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February 21, 2004

Why Did Steinbrenner Fund Anti-Dean Ads?

When I posted yesterday about who was behind the shadowy group which ran anti-Dean TV spots, including the notorious Osama ad, I buried my lead--that a Yankees affiliate controlled by George Steinbrenner contributed 1 of every 7 dollars expended in this effort. I doubted whether I, a mere blogger, could really have an item that the major media had overlooked. So I soft-pedaled it.

But a day later, they story has only solidified. (View image of contribution)

I exchanged emails with Glen Justice of the New York Times, author of meaty article which ran Thursday entitled Advocacy Groups Permitted To Use Unlimited Funds, who wrote:


Another organization, called Americans for Jobs, Health Care and Progressive Values ran television advertisements attacking Howard Dean's presidential bid, showing a close-up of Osama bin Laden and questioning Dr. Dean's ability to compete with President Bush on foreign policy. Robert G. Torricelli, the former Democratic senator from New Jersey and a fund-raiser for Senator John Kerry, helped finance that organization with $50,000.

I scolded him for not mentioned the $100K donation from the Yankees affiliate, arguing that while George Steinbrenner is not a major political player, his involvement crystalizes how outrageous this system still is, post McCain-Feingold.

Mr. Justice responded, "I think Torricelli has been noted in stories because he has raised funds for Mr. Kerry, but your point is well made."

From his response, I gather two important pieces of information:

1) I got the facts right.
2) I reported the facts first.

There's a follow-up story to this: Why did George Steinbrenner fund anti-Dean ads? I haven't a clue.

A commenter yesterday suggested that the prime mover behind the donations may not have been Steinbrenner but Leo Hindery Jr., the CEO of Yankees Entertainment and Sports Network LLC. That may well be. But with George Steinbrenner controlling 60% of the YES Network, it is difficult to believe that he had no knowledge of a $100,000 campaign contribution made by the network. Steinbrenner has a reputation as a hands-on franchise owner, and a knowlegeable source indicates that he is indeed hands-on with regard to the YES Network. Considering that Steinbrenner was convicted of giving illegal campaign contributions to Richard Nixon, one would expect him to be particularly alert to any new contributions made by firms he controls.

Veteran readers of this blog will know that I was a supporter of Wesley Clark. I would have no problem with ads attacking Howard Dean that were funded by small contributions from a large number of citizens. I am, however, appalled that a few wealthy individuals can still have such a disproportionate influence over our democracy, even after the passage of McCain-Feingold.

The way the Yankees picked up A-Rod is not the way we should pick a President. Let's not let George Steinbrenner do to America what he's done to baseball.

Posted by rickheller at February 21, 2004 11:46 AM
Comments

Let's Go Mets! And whoever the dems nominate!

Posted by: el marko at February 21, 2004 02:39 PM

Which part of "free speech" confuses you? Why is it an issue for anyone to donate money to a cause? When you are as concerned about George Soros, wake me. Until then, "hypocrite" is the word that comes to mind.

Posted by: James Robertson at February 21, 2004 05:53 PM

Money is not speech. See also Buckley v. Valeo, Nixon v. Shrink Missouri, and Austin v. Michigan State Chamber of Commerce.

Posted by: Rogers Cadenhead at February 21, 2004 06:00 PM

What other contributions have the YES Network, Steinbrenner and other related principals have made? What was the full constellation of moneyed interests trying to deny Dean the nomination? Did the contributions in individual cases indicate a responsive friendship with fundraisers or an active interest in discrediting Dean? These are important questions to fully understand the politics of 2004, whether or not one backed Dean or another candidate. Keep up the good work.

Posted by: Rep. Mark B. Cohen at February 21, 2004 06:13 PM

Great job getting at the facts; what concerns me is not the free speech angle (Rogers correctly notes that the Supreme Court is clear on this) but the way these groups can exploit the timing: by raising money and spending it in the same spending cycle. Since they don't need to disclose their sources of money until the FEC deadline, they're able to manipulate a window of time in which they can raise and spend the money, significantly hurt a candidate, and after the damage is done and the opportunity to refute them has passed, only then do they have to reveal who's responsible for the ads.

Seems to me a likely result of this will be a revision to the McCain/Feingold law which will require organizations or individuals who are materially responsible for 527 disbursements.

As for the individual who sees Steinbrenner's and Soros's involvement as identical, I think that's conflating two entirely different scenarios. Soros couldn't be more open about the money he's spending and what his goals are. Steinbrenner hasn't said a word publicly about his involvement, and the 527s are geared to hide the individuals behind their facade.

Posted by: Rick Klau at February 21, 2004 06:42 PM

It's a free country. I have no problem with lots of money in politics, it's been that way since the beginning of these United States and we're still doing well.

I don't wish for or expect a Utopian society like some do, they seem to die out before they even get started, ala Dean Campaign.

I'm going to contribute to President Bush's reelection bid with a small donation that shouldn't raise the ire of anyone who understands the way the American political system works.

I may even send a few dollars to the Ralph Nader cause to help him make his points. He's already being attacked by the Democrats (that's what Democrats do best, they sure can't govern worth a damn) and may need my dollars to offset the audacity of the Democratic Party.

That's the Party that tries to get people "not to run" when in fact, they have every right to run just like anyone else, the recent Howard Dean Campaign comes to mind. The Democrats bitch about Americans "losing rights" (?), but here they are again trying to deny Ralph Nader from the basic American right of representation and running for office. There's no end to their un-American activities on so many levels.

Don

Posted by: Donald Larson at February 21, 2004 07:22 PM

Un-American? Lighten up, Don.

Posted by: Josh Daghlian at February 21, 2004 10:41 PM

My big laugh of the week was the GOP accusing Kerry of being beholden to special interests, such as "the drug companies."

All of which brings to mind that scene from Casablanca, when Inspector Renault shuts down Rick's to satisfy Major Strasser, proclaiming himself to be "Shocked, SHOCKED, to find gambling going on in this establishment," just as Rick's employee comes up to Renault to hand him his winnings. (The look Bogart gives the employee is priceless.)

Welcome to reality. Regardless of who wins the election, certain groups will always have a seat at the back-room table, paid for in advance.

Posted by: Tully at February 22, 2004 12:27 AM

It's a bit disturbing to me to see that people think big money has no effect or relation to "free speech". Of course, it doesn't "take away" our right to it, but it sure as hell does tip the scales quite a bit toward who gets heard, and this should be scary to anybody....becuase it CAN come from both sides or ANY side. What "sells" is not , obviously, always in step with "what's right". Duh.

Dale

Posted by: Dale Lature at February 22, 2004 11:52 AM

The corporate/business managerial class completely dominates American politics. Their numerous, "small" contributions give the Republican Pary a huge "hard money" base. They are the best organized and most active interest group in American politics since the antebellum Slavepower, and unlike the Slavepower, they have no effective opposition. Big Labor is no longer big; civil rights has long since faded away.

The Bush administration's economic policies have benefitted the corporate/business managerial class to an almost unimaginable extent. Huge productivity increases, with no wage increases; virtual elimination of many taxes on corporate income and personal wealth; minimal reform of corporate governance, despite huge scandals; changes in environmental, energy and labor policy to benefit corporate business; consolidation of media control in the hands of a few large corporations; etc. The corporate business managerial class is getting a highly satisfactory return on their investment in politics, and they know it and like it, and will fight to keep it that way.

McCain-Feingold, and similar idealistic attempts at reform, might be able to make the role of money in politics more transparent, although the disinterest of the Time-Warner/Fox/Viacom/Disney news media, makes such transparency pretty useless to a public, which doesn't pay attention anyway. A lot of late Baby Boomers are never going to retire because they let CNN entertain them with Monica Lewinsky, but were bored by the deficits used by Bush to bankrupt Social Security or the corporate governance problems, which looted most private pension plans. McCain-Feingold cannot make up for the fact that most Americans do not care enough to participate by organizing and contributing cash dollars.

Posted by: Brian Wilder at February 22, 2004 04:16 PM

Rogers - spot on. Anyone who hears voices when they open their wallet needs to adjust their tinfoil hat.

Rick - the FEC is a huge part of the problem there.

Don - good point about Dean and the Dems. I agree. Thing is... the GOP establishment did McCain the same way in 2000. In fact what the GOP establishment did to McCain was arguably less ethical than what the Dem establishment did to Dean this election cycle.

Posted by: Kevin at February 22, 2004 09:01 PM

Well, duh. Everyone knows that the Yankees are evil.

Posted by: Rivka at February 23, 2004 08:37 AM

Boss was bored. Remember, this was before A-Rod signing; George doesn't like down-time. And he thinks he's Patton. Dean was closest thing to a hippie he could reach out and kick.

/lifelong Yankee fan

Posted by: TC at February 23, 2004 07:15 PM

Centrist organization .......why don't you bend over and let me put my 8 inche dick in your centrist position

Posted by: Jaime Viteri at February 23, 2004 11:10 PM
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