New RNC chief accused of misusing money during 2006 campaign

Washington Post

- A former campaign adviser for Michael Steele told federal prosecutors that Steele, the newly elected chairman of the Republican National Committee, arranged for his 2006 Senate campaign to pay a defunct company run by his sister for services that were not performed.

The allegation is one of several made by Alan Fabian, who was the finance chairman for the campaign, that are outlined in a confidential court document. Fabian offered the information in March as he sought leniency during plea negotiations on unrelated fraud charges. Prosecutors gave him no credit for cooperation when he was sentenced in October.

Federal agents have contacted Steele’s sister in recent days, a spokesman for Steele said.

Steele spokesman Curt Anderson said the allegations are false. “It’s from, what, a convicted felon? And it has no substantiation in fact,” he said.

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