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• FEDERAL ELECTION COMMISSION

WASHINGTON, 0 C 20463

A8S-42

February 10, 1987

MEMORANDUM

TO:

FROM:

FRED EILAND

PRESS OFFICER

ROBERT J. COSTA -4"/

ASSISTANT STAFF DI~C~R~ AUDIT DIVISION

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SUBJECT: PUBLIC ISSUANCE OF FINAL AUDIT REPORT - DEMOCRATIC

STATE CENTRAL COMMITTEE/FEDERAL ACCOUNT (Connecticut)

Attached please find a copy of the final audit report of the

Democratic State Central Committee/Federal Account (connecticut)

which was approved by the Commission January 21, 1987.

Informational copies of the report have been received by all

parties involved and the report may be released to the public. o

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Attachment as stated

cc. FEC Library

RAD

-.-..-pUblic Record

Office of General Counsel

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FEDERAL ELECTION COMMISSION

WASHINGTON, 0 C 204&3

AB5-42

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FINAL REPORT OF THE AUDIT DIVISION

ON THE

DEMOCRATIC STATE CENTRAL COMMITTEE/FEDERAL ACCOUNT

(Connecticut)

1. Background

A. Overview

This report is based on an audit of the Democratic

state Central Committee/Federal Account ("the committee")

undertaken by the Audit Division of the Federal Election

Commission in accordance with the provisions of the Federal

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

was conducted pursuant to Section 43B(b) of Title 2 of the United

States Code which states, in part, that the Commission may conduct audits and field investigations of any political committee required to file a report under Section 434 of this

title. Prior to conducting any audit under this subsection, the

Commission shall perform an internal review of reports filed by

selected committees to determine if the reports filed by a

particular committee meet the threshold requirements for

substantial compliance with the Act.

The Committee registered with the Federal Election

Commission on May lB, 19B3 and maintains its headquarters in

Hartford, Connecticut.

The audit covered the period from the Committee's

inception, May 18, 19B3, through December 31, 1984. The

Committee reported a cash on hand balance on May lB, 19B3 of

$-O-i total receipts for the period of $10B,732.19i total

disbursements for the period of $106,640.29 and a closing cash

balance on December 31, 19B4 of $2,091.90.

This report is based on documents and workpapers

supporting each of its factual statements. They form part of the

record upon which the Commission based its decisions on the

matters in the report and were available to the Commissioners and

appropriate staff for review•
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B. Key Personnel

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The Treasurers of the Committee during the period audited were:

Ms. Alberta Barbash

Ms. Maureen G. Satti

5/18/83 - 8/84

8/84 - present

C. Scope

The audit included such tests as verification of total

reported receipts and disbursements and individual transactions;

review of required supporting documentation; analysis of

Committee debts and obligations; and such other audit procedures

as deemed necessary·under the circumstances.

II. Audit Findings and Recommendations

A. Prohibited Contribution

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Section 441(b) of Title 2, United States Code states,

in part, that it is unlawful for any corporation, national bank,

or labor organization to make a contribution or expenditure in

connection with any election to any Federal office.

On February 7, 1985, the Reports Analysis Division

raised a question concerning a $1,500 contribution the Committee

received on October 23, 1984 from an apparent labor organization which was not a political committee registered with the

Commission. The Committee responded on March 11, 1985 stating

that the contribution should not have been accepted and that the

funds were transferred to the non-Federal account on March 1,

1985. This was verified by the aUditors during the audit

fieldwork.

RECOMMENDATION

The Audit staff recommends no further action on this matter.

B. Matters Referred to the Office of General Counsel

~ertain matters noted during the audit were referred to

the Commission's Office of General Counsel•