According to a law enforcement official, the owner of the Hampshire Hotels has submitted a guilty plea to charges of illegally donation money worth thousands of dollars. 70 year-old Sant Singh Chatwal purportedly made donations to the political campaigns of former US senators Chris Dodd and Hillary Clinton.
Chatwal had appeared in Brooklyn federal court today, the Wall Street Journal said. Prosecutors disclosed that Chatwal admitted to using straw donors and associates to make the donations, which is estimated to have been over $180,000 to three federal candidates from the years 2007 to 2011. The newspaper noted that federal laws in 2008 dicate that primary and general election contributions by individuals to campaigns in a single year are limited to $2,300 and are capped at $4,600. In 2010, prosecutors noted that laws also limit contributions at $2,400 to a single campaign and are capped at $4,800. They also noted that federal laws do not allow people from making contributions in the name of another person.
WSJ said that aside from the illegal campaign donation admission, Chatwal also submitted his guilty plea to witness tampering charges. This move was done following wiretap recordings done by officials which indicated that he has tried to convince another person who is involved in his scheme to not tell or cooperate with federal prosecutors, court records showed.
US Attorney for the Eastern District of New York Loretta Lynch said, "The Election Act's spending limits are in place to limit financial influence in federal elections and to ensure transparency as to the identity of donors. Chatwal sought to buy access to power through unlimited and illegal campaign contributions, funneling money from the shadows through straw donors."
Chatwal was reportedly released on a $750,000 bail bond. Chatwal is not permitted to leave the country as his passport was also seized by authorities, WSJ said. If convicted, Chatwal will face up to 25 years in prison and will be paying up to half a million dollars in fines at his sentencing. The hearing for the sentence is set on July 31.
