The paper trail behind Tom DeLay’s indictment and Roy Blunt’s 527

Introduction

Although Representative Tom DeLay, R-Texas, was indicted for allegedly laundering corporate donations through his 527 organization to a state party committee, the man chosen to fill in for him as House majority leader has engaged in similar—albeit legal—activities.

Representative Roy Blunt, R-Mo., who has temporarily replaced DeLay, accepted hundreds of thousands of dollars in contributions from corporations to his 527 organization (Rely On Your Beliefs Fund) and sent $661,000 to the Missouri Republican State Committee.

The difference is that unlike Texas, Missouri allows corporate donations to state candidates, political action committees and parties. While it does not limit the amount a state party can take in, it does impose a $1,200 limit on corporate donations to candidates, according to the Missouri Ethics Commission.

These donations to Blunt’s 527 group include contributions from four of the same companies that were implicated in the DeLay indictment, including:

• Diversified Collection Services Inc. ($50,000);
• Bacardi U.S.A. Inc. ($5,000);
• Sears, Roebuck and Co. ($4,000);
• Cornell Companies Inc. ($5,000).