CREW Files FEC and IRS Complaints Against Nader For President 2004 and Citizen Works

25 Jun 2004 // Washington, DC, June 25, 2004 — Earlier today, Citizens for Responsibility and Ethics in Washington (CREW) filed a complaint with the Federal Election Commission (FEC) alleging that Nader for President is violating federal campaign laws by accepting office space and telephone service from Citizen Works, a charitable corporation created by Ralph Nader.

At the same time, CREW filed a complaint with the Internal Revenue Service (IRS) alleging that Citizen Works is violating its status as a charitable organization by involving itself in a political campaign. A story in The Washington Post indicates that Citizen Works has been providing office space to Nader for President 2004 at a reduced rent.

In an April 28, 2004 advisory, the IRS stated that 501(c)(3)organizations, such as Citizen Works, are "prohibited from participating or intervening in any political campaign on behalf of, or in opposition to, any candidate for public office." The advisory also provides that charities are prohibited from engaging in "activities that may be beneficial or detrimental to any candidate." By making office space available to the Nader campaign that would not have been available to any other presidential candidate, by providing that space at a rate below market, and by providing other assistance, Citizen Works is benefitting Mr. Nader's campaign. The complaint filed with the IRS asks the agency to enjoin Citizen Works from offering any further assistance to the campaign.

CREW's FEC complaint alleges that Nader for President 2004 and Citizen Works have both violated the law prohibiting corporate contributions: the Nader campaign for accepting the contributions and Citizen Works for making them.

"Ralph Nader seems to think that because he founded Citizen Works, he can use the organization as he sees fit; this includes using the charity to assist his campaign," Melanie Sloan, Executive Director of CREW said today. "No one, not even Ralph Nader, is exempt from campaign finance and tax laws," Sloan continued. "Mr. Nader seems to believe that his denial of wrongdoing, though contradicted by the facts, should be sufficient to end this inquiry; but an investigation by the IRS and the FEC would be much more reassuring."

Copies of the complaints can be found on the web at www.citizensforethics.org