SEPTEMBER 14, 2011
Fraud Case Rocks Democratic Party
By TAMARA AUDI, JOHN R. EMSHWILLER and THOMAS CATAN
The Wall Street Journal
LOS ANGELES—Accusations that a campaign treasurer stole more than $1 million from Democratic candidates across California have jolted the party on the eve of the 2012 campaign season.
Kinde Durkee was arrested Sept. 2 and accused by federal authorities of stealing campaign funds and using the money to pay for an array of personal expenses, including mortgage payments, cosmetics and nursing-home care for her mother. Based in Burbank, Calif., the 58-year-old had long managed money for scores of Democratic campaigns.
According to the federal criminal complaint, Ms. Durkee "misappropriated money from her clients' bank accounts and filed false disclosure reports to hide the misappropriations." Ms. Durkee "admitted that she had been misappropriating her clients' money for years," according to court documents.
Her lawyer didn't immediately respond to requests for comment.
The complaint against Ms. Durkee focused solely on her alleged misappropriation of more than $600,000 from the campaign accounts of state Assemblyman Jose Solorio's campaign accounts. But prosecutors said the case is set to widen as evidence surfaces that more politicians were alleged victims and millions of dollars in campaign donations may be missing.
"It is far more than just two accounts from one politician," said a spokeswoman for the U.S. attorney's office.
Full story: http://online.wsj.com/article/SB10001424053111904265504576568442780896706.html?mod=WSJ_hp_LEFTTopStories

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