Comptroller Denied Funds Because Of Evidence Of Wrongdoing By Campaign

NEW YORK (CBSNewYork)New York City Comptroller John Liu has announced his intention to sue the city for denying him public matching funds during his mayoral campaign.

As WCBS 880’s Irene Cornell reported, Liu filed a notice of claim with his own office because the city refused to grant him $3.5 million in matching funds.

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The New York City Campaign Finance Board issued a unanimous decision in August that Liu would not be given matching funds because two of his former aides were accused in a campaign finance scheme. They have both since been convicted for illegally raising funds.

“The evidence suggests that the potential violations are serious and pervasive across campaign’s fundraising,” the board said in a statement in August. The board said it had received “substantial evidence” of wrongdoings, including straw donors.

“The choice to withhold payment in this instance is based on the campaign’s inability to demonstrate that it is in compliance with the law,” board chair Joseph Parkes said.

At the time, Liu announced his plans to sue the city.

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Liu was never implicated in any wrongdoing.

The comptroller said he will sue for damages for loss of civil rights, mental and emotional harm, loss of professional reputation and loss of dignity.

Liu finished fourth in the Democratic primary, behind mayor-elect Bill de Blasio, Bill Thompson and Christine Quinn.

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