FORM —

COMPLAINT FOR VIOLATION OF j

D-4 THE CAMPAIGN DISCLOSURE ACT’ H

COMPLAINANT NAME, ADDRESS AND TELEPHONE NUMBER: o

Fiends of Vi Daley -

2536 N Clark St PMB 296

Chicago IL 60614
312.208.9591

vs.

NAME AND ADDRESS OF RESPONDENT:

Friends of Michele Smith
210 WScott Unit L
Chicago IL 60610

SECTION 1. HAS RESPONDENT FILED A STATEMENT OF ORGANIZATION AS A POLITICAL COMMITTEE WITH THE
STATE BOARD OF ELECTIONSOCOUNTY CLERK, ORCNONE. IF FILED WITH THE COUNTY CLERK
IDENTiFY COUNTY;

SECTION 2. STATUTORY PROVISIONS: STATE THE PORTIONS OF THE CAMPAIGN DISCLOSURE ACT (ARTICLE 9,
ELECTION CODE) THAT HAVE BEEN VIOLATED. (USE ADDITIONAL PLAIN SHEETS IF NECESSARY AND
REFER TO THIS SECTION.)
519-17 ______

SECTION 3. STATE THE NATURE OF THE OFFENSE(S) OR VIOLATION(s), IF APPLICABLE. (USE ADDITIONAL PLAIN
SHEETS IF NECESSARY AND REFER TO THIS SECTION.)

Respondent utilized information from reports filed with the State Board of Elections to solicit contributions.

SECTION 4. ATTACH ALL STATEMENTS, SCHEDULES, OR OTHER DOCUMENTS REFERRING TO THIS COMPLAINT.
VERIFICATION

I DECLARE THAT THIS COMPLAINT (INCLUDING ANY ACCOMPANYING SCHEDULES AND STATEMENTS) HAS BEEN
EXAMINED BY ME AND TO THE BEST OF MY KNOWLEDGE AND BELIEF IS A TRUE AND CORRECT COMPLAINT AS
REQUIRED BY ARTICLE 9 OF THE ELECTION CODE. I UNDERSTAND THAT THE PENALTY FOR WILLFULLY FILING A
FALSE COMPLAINT SHALL BE A FINE NOT TO EXCEED $500 OR IMPRISONMENTAN A PENAL INSTITUTION OTHERTHAN
THE PENITENTIARY NOT TO EXCEED 6 MONTHS, OR BOTH FINE AND I~APR1~JØNMENT (~
—

DATE SIGI~JATURE OF COMPLAINANT

(IF COMPLAINANT Is A CORPO~TION THEN VERIFICATION

MUST BE SIGNED BY AN AUTHORIZED OFFICER AND
ArrESTED TO BY THE SECRETARY)
 PROOF OF SERVICE

HEREBY SWEAR OR AFFIRM THAT I SERVED A COPY

OF THE FOREGOING COMPLAINT UPON THE FOLLOWING:

a) BY PERSONALLY DELIVERING THE SAME ON THE DAY OF __~_~~_, 20__ AT

O’CLOCK M.

b) BY PLACING A COPY THEREOF IN THE UNITED STATES POSTAL SERVICES, PROPER POSTAGE PREPAID,
TO THE ABOVE INDICATED ADDRESSES, ON THE ~j.~L___DAY OF .~2~P±E____20J_Q AT
THE MAIL BOX OR POSTAL STATION LOCATED
I..
AT: 2405 N Sheffield, Chicago IL 60614

SIGNATURE áF COMPLAINANT ORAGENT

SUBSCRIBEQ AND SWORN JO BEFORE ME

THIS 4L?Z’6A~L9F ~ 2010 ~
3 ~ Zk~u k
h.t:.I:~: Ci-*’
~

NOTARY PUBLIC

INSTRUCTIONS

‘I. THIS FORM IS USED TO FILE COMPLAINTS FOR VIOLATIONS ARISING OUT OF AN ACT TO REGULATE CAMPAIGN
FINANCING (ILLINOIS REVISED STATUTES, CHAPTER 46, ART. 9-I ET SEQ.). SEE RULES AND REGULATIONS OF
THE STATE BOARD OF ELECTIONS FOR THE FILING AND HEARING OF COMPLAINTS.

2. THE FILING AND HEARING OF COMPLAINTS ARE GOVERNED BY RULES AND REGULATIONS ADOPTED BY THE
BOARD. IF A COMPLAINT IS FILED WITHIN 60 DAYS PRIOR TO THE DATE OF AN ELECTION IN REFERENCE TO
WHICH THE COMPLAINT IS FILED, THE COMPLAINANT MUST SERVE A COPY OF THE COMPLAINT UPON ALL~
RESPONDENTS PRIOR TO THE TIME OF FILING. COPIES OF THE RULES AND REGULATIONS ARE AVAILABLE
UPON REQUEST.

..~3,~.CQMPLAIJ~JS:MUST..BEF~LED.BYMAILORIN.RERSONA1ZEITHER OETHEEOLLOWING.LOCATIONS’

STATE BOARD OF ELECTIONS STATE BOARD OF ELECTIONS

1020 S SPRING ST 100W RANDOLPH ST. STE 14-100
SPRINGFIELD, ILLINOIS 62704-2924 CHICAGO, IL 60601-3232
State of Illinois
(.ouifty oiCook
Affidavit

[he undersigned, being first duly sworn upon oath, deposes and states that she has
personal knowledge of the facts set forth in this affidavit, and if called as a witness at trial
cantëstify&othpefehtlytheteto -

1. My name is Barbara Guttmann of 5445 West Henderson Street, Chicago Illinois

60641. 1 am the Treasurer of Friends of Vi Daley.

2. 1 became aware of a solicitation for contribution from Friends of Michele Smith

sent to Louise Guttmann of 5445 W Henderson Street, Chicago IL 60641
received on Wednesday, September 15, 2010.

3. Louise Guttmann has only once contributed to a political campaign and is not
involved in any activities in the Lincoln Park area. She has no association with
any group and is not listed on any other financial disclosure list except for one
contribution to Friends of Vi Daley, recorded March 5, 2007.

4. Upon realizing that the only listing that Michele Smith could have used was the
Friends of Vi Daley D-2, I contacted several other contributors who are unique to
Friends of Vi Daley. In at least two additional incidents, contributors to Friends
of Vi Daley reported receiving contribution solicitations as well.

5. Pat Berns of 1728 N Wells, Chicago IL 60614 has not contributed to any other
political candidate and is not a member of any neighborhood organization where
her address could have been retrieved.

6. David Dornovic of 3751 N Harding, Chicago IL 60618 is involved ma school in

Lincoln Park but his home address is only associated with his contributions to
Friends of Vi Daley.

7. These three contributors to Friends of Vi Daley made their contributions because

they have personal connections with this committee. 4

Barbar Gutttnann

Subscribed and sworn to before me Sdptember .9( . 2010

~ I
~: ~
>otar> Pubilt ~ .~,,

;~ ~i•t•..’•• ...
 it. ~ce~ac.
Friends of Michele Smith
2626 N. Lakeview, Unit 3802 zL.~ SEP 20.10 PM 2 1..
Chicago, IL 6o6q ZCL.
.4

:1I
Louise &ittmann
5445 W Henderson St
Chicago, iL 60641

.1OUARJj INVITED
7 4w~i 2.

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~‘T’~’ 1~
PRESORTED
Friends’ of Michele Smith 4 r:-.-~. ~ r.vc’
4 ._~.t..*4 - ~ Q.’.s~’.
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z6z6 N. ILakeview, Unit 3802 CHICAGO. IL

Chkago,~IJ46O6X4 PERMIT NO. 1523
e4~7os

Pat Be ms
1728 Morth Wells
Chicago, IL 60614

YOU ARE INVITED

9-22-10
- •..~,. . )~j~-~w~:. :,;.r~;-.

VOL ARE INVITED

Campaigiv Kick OffFundraiser

for Michele Smith CAMPAIGN KICK On FuNnF~.&IsER
FOR MICHELE SMITu
Co-Chairs
Diatte Graham-Henry and Tom Hall ,_Ycs, I would like to become a Co-Chair at $z,coo
Carol and Peter England _Ycs, I would like to attend as a Sponsor atS 1,000
I ~aurà and William Wangerin __Ycs. I would like to attend as a Host cithe Event at $çoo
Michael and Mary Silver _Yes. I would like to attend as a Friend of the Event at $z~o
Han. Marty Oberman _Yes, I would like to attend and buy tickets at $~o each

No, I can’t attend but would like to send in a &._ .___ contribution
Special Guests
David 1Ioffman
Raja Krishnamoorthi NAME: __--...-— ._--_ -

ADDRESS:

cm ST__ZIP_~
PHONE (HOME): (WORE):
Wednesday, Scp~ember zznd • 6:oo pm 8:oo pm —

At the ~4ome of Cynthia Rnskin ~ OCCUPATION__~.-----—---

649~ West Arlington Place
~

Co-Chair $2,500 Sponsor Si,ooo

• EXPDATh__———— AMOUNT $,_ - ~

Fkst $500 Friend $aco

Tickets: $50 .__.___—-------——--———-——--—- — —

~ Bledw,rh the.State jioardoIElcrttt>n-~

andihc CountyCkrkit torwiulb.;anilahlt forporrhastfttitn theState Baud pl Eretton,,
Please RSVP michclesmithforaldermafl@~1s0m “e—
Sprin8field, tlhnok, and ton the Cook County Cerk Chicagv. Illinois.

Or 773-772-4414

PAhI iorbv Prirticic olMichelt S,idth. A copyofsnir cqort filed with the Stite Boaed oIElecnotm and the
County Clerk h (or will be) jnd~l,lc (tie ptinhasc rn,a, the Starr flnt,d of Etreuctit, Springfield, llt,n,,ia, and (ei,nl
thr Citik Cotney (:Ie,k Chicago, Illinok. e’O ‘~
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I-ltinorai-,tc ~ h:~r.i S’.n~;)%~l’.
Honorable \~ari\~.i Spvropoulm
Hnnnrahk’ Karen ‘~arbt tiUgli

Husrs
Richard Angell &tpu Arclqpudi
jordan and L0EUC UcH Mary koedu
<~ 0 Bill Bunn and Cherie Smith Bunn

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llarbara and Edward Cherroff Kenneib Busch
David BLLrncs
Maureen Cuihane and Don Glickm:ti4
John Davidson Jessica Diamond c:ollccn flay
Jordan Feiger low ucoghegan
o Josh and Leslie (lazier
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9 ~ Solomon cutstejn Dnrdrc Granano
Alec Harris Karen Harrison and \VaLter Freedman
Art and Kathy Howe Nancy and Rob Hoyt Lori Levin
Marty and Fran. akirente
Rick Mclchcr Karen and Tom Phillips Alan Rost
2 1 June Rosner Etnmie Rullin Rerli Ryan
C:aroi Senderowit; Errol Stone Rick Stuckcy
Merle Tern Cynthia Vahlkamp and Bob Kt’nyon
Josh \‘incenc Ki;n \Valz Steve \kjtiss
Sheila and Brian \Vlwlen
Bernard Wilson Leon Woju Los Zofler
 BEFORE THE STATE BOARD OF ELECTIONS
STATE OF ILLINOIS
In the Matter at )
)
)
)
)
)
)
Vs. ) CaseNo. /.ø CA DV’(
)
)
E~AI ,)41S4jf
Res~ofe4s)
)
)
APPEARANCE

The undersigned enters the appearance of (check one):

C COMPLAINANT(S) or ,WRESPONDENT(S)

Check one:

Name:
Address: A/Ic ,C4L244L4C.

City/State/ZIP i~4/~4 ~ 6’L~DZ

Telephone: Tot 1f~-/fz2
FAX No.: Q~ 5t3 ~“S’7
EMAIL: ~)Lo~~~iLao. can
Will you accept service of documents via FAX tzinsniissions? Check one:,~es Q No
 BEFORE THE STATE BOARD OF ELECTIONS

In the Matter of
FRIENDS OF VI DALEY, )
)
Coinptai~a~t
)
vs. ) Board File #: IOCD 074
)
FRIENDS OF MICHELE SMITH, )
)
Respondent )
APPEARANCE

The Undersigned enters the appearance of Friends of Vi Daley, Complainant, by its

attorney:

Michael C. Doff
Adducci, Dorf Lehner, Mitchell
and Blankenship, P.C.
150 N. Michigan Avenue, Suite 2130
Chicago, Illinois 60601
(312) 781-2800
(312)781-2811 —fax
mdorf@adlmb.com

Z6~_
STATE OF ILLINOIS
COUNTY OF COOK

BEFORE THE STATE BOARD OF ELECTIONS

OF THE STATE OF ILLINOIS

Friends of Vi Daley
~Compiainantj~~~ —

)
Vs. ) Board File # 10 CD 074
)
Friends of Michele Smith )
Respondent

REPORT OF EXAMINER

This hearing was held as a result of a Complaint filed pursuant to “An Act to Regulate Campaign
Financing” (Illinois Compiled Statutes, 10 ILCS 5/9-I, et seq. (hereafter referred to as the Act)
alleging that the Respondent violated 10 ILCS 5/9-17. Specifically, Respondent solicited contributions
from individuals listed on Schedule A of Friends of Vi Daley’s D-2 Semi-Annual report. Friends of Vi
Daley v. Friends ofMichele Smith, see attached.

STATES EXHIBITS

To be made a part of this report, a copy of the D-4, Complaint for Violation of the Campaign
Disclosure Act, filed on September 23, 2010, at the Board’s Chicago office, 100W. Randolph St.. Ste.
14-100, Chicago, IL 60601; Notice and Summons regarding the Complaint; Notice of the Closed
Preliminary Hearing to be conducted in the matter, Friday. October 22, 2010, at 10:30 a.m., at the
Illinois State Board of Elections Office, 100W. Randolph St.. Ste 14-100. Chicago. IL, 60601.

OBJECTIONS

Mr. Means objected to any and all statements Mr. Dorf testified to, particularly his testimony
indicating statements that witnesses Louise Guttman and David Domovic would testify to if the matter
should proceed to a public hearing.

COMPLAINANTS CASE -IN-CHIEF

The Complainant was represented by Michael C. Dorf at the closed preliminary hearing. Also
attending was Barbara Outtmann, treasurer of Friends of Vi Daley and her mother Louise Guttmann.

It is the Complainant’s belief Friends of Michele Smith used information contained in Friends of Vi
Daley’s D-2 to solicit campaign contributions, in violation of campaign disclosure law. Mr. Dorf stated
several people notified Barbara Guttmann that they received an invitition to a fundraiser for Michele
Smith, a candidate for Alderman. The complainant identified three individuals, Louise Guttmann,
David Domovic and Pat Berns, received invitations to attend the fundraiser for Michele Smith. The
Complainant indicated these individuals have only contributed to Vi Daley and no other
candidate because of their personal connections to the Alderman. Mr. Dorf indicated that Louise
Guttmann does not live in the ward and only made a contribution to the Friends of Vi Daley campaign
because her daughter is employed by the alderman. Furthermore, Mr. Dorf indicated that Domovic and
Pat Burns would be available to testi~’ to their relationship to Friends of Vi Daley in an open hearing.
Mr. Means objected to Mr. Dor? s statements about what the witnesses would say and Mr. Dorf rested,
relying on information that was supplied in the affidavit regarding the other two individuals. The
Complainant believes that there is probable cause that Friends of Michele Smith used Vi Daley’s
disclosure reports to solicit campaign contributions and that this matter proceed to a public hearing. _______

RESPONDENTS CASE-IN-CHIEF

The Respondent was represented by Richard Means at the closed preliminary hearing.

Mr. Means introduced Julie Kerouac, owner and partner of Progressive Solutions Consulting. a full
time political consulting firm. Ms. Kerouac testified that she was employed by Friends of Michele
Smith and was responsible for soliciting contributions for the campaign. Ms. Kerouac’s job was
putting together mailing labels for invitations to a fundraiser for Friends of Michele Smith. The
consulting firm issued about 3,000 invitations. Ms. Kerouac estimated around 2,500 invitations were
sent to individuals that supported Michele Smith in the past from a large database established by the
committee. In an effort to use the remaining invitations, roughly 500 invitations went out to other
people in the community. Ms. Kerouac stated that she does not know where the specific names Louise
Guttmann, Pat Berns and David Domovic came from or how they were included on the invitation list.
Upon receipt of the complaint and affidavit, Ms. Kerouac researched the committee’s records in an
attempt to determine the source of the names. Ms. Kerouac found that Pat Berns was identified as a
person the committee contacted that had a favorable response to Miehele Smith during her last
campaign. David Domovic was invited because the committee indicated that he was a leader in
education in the community. Ms. Kerouac stated Louise Guttmann’s information could not be found in
any lists maintained by the committee and the only source of the name that they could find was on Vi
Daley’s D-2. As a potential opponent in the next aldermanie election, the Respondent admitted that
they downloaded Friends of Vi Daley’s D-2 report. Mr. Means stated that Vi Daley’s D-2’s were not
mined but that Louise Guttmann’s name was included on the invitation list by accident. Ms. Kerouac
and employees of the firm Progressive Solutions Consulting are knowledgeable that it is not legally
permitted to use other political committee’s D-2 in order to solicit contributions. Mr. Means stated the
committee has taken certain precautions to the database so that this would not happen in the future and
that this is a onetime oecuffenee. Mr. Means stated the committee acknowledges it has made a
violation only in the instance of Louise Guttmann and not on Pat Berns or David Domovie. He
requests that the complaint is found to be filed on justifiable grounds but that a public hearing is not
warranted. Instead Mr. Means requests the Board issue an order or fine as they deem appropriate.

CONCLUSIONS AND RECOMMENDATIONS

The Closed Preliminary Hearing was held on October 22, 2010. The D-4 alleges that Friends of
Michele Smith used names from Friends of Vi Daley’s. D-2 Semi Annual Report to solicit
contributions.
The Respondent cannot identifS’ where any of the names, David Domovic, Pat Berns and Louise
Guttmann ultimately came from. Ms. Kerouac, an employee of the committee, does not have personal
knowledge how the names were included in the invitation list and presented an explanation based upon
her review of the committee’s records. Ms. Kerouac said that she was able to find some reference for
David Domovic and Pat Berns in the committee’s records but not Louise Guttmann. The Respondent
admitted the only place the name Louise Guttmann was found was on Friends of Vi Daley’s Semi
Annual report. Although the Respondent stated that the violation happened by accident no
documentation to support their defense was presented and, officers of the committee were not available
to provide further examination. I do not believe it was a coincidence that the three individuals listed in
the complaint received invitations by accident, but there is reason to believe Friends of Michele Smith
tatgewdthos~ ~~po’a~rsbasedupon-Friends-of’Vi-Daley’s- 1Y2.’Further investigation-to-the-extentof—----—
the Respondent’s misuse of the D-2 report should be undertaken in a public setting. Therefore, I
recommend that the Board find the complaint was filed on justifiable grounds, having a basis in fact
and law, and that this matter proceed to a public hearing.

/4
Tara Cachur Hearing Examiner
—

October 22,2010
STATE OF ILLINOIS )
) 55
COUNTY OF SANGAMON)

STATE BOARD OF ELECTIONS

STATE OF ILLINOIS

)
Friends of Vi Daley, )
)
Complainant(s), )
vs. ) 10CD074
)
Friends of Michele Smith, )
)
Respondent(s).

ORDER
TO: Friends of Vi Daley Friends of Michele Smith
2506 N Clark St, PMB 296 210W Scott, Unit L
Chicago, IL 60614 Chicago, IL 60610

This matter coming to be heard this 23” day of November, 2010, following a Closed Preliminary
Hearing of a Complaint filed pursuant to “An Act to Regulate Campaign Financing” (Illinois Compiled
Statutes, 10 ILCS 5/9-1 ci’ seq., herein referred to as the “Act”), alleging that the respondent(s) violated
10 ILCS 5/9-17 in that the Respondent committee solicited contributions from individuals listed on
another committee’s reports; and the State Board of Elections having read the report of the Hearing
Officer and hearing the recommendation of the General Counsel and now being fully advised in the
premises,

THE BOARD FINDS:

1. That the complaint was filed on justifiable grounds.

IT IS HEREBY ORDERED:
I. The recommendation of the Hearing Officer and the General Counsel is adopted; and
2. That a Public Hearing be conducted in this matter, and
3. The effective date of this Order is November 24, 2010.

DATED: 11/24/2010 6E4tstco6fri._

Bry A. Schneider. Chairman
STATE OF ILLINOIS )
) SS
COUNTY OF COOK

BEFORE THE STATE BOARD OF ELECTIONS

OF THE STATE OF ILLINOiS

In the Matter of:

Friends of Vi Daley )
Complainant(s) )
)
Vs. ) Board FiIe#: 10 CD 074
)
Friends of Michele Smith )
Respondent(s) )
)

NOTiCE OF PUBLIC HEARING

TO: Friends of Vi Daley Friends of Michele Smith

2506 N Clark St, PMB 296 210W Scott, Unit L
Chicago, IL 60614 Chicago, 1L60610

Please take notice that in accordance with the Order of the State Board of Elections, dated and entered
on and pursuant to the provisions of”An Act to Regulate Campaign Financing” (10 ILCS 5/9-I et seq.)
and Rules and Regulations adopted pursuant thereto, and by the power vested in me, the Public
Hearing to be conducted in the above captioned matter is set for December 16, 2010, at 10:00 AM. at
the State Board of Elections, 100W. Randolph, Suite 14-100, Chicago IL.

The parties have the right to be represented by legal counsel in any proceeding conducted by the State
Board of Elections.

Any party involved in any proceeding has the right to the presence and participation of additional
persons, in addition to, or instead of an attorney, in order to provide technical assistance and
consultation.

DATED: November 30, 2010

4fl
Stev n S. an voss, General Counsel