THIS STORY REPLACES A PREVIOUS VERSION.

Ken Oliver’s campaign chairman has been interviewed by state prosecutors in what appears to be an ongoing investigation of alleged irregularities in the councilman’s campaign finance account.

William Chase confirmed that he had spoken to state prosecutors in the last week. Chase said he had no knowledge of the alleged irregularities. He declined to discuss the meeting with the state prosecutors, saying the prosecutors asked him not to talk about it.

He had been issued a subpoena to appear before a county grand jury earlier this month. But he said that subpoena was withdrawn after he agreed to speak with the state prosecutors in their office.

It is the policy of the state prosecutor’s office not to confirm or comment on matters being investigated.

When contacted by a reporter Oliver said, “I have no comment. Call the prosecutor’s office.”

Oliver, a Democrat, represents the 4th District which includes Randallstown and Woodlawn.

Jared DeMarinis, director of candidacy and campaign finance for the State Board of Elections, said Feb. 26 that his office forwarded campaign finance records earlier this year to the office of the chief state prosecutor, Robert Rohrbaugh.

DeMarinis said it is common to get a follow-up letter from the prosecutor’s office with the disposition of a case. To date, no such letter has been placed in the Board of Elections file on Oliver’s campaign committee.
Patuxent Publishing Co., the publisher of this Web site, dating from Feb. 26 to March 6  on irregularities found in Oliver’s campaign finance account.

One story reported that Oliver loaned himself $2,000 from his campaign account in February, according to state campaign finance records.

He initially denied the existence of the loan when questioned by a reporter. A week later, in a letter to state elections officials dated Feb. 7, however, Oliver acknowledged writing checks to himself for that loan from the campaign account plus an additional $2,000 loan that had not yet been reported.

The first loan was made six days after Oliver lost his job at The Harbor Bank.

It is a violation of state law to use campaign funds for personal use. It is also a violation for anyone other than the campaign treasurer to sign checks drawn on the account.

A March 6 Patuxent story reported that Oliver had received 40 checks totaling more than $15,000 in reimbursement for items he said he had purchased for a fundraiser, according to state campaign finance records. All the payments were in even dollar amounts. The  purchases appear to be duplications of items bought from vendors who were later paid directly by the campaign.

At the time, DeMarinis said the payments “definitely raise a red flag.”

Oliver and his campaign did not respond to requests made in February by a reporter to see receipts for the reimbursements.

Lisa Smith, his campaign treasurer at the time, said she had not signed the checks.

“Did you see my name on any of those checks?” she asked.

Smith, who was replaced as campaign treasurer by Robert Gregory in May, did not return calls left earlier this month by a reporter seeking comment.

Gregory, who lives in Woodlawn, has served on the county Planning Board since 2003.

Chase said he could not explain the change in treasurer.

“It’s (Oliver’s) campaign; it’s his people,” Chase said.

Chase had no explanation for the loans or reimbursements.

“I don’t handle the money, I don’t have spending authority,” he said.

“I don’t even know what bank the account is in,” he said.

In an interview Oct. 21, Chase played down his relationship with Oliver’s campaign.

“I’m more of a campaign manager than an campaign chairman,” Chase said. He then elaborated on that, calling himself more of a political guru who “runs campaigns at election time” than someone who handles the day-to-day operations of a campaign finance committee.

Chase said his relationship with Oliver dates back to when both served on the county Planning Board. Oliver helped

Chase run for County Council in 1994.

“He helped me so I felt obligated to help him,” Chase said.

Chase said he volunteered to serve as Oliver’s campaign finance chairman. State law does not assign specific duties to the position other than to ensure that a candidate’s campaign finance reports are filed on time. The chairman would be responsible in part for late fees associated with late filings. The chairman is also responsible for signing annual campaign finance reports.

A guide to state campaign law given to candidates, their campaign chairmen and treasurers recommends that “the chairman have access to the committee’s books, records, and bank account.”

Bryan P. Sears is political editor for Patuxent Publishing Co.’s Baltimore County newspapers.

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user comments (1)

user davidmarks1 says...

I do not know if Mr. Oliver is guilty or innocent of anything, but there is a great need in Baltimore County for a robust, two-party system that checks the balance of power. We have a near-monopoly by one party and its supporters.

Posted 8:10 PM, 10.23.08

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