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Texas man indicted over allegations he created fraudulent campaign PACs

Texas man indicted over allegations he created fraudulent campaign PACs
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A Texas man has been indicted in federal court on counts including mail fraud, wire fraud and money laundering that stem from allegations that he raised hundreds of thousands of dollars for fraudulent political committees. 

Kyle Gerald Prall is accused of setting up political committees named "Feel Bern," "HC4President" and "Trump Victory" and soliciting donations he claimed would support the candidacies of Bernie SandersBernie SandersOvernight Energy: Biden seeks to reassert US climate leadership | President to 'repeal or replace' Trump decision removing protections for Tongass | Administration proposes its first offshore wind lease sale On The Money: Democrats wary of emerging bipartisan infrastructure deal, warn of time crunch Out-of-touch Democrats running scared of progressives MORE, Hillary ClintonHillary Diane Rodham ClintonTrump asks Biden to give Putin his 'warmest regards' Huma Abedin announces book deal Mystery surrounds Justice's pledge on journalist records MORE and Donald TrumpDonald TrumpTrump DOJ demanded metadata on 73 phone numbers and 36 email addresses, Apple says Putin says he's optimistic about working with Biden ahead of planned meeting Biden meets Queen Elizabeth for first time as president MORE.

Prall was indicted Tuesday by a federal grand jury in Austin. 

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Prall allegedly raised more than $300,000 in contributions to "Feel Bern," more than $165,000 in contributions to "Trump Victory" and more than $73,000 in contributions to "HC4President," according to the indictment. He spent little of that money for political purposes and pocketed much of it, according to the indictment. 

Prall claimed that the contributions would be used for purposes including paying for transportation to take voters to the polls, paying to train volunteers, paying to help voters obtain ID and making political contributions, according to the indictment.

“In reality Prall did not intend to, and did not, use the contributions for any of these purposes and instead transferred much of the money to himself through sham LLC accounts and used the other funds to generate additional contributions to his fraudulent political committee," the indictment reads.

The "Feel Bern" PAC came under scrutiny in 2016, when a review by The Hill found that the majority of the money spent by the PAC went to individuals linked to the group, marketing and advertising costs, audience targeting firms and transfers to limited liability companies (LLCs).