Gov. Charlie Crist may face a twin-pronged legal attack by members of the political party he used to lead — a judicial pincer movement aimed at cutting his U.S. Senate campaign off at the knees.
The former Republican, turned breakaway independent, continues to lead the U.S. Senate race in many polls. But a lawsuit facing a pivotal ruling next week could freeze millions of dollars in disputed campaign contributions now in his account and make it virtually impossible for him to mount an effective final push in his three-way race against Republican Marco Rubio and Democrat Kendrick Meek.
The Republican Party of Florida also will decide by next week whether it will go to court to force Crist to repay thousands of dollars in American Express charges leaders say a forensic audit of party spending showed he rang up during the tumultuous reign of ousted and indicted former chairman Jim Greer, Crist’s hand-picked party boss.
Meanwhile, a senior circuit court judge in Naples is expected to rule Tuesday on whether Crist can spend money he raised while campaigning as a Republican, a decision that attorneys on both sides agreed treads on new legal ground.
“I expect next week will be very significant,” Rep. Tom Grady, R-Naples, a Naples attorney, told the News Service of Florida on Wednesday. Grader represents a pair of former Crist supporters suing to get their contributions back.
Donors Linda Morton of Naples and former U.S. ambassador to the Bahamas John Rood of Jacksonville sued Crist in June, claiming he should not be able to use campaign contributions made when he was running for the U.S. Senate as a Republican — about $7.5 million in contributions made before he broke with the party.
Crist’s attorney, Scott Weinstein of Fort Myers, says the proper venue for Morton and Rood would be small claims court if they want to recover the $5,300 they collectively gave to Crist. Asking for refunds on behalf of all donors, Weinstein contends, is merely a ploy by the Republican Party to further the campaign of their candidate Marco Rubio by tying up funds during the campaign’s final weeks.
“Nobody has challenged democracy in the past as the plaintiffs have here,” Weinstein said. “This is an unabashed attempt to freeze the campaign account of a rival.”
Arguments are set to begin at 9 a.m., Tuesday in the courtroom of circuit Judge Jack Schoonover, who is expected to rule on two separate motions. The judge is first being asked to decide if the plaintiffs in the case can file on behalf of other contributors in a class action lawsuit.
If class action status is granted, the Schoonover will then hear arguments on whether to freeze Crist’s campaign account to prevent him from spending money he collected while running under the GOP flag.
If Schoonover rejects either claim, Crist’s campaign can continue to spend money as it has been, Weinstein said. If, however, Schoonover sides with plaintiff’s on either claim, the governor has the right to appeal. Schoonover or the appellate court could also order a stay to delay the freezing of funds until all appeals are completed.
Grady, who resigned as Crist’s regional campaign chairman after his former political ally jumped ship, said class action status is needed to reimburse donors who gave money to one candidate only to find he had morphed into another.
“It’s pretty intimidating to sue a sitting governor,” Grady said. “But to use Crist’s own words, `If you say one thing and then do another, you’ve committed fraud.'”
Crist’s courtroom challenges may not end there. RPOF leaders, who met in Orlando last weekend, are considering suing Crist and other former GOP leadership team for hundreds of thousands of dollars in party spending that a new audit of party spending showed was unnecessary.
GOP leaders are expected to decide by next week whether to pursue legal action against Crist.
State GOP chairman John Thrasher said the audit spanned 2007-2009 – years the Florida Republican Party was led by Greer. The former chairman faces six felony counts of grand theft, money laundering and attempted fraud stemming from a consulting company he set up in 2009 that drew $200,000 from the Florida GOP.
During Greer’s three years as party head, the Florida GOP rang-up more than $7 million in American Express credit charges including trips around the country and to Europe, limousines, liquor purchases, and other apparent excess. Thrasher said he would release details of the audit after the executive committee decides by next week whether to pursue the lawsuit.
By Michael Peltier
The News Service of Florida
