributors are limited to giving $2,300 for the general election.

Biskup, who had scores of Obama contributions attributed to her, said in an interview that she never donated to the candidate. "That's an error," she said. Moreover, she added, her credit card was never billed for the donations, meaning someone appropriated her name and made the contributions with another card.

When asked whether the campaign takes steps to verify whether a donor's name matches the name on the credit card used to make a payment, Obama's campaign replied in an e-mail: "Name-matching is not a standard check conducted or made available in the credit card processing industry. We believe Visa and MasterCard do not even have the ability to do this.

"Instead, the campaign does a rigorous comprehensive analysis of online contributions on the back end of the transaction to determine whether a contribution is legitimate."

Juan Proaño, whose technology firm handled online contributions for John Edwards's presidential primary campaign, and for John F. Kerry's presidential campaign and the Democratic National Committee in 2004, said it is possible to require donors' names and addresses to match those on their credit card accounts. But, he said, some campaigns are reluctant to impose that extra layer of security.

"Honestly, you want to have the least amount of hurdles in processing contributions quickly," Proaño said.

Sen. John McCain's campaign has also had questionable donations slip through.

Dan Pfeiffer, Obama's communication's director, said that "no organization can fully insulate itself from these problems. The McCain campaign has accepted contributions from fraudulent contributors like 'A for You,' 'Adorable Manabat,' 'The Gun Shop,' and 'Jesus II' and hundreds of anonymous donors."

But R. Rebecca Donatelli, who handles online contributions for the McCain operation and the RNC, said security measures have been standard in the GOP nominee's fundraising efforts throughout the campaign. She said she was "flabbergasted" to learn that the Obama campaign accepts prepaid cards.

"Yes, a gift card would go through the same process as a regular credit card and be subject to our same back-end review," the Obama campaign said in its response to questions about the use of such cards.

Campaign finance lawyers said there is a long history of debate within the FEC about how to ensure that donors use their own credit cards.

Election lawyer Brett Kappel said the FEC has never grappled with the question of cash cards. "The whole system is set up for them to accept the payment, then determine whether it is legal or not. And if it's not, send it back. That's what the statute requires," he said.

[calipauthy63]

WOW, CBS actually reports on this story, internet only though...
There reporters must have been so bored from not doing anything, they acidently reported this... Maybe they are starting to see the light about obama and how he will treat reporters that happen to ask a question he blunders in front of a camera...
Nice to see politicians can make laws for themselves that try to cover what they are really doing...

[drsuz]

On a lighter note, let me state that it is 100% impossible for John McCain to have voted with President Bush, after all the President has no voting powers in the Senate. So actually, Obama and the DNC''s claims are 100% false. McCain, unlike his Democratic Rival, has continued to maintain one of the highest levels of independence demonstrated by any US Senator since 2000. Obama''s statistics on McCain''s 90% is not based upon any actual statistical data, but rather a soundbite taken years ago at a highly partisan rally in which McCain made a misstatement. Barack Obama, the self-proclaimed moderate, has voted along party lines more often than even Nancy Pelosi and Harry Reid have. That''s right, according to The Votes Database, During the 110th Congressional session running from Jan 2007 to now, Senator Obama ranked 12th among 100 Senators, having voted along party lines 96% of the time; an amazingly high percentage for someone who claims to be able to reach across the isle. Ironically, some sessions of congress, Obama voted along party lines more often the Senator Kennedy, Senator Reid, and Senator Kerry. For a candidate who talks about unity and his ability to work with the side, he certainly has not demonstrated it. After all, how can a candidate claim moderation when the current Democratic Senate Majority Leader, Harry Reid, has crossed party lines during the past two sessions of congress more often than Obama?

[drsuz]

Has McCain voted with Bush 90% of the time?

Yes. According to Congressional Quarterly McCain has voted with Bush 90% of the time throughout Bush''s presidency.

Congressional Quarterly reports that McCain has voted with Bush 90 percent of the time throughout Bush''s presidency - from January 2001 up to Congress'' August 2008 recess, when the analysis was conducted. [1]

[drsuz]

90% is 90% not 45%. The 90% figure came right out of McCain''''s mouth. Unless McCain is telling another lie, I take him at his word, 90% is 90%. Posted by thechooch1

The man didnot lie..Bush has been in "2" terms of office. McCain said he voted with Bush 90% of the time. 90 divided by 2 = 45. McCain just stated 90%. He DIDNOT say 90% these past four years did he??
Quote....
In the 100-member Senate, 14 current members %u2014 all Republicans %u2014 voted with Bush more than 90 percent of the time, according to the report. Six others have a 90 percent rating like McCain''s. The report shows Obama voting with Bush 40 percent of the time and his running mate, Sen. Joe Biden, voting with Bush 52 percent of the time DURING THE COURSE OF HIS PRESIDENCY.

[drsuz]

(I''''m middle class and paid cash for the vacation), and the American dollar was stronger than the Canadian dollar. Are we complaining about nothing here? I won''''t be the most popular person for saying this, but my life as a working citizen has been good for the past eight years. (BTW, I''''m also putting my wifr through nursing school (cash), and I''''m sure whe won''''t have any trouble finding a job). It''''s out there, go get it. Posted by codymac4

We too are middle class and have survived in pretty good shape these past 8 years, rising up from low-income. A home paid for, can buy all them toys like ATV''s, laptops, ect.. paid for daughters education.. Its called MANAGING YOUR FINANCES and LIVING WITHIN YOUR MEANS which apprently alot have not. When Bush #1 was elected, we saw hard times coming and prepared for it. They say we have a bad economy..huh??? Gas prices are the lowest they have been in years. Credit is availble to those who didnot abuse it when they had a chance. Jobs ARE out there if you are not afraid to relocate or go and get training. The only people who are hurting are those who invested too much in Wall Street (which of course IS a mistake), lived above their means (overspent and never looked ahead) or abused credit. Jobs were being lost well before GW..I am an independent voter who leans towards Democrats, however I have not seen a good one since Clinton #1 ran or one worth voting for.

[thechooch1]

Lets see, according to this means over the last eight years, McCain voted WITH Bush 45% of the time during Bush''''s terms.. Not bad....

Posted by DrSuz

90% is 90% not 45%. The 90% figure came right out of McCain''s mouth. Unless McCain is telling another lie, I take him at his word, 90% is 90%.

[drsuz]

Oh yeah. McCain stands for change? Voting 90% of the time with w isn''''t change. You can''''t call yourself a Maverick if all you have been for the last eight years is a sidekick. Posted by thechooch1

Lets see, according to this means over the last eight years, McCain voted WITH Bush 45% of the time during Bush''s terms.. Not bad....

[drsuz]

"The Obama organization said its extensive review has ensured that the campaign has refunded any improper contributions, and noted that Federal Election Commission rules do not require front-end screening of donations."Posted by SgtStedenko

So money they accepted from Overseas and Foreign interests WERE returned?? And HOW do we know any money was returned??? The news never reported it.

[thechooch1]

Who uses prepaid cards anyway? It isn''t the wealthy, they have all the cards they need. It is the poor that don''t qualify for a credit card and probably don''t have a bank account to send a check. The only way they can donate is to use a prepaid card.

Read the article, there have been questionable donations to both parties. The difference is Obama isn''t taking money from lobby members, while the McCain campaign is run by lobby members.

[drsuz]

If you can''''t manage your campaign compllance with how to take money in best and ethically, how can you managed the finance responsibilities of being POTUS, i.e., Prez? The rush to win...of greed and ambition...has sidetrack the Obama campaign.
Posted by Xpineapple

FINALLY someone else gets it!!!

[thechooch1]

Oh yeah. McCain stands for change? Voting 90% of the time with w isn''t change. You can''t call yourself a Maverick if all you have been for the last eight years is a sidekick.

[drsuz]

And these Osama lovers who think he''''s going to be the next president, actually believe that load of ********* that the Osama campaign only takes traceable and legal donations. Yet another in a pack of a billion lies. How can you tell Osama is lying? Because his lips are moving. Posted by xentpro

No, any good Detective will tell you is to watch their EYES. If they cannot look at you straight in the face while answering.....If they shift left or right, they are LYING!!!!!

[drsuz]

I dare anyone of you Barack cool-aid drinking idiots.... to show me significant evidence that he has done ANYTHING in his brief political career to back up the CHANGES his mouth has been spouting off since the start of the primaries. Posted by slayrre007

On another story, one of his fellow Illinoians posted very clearly. Obama made similar speeches and promised "Change" to get elected into the Illinois Senate and never followed thru. And as for being a US Senator, he has not been in office long enough to PROVE himself as a leader since he has been out campaigning most of his term thereby ignoring Bills and Amendments that have been presented to the Senate which needed attention. Alot of good ones have failed because many Senators were not present to vote.

[thechooch1]

Big papers are liberal?

Ever heard of republican billionaire Rupert Murdock? He owns the New York Times and Wall Street Journal. You think for an instant his papers wouldn''t print anything about Barack Obama?

[drsuz]

mccain has been erratic, reckless, unprofessional - ...it''''s pathetic - - You don''''t witness Obama acting like this - the man has kept it together through this campaign - mcain has not - Posted by cyn508

The reason YOU donot witness it on Obama is because the BIG NEWS media fails to report it, to show it. Small Local papers are the only ones who are not afraid to report it. They dig up more dirt on both candidates and report it than Big time media outlets.

[drsuz]

Brucie2006 you could not have gotten me to vote for Kerry even if he was the only candidate on the ticket. What took it was when he promised to bring companies back to the US. Yeah right. Like his wife would do anything like that. Bring it back to the US from Mexico and overseas!!

[drsuz]

HOW CAN ANYONE THINK PALIN IS A TRERROIST??? THAT IS SO STUPID.....
Posted by design1991

So true..Look who Obama has been associated with. Look who Biden has been associated with. Yes, and look who McCain has been tied with. Heck Palin looks like a SAINT for only being tied to Big Oil..

[drsuz]

Oh, gee what a shocker. Just now, a week before the election, we''''re starting to see questionable headlines about Obama. Is the media now realizing their mistake in propping him up? Or is this assuaging their guilt for not having reporting these things earlier?
Posted by msa123

The reason is because it is too late for a voter who voted early to realize that the person who they voted for is a fraud and liar. Thats why I am like thousands of other who prefer to wait until Election day. By then all the dirt has finally showed up in the news and you can see the Candidates "True Colors".

Now do people understand why alot of us wanted early voting abolished after the LAST election???

[design1991]

I CANNOT BELIEVE THAT ANYONE COULD COMPLAIN ABOUT WHERE MC CAIN''S MONEY CAME FROM.....LETS SEE...OBAMA HAS MADE MORE MONEY THAN ANYONE IN HISTORY...PLUS DO YOU REALLY THINK HE GOT HIS UNDER $200.00 DONATIONS FROM ANY OF THE FOLLOWERS OTHER THAN FROM COUNTRIES OVER SEAS......OR HIS BEST FRIENDS.....REV. WRIGHT....AYERS....REZKO....KHALIDI...FARRAKAN..THEY CAN SEND AS MUCH AS THEY WANT AS LONG AS IT IS NOT OVER $200.00....AND PEOPLE CAN BUY PER PAID CREDIT CARDS THAT "CAN NOT" BE TRACED....SO ANYONE CAN SEND ANYTHING THEY WANT AS MUCH AS THEY WANT...ALL HIS DONATIONS COME TROUGH THE INTERNET?????HUM?????NOT TRACABLE...IF THERE IS A QUESTION ABOUT THE DONATIONS THEY BETTER BE QUESTIONING OBAMA''S MONEYS AND WHERE HE GOT SO MUCH DONATED IN SEPT...BREAKING ALL RECORDS!!!!

[design1991]

HOW CAN ANYONE THINK PALIN IS A TRERROIST??? THAT IS SO STUPID.....WHEN YOU CAN LOOK INTO OBAMAS PAST ANDSEE WITH YOUR OWN EYES THAT REV. WRIGHT WAS HIS PASTER FOR 20 YEARS DENOUNCING THE US......HAVE YOU FORGOTTEN? "NOT GOD BLESS AMERICA, GOD *** AMERICA."

THAT IS WHERE OBAMA COMES FROM...EVERYONE WANTS TO FIND SOMETHING WRONG WITH SOMEONE IN THE REP. PARTY "SOOOOOOO" BAD!!!AND THERE REALLY ISN''T ANYTHING TO FIND....SO THEY MAKE UP THINGS.....

OBAMA HAS SO MENY PEOPLE BEHIND HIM THAT REALLY CAN BE PUBLISHED AS BAD....LIKE...AYERS....ODINGA....REYES...REZKO.... KHALIDI...REV. MEEKS...FARRAKHAN....AUCHI...AND SOHAIB.....
THESE PEOPLE ARE REALLY IN OBAMA''S LIFE....CAN WE REALLY TRUST HIS JUDGEMENT??????ABSOLUTLY NOT!!!!!!
I AM SCARD OF WHAT WILL HAPPEN IN THIS U.S. OF A. IF HE BECOMES OUR "LEADER" !!!!