UNITED STATES DISTRICT COURT 

FOR THE SOUTHERN DISTRICT OF n:;;rm~n:~~f-1'-#1~-~ -,....;.~--D.C. 

) 

FEDERAL ELECTION COMMISSION, ) 

999 E Street, N.W. ) 

Washington, DC 20463 ) 

) 

Plaintiff. ) 

) 

v. ) 

) 

EDWARD J. LYNCH. Sr., ) 

10269 Trianon Pl. ) 

Wellington, FL 33449, ) 

) 

LYNCH FOR CONGRESS, ) 

P.O. Box 210544, ) 

Royal Palm Beach, FL 33421, ) 

) 

and ) 

) 

EDWARD J. LYNCH, Sr., ) 

In his official capacity as Treasurer of ) 

Lynch for Congress, ) 

c/o Lynch for Congress ) 

P.O. Box 210544, ) 

Royal Palm Beach, FL 33421, ) 

) 

Defendants. ) 

MAR 3 0 2016 

S It: Vl:N M. LARIMORE 

CLERK U.S. OISt Ct 

S.D. OF Ft.A .• W.P.9. 

Civil Action No. 15-81732-civ-Marra 

AMENDED ANSWER 

MOTION 1 TO DISMISS BASED ON THE EXPIRATION OF THE STATUTE OF 

LIMITATIONS 

1. In the Office of General Counsel's (OGC) own Conciliation Agreement, 

statements and complaint, there are no specific dates of any particular alleged 

violations other than "From 2008 through 2010" despite me asking for same. The 

reason that there are no specific dates is that any and all alleged violations 

occurred outside of the five (5) year statute of limitations. By the OGC's own 

admission, no violations occurred after 20 1 0 which is five ( 5) years and nine (9) 

months since I was even a candidate for office. The complaint lists items that 

were never previously discussed and outside the statute of limitations. 

SCANNED 

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2. For the purposes of the discussion of the statute of limitations the following 

factual dates need to be established. I was a candidate for US Congress in 

November of 2008 and once again in a special election having an election date of 

April 13, 2010. Therefore, again, over five years and nine months has elapsed 

since the time that I was a candidate. 

3. The OGC' s conciliation agreement calls for paying "civil penalties" for personal 

use violations and reporting violations "still remaining within the statute of 

limitations", This is patently false as there is nothing "still remaining within the 

statute of limitations" as it has been over five (5) years and nine (9) months since 

I was even a candidate. Once again, the OGC references alleged violations "from 

2008 through 201 0" with no specific dates for specific alleged violations although 

previous conciliation agreements reference alleged violations from the earliest 

part of the timeline. 

4. I will address the statute of limitations based on the FEC's own "Guidebook for 

Complainants and Respondents on the FEC Enforcement Process" (May 2012 

edition) ("FEC Guidebook"), federal law, previous FEC Commission rulings and 

case law. 

5. The FEC Guidebook states on Page six (6), "Complaints should be filed as soon 

as possible after the alleged violation becomes known to the complainant in order 

to preserve evidence and the Commission's ability to seek civil penalties in 

federal district court within the five-year statutes of limitations period (measured 

from the time of the violation) provided by 28 U.S.C. § 2462 (civil) and 2 U.S.C. 

§(criminal)." Based on the FEC's own guidebook, the Commission only has the 

ability to seek civil penalties within the five-year statute of limitations period 

measured from the time of the violation. This citing of federal code and 

interpretation of federal law indicates that, due to the amount of time being over 

the five year statute oflimitations, it is unlawful for the FEC to seek civil penalty. 

6. Additionally, the FEC Guidebook, on page eighteen (18) states, "Because the 

Commissions' ability to seek civil penalties in federal district court is subject to a 

five-year statute of limitation, see 28 U.S.C. § 2462, OGC may request at any 

stage in the enforcement process that the respondent agree to toll the statue of 

limitations, including during the pendency of the pre-probable cause conciliation 

process." Any alleged violations are well outside of the five-year statute of 

limitations. 

7. U.S.C. § 2462, Time for commencing proceedings clearly states, in part, "Except 

as otherwise provided by Act of Congress, an action, suit or proceeding for the 

enforcement of any civil fine, penalty, or forfeiture, pecuniary or otherwise, shall 

not be entertained unless commenced within five years from the date when the 

claim first accrued ... ". Due to the fact that it is more than five (5) years and nine 

(9) months since I was even a candidate, it would be significantly longer than that 

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since any of the alleged violations occurred and the statute of limitations has long 

been exceeded. 

8. In FEC v. National Republican Senatorial Committee (93-1612) the court ruled, 

"In applying U.S.C. § 2462, the court determined that the statue of limitations 

started running from the date of the alleged violations-the period between 

November 1985 and November 1986. Since the time between the dates of the 

violations and the date the FEC filed this case with the court exceeded the 5-

year statute of limitations, the FEC could not pursue the imposition of civil 

penalties." (Emphasis added) Since the court established that the statute of 

limitations begins running "from the date of the alleged violations", it is clear that 

any alleged violations would have occurred outside of the five (5) year statute of 

limitations and pursuing the imposition of civil penalties would be contrary to 

federal law. The OGC's insistence that failure to sign a patently false conciliation 

agreement is meant as an intimidation factor and a blatant threat that the OGC, 

based on their own FEC Guidebook and interpretation of federal law, knows that 

it is bad faith and unlawful to, as the OGC states, "institute a civil suit in United 

States District Court and seek payment of a civil penalty" (letter dated October 

14, 2015). 

9. The court ruled that it is contrary to U.S.C. § 2462, to seek civil penalties after the 

statute of limitations has run. In an October 14, 2015 letter from the OGC, the 

OGC states, "Please make the check for the civil penalty payable to the Federal 

Elections Commission." (Emphasis added) Therefore, since the court ruled in 

FEC v. NRSC (93-1612), "the FEC could not pursue the imposition of civil 

penalties." Clearly, the OGC is wrongly seeking a "civil penalty" as part oftheir 

conciliation agreement. 

10. In FEC v. National Right To Work Committee (90-0571), the court ruled, "In 

general, federal government agencies must initiate proceeding to assess civil 

penalties, fines and forfeitures within 5 years from "the date when the claim first 

accrued." 28 U.S.C. § 2462. Again, in FEC v. National Republican Senate 

Committee, the court ruled that this statue of limitations applied to the FEC and 

that the statue of limitations began to run when the alleged offense was 

committed. The FEC is barred from filing a suit as the date of any alleged 

violation is well outside of the five (5) year statute of limitations. 

11. In the Matter of PBS&J Corporation, et al, MUR 5903, the Commission ruled, 

"More importantly, by the time this matter was first brought before us in 

September 2009, the five-year statue of limitations had already expired on all 

violations ... Therefore, because we could not conclude that the five-year statue of 

limitations could be tolled under the facts in this matter, we voted against 

pursuing this matter further." 

12. The Ninth Circuit Court of Appeals held that FEC enforcement actions are subject 

to the default five-year statute of limitations in 28 U.S.C. § 2462. According to 

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the Williams court, the limitations period began running at the time the activities 

occurred and, as a result, the FEC' s complaint was time-barred. All of the 

occurrences of the alleged activities that the FEC claims are well outside the five 

(5) year statute of limitations. NONE of the occurrences of the alleged activities 

are within the five (5) year statute of limitations. 

13. In The Matter ofthe Paul Broun Committee, Mur 6556, although the Commission 

did find that there were reporting violations, they ruled, in part, "these alleged 

reporting violations occurred more than five years ago and thus are outside the 

five-year statue of limitations period. See 28 U.S.C. § 2462; see also, FEC v. 

Nat'/ Repub. Senatorial Comm., 877 F. Supp. 15, 19 (D.D.C 1995). Because the 

original activity fell outside the five-year statute of limitations within 

approximately two months of the Complaint being filed, the Committee has 

substantially corrected the record, and there are no other violations at issue in this 

matter, the Commission dismisses the allegations in MUR 6556 that the 

Committee violated 2 U.S.C. § 434(b) and 11 C.P.R. § 104.3(d)(4) by failing to 

accurately report loans and disbursements and closes the file. See Heckler v. 

Chaney, 470 U.S. 821 (1985)." 

14. It was well within the rights of and incumbent upon the FEC Commission (See 

Heckler v. Chaney) based on well-documented precedents and clear and concise 

federal law to dismiss the allegations. The FEC's overreach in filing suit is a clear 

case of bad faith and prejudice. 

15. WHEREFORE, based on U.S.C. § 2462, the court ruling in FEC v. National 

Republican Senatorial Committee (93-1612), the court ruling in FEC v. National 

Right To Work Committee (90-0571), PBS&J Corporation, Paul Broun 

Committee, the ruling of The Ninth Circuit Court of Appeals, and the FEC 

Guidebook; since there is no additional tolling of the statute of limitations and it 

is, at a minimum, five (5) years and nine (9) months since I was even a candidate 

for office, Defendant prays that this matter should be dismissed with prejudice. 

MOTION 2 TO DISMISS BASED ON BREACH OF 52 U.S. C. §30109(a)(4)(A) 

REQUIRING THE COMMISSION TO SEEK TO CORRECT ANY VIOLATIONS 

THROUGH INFORMAL METHODS OF CONFERENCE, CONCILIATION AND 

PERSUASION FOR AT LEAST 30 DAYS AND NO MORE THAN 90 DAYS 

16. On October 14, 2015, a letter was sent by the OGC which attempted to allow for 

conciliation. The letter clearly allowed for, "no more than 90 days". 

Additionally, 52 U. S. C. §30109(a)(4)(A) requires The Commission to seek to 

correct any violations through informal methods of conference, conciliation and 

persuasion for at least 30 days and no more than 90 days and the FEC 

"Guidebook for Complainants and Respondents on the FEC Enforcement 

Process" allows for 30-90 days for Conciliation. I was not provided the 

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particulars of the alleged violations until December 15, 2015, despite my several 

requests for same. 

17. During the week of October 26, 2015 I had a conversation with OGC, Ana PenaWallace going over what we could do to conciliate this matter and put this matter 

to rest once and for all despite not having the work papers depicting the extent of 

the claims. 

18. On November 6, 2015, I received a follow up email from Ana Pena-Wallace 

regarding our conversation the previous week. 

19. On November 6, 2015, I responded asking for the OGC work papers as I 

disagreed with the claims that the OGC was making and I wanted a chance to 

refute their claims of alleged violations in order to eliminate or mitigate any civil 

penalty. 

20. On November 9, 2015, Ana Pena-Wallace responded via email that she wanted to 

schedule another phone call. 

21. On November 9, 2015, I responded via email that I felt that the best course of 

action would be for the OGC to send me their work papers so that our phone 

conversation would be more fruitful. I once again, requested the backup 

documentation substantiating their claim so that I may refute their claims as 

necessary and work towards a resolution eliminating or mitigating any civil 

penalty fine. 

22. On November 1 0, 2015, Ana Pena-Wallace stated, "We are unable to provide you 

with any attorney work product. .. " and I was told to "review bank statements". It 

makes it impossible to refute any claim when I do not know the extent of an 

alleged claim and I was not able to adequately address any sort of conciliation 

agreement although, in good faith, I attempted. 

23. The only way that I received the numbers that I sought was when I was forwarded 

a draft of the civil suit, despite my repeated requests for same. Reviewing the 

complaint allowed me the first opportunity to even know what the OGC was 

alleging. 

24. I was also told, several times that the period for entering into a conciliation 

agreement would end on November 15, 2015, to which I vehemently disagreed 

due to the aforementioned letter and not being provided with the documentation 

that I requested providing the extent of the alleged violations claimed by the 

OGC. 

25. On December 14, 2015 in an email to Mr. Blumberg, I emphasized my 

willingness to enter into a conciliation agreement to put this matter finally to rest 

and that I wanted to mitigate any financial burden which is why I was requesting 

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the work papers as I disagreed with the assertions of the OGC regarding the 

alleged violations .. 

26. On December 15, 2015 I received a draft of the civil complaint which mirrors this 

civil suit. It was at this point that, for the first time, I received what the OGC was 

claiming was in violation and it was significantly less than what they originally 

claimed. I was not even given a chance to review the information adequately 

disputing the OGC's claim that this was a personal use violation as the items in 

question were not personal. 

27. Based on 52 U. S. C. §30109(a)(4)(A) The Commission is required to seek to 

correct the violations through informal methods of conference, conciliation, and 

persuasion for at least 30 days and no more than 90 days. 

28. On December 16, 2015, I sent an email to OGC, Mr. Deeley, in an attempt to 

enter into a conciliation agreement negotiation utilizing the percentages of alleged 

penalties sent to me by the OGC previously despite disagreeing with the amount 

the OGC was claiming in order to mitigate this matter and finally put it to rest. 

29. On December 17, 2015 OGC, Erin Chlopak sent me an email declining to accept 

the offer that I sent and I was told that the amount that I derived, utilizing the 

FEC' s own mathematical formulas, was "not nearly commensurate with the 

extent ofthe violations at issue in this matter". The OGC was using the extent of 

civil violations as a measure, NOT the amount of the alleged violations, contrary 

to their ordinary and previous practice. She indicated that the 1 0% of the 

potential penalties was not enough however, the 10% of civil penalties sought is 

nearly 96% of the alleged violations, which is significantly higher than any 

percentages that were offered or used as a basis previously. 

30. On December 17, 2015 I responded that I do not even know what they consider 

"commensurate with the extent of the violations at issue in this matter". 

According to the FEC's own suit, that I received the day before, the "extent of the 

violations at issue in this matter" and still remaining within the statute of 

limitations is $1,622.49. This was an amount and for items that I never had 

information on. 

31. Given the delay in getting the information that I requested almost 6 weeks prior to 

receiving the actual alleged violations in the claim and the OGC not accepting the 

EXACT percentage offered of the higher percentages in the government's 

conciliation agreement, it is a clear breach of the covenant of good faith and, in 

fact, bad faith to have not allowed me the opportunity for the full amount of time 

allotted by the government's own handbook and more specifically the October 14, 

2015 letter sent by the OGC to me all governed by 52 U. S. C. 

§30109(a)(4)(A). Especially given the fact that the amount in question is quite 

minimal. 

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32. Additionally, the OGC would not discuss anything further unless I agreed to sign 

a tolling agreement yet there was no language in the tolling agreement so as not to 

resuscitate claims for which the limitations period has already passed despite my 

request for same. Based on the government's blatantly false claims of what was 

the actual amount of alleged violations still remaining within the statute of 

limitations and the "requirement" to provide an inadequate tolling statement or 

face civil suit violating the government's own timeline, there is clear and 

convincing evidence that the government is engaged in a blatant breach of its duty 

of good faith and fair dealing despite the government's requirement to do so as 

per 52 U. S. C. §30109(a)(4)(A). Contrarily, I have acted in good faith, without 

the assistance of counsel, as the continued costs of tens of thousands of dollars 

made it prohibitive to continue to engage outside counsel, in order to resolve this 

issue and enter into a conciliation agreement based on the alleged items still 

remaining within the statute of limitations and utilizing the OGC's very own 

percentages to do so, despite disagreeing with the OGC' s assertions of a violation. 

33. I continued to endeavor to avoid a civil suit, as I have this entire time, and I was 

still hopeful that we were able to resolve this issue in a timely manner. I can not 

imagine that a reasonable conciliation agreement could not be agreed to quickly 

based on the $1,622.49 of alleged violations still remaining within the statute of 

limitations which I would disagree with. I would not have engaged in this 

strenuous exercise if I was not interested in seriously attempting to conciliate this 

matter and to infer such is wrong. 

34. According to 52 U.S. C. §30109(a)(4)(A), The Commission is required to seek 

to correct the violations through informal methods of conference, conciliation, 

and persuasion for at least 30 days and no more than 90 days. The OGC, by 

refusing to provide any work papers until 2 days prior to the filing of a suit, 

despite my repeated requests for same, violated 52 U. S. C. §30109(a)(4)(A) by 

only allowing 2 days, violating their obligation to allow at least 30 days. 

Additionally, I responded, in good faith, immediately upon receipt of 

correspondence from the OGC in an attempt to enter into a conciliation agreement 

negotiation and resolve this matter. 

35. Any claim that the FEC allowed for the requisite amount of time id patently false. 

It is impossible to enter into any settlement conciliation agreement without 

knowing what the alleged violations are. Additionally, it is impossible to know 

what to even correct if the FEC does not provide what the alleged violations are 

that would need to be corrected. Finally, it is impossible to enter into conciliation 

negotiations without benefit of the knowledge of what the extent of the alleged 

violations are considering that most conciliation agreements and, for that matter, 

all settlements are based upon a percentage of the alleged violations. 

36. The OGC knowingly and willfully lied and misrepresented the actual amount of 

alleged violations in order to achieve a higher settlement offer in the conciliation 

agreement. Additionally, the OGC refused to provide me with any work papers 

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substantiating their claim until 2 days prior to initiating this claim. When their bad 

faith and misdeeds were discovered, they immediately tried to strong arm me into 

a settlement which is higher than the amount sought in this complaint and, when I 

would not acquiesce, they immediately filed suit despite their legal obligation to 

correct the alleged violations through informal methods. They would not even 

attempt to enter into negotiations based on the actual alleged violations as is 

required under 52 U.S. C. §30109(a)(4)(A). 

37. As a matter of fact, given that the FEC has, once again, failed to provide an 

accurate amount due changing the amount that they claim in alleged violations 

proves that they continue to make it impossible to enter into any realistic 

settlement or conciliation discussions as any settlement or conciliation or civil 

penalty would be based on the extent of the alleged violations. By continuing to 

fail to provide accurate information, they continue to violate their requisite duty to 

act in good faith to seek to correct the violations through informal methods of 

conference, conciliation, and persuasion for at least 30 days and no more than 90 

days. 

38. WHEREFORE, based on direct violation of 52 U. S. C. §30109(a)(4)(A), 

Defendant prays that this matter should be dismissed with prejudice and that the 

Federal Elections Commission and Office of General Counsel be held 

accountable. 

MOTION 3 TO DISMISS BASED ON BREACH OF FEC GUIDELINES 

39. On October 14, 2015, a letter was sent by the OGC which attempted to allow for 

conciliation. The letter clearly allowed for, "no more than 90 days". 

Additionally, the FEC "Guidebook for Complainants and Respondents on the 

FEC Enforcement Process" allows for 30-90 days for Conciliation. 

40. During the week of October 26, 2015 I had a conversation with OGC, Ana PenaWallace going over what we could do to conciliate this matter and put this matter 

to rest once and for all. 

41. On November 6, 2015, I received a follow up email from Ana Pena-Wallace 

regarding our conversation the previous week. 

42. On November 6, 2015, I responded asking for the OGC work papers as I 

disagreed with the claims that the OGC was making. 

43. On November 9, 2015, Ana Pena-Wallace responded that she wanted to schedule 

another phone call. 

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44. On November 9, 2015, I responded that I felt that the best course of action would 

be for the OGC to send me their work papers so that our phone conversation 

would be more fruitful. I once again, requested the backup documentation 

substantiating their claim. 

45. On November 10,2015, Ana Pena-Wallace stated, "We are unable to provide you 

with any attorney work product ... " and I was told to review bank statements. 

46. The only way that I received the numbers that I sought was when I was forwarded 

a draft of the civil suit, despite my repeated requests for same. 

4 7. I was also told, several times that the period for entering into a conciliation 

agreement would end on November 15, 2015, to which I vehemently disagreed 

due to the aforementioned letter and not being provided with the documentation 

that I requested. The time to enter into a conciliation agreement, which I was 

more than willing to do, did not end and it should not have ended until January 

12, 2016. 

48. Based on 52 U. S. C. §30109(a)(4)(A) The Commission is required to seek to 

correct the violations through informal methods of conference, conciliation, and 

persuasion for at least 30 days and no more than 90 days. Therefore, it is my right 

to have more than 2 days to negotiate a conciliation agreement without having to 

waive my civil rights and enter into a tolling agreement. The government has 

frustrated my ability to make an adequate counter offer due to refusing to provide 

me with the information that I requested until December 15, 2015 and is acting in 

bad faith demanding that I sign another tolling agreement by 9:00 AM by the 

next day or face a civil suit when the government's own letter allowed until 

January 12, 2016 (90 days), not the two (2) days that I was provided. 

49. On December 14, 2015 in an email to Mr. Blumberg, I emphasized my 

willingness to enter into a conciliation agreement and that I wanted to mitigate 

any financial burden which is why I was requesting the work papers as I disagreed 

with the assertions of the OGC. 

50. On December 15, 2015 I received a draft of the civil complaint which mirrors this 

civil suit. It was at this point that, for the first time, I received what the OGC was 

claiming was in violation and it was significantly less than what they originally 

claimed. I was not even given a chance to review the information adequately 

disputing the OGC's claim that this was a personal use violation. 

51. I asked several times for the "work papers" which I was told, in the November 10, 

2015 email, that the OGC would not be willing to provide. Finally, I was 

provided the documentation that I sought on December 15, for the first time, and 

given less than 2 days to conciliate this matter, utilizing the actual numbers, when 

the October 14, 2015 letter allows for "no more than 90 days" and the FEC 

"Guidebook for Complainants and Respondents on the FEC Enforcement 

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Process" allows for 30-90 days for Conciliation. This is despite me making a 

good faith effort and providing a counter to the OGC conciliation agreement the 

very same day that I was provided the actual amounts still remaining within the 

statute of limitations. Both the letter and the Guidebook would allow until 

January 12, 2016 to enter into a conciliation agreement. 

52. On December 16, 2015, I sent an email to OGC, Mr. Deeley, in an attempt to 

enter into a conciliation agreement utilizing the percentages of alleged penalties 

sent to me by the OGC previously. I did this in good faith, as I disagreed with the 

assertion of the OGC that the items in question were for personal use. 

53. On December 17, 2015 OGC, Erin Chlopak sent me an email declining to accept 

the offer that I sent and I was told that the amount that I derived, utilizing the 

FEC's own mathematical formulas, was "not nearly commensurate with the 

extent of the violations at issue in this matter". The OGC was using the extent of 

civil violations as a measure, NOT the amount of the alleged violations, contrary 

to their ordinary and previous practice. She indicated that the 1 0% of the 

potential penalties was not enough however, the 10% of civil penalties sought is 

nearly 96% of the alleged violations, which is significantly higher than any 

percentages that were offered or used as a basis previously. 

54. On December 17, 2015 I responded that I do not even know what they consider 

"commensurate with the extent of the violations at issue in this matter". 

According to the FEC's own suit, that I received the day before, the "extent of the 

violations at issue in this matter" and still remaining within the statute of 

limitations is $1 ,622.49. After all these years and the tens of thousands of dollars 

in paid attorney fees and undue stress, the extent of the alleged violations at issue 

in this matter comes down to $1,622.49. This is an amount based on alleged 

violations that I was given, for the first time on December 15, 2015. I was given 2 

days to review the information provided in this suit, contrary to the legal 

obligation stated in 52 U. S. C. §30109(a)(4)(A). I offered the EXACT same 

percentage that the OGC sought which is higher than every other conciliation 

agreement that I have researched. In good faith, I even offered if 1 00% of the 

$1,622.49 in alleged violations still remaining within the statute of limitations be 

more appropriate. I also requested for the OGC to provide me with a counter 

offer. I based my counter offer on the numbers provided and utilized by the 

OGC. 

55. Additionally, the OGC would not discuss anything further unless I signed a 

tolling agreement yet there was no language in the tolling agreement so as not to 

resuscitate claims for which the limitations period has already passed despite my 

request. Based on the government's blatantly false claims of what is the actual 

amount of alleged violations still remaining within the statute of limitations and 

the "requirement" to provide an inadequate tolling statement or face civil suit 

violating the government's own timeline, there is clear and convincing evidence 

that the government is engaged in a blatant breach of its duty of good faith and 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 10 of 19
fair dealing. Contrarily, I have acted in good faith, without the assistance of 

counsel, as the continued costs of tens of thousands of dollars made it prohibitive 

to continue to engage outside counsel, in order to resolve this issue and enter into 

a conciliation agreement based on the actual items still remaining within the 

statute of limitations and utilizing the OGC's very own percentages to do so. 

56. According to 52 U. S.C. §30109(a)(4)(A), The Commission is required to seek 

to correct the violations through informal methods of conference, conciliation, 

and persuasion for at least 30 days and no more than 90 days as is stated in the 

FEC's "Guidebook for Complainants and Respondents on the FEC Enforcement 

Process". The OGC, by refusing to provide any work papers until 2 days prior to 

the filing of a suit, despite my repeated requests for same, violated 52 U. S. C. 

§30109(a)(4)(A) by only allowing 2 days, violating their obligation to allow at 

least 30 days. Additionally, I responded, in good faith, immediately upon receipt 

of correspondence from the OGC in an attempt to enter into a conciliation 

agreement so as to finally resolve this costly matter. 

57. The OGC knowingly and willfully lied and misrepresented the actual amount of 

alleged violations in order to achieve a higher settlement offer in the conciliation 

agreement. When their misdeeds were discovered, they immediately tried to 

strong arm me into a settlement which is higher than the amount sought in this 

suit and, when I would not acquiesce, they immediately filed suit. They would 

not even attempt to enter into negotiations based on the actual alleged violations 

as is required under 52 U.S. C. §30109(a)(4)(A). I had no knowledge of what 

the actual items that the OGC was claiming as personal use violations were until 

December 15, 2015 despite over 6 weeks of asking for same and, in bad faith, 

they filed suit 2 days after providing the requested documentation. 

58. Any claim that the FEC allowed for the requisite amount of time id patently false. 

It is impossible to enter into any settlement conciliation agreement without 

knowing what the alleged violations are. Additionally, it is impossible to know 

what to even correct if the FEC does not provide what the alleged violations are 

that would need to be corrected. Finally, it is impossible to enter into conciliation 

negotiations without benefit of the knowledge of what the extent of the alleged 

violations are considering that most conciliation agreements and, for that matter, 

all settlements are based upon a percentage of the alleged violations. 

59. As a matter of fact, given that the FEC has, once again, failed to provide an 

accurate amount due changing the amount that they claim in alleged violations 

proves that they continue to make it impossible to enter into any realistic 

settlement or conciliation discussions as any settlement or conciliation or civil 

penalty would be based on the extent of the alleged violations. By continuing to 

fail to provide accurate information, they continue to violate their requisite duty to 

act in good faith to seek to correct the violations through informal methods of 

conference, conciliation, and persuasion for at least 30 days and no more than 90 

days. 

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60. WHEREFORE, based on the direct violation of the standards set forth in the 

FEC's "Guidebook for Complainants and Respondents on the FEC Enforcement 

Process"; Defendant prays that this matter should be dismissed with prejudice and 

that the Federal Elections Commission and Office of General Counsel be held 

accountable. 

MOTION 4 TO DISMISS BASED ON BAD FAITH 

61. On October 14, 2015, a letter was sent by the OGC which attempted to allow for 

conciliation. The letter clearly allowed for, "no more than 90 days". 

Additionally, the FEC "Guidebook for Complainants and Respondents on the 

FEC Enforcement Process" allows for 30-90 days for Conciliation. 

62. During the week of October 26, 2015 I had a conversation with OGC, Ana PenaWallace going over what we could do to conciliate this matter and put this matter 

to rest once and for all. 

63. On November 6, 2015, I received a follow up email from Ana Pena-Wallace 

regarding our conversation the previous week. 

64. On November 6, 2015, I responded asking for the OGC work papers as I 

disagreed with the claims that the OGC was making. 

65. On November 9, 2015, Ana Pena-Wallace responded that she wanted to schedule 

another phone call. 

66. On November 9, 2015, I responded that I felt that the best course of action would 

be for the OGC to send me their work papers so that our phone conversation 

would be more fruitful. I once again, requested the backup documentation 

substantiating their claim. 

67. On November 10, 2015, Ana Pena-Wallace stated, "We are unable to provide you 

with any attorney work product ... " and I was told to review bank statements. 

68. The only way that I received the numbers that I sought was when I was forwarded 

a draft of the civil suit, despite my repeated requests for same. 

69. I was also told, several times that the period for entering into a conciliation 

agreement would end on November 15, 2015, to which I vehemently disagreed 

due to the aforementioned letter and not being provided with the documentation 

that I requested. The time to enter into a conciliation agreement, which I was 

more than willing to do, did not end and it should not have ended until January 

12, 2016. 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 12 of 19
70. Based on 52 U. S. C. §30109(a)(4)(A) The Commission is required to seek to 

correct the violations through informal methods of conference, conciliation, and 

persuasion for at least 30 days and no more than 90 days. Therefore, it is my right 

to have more than 2 days to negotiate a conciliation agreement without having to 

waive my civil rights and enter into a tolling agreement. The government has 

frustrated my ability to make an adequate counter offer due to refusing to provide 

me with the information that I requested until December 15, 2015 and is acting in 

bad faith demanding that I sign another tolling agreement by 9:00 AM by the 

next day or face a civil suit when the government's own letter allowed until 

January 12, 2016 (90 days), not the two (2) days that I was provided. 

71. On December 14, 2015 in an email to Mr. Blumberg, I emphasized my 

willingness to enter into a conciliation agreement and that I wanted to mitigate 

any financial burden which is why I was requesting the work papers as I disagreed 

with the assertions of the OGC. 

72. On December 15,2015 I received a draft of the civil complaint which mirrors this 

civil suit. It was at this point that, for the first time, I received what the OGC was 

claiming was in violation and it was significantly less than what they originally 

claimed. I was not even given a chance to review the information adequately 

disputing the OGC' s claim that this was a personal use violation. 

73. I asked several times for the "work papers" which I was told, in the November 10, 

2015 email, that the OGC would not be willing to provide. Finally, I was 

provided the documentation that I sought on December 15 and given less than 2 

days to conciliate this matter, utilizing the actual numbers, when the October 14, 

2015 letter allows for "no more than 90 days" and the FEC "Guidebook for 

Complainants and Respondents on the FEC Enforcement Process" allows for 30-

90 days for Conciliation. This is despite me making a good faith effort and 

providing a counter to the OGC conciliation agreement the very same day that I 

was provided the actual amounts still remaining within the statute of 

limitations. Both the letter and the Guidebook would allow until January 12, 

2016 to enter into a conciliation agreement. 

74. On December 16, 2015, I sent an email to OGC, Mr. Deeley, in an attempt to 

enter into a conciliation agreement utilizing the percentages of alleged penalties 

sent to me by the OGC previously. 

75. On December 17, 2015 OGC, Erin Chlopak sent me an email declining to accept 

the offer that I sent and I was told that the amount that I derived, utilizing the 

FEC's own mathematical formulas, was "not nearly commensurate with the 

extent of the violations at issue in this matter". The OGC was using the extent of 

civil violations as a measure, NOT the amount of the alleged violations, contrary 

to their ordinary and previous practice. She indicated that the 1 0% of the 

potential penalties was not enough however, the 10% of civil penalties sought is 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 13 of 19
nearly 96% of the alleged violations, which is significantly higher than any 

percentages that were offered or used as a basis previously. 

76. On December 17, 2015 I responded that I do not even know what they consider 

"commensurate with the extent of the violations at issue in this matter". 

According to the FEC's own suit, that I received the day before, the "extent of the 

violations at issue in this matter" and still remaining within the statute of 

limitations is $1,622.49. After all these years and the tens of thousands of dollars 

in paid attorney fees and undue stress, the extent of the alleged violations at issue 

in this matter comes down to $1,622.49. I offered the EXACT same percentage 

that the OGC sought which is higher than every other conciliation agreement that 

I have researched. I even offered if 1 00% of the $1 ,622.49 in alleged violations 

still remaining within the statute of limitations be more appropriate. I also 

requested for the OGC to provide me with a counter offer. I based my counter 

offer on the numbers provided and utilized by the OGC. 

77. Given the delay in getting the information that I requested almost 6 weeks prior to 

receiving the actual work papers and the OGC not accepting the EXACT 

percentage offered of the higher percentages in the government's conciliation 

agreement, it is a clear breach of the covenant of good faith and, in fact, bad faith 

to have not allowed me the opportunity for the full amount of time allotted by the 

government's own handbook and more specifically the October 14, 2015 letter 

sent by the OGC to me as well as what is required in 52 U. S. C. 

§30109(a)(4)(A). Especially given the fact that the amount in question is quite 

minimal. 

78. Additionally, the OGC would not discuss anything further unless I signed a 

tolling agreement yet there was no language in the tolling agreement so as not to 

resuscitate claims for which the limitations period has already passed despite my 

request. Based on the government's blatantly false claims of what is the actual 

amount of alleged violations still remaining within the statute of limitations and 

the "requirement" to provide an inadequate tolling statement or face civil suit 

violating the government's own timeline, there is clear and convincing evidence 

that the government is engaged in a blatant breach of its duty of good faith and 

fair dealing. Contrarily, I have acted in good faith, without the assistance of 

counsel, as the continued costs of tens of thousands of dollars made it prohibitive 

to continue to engage outside counsel, in order to resolve this issue and enter into 

a conciliation agreement based on the actual items still remaining within the 

statute of limitations and utilizing the OGC's very own percentages to do so. 

79. I continued to endeavor to avoid a civil suit, as I have this entire time, and I was 

still hopeful that we were able to resolve this issue in a timely manner. I can not 

imagine that a reasonable conciliation agreement could not be agreed to quickly 

based on the $1,622.49 of alleged violations still remaining within the statute of 

limitations, which I was willing to do despite disagreeing with the assertion of the 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 14 of 19
OGC that the items were for personal use. I would not have engaged in this 

strenuous exercise if I was not interested in seriously attempting to conciliate this 

matter. 

80. According to 52 U.S. C. §30109(a)(4)(A), The Commission is required to seek 

to correct the violations through informal methods of conference, conciliation, 

and persuasion for at least 30 days and no more than 90 days. The OGC, by 

refusing to provide any work papers until 2 days prior to the filing of a suit, 

despite my repeated requests for same, violated 52 U. S. C. §30109(a)(4)(A) by 

only allowing 2 days, violating their obligation to allow at least 30 days. 

Additionally, I responded, in good faith, immediately upon receipt of 

correspondence from the OGC in an attempt to enter into a conciliation agreement 

and resolve this matter. 

81. According to the FEC "Guidebook for Complainants and Respondents on the 

FEC Enforcement Process" (N), page 20,"If the Commission determines that 

there is "probable cause to believe" the law has been violated, the Commission 

must attempt to conciliate with the respondent for at least 30 days, but no more 

than 90 days." The OGC would not provide me with their work papers until 2 

days prior to filing suit. In good faith, I made several attempts to enter into a 

conciliation agreement immediately upon receiving the amounts in question 

despite disagreeing with the assertion of the OGC that the items were allegedly 

for personal use. 

82. The government has an implied duty to act in good faith and fair dealing. By 

refusing to provide the actual amounts of alleged violations until 2 days prior to 

issuing a civil suit, which I requested several times, and providing alleged 

violations greatly exaggerated, the OGC acted in bad faith. By adding knowingly 

and willful fallacious and defamatory language making claims to alleged 

violations, which I deny, in the text of a public suit, the OGC is acting in bad 

faith. 

83. Any claim that the FEC allowed for the requisite amount of time id patently false. 

It is impossible to enter into any settlement conciliation agreement without 

knowing what the alleged violations are. Additionally, it is impossible to know 

what to even correct if the FEC does not provide what the alleged violations are 

that would need to be corrected. Finally, it is impossible to enter into conciliation 

negotiations without benefit of the knowledge of what the extent of the alleged 

violations are considering that most conciliation agreements and, for that matter, 

all settlements are based upon a percentage of the alleged violations. 

84. The OGC knowingly and willfully lied and misrepresented the actual amount of 

alleged violations in order to achieve a higher settlement offer in the conciliation 

agreement. When their misdeeds were discovered, they immediately tried to 

strong arm me into a settlement which is higher than the amount sought in this 

suit and, when I would not acquiesce, they immediately filed suit. They would 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 15 of 19
not even attempt to enter into negotiations based on the actual alleged violations 

as is required under 52 U.S. C. §30109(a)(4)(A). 

85. As a matter of fact, given that the FEC has, once again, failed to provide an 

accurate amount due changing the amount that they claim in alleged violations 

proves that they continue to make it impossible to enter into any realistic 

settlement or conciliation discussions as any settlement or conciliation or civil 

penalty would be based on the extent of the alleged violations. By continuing to 

fail to provide accurate information, they continue to violate their requisite duty to 

act in good faith to seek to correct the violations through informal methods of 

conference, conciliation, and persuasion for at least 30 days and no more than 90 

days. 

86. WHEREFORE, based on the government acting in bad faith; Defendant prays that 

this matter should be dismissed with prejudice and that the Federal Elections 

Commission and Office of General Counsel be held accountable. 

RESPONSE TO SUIT 

1. DISAGREE States disputed items and items outside the statute of limitations as 

fact. Had there actually been funds for personal use proven, this civil suit would 

have been for those amounts. Given that this suit has been amended to $1,374, 

this is a clear attempt to prejudice the court by stipulating alleged items not in 

question and/or not able to be addressed based on an expiration of the statute of 

limitations. This is also an additional attempt to put into public record items that 

have not been factually proven and that I completely disagree with. I request 

MOTION TO STRIKE any language referring to items not in question. 

2. DISAGREE I deny allegations in this suit 

3. AGREE 

4. DISAGREE Alleged violations are not proven and, as such, I disagree 

5. AGREE 

6. AGREE, the exact date of the election was April 13, 2010 and it was the only 

federal election in the entire country 

7. AGREE 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 16 of 19
8. DISAGREE In September, 2009 Christine Botta was brought in to act in the 

capacity of treasurer as she had experience with federal campaigns and our 

campaign, being the only federal election in the nation was getting very hectic. It 

was Christine Botta who entered transactions until February, 2010. Her 

experience included having been a staffer for several politicians. 

9. AGREE 

10. AGREE 

11. AGREE 

12. AGREE 

13. AGREE 

14. AGREE 

15. AGREE 

16. AGREE 

17. DISAGREE 

18. DISAGREE 

19. DISAGREE, the admission was for the purposes of entering into a conciliation 

settlement agreement as well as the amount in question is derived from items well 

outside the statute of limitations. I request MOTION TO STRIKE 

20. DISAGREE 

21. DISAGREE 

22. DISAGREE. The Act defines "personal use" as the use of a contribution or 

donation "to fulfill and commitment, obligation, or expense of a person that 

would exist irrespective of the candidate's election campaign or individual's 

duties as a holder of Federal office." 52 U.S.C. §30114(b)(2). The majority of 

these items were expenses due to having to travel for events for having been a 

candidate for US Congress, I would not have had cause to utilize those businesses 

or had cause to attend the events requiring travel. Since the ending of our 

campaign, I have gone to next to no political meetings in the area and none out of 

the area. Additionally, the original complaint was for a different amount and was 

amended by the FEC, proving that my assertions were correct. 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 17 of 19
23. DISAGREE The matter was generated from records stolen from the campaign 

and allegations made by a person who was with the campaign for only a short 

period of time and NOT in the ordinary course of business. 

24. AGREE 

25. AGREE 

26. AGREE 

27. AGREE 

28. AGREE 

29. AGREE 

30. AGREE 

31. DISAGREE. I had agreed to enter into negotiations regarding a conciliation 

agreement and I had requested, several times, that the FEC provide their records 

as to what the allegations of misreporting were specifically. OGC, refused to 

provide work papers until 2 days prior to the filing of a civil suit. During those 2 

days, I attempted to resolve the issue utilizing the FEC's own guidelines and 

previous conciliation agreement as a basis for calculation a civil penalty. The 

OGC rejected said offers but offered no rationale behind a counter offer nor any 

counter offer. 

32. DISAGREE. There was no good faith effort on the part of the OGC to secure an 

acceptable conciliation agreement as they provided their alleged violations 2 days 

prior to filing suit despite my several request for their work papers. 

33. DISAGREE The Commission failed to attempt to secure an acceptable 

conciliation consistent with the terms set forth in 52 U. S. C. §30109(a)(4)(A), 

the FEC's Guidebook for Complainants and Respondents on the FEC 

Enforcement Process, which allows for 3 0-90 days for conciliation and an 

October 14, 2015 letter allowing "no more than 90 days" to secure said 

conciliation. I was given the work papers 2 days prior to the FEC filing suit after 

requesting same, several times, and attempted to negotiate a conciliation 

agreement utilizing the mathematical formulas used by the OGC in previous 

conciliation agreements. It is impossible to enter into settlement negotiations 

without the benefit of the knowledge of the extent of the allegations since any 

settlement is based upon the extent of the allegations. The OGC acted in bad faith 

filing the civil suit prior to allowing for THEIR OWN guidelines with regard to 

the amount of time allowed for conciliation as well as in direct violation of 52 U. 

S. C. §30109(a)(4)(A). It can not be considered that the OGC attempted to 

achieve a conciliation agreement due to the fact that they refused to provide the 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 18 of 19
work papers that I requested and I was unprepared to enter into any conciliation 

agreement conference without knowledge of the full extent of alleged violations. 

I was not in a position to be expected to reasonably enter into a conciliation 

agreement without all of the pertinent information, which I requested and the 

OGC, again, refused to provide. The OGC knowingly and willfully lied and 

misrepresented the actual amount of alleged violations in order to achieve a 

higher settlement offer in the conciliation agreement. When their misdeeds were 

discovered, they immediately tried to strong arm me into a settlement and, when I 

would not acquiesce, they immediately filed suit. They would not even attempt to 

enter into negotiations based on the actual alleged violations. 

34. AGREE 

35. DISAGREE. I disagreed in the original complaint and was proven correct as the 

FEC changed the amount without justification. 

36. DISAGREE 

37. AGREE 

38. DISAGREE 

39. DISAGREE 

I declare under penalty of perjury that the foregoing is true and correct. 

Signed this 29th day ofMarch, 2016. 

Signature ofDefendant ~ ~ ~ f}v 

Address 10269 Trianon Place 

Wellington, Florida 33449 

Telephone Number 561-445-3139 

Case 9:15-cv-81732-KAM Document 19 Entered on FLSD Docket 03/30/2016 Page 19 of 19