National Enquirer owner pays $187,500 for aiding Trump campaign in hush money deal
The media firm settled with the FEC over its role in paying Karen McDougal to give up the rights to her story about a relationship with the 2016 candidate.
The firm that owns the National Enquirer has agreed to pay $187,500 to the Federal Election Commission to settle complaints that it unlawfully aided Donald Trump’s presidential campaign in 2016 by suppressing the story of an actress who said she had a sexual relationship with Trump.
The FEC concluded that American Media Inc., now known as A360 Media LLC, made an illegal corporate contribution to Trump’s campaign by paying Karen McDougal $150,000 to give up the rights to her story about Trump.
AMI and its former chief, David Pecker, initially argued through attorneys that they acted as journalists in making the deal with McDougal. However, in 2018 the firm and Pecker entered into a non-prosecution agreement with federal prosecutors in New York, stipulating that the arrangement was intended to influence the 2016 presidential election.
The FEC concluded that contradicted the earlier claims that the Enquirer was simply acting as a news outlet.
“The available information supports the conclusion that AMI’s payment constituted an in-kind contribution to Trump and the Trump Committee,”an FEC legal analysis concluded. “AMI and Pecker appear to have violated the Act by making and consenting to making a corporate contribution in the form of a payment from AMI to McDougal. As explained below, the record indicates that there is reason to believe that this violation was knowing and willful.”
The FEC also concluded that AMI and Pecker coordinated with the Trump campaign, because they had contact with Trump lawyer Michael Cohen, who assured the company that its expenses related to McDougal would be reimbursed.
Cohen pleaded guilty in 2018 to orchestrating illegal campaign contributions in connection with the arrangement. Trump has denied he had a relationship with McDougal.
One of the watchdog groups that filed complaints about the deal, Common Cause, said the FEC resolution with Pecker and AMI highlighted the fact that Trump has never been held culpable for the payoff to McDougal and a similar payment to the adult-film actress Stormy Daniels.
“Michael Cohen went to prison for these violations. AMI has been fined. But the former president has not yet been held accountable,” said Paul Ryan, Common Cause’s vice president for policy and litigation. “The Department of Justice has until August to prosecute Trump for orchestrating this illegal campaign finance scheme.”
The FEC considered action against Trump, his campaign and the Trump Organization, but the panel’s Republican appointees blocked such moves, saying that “pursuing these matters further was not the best use of agency resources.”
A spokesperson for Trump did not immediately respond to a request for comment.
An attorney who signed the agreement for A360 Media last month, Jeff Pascoe, did not respond to a message seeking comment.