Lyons Mayor Chris Getty is facing a financial crisis after taking a $245,000 loan from his campaign fund to pay off personal tax liabilities stemming from his divorce. The loan was approved by Getty's campaign lawyer Burt Odelson, who claimed that the law doesn't bar such transactions, but state election officials say it's highly unusual and may warrant further explanation.
Getty, who has faced a federal investigation over the last five years regarding corruption allegations, had to sell an asset as part of his divorce settlement, which created a tax burden on him. He claimed that the loan was necessary to pay off state and federal taxes related to the divorce, but records show that he also pays $3,300 in alimony and child support every month.
The campaign fund has just under $20,000 left for spending, with $363,000 invested. This is despite Getty having access to donations from political groups and companies, including a group tied to the powerful Operating Engineers Local 150 union, which gave his campaign $1,000 each on October 21st.
Getty's decision to take out the loan has raised concerns among state election officials, who say that using campaign funds for personal expenses is not allowed. The law is notoriously lax on this point, and regulators have little teeth to crack down when it occurs. However, the IRS may be able to exert pressure by taxing Getty on the loan.
Getty's lawyer claims that he tried to secure a traditional loan but was unable to do so due to his home having two mortgages on it. The loan carries an interest rate of around 4% and has already been partially paid off, although there is no exact timeline for full payment.
This unusual move by Getty's campaign fund has raised questions about the mayor's financial situation and whether he has access to more funds than initially reported. As the investigation into corruption allegations continues to weigh on his reputation, Getty's decision to take out a personal loan from his campaign fund may only add to his troubles.
Getty, who has faced a federal investigation over the last five years regarding corruption allegations, had to sell an asset as part of his divorce settlement, which created a tax burden on him. He claimed that the loan was necessary to pay off state and federal taxes related to the divorce, but records show that he also pays $3,300 in alimony and child support every month.
The campaign fund has just under $20,000 left for spending, with $363,000 invested. This is despite Getty having access to donations from political groups and companies, including a group tied to the powerful Operating Engineers Local 150 union, which gave his campaign $1,000 each on October 21st.
Getty's decision to take out the loan has raised concerns among state election officials, who say that using campaign funds for personal expenses is not allowed. The law is notoriously lax on this point, and regulators have little teeth to crack down when it occurs. However, the IRS may be able to exert pressure by taxing Getty on the loan.
Getty's lawyer claims that he tried to secure a traditional loan but was unable to do so due to his home having two mortgages on it. The loan carries an interest rate of around 4% and has already been partially paid off, although there is no exact timeline for full payment.
This unusual move by Getty's campaign fund has raised questions about the mayor's financial situation and whether he has access to more funds than initially reported. As the investigation into corruption allegations continues to weigh on his reputation, Getty's decision to take out a personal loan from his campaign fund may only add to his troubles.
and i cant believe he had to sell some asset because of his divorce lol who knew marriage could be so expensive? 
anyway im curious why the law is so lax about this stuff dont get me wrong im all for politicians making personal sacrifices but still gotta ask how much did he actually need that money for? 
So Lyons Mayor Chris Getty takes a $245k loan from his own campaign fund cuz he had some tax probs after his divorce lol what a life hack? 
. Anyways, can't say I'm surprised given the corruption allegations against him...this just adds to the drama 
I mean, I've heard of 'campaign finance' but this is just ridiculous! He's got his wife's alimony and child support to pay, and he still thinks taking out a personal loan is the way to go... guess that's what they mean by 'leadership by example' 
. This guy's got some serious explaining to do, and I'm not just talking about the IRS 
I mean, come on, $245,000 from the campaign fund for personal tax liabilities? That's like taking money meant to help voters and using it to pay your own bills. And what's with the interest rate of 4%? Sounds like a nice little loan, if you ask me 
. And those alimony payments? $3,300 every month? That's just getting richer off public money 
.
The fact that the law is lax on using campaign funds for personal expenses makes it even more suspicious... it's like they're hiding something. 