President Obama's reelection campaign, rattled by his Wednesday night debate performance, could be in for even worse news. According to knowledgeable sources, a national magazine and a national web site are preparing a blockbuster donor scandal story.
Sources told Secrets that the Obama campaign has been trying to block the story. But a key source said it plans to publish the story Friday or, more likely, Monday.
According to the sources, a taxpayer watchdog group conducted a nine-month investigation into presidential and congressional fundraising and has uncovered thousands of cases of credit card solicitations and donations to Obama and Capitol Hill, allegedly from unsecure accounts, and many from overseas. That might be a violation of federal election laws.
The Obama campaign has received hundreds of millions in small dollar donations, many via credit card donations through their website. On Thursday, the campaign announced a record September donor haul of $150 million.
At the end of the 2008 presidential campaign, the Obama-Biden effort was hit with a similar scandal. At the time, the Washington Post reported that the Obama campaign let donors use "largely untraceable prepaid credit cards that could potentially be used to evade limits on how much an individual is legally allowed to give or to mask a contributor's identity."