The California Commission on Fair Political Practice (FPPC) has opened an investigation into the financial disclosure of government retirement candidate Larry Elder, an FPPC spokesman confirmed to The Hill.
The investigation comes later the California Democratic Party filed a lawsuit against Elder, accusing the Republican of not properly disclosing aspects of his finances and business, following a story reported by the Los Angeles Times earlier this month, according to the newspaper.
The Times first reported on the FPPC’s investigation into the financial disclosure of Elder’s campaign.
Elder is the leading candidate in next month’s California government withdrawal election.
The Times reported more than a week ago that it appeared Elder had incorrectly indicated financial disclosures related to Laurence A. Elder & Associates Inc., a business experts told the media he appeared to own.
The Times reported that in its Declaration of Economic Interests, a public statement that helps indicate whether there are possible ethical concerns, including conflicts of interest, it had not indicated whether it owned a stake in that company. He pointed out that it was a source of income.
An Elder spokeswoman had told the Times that “it looks like it could have been an oversight” and that her presentation was updated to show she owned 100 percent of the company. He also updated that the company was worth between $ 100,000 and $ 1 million.
In addition, the updated presentation indicated that Elder had received donations from the Republican Executive Committee of Epoch Times and Alachua County, Florida, the Times reported.
In a letter to a lawyer representing the California Democratic Party, FPPC said it was examining the political party’s allegations and added, “You will then receive a notification from us when the case is finally resolved. However, please note that in at this time we have not made any determination as to the validity of the allegations made by your client or as to the guilt, if any, of the persons identified in the claim. “
In a statement to the Times on the investigation, Elder’s campaign spokesman Ying Ma said, “We made a simple mistake and we fixed it as soon as possible. Such investigations are very common in the campaign world.” .
If it is found that Elder is violating the financial disclosure of the inappropriate campaign, each penalty costs a maximum of $ 5,000, according to the Times, citing the FPPC.
The Hill has contacted Elder’s campaign for comment.