A. Overview

I. Background

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FEDERAL ELECTION COMMISSION

REPORT OF THE AUDIT DIVISION

ON THE

DAVE EVANS FOR CONGRESS COMMITTEE

The Committee originally register~d with the Clerk

of the U.S. House of Representatives on necember 26, 1973 as

a political committee supporting the Honorable David fvans,

candidate for the U.S. House of Representatives from the 6th

District of Indiana. The Committee was desionated by the

candidate as the principal campaiqn committee for the 1976

election on Apr;l Z, 1976. The Com~ittee maintained its

headquarters in Indianapolis, Indiana.

The audit covered the period January 1, 1975,

through June 30, 1977. During that period, the Committee

reported a beginning cash balance of $185.84, total receipts of S122,929.43, total expenditures of $104,813.lfi, and a

closing cash balance at June 30, 1977 of ~18.224.07.

This audit report is based on docuMents and

working rapers which support each of the factual statements.

They form part of the re~ord unon which the COMmission based

its decisions on the matters in this reoort, and were available to Commissioners and appropriate staff for review.

This report is based upon an audit of the Oave

Evans for Conqress Committee (lithe Committee") undertaken by the Audit Division of the Federal Election Com~ission in

accordance with the Commission's audit policy to determine

whether there has been compliance with the provisions of the

Federal Election Campaign Act of 1971, as amended (lithe

Act"). The audit was conducted pursuant to Section 43R(~)(R)

of Title 2, United States Code, which directs the COMMission

to make from time to time audits and field investigations with resoect to reports and statements under the provisions of the Act.
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B. Key Personnel

The principal officers of the Committee were

Chairman: Mr. Thomas Kern, 1/1/15-5/15/15~ Mr. John Anderson,

5/13/75-4/1/77; Mr. William E. Gervasio, 4/1/17 through the clos~ of the audit; and Treasurer: Ms. Virginia Craiq, 1/1/75-5/15/75; Mr. Louis Milharcic, 5/13/75-4/1/17~ Mr. R~y

Clements, 4/1/77 through the close of the audit. Mr. Thomas

J. Kern has served as Assistant Treasurer since April 21,

1977.

C. ?cope

The audit included such tests as verification of

reported receipts and exoenditures and individual transactions;

review of required supporting documentation and analysis of

Committee debts and obligations; and such other audit procedures

as deeMed necessary under the circumstances.

II. Auditor's Statement and Descriotion of ~indings

It is the opinion of the Audit Staff, based upon examination of the reports and statements filed and the records

presented, that, except for the deficiencies noted below,

the reports and statements of the Dave Evans for Congress Committee fairly present the financial activities of the

Committee for the period covered by the audit. Further,

except as noted below, no material prob1ems.in complying with the Federal Election, Campaign Act were discovered

during the course of the audit.

A. IteMization of Individual Contributors

of Amounts Exceeding 5100

Section 434(b)(2) of Title 2, United States Code,

requires a committee to disclose the full name, mailing address, occupation and the principal place of business of

each person who has made one or more contributions within

the calendar year in an aggregate amount in excess of S100,

together with the amount and date of such contributions.

During the course of the audit, it was determined

that the Committee did not itemize 34 contributions of ~100 or

less from 30 contributors (55~ of the total itemizab1e contributors) whose contributions exceeded $100 in the aggregate. These contributions totaled $2,261.41 (18.88~ of the value

of total itemizable contributions). Also, 19 of the 25

itemized contrib~tions that were reported did not include the

occupation and/or principal place of business of the contributor.

The Committee was unable to provide an explanation as to why information was missing.
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We recommended to the Committee that they file

comprehensive amendments for the audit period to include the

required information. On August 5, 1977, the Commission received

the Committee's amended reports.

Recommendation

Since the Committee has amended their reports to disclose

lhis information, no additional action is recommended by the Audit staff.

B. Disclosure of Receiot of Loan

Section 434(b){5) of Title 2, United States Code.

states that a committee shall disclose each loan to or from

any person within the calendar year which is in excess of

$100, together with the full name and mailing address of

the lender, endorsers, and guarantors, as well as the date

and amount of such loans.

During the course of the audit, it was determined

that the Committee had received a $2,000 loan on December 13,

1976 from the Indiana National Rank which was guaranteed by the Candidate and two other individuals. On January 20, 1977,

the Committee repaid the loan with interest. The Committee

did not report either the receipt or the repayment of this

loan since it was repaid prior to the filing of the year-end

report.

It was the recom~endation of the staff that the

Committee file amended reports containing the appropriate

information. On AUQust 5, 1977, the Co~mittee filed amended

reports containing this information.

Recommendation

Since the Committee has amended its reports, it is

the recommendation of the Audit staff that no further action

be taken.

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CONGRESSIONAL AUOIi REPORT

Candidate/Committee: Dave Evans I Dave Evans for Congress Committee

State: Indiana

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District: 6

Location: Indianapolis

Political Party Affiliation: Democrat

Major Opponent(s): David Crane - Republican

. Other Candidates Audited: Crane

Votes Cast: General Election - Evans 105,773

PrimarJ Election - Evans 30,231

Total Receipts for Period:, $122,929.43

rotal Expenditures for ?eriod: $104,813.16

First Elected (if applicable): 1974

Crane 86,854

James Logan 3,260
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FEDERAL ELECTION COl\11\1ISSION

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ADDITIONAL INFORMATION REGARDING '!HIS ORGANIZATION

MAY BE lOCATED IN A CDMPLETED OOMPLIANCE AcrIOO

FnE RELEASED BY 'll1E cnMISSION AND MADE PUBLIC m

THE PUBLIC REOORDS OFFICE. FOR nns PARTICULAR

ORGANIZATION'S COMPLETED OOMPLIANCE ACl'ION FnE

SlMPLY ISK FUR 'mE PRESS St»fARY OF MJR 41 '7"6"6

THE PRESS SUt+fARy tmL PROVIDE A BRIEF HIS'IORY OF

'lItE CASE AND A StM1ARY OF '!HE ACl'IONS TAKEN, IT N:rl•
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