CHIEF ENFORCEMENT COUNSEL REPORT AND COMPLAINT TO HEARING

OFFICER

To:

Sharon Miller Esq.

Hearing Officer

From: Risa S. Sugarman

Chief Enforcement Counsel
Division of Election Law Enforcement
New York State Board of Elections
John Jay S. Arnold IV
Associate Counsel
Jemayel Mall
Investigative Auditor
Date: December 23, 2015
Re.:

Friends for Norma Gonsalves (C03413)

Case: E-091/2015

______________________________________________________________________________
Pursuant to Election Law 3-104 and the Rules and Regulations of the New York State Board of
Elections (SBOE) 6218, Risa S. Sugarman, as Chief Enforcement Counsel herein alleges as
follows:

LEGAL AUTHORITY AND CONCISE STATEMENT OF FACTS

The legal authority and jurisdiction for this proceeding arises from New York Election Law 3104(5)(a), Article 3 of the State Administrative Procedure Act as well as the Rules and Regulations
of the State Board of Elections 6218.03. The relevant Election Law statutes to the instant
proceedings are New York State Election Laws 3-104(5)(a), 14-100, 14-102, 14-104, 14108, 14-126(1), as well as the Rules and Regulations of the State Board of Elections 6218.03,
6200.2.

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Complainant alleges that the FRIENDS FOR NORMA GONSALVES (C03413) was and is a
political committee as defined in 14-100(1) required to file campaign finance disclosure reports
with the Board of Elections pursuant to election law 14-102, but failed to timely do so between
January 1, 2006 and March of 2015.

Specifically, Complainant alleges eight (8) enforceable instances of failing to file with each
violation carrying a penalty of One-thousand dollars ($1,000.00) for each such failure pursuant to
14-126(1)(a). Complainant further alleges two (2) separate enforceable failures to file three or
more times within a given election cycle with each violation carrying a penalty of Ten Thousand
dollars ($10,000.00) for each such violation pursuant to 14-126(1). Complainant alleges a total
civil penalty of up to twenty-eight thousand dollars ($28,000.00) for which the candidate and
treasurer are jointly liable under the election law.

SUMMARY OF CHIEF ENFORCEMENT COUNSEL DETERMINATION:

Based on a review of SBOE campaign finance reports, the Chief Enforcement Counsel determined
pursuant to EL 14-100, 14-102, 14-104 and 14-108 that FRIENDS FOR NORMA
GONSALVES was an authorized single candidate committee required to file campaign finance
disclosure statements with the SBOE between January 2006 and February of 2015, but failed to
timely do so on at least thirty-four (34) occasions. The dates on which the committee was required
to file are set forth in the Rules and Regulations 6200.2, which mandates annual January and July
periodic reports as well as three additional reports for each contested primary and general election.

In the instant matter a review of SBOE records indicate that the political committee failed to timely
file all such required statements until February of 2015 and therefore, substantial reason exists to
believe a violation of the election law occurred.
Under 14-126(1)(a) of the Election Law, any person who fails to file a statement required to be
filed by this article shall be subject to a civil penalty, not in excess of one thousand dollars, to be
recoverable in a special proceeding or civil action to be brought by the chief enforcement counsel
pursuant to 16-114 of this chapter.

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Specifically, Committee C03413 has violated EL 14-126(1)(a) by failing to timely file the
following reports as required by the election law: 1)the 2015 January Periodic Report; 2)the 2014
July Periodic Report; 3)the 2014 January Periodic Report; 4)the 2013 32 Day Pre General Report;
5)the 2013 11 Day Pre General Report; 6)the 2013 27 Day Post General Report; 7)the 2013 July
Periodic Report; and 8)the 2013 January Periodic Report. Under this provision, there are eight (8)
independent EL 14-126(1)(a) violations subjecting the treasurer/candidate/committee to up to
$8,000.00 dollars in penalties.
Additionally, pursuant to EL 14-126(1)(a), any person who three or more times within a given
election cycle for such term of office, fails to file a statement required to be filed by this article
shall be subject to a civil penalty, not in excess of ten thousand dollars, to be recoverable as
provided for in this subdivision.

Specifically, Committee C03413 is active during election cycles spanning two-year periods with
each election cycle beginning on or about November 7th of odd numbered calendar years. SBOE
records reflect that the committee failed to timely file all seven (7) reports required to be filed for
the 2011-2013 election cycle, including: 1)the 2013 thirty two day Pre-general report; 2)the 2013
eleven day Pre-general report; as well as 3)the 2013 twenty-seven day post general report. SBOE
records further reflect that the committee failed to timely file three (3) reports required to be filed
for the 2013-2015 election cycle, including: 1)the 2014 January Periodic Report; 2)the 2014 July
Periodic report; and 3)the January 2015 periodic report. Under this provision, there are two
independent EL 14-126(1)(a) violations subjecting the treasurer/candidate/committee to up to a
total of $20,000.00 dollars in penalties.

The designation of a committee does not relieve the candidate or treasurer of their duty to ensure
proper and timely filing under the law. Accordingly the candidate/committee/treasurer are subject
to a total maximum civil penalty of $28,000.00 dollars for missed filings.

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RELIEF SOUGHT:
The Chief Enforcement Counsel respectfully requests that the Hearing Officer make findings of
fact and conclusions of law that the above Committee did fail to timely file in accordance with
Article 14 of the Election Law and as such, along with the candidate and treasurer, is subject to
the aforementioned $28,000.00 dollars in penalties set forth in EL 14-126(1).

Specifically, the Hearing Officers findings of fact and conclusions of Law should find that 14126(1) was violated eight times for failures to file individual campaign finance reports as well as
two more times for failure to file three reports for the 2013 and 2015 applicable election cycles.

In determining any recommended applicable penalties, the Chief Enforcement Counsel asks the
Hearing Officer to consider this Committees long-standing failures to file campaign disclosure
reports.

HEARING OFFICER EQUITABLE DETERMINATION UNDER 3-104

The Chief Enforcement counsel respectfully submits that this is not a dismissible proceeding under
the statutory three-pronged test set forth in EL 3-104 (5). Specifically: 1) the violations are
clearly not de minimis in that voters and opposing candidates alike were repeatedly denied the
ability to ascertain the manner and means by which the candidates campaign was financed; 2) the
subject of the complaint did make an earnest and complete attempt to cooperate and properly
complete their filings only after being the subject of an investigative news report showing almost
ten years of non-compliance; and 3) the lack of timely filings in this matter actually constitutes the
committees entire filing history prior to March of 2015.

THE MATTER SHOULD NOT BE RESOLVED EXTRA-JUDICIALLY

There were multiple attempts to resolve the instant matter extra-judicially. Specifically, associate
counsel John Jay S. Arnold IV entered into possible civil settlement discussions with the
Committee but the parties were unable to come to a mutually agreeable resolution.

Chief

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Enforcement Counsel does respectfully reserve the right to supplement this section in the event
the parties are able to amicably resolve the allegations herein.

A SPECIAL PROCEEDING SHOULD BE COMMENCED IN SUPREME COURT TO

RECOVER A CIVIL PENALTY IF NECESSARY

There being no viable defense to the allegations set forth herein, the Chief Enforcement Counsel
will seek to commence an action in Supreme Court pursuant to EL 16-100, 16-114, 16-116, and
16-120 to recover any civil penalties available in accordance with any findings of facts and
conclusions of law made by the Hearing Officer.

Pursuant to EL 3-104(5) the Chief Enforcement Counsel reserves the right to enter into a
settlement agreement in lieu of any Supreme Court proceeding in the event a resolution is reached
as between the parties after the Hearing Officer makes findings of fact and conclusions of Law.
CONCLUSION
The Hearing Officers findings of fact and conclusions of Law should specifically find that 14126(1) was violated eight times for failures to file individual campaign finance reports as well as
two more times for failure to file three reports for the 2013 and 2015 applicable election cycles.

Dated: Albany, New York

December 23, 2015

BY:

John Jay S. Arnold IV, Esq.

RISA S. SUGARMAN
New York State Board of Elections
Chief Enforcement Counsel
40 N. Pearl Street, Ste 5
Albany, NY 12207

John Jay S. Arnold, Esq.

(518) 486-9396
Counsel for Complainant

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