Coastal SC Campaign Finance Scandal Deepens
Allegations of a major pay-to-play scandal are brewing along the S.C. Coast, one involving hundreds of thousands of dollars in campaign contributions which appear to have been funneled to various politicians through a maze of “shell” corporations – all as a reward for pushing through an $18 million tax hike.
That $18 million is being poured directly into the coffers of the Myrtle Beach Area Chamber of Commerce – which critics allege is orchestrating the whole scheme.
At last count, over $300,000 in campaign contributions have been identified as coming from a group of two dozen different “corporations” – although at least one of those corporations is defunct and several of them used cashier’s checks to make their contributions, making it difficult to trace their true origin.
Also, the majority of these “corporations” list a former Myrtle Beach Area Chamber of Commerce board chairman, Shep Guyton, as their registered agent – prompting critics to allege that the corporations are merely “shells” being manipulated by the Chamber to reward the state and local politicians who helped them approve the tax hike.
The Chamber is hotly disputing that allegation through its attorneys, however, going so far as to file a cease and desist order a week ago against a group that is criticizing the contributions. That group, which calls itself BOOST (Business Owners Organized to Support Tourism), responded by threatening to sue the Chamber and accusing it of violating federal anti-racketeering law.
In addition to four Myrtle Beach City Council members, S.C. Reps. Thad Viers, Nelson Hardwick, George Hearn, Alan Clemmons, Tracy Edge and Liston Barfield all received $1,000 checks from all or some of the twenty-four corporations, as has State Senator Ray Cleary – a frequent proponent of tax hikes.
U.S. Rep. Gresham Barrett – who is running for governor in 2010 – has also received multiple contributions from several of the alleged “shell” corporations.
All of the state lawmakers alleged to have benefited from the scam are “Republicans.”
Earlier this spring, Horry County’s state legislative delegation pushed through a state law enabling the City Council to approve a new “ad tax” hike in May. The proceeds from that tax hike began accruing to the Myrtle Beach Area Chamber of Commerce on August 1 of this year.
In an effort to get to the bottom of all this, FITS has filed a Freedom of Information Act request with the Chamber, which the organization should comply with seeing as it is now the beneficiary of a dedicated stream of taxpayer revenue.
In fact, the Chamber’s attorneys have previously argued for a strict interpretation of what constitutes a public body in the past.
You can read more on this brewing scandal in The Sun News by clicking here …
Comments
By Huhhh??? on November 3rd, 2009 at 11:39 am
I’ve been following this story at the Sun Times and I urge other people to do so.
It appears that elected officials in Horry County have handed over substantial decision making powers to the Horry Chamber of Commerce. The Chamber appears to fuction almost as a shadow, unelected governing body which does not hesitate to use legal action to intimidate opponents to it’s “party line”.
It’s been going on for some time, but these contributions from LLCs, some of them reported to be defunct, have blown it out of the water. It now appears that the elected officials giving the power to the Chamber may just flat out be benefitting in campaign contributions for having done so.
And, the Chamber just plows ahead, suing right and left (with Mark’s lawyer), absolutely oblivious that they look like a bunch of banana republic wannabe dictators. It’s amazing.
By ohara on November 3rd, 2009 at 12:41 pm
Good reporting-keep it going, FITS.
By TV on November 3rd, 2009 at 2:03 pm
How are you going to get to the bottom of it? Your about a month late on this story. If there where something to it you would still be reading about it from the ones who have already covered it.
This is all about a bunch of biker thugs called BOOST who are mad that they can’t out politic the MB Chamber crowd. Its also about an Horry political guru who is a hypocrit. No laws have been broken and no one from that side can find the story they want. They are just mad because their biker crowd is losing the local elections in MB.
By A citizen on November 3rd, 2009 at 2:12 pm
Funny how your ‘article’ purports allegations against “Republican” candidates and just below your article is your advertisement for Mullins McLeod. Just admit that you are a mouthpiece for democrats and get on with it. Oh and it took some digging to find McLeod’s party affiliation.It isn’t prominently on his website or in his “about” page. perhaps he’s not as proud of who is paying for his candicacy as you would like to promote. And any monkey can submit a FOIA request- oops one just did!
By Commonman on November 3rd, 2009 at 2:50 pm
Folks is a mouthpiece for Folks, not democrats or republicans. He tells it like he sees it even if I don’t always agree with his analysis and even if he is dead wrong. Guess that is part of the credibility I personally believe he does have.
By Scandal scandal scandal on November 3rd, 2009 at 3:43 pm
I’ve been wondering when this story would have legs that reached past the beach. Look toward Lindsey Graham getting some of these funds.
By me on November 3rd, 2009 at 4:32 pm
How does Lindsey get the money when its all corporate? Answer is he can’t because Fed rules don’t allow LLCs to give to Fed candidates. No elected official has broken any law if what we hear is correct. so quit implying that they have. This complies with SC law just like Howie Rich and all his LLC checks comply with the law.
The problem here is the law in this case is not working for “some” people this time and they are upset about it. So what.
A certain “consultant” in Horry and some biker bar groupies are going down in defeat and this is just something for them to complain about.
By BIN News Editorial Staff on November 3rd, 2009 at 6:40 pm
Are corporations like the phony corporations Howie has set up to funnel voucher scam money to voucher clown politicians?
You know. The ones outed by Barbecue & Politics.
Our Funding Editor dearly misses that blog.
BIN News
Flair and Balanced
By Ynot on November 3rd, 2009 at 7:31 pm
ewww more Gresham Barrett news…..funny how his name keeps coming up.
the man ain’t right for South Carolina.
By Freddie on November 3rd, 2009 at 7:39 pm
How is this different than Howard Rich and all of his “shell corporations” that are focused on one issue…
…oh yeah, he pays the light bill at FITS News???…
http://stophowardrichsc.blogspot.com/
Fred
By madcock on November 3rd, 2009 at 11:32 pm
Fits, the “companies” did exactly what Howie Rich does. And, disgustingly, it is completely legal in SC.
If your former mentor, Sanfraud, had really been a reformer he would have pushed to outlaw the practice as it is on the Federal level.
But, of course he was nothing buy Howie’s bitch, just like you were Sanfraud’s bitch.
For someone who has served Howie, as you once did, to criticize this is tantamount to Neville Chamberlain criticizing someone for appeasment.
By Philip Branton on November 3rd, 2009 at 11:54 pm
Well Wil, what else is NEW…!?! Is the ticket structure for USC or Clemson football games any different..!?! Talk about pay for play…just look a this field of GREEN..!
http://www.crda.org/about/investors/levels_of_engagement.html
Once you realize WHO sits on these RDA’s and Chamber seats, its NO WONDER our state is stuck where its at..!?! As an example, Heaven knows we have WIND and we have GE right here in OUR state making TURBINES …but do we have ONE turbine UP …ANYWHERE..!?! Santee Cooper screams about not having a “SMART GRID” for turbine efficiency USE …and so we are all led to believe that those fine hard working engineers and field technicians are installing a DUMB GRID..!?! GEEZ…!?!
Need another example, …well we just now are able to sell SMART cars here in AMERICA but how long have they been sold in Europe..!?! LOL..!? AND OF COURSE….we are not able to buy the diesel version that gets 80 miles to the gallon..!? Talk about SLAVE MASTERS…!!!! What is even more ghastly is the FACT that no politician has mentioned a peep about ….
http://news.bbc.co.uk/2/hi/technology/8290130.stm
and
http://www.qinetiq.com/home/markets/energy_environment/energy_from_waste.html
Talk about keeping our state CLEAN and GREEN…!?! Has anyone mentioned CLOSING down ALL our state’s landfills..!?! Once the scab is lifted of this Peeler boo boo…..LOOK OUT !!! Its the very Chamber and RDA wonks who are backslappin and scamming the taxpayers at the same time…!?! When you look at who is funding local advertising on certain morning shows and placing ads in papers and circulars to virtually enforce a technology NEWS blackout…its really grounds for a CLASS ACTION Lawsuit..!?!
Wil, if you would only take a picture of ANY politician’s face when you confront them with this FACT…..
“…In addition, the size and complexity reduction of the system for US army use means the approach could see application outside the military.
“We’re finding more and more people in the commercial sector want to take ownership of their waste, and they want to reduce their carbon footprint, so they see energy from waste as a good way to go,” Mr McGlead said.
“There are people that are interested in it for blocks of flats – it has a number of different applications.” …..”
They know that the SCAM is about to END when actual subdivision home owners associations will harness their OWN trash to sell back through SCE&G…!!! ..or Santee Cooper..!!
Wil, it time for SC to get their head out of the CIVIL WAR…!?! Wil, can you imagine all of the subdivisions in South Carolina using the INTERNET to coordinate electrical SUPPLY..!?! Can you imagine how all local governments are scrambling to write new LAWS to keep groups of ENERGY citizens from controlling their OWN trash energy..!?! THIS IS GOING TO BE GREAT TO WATCH…!!!
Dave Ramsey brags about the new status symbol being no home mortgage……WELL..he is just like Rush Limbaugh and only using half his BRAIN..!! The real GREEN status symbol is No electric bill and on top of that ….SELLING you surplus home trash ENERGY back to SCE&G and Santee Cooper for a PROFIT…!!! (Grass Clippings, leaves, sewage, trash, solar, wind, and……home brewed Diesel )
http://www.polysteel.com
http://www.rwenergies.com
http://www.qinetiq.com
http://www.startech.net
http://www.acrosolarlasers.com
http://www.greensteamengine.com
Wil, its not what a politician promises with lollipops….its what he/she is scooping with their net in the other HAND..!!
And to think that only OFF SHORE wind is being discussed without using our ON SHORE wind is totally absurd..!!
Nelson Hardwick knows full well how much TAX REVENUE could be generated from OUR On-Shore WIND alone…!!! He sure knows how much scamming is happenin’ at the Horry County Methane “MAGIC” Mountain landfill….!!! He loves BOB Peeler ..”Milk”…!!
By newzjunkie on November 4th, 2009 at 12:17 am
Again, I urge FITS to limit how much one can say on a BLOG! Not everyone knows and understands blog- etiquette! Soooo not cool!
By Philip Branton on November 4th, 2009 at 7:30 am
Are thoughts supposed to be COOL…??
So….this “blog” is supposed to be the new high school football team where only the cool politician’s Kids who slurp at “Diane’s on Devine” can opine…!??
Oh,….I’m sorry… !?
Guess I’ll go back to the Fairgrounds to chew on an Elephant Ear and slurp some Java mud out of a paper cup..!?!!
Wil…….I apologize for my Argentine and Orangeburg etiquette…!! I thought by reading and contributing that I may one day enjoy being at the TOP..!? http://www.thestate.com/living/story/1006289.html
By Jim on November 4th, 2009 at 8:45 am
Bronton; Its not the you write too long, its more because you appear to be a whacked out nut job.
By R on February 23rd, 2010 at 9:03 pm
This really is sickening. This state is so corrupt. Its not a wonder our residents are the dumbest in the nation and this state is the poorest backwater in the nation. Is there one politician in this pathetic state that gives a damn about the people? Every damn one of those crooks in the Legislature is out for themselves and on the take. Maybe by the next century residents in this state will wake up and quit electing crooks to the Legislature.