New York City Comptroller John Liu, who is campaigning for Mayor in 2013, saw his campaign treasurer Jenny Hou arrested this morning on fraud charges by the FBI and the United States Attorney for the Southern District of New York. The charges represent the latest legal blow for Mr. Liu’s campaign. One of his chief fundraisers was arrested last November for orchestrating an illegal fundraising scheme.
According to the U.S. Attorney’s office, Ms. Hou “is accused of participating in a scheme that used ‘straw donors’ to funnel to the Campaign large, illegal contributions that were well above the individual limit … with the intent to fraudulently increase the amount of matching funds provided.”
Congressman Michael Grimm, one of Mitt Romney’s most vocal supporters, is no longer on his list of delegates for the Republican Convention, the Staten Island Advance reported this morning. Mr. Romney’s official list of delegates, reported last Tuesday by Capital Tonight, confirm this as well. Mr. Grimm has recently been facing allegations from the New York Times‘ sources that he engaged in criminal fundraising behavior. He has steadfastly denied the charges, but the controversy surrounding it might have been too much for the Romney campaign.
Mr. Grimm was the first GOP Congressman in New York State to endorse a presidential candidate and had subsequently emerged as one of Mr. Romney’s media surrogates, even traveling to New Hampshire and Florida to campaign on his behalf.