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Source: Ft Wayne Journal Gazette
An Allen County grand jury indicted Republican mayoral candidate Matt Kelty on Tuesday, charging him with seven felonies and two misdemeanors.
Kelty, 42, is charged with two counts of perjury, five felony counts of fraudulent election filing and two misdemeanor counts of commingling campaign and personal funds, special prosecutor Dan Sigler said.
Last month, Sigler requested a grand jury be empaneled to explore the issue of whether Kelty broke the law in how he reported $158,000 in loans on his campaign-finance reports.
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Kelty was taken in handcuffs to the Allen County Lockup, where he was released about 1 1/2 hours later on his own recognizance. If convicted, he faces up to three years in prison on each felony charge and up to 180 days in jail on the misdemeanor charges.
Read more: www.journalgazette.net/apps/pbcs.dll/article?AID=/20070814/LOCAL/70814011
Some details
It was the Republican power brokers in Allen County that questioned and revealed the violation after their candidate lost in the primary.
The Allen County Election Board then requested documentation from Kelty and a hearing was later convened to determine the outcome. The makeup of the Election Board: Allen County Clerk by virtue of their office (Republican); member appointed by the Republican County Chair; member appointed by the Democratic County Chair. Kelty was represented by James Bopp Jr. He was involved in the 2000 Florida recount. Result of the hearing... 2 - 3 along party lines of course.
Next day I contacted Common Cause of Indiana requesting information on how to file charges. Never did file charges. Common Cause ended up doing it as a result of my inquiry.
Kelty received 2 loans of $150,000 and $10,000 from members of his campaign committee. Kelty transferred at least $158,000 of the money from his personal account shortly after receiving the money to his campaign. Kelty identified the loans personal loans from himself instead of the 2 members of his campaign. Bopp argued that the loans were given to Kelty as an individual and not Kelty the candidate.
Indiana Code specifies that loans are also considered contributions to a campaign when given to the campaign.
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