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FIJJER/,l. El.[CTION CO""MISSION

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REPORT OF THE AUDIT DIVISION

ON

TilE PRO - LI FE ACT ION C0 r~ MIT TEE - - r·' ceoRr,1/\CK

I. J3ackgrouni

This report covers an audit of the Pro-Life /\ction

Committee, undertaken by the Audit Division to determine

\'/ h P the r the r e has bee ncoIII p1 ian ce \'J i t h the red e t" a 1 E1e c t ion

Campaign Act of 1971, as amended (lithe Act"). The audit

\'/ it S con d uc ted put" sua nt to Sec t ion 4 38 ( a ) (R) 0 f the P. c t, \'1 h i ch

di r (~ c t s the C0 mill ission tog i ve p rio r i t Y to a udi tin 9 0 f the

verification for, and the receipt and usc of, any payments

rftcrivp.d by a candidate under Chapters 95 or 96 of the

Intpr'nal Revenue Code of 1954, and by authot"ity of Section

90 3n(a) \'1 hie h di '" e c t s the Com111 ission aft e t" cae h mat chi n9

payment period to conduct a thOl"ough examination and audit

of the quaiified campaign expenses of every candidate and

his authorized committees that received payments under

Section 9037.

The Pro - L i f c Act ion Co IIIIll; t tee \'1 as est ab1 ; she d (l s the

p t~; nc i pal cam pa i 9ncomn1; t tee 0 f ~1 rs. E11en r" ceo r mac k, and

l' (I ~J i s t e t' ed \'1 i t h the red e ... alE1ec t ; 0 nCo 111m iss; 0non J u1y 15 ,

1975. The principal officers of the Committee at the time

() f the a ud i t VJ ere r·'s. Ft~ a nee s \oJ a t son, Ch Cl i r m(l n, s. Ell e 11

~~cCormack, Vice Chairman and Secr'etary, and ~·~s. ~~ary Jane

Tobin, Treasurer. The Committee maintains its headquarters

i n r·' erri c k, Ne\'J Y0 r k •

Th aud i t c 0 vere d the p0. 1" i 0 d Jan ua r y 1, 19 75 t hr 0 ugh

Se pteIIIhe l~ 30, 19 76 . n1I r i n~J t hat peri 0 d, t h(\ C0 IIIm; t tee

rep 0 l" ted r c c e i pt S 0 f S532 , 890 . 59 and e xpen d'j t ul" e s 0 f

$532,847.76.

Th; s a udi t rep 0 r tis bas cdon doc umen t S II nd \'J 0 r kin 9

papers suppot"ting each of its factual statements. They

form PcJl~t of the rcco,~d upon uh; eh the COIllIi1; sS'i 011 based

its dec i s ion son the mat t e rsin t his rep 0 i~ t, and \0; (1 s

available to Commissioners and appropriate staff for review.

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Findings and Conclusions

A• 0 i s c 10 ureo f Con t l' i I> utot.. I n f 0 t'm (l t ; 0 n

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Section ~34(b)(2) of Title 2, United States Code,

requires il politicill committee to rcpor't the full name and

lila i 1i ngadd t" e 5 S ( 0 c cup a t ion (l nd pr inc i pal p1ace 0 f bus i ne 5 s ,

i fany) 0 f e a c h person \"l h0 has mad eone 0 r m0 r ceon t rib uti 0 ns

too r for s uch co mill itt e e wit h i nthe cal end (l rye a t" ina n

a9 9 reg at (: aIII 0 U ntor val ue i n e xc eS S 0 f $100 . 00, tog c the r \'1 i t h

the aIII 0 U ntand date 0 f s uc h con t 1" i but ion S •

All r e c e i pt s, 0 the r t hil n t.h 0 5 e fro III i ndi voj dua1s

\'/ e r ptes ted, and nod; s ere pil nc i e s we ref 0 und, e xce ptas not e d

in Section B of this audit report. In addition, all matching

fund submissions, which represented 94% of total individual

con t fib uti 0 ns, \"lere r' e vie\oJ e d; 0 ut 0 f 271 con t rib utor 5 who s e

con t rib ut ; 0 n 5 ':/ e t" e inc xc C S 5 0 f S100 . 00, 34 \'/ ere not i t eIll; zed

on the dis c los LJ r erepo r t s • The COinmit tee \./ () sinforme d 0 f the

problem and during June and July of 1977 filed the appropriate

amended reports.

Hecommendution

It is our recommendation that no further action be taken

by the Commission •

B. Limitution on Contributions

Section 44la(a)(1 )(A) of Title 2, United States

Code prohibi ts any per'son from making contributions to any

c() ndid ate il nd his aut h0 r i zed pol i tic ale 0 III III ittl' e s \'J i t h res pee t

to any e 1e c t ion for Fed era 1 0 f f ice \'1 h i c h, i nth e a 99 reg ate ,

exceed $1,000.

Our review disclosed that two individuals' contributions exceeded the Sl,OOO limitation. The exc0ssive cant rib uti 0 ns \\F ere loa nS III ade tothe C0111111 itt e e . Bot 11 con t rib utor 5

had 111 adec 0 nt rib uti 0 ns tothe ComIII itt ee p t" i 0 r' t 0 IIIu kin 9 the

loans. One individual had made contrihutions totuling $225.00

and the 0 til e t-. had mad e c1 con t rib uti 0 n 0 f S250 . 00 . 0ne loa n

\./ as III adeon \) une 2 3, 19 76, i nth e atil 0 U n t 0 f $1 , 000 and the

othe t.. lou n VI a s mild eon J une 30, 19 76, i nthe (l III 0 U nt 0 f S2 , 00 0 •

The C0 III III itteel s dis c los ut"ere po r t sand r ceo r d 5 sub 5 tan t i ate

t hat the loa nS \"l e l"ere paid by the C0 111 III ittceon J u1y 25, 19 76

and \'Jcre outstanding for approximately one month .
~l e ,~e comIIIend t hilt t h(' Co IIIIII ittc c be i nforIIIedthat the

contributors (under 2 U.S.C. Section 4t11a(a){1)(I\) cJnd the

Co mm ittec (u nde r 2 U. S• C. Sec t ion 441 a ( f » \'1 ere inaJl pa '" en t

violation of the Act, and, absent prompt repayment, the

C0III III iss ion W0U1d ha vetred ted the a PPil t' e n t vi () 1a t ion s a s

complidflcc miltters. He ftil't.IH!r t'ccoml1lcnd that. the persons

\oJ h0 III a d C the e xC C 5 i vee 0 11 t r ·i but ion s hpsi lit i 1a l~ 1y not i fie d

of the apparent violations and the Commission's disposition

of them.

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C. Rcpaymen ts

Part l34.3(c)(2) of the Commission's Regulations

provides that if, on the last day of candidatp eligibility,

there are net outstanding campaign obligat.ions, any matching

payIIIen t s r ec i v ed IIIay be ret a -i ned for' ape I' i 0 d not e xc ee din9

six months after the end of the matching paylllent period in

ol~der to liquidate those obligations. Any amounts paid

\'/ hie hat"e not use d to 1i qui date the net 0 ut s tall din 9 campa i 9n

obligations within six months shall be repaid to the Treasury.

Section 903S(h)(?) of the Act provides that "if

t.he Commission determines that any portion or amount of

ilny payment made to a candidate from the IllCltching payment

ac c 0 unt \'J asus cd f 0 t'" any p U I'" po se 0 the r t han :

(1 ) to de f )'" ay t he q u(l 1i fie d c aIII ril i ~]I1 ex pen s es

\'/ i t h res pec t to \'1 h i c h s uc h payIIIen t \'1 ilsma de; 0 r

( 2 ) torcpa y loa ns, the pI" 0 C C e ds 0 f \'J hi c h \'J ere

usc d, 0 rotIt e r \'J i set 0 res tor e fun ds ( 0 t hr t' t han con t r i -

hut ion S I' e c e i v P. dand e x pen dedt 0 de f ray qua 1 i fie d campa i 9n

e xpen s c s) \'1 h ; c h \'J ere use d to de f '''' ay q uJ 1 i fie d c a III pa i 9n

expenses.

it shull notify such candidiltc of the amount so u~ed, and the candidate shall pay to the Secretary or his

del ega tea n aIII 0 U nt equa 1 to sue h a I~I 0 U nt . II

Our i n~J the c 0 ur s e 0 f the a ud; t, il 11 e xpen di t ur e " e cor ds 0 f the C0 111 III -j t tee \'J ere rev i e\'J e d . Bi1 sed 0 nthi s

" c v; e\'1, n0 e xpC 11 d; t II I' e s f 0 '''' 0 the r t han qua 1i fie d campa i 9n

c xpen sr. s \'J c r' e ide n t if; cd. 0 n r·, ay 19, 19 77, the Commrs s ion

eel' t ; f .j e d $ , 094 • 9 7 ; n III il t c h; n9 fun ds tot hp C0IIIIII ; t tee.

The C0111 III itt e P VJ u 5 a b1e toe 1i III i nut e the i r 0 ut s tan din 9 J e t s

and filed a termination report on 6/14/77 .
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Recommendation

Since the campaign was in a deficit position on the

date of ineligibility and no non-qualified campaign expenditures were identified, no repayment is required.

III. Auditor's Statement

Except for the matters specifically noted in this report, the audit disclosed that the Committee conducted their

activities in conformity with the Federal Election Campaign Act of 1971, as amended, and in conformity with Chapter 96

of Title 26, U.S.C., in all material aspects •

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