CLEVELAND (AP) — An executive accused of funneling
illegal campaign contributions to two Republican candidates in 2011
pleaded guilty to federal campaign charges on Monday.
Michael
Giorgio, the chief financial officer for Suarez Corporation Industries
in North Canton, pleaded guilty to charges that involve conspiracy to
commit campaign fraud, making contributions in someone else’s name,
making contributions on behalf of a corporation, witness tampering and
making a false statement.
As part of a plea agreement, Giorgio,
who lives in the Akron suburb of Cuyahoga Falls, agreed to cooperate
with prosecutors. His attorney, Ralph Cascarilla, declined to comment.
Giorgio
and company founder Ben Suarez were accused of funneling about $100,000
each to the 2012 re-election campaign of U.S. Rep. James Renacci and to
the unsuccessful U.S. Senate campaign of Ohio Treasurer Josh Mandel.
Both
campaigns returned the contributions after learning of allegations that
Giorgio and Suarez had bundled contributions in the names of employees
and their spouses.
According to the plea agreement, Suarez told
Giorgio in April 2011 "to recruit managers and executives" of the
company to make $5,000 contributions in their names and those of their
spouses to a U.S. House candidate, later identified as Renacci.
Giorgio
understood that corporations were not permitted to make campaign
contributions and that he could not use other people’s names, the plea
agreement said. Giorgio told the employees the amounts they contributed
would be repaid in their next paychecks, it said.
The same thing
occurred several months later, the plea agreement said, but this time
the contributions were for a U.S. Senate candidate, later identified as
Mandel. According to the plea agreement, when Giorgio expressed concerns
about the practice, Suarez replied: "The lawyers don’t know."
Suarez’s Washington-based attorney could not be reached for comment by telephone on Monday.
Renacci spokeswoman Megan Taylor said in a statement that the congressman was "never a target"
of the investigation.
"This is strictly a matter between the named individuals and the Justice Department," the
statement said.
Messages and emails seeking comment were left with Mandel’s office.