FEC Nominee Don McGahn Sued Over Settlement Resulting From CREW FEC Complaint

CREW
Jun 2, 2008

Campaign finance lawyer Don McGahn, recently nominated to the FEC, has been sued over his settlement of the complaint CREW filed with the FEC against ARMPAC by the PAC’s former treasurer, Texas lawyer Corwin Teltschik.

Teltschik claims that he was unaware of the allegations made by CREW at the time the complaint was before the FEC.

Apparently, the PAC hired the law firm of William and Jensen to handle the matter and, in turn, the firm hired McGahn to represent ARMPAC before the Commission. McGahn worked out a conciliation agreement for the PAC, under which the PAC agreed that Teltschik had engaged in illegal conduct. Teltschik sued McGahn, William and Jensen and others alleging that they violated their fiduciary duties to him by negotiating a settlement for him with the FEC, without his consent or knowledge. The suit was filed in Texas, where Teltschik lives, but recently transferred to the District of Columbia. The Texas court had dismissed the claims against McGahn finding that McGahn did not have sufficient contacts with the state of Texas for him to be sued there. Now that the suit has been transferred to the District of Columbia where McGahn practices law, Teltschik could add him back to the suit.

Looks like President Bush is trying to put the fox in charge of the henhouse.

08.06.2007 - Teltschik Complaint

01.17.2008 - Order Transferring Teltschik Complaint to the U.S. District Court for the District of Columbia

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Read more about the FEC's decision as a result of CREW's complaint on CREW's website.