03/20/02

Columbus

- A Hamilton County Republican Party official wants an investigation to determine whether Ohio Treasurer Joe Deters used the party to launder donations from people doing business with his state office.

"I've been waiting to see what party officials would do," said Greg Delev, an attorney and member of the Hamilton County Republican Party's finance and executive committees.

Fearing that no action would be taken, Delev sent a letter to party Chairman Michael Barrett asking him to either launch an internal probe or hire someone to investigate on the party's behalf.

Deters spokesman Matt Borges said he is confident that a probe would show "Ohio campaign finance laws were followed at all times."

Delev said he, too, believes nothing improper occurred but said an investigation is needed "if only to clear the names of those who are being wrongfully sullied."

His request was prompted by Plain Dealer reports that indicted broker Frank Gruttadauria of Cuyahoga County made a $50,000 donation to the Hamilton County Republican Party operating fund. The fund can accept unlimited donations, and donors do not have to be identified.

Before giving the money, Gruttadauria had helped two brokerage firms that employed him to win coveted business from Deters' office. Others doing business with the state treasurer donated a combined $125,000 in 2001 to companion party accounts that do have to make public their donors.

As Hamilton County collected money from vendors doing business with Deters, the county party paid $302,000 for Deters' campaign consultants, polling and mailings. Hamilton County Republican officials did not return calls seeking comment, but Democrats and Republicans questioned the wisdom of a party-authorized probe.

"My concern is, it would be like Nixon saying, 'Yeah, I'll release the tapes after I get done cleaning them,'" said Rep. Tom Brickman, a Cincinnati Republican who has been a vocal critic of Deters. "I'm not saying they would do that, but anything they release would be suspect."

Party leaders can clear the air, he said, by disclosing all their donations-not just those paid into the public accounts-and by supporting legislation that would close a loophole that allows operating account donations to remain secret.

Democrat Mary Boyle, who hopes to run against Deters in November, agreed.

"If the treasurer wants to restore trust in office, all he has to do is disclose all the contributions," she said.

Deters spokesman Borges said it is up to party officials-not Deters-to decide whether to make public the operating account contributions.

Deters has, however, discussed the "appearance issue" of having both the Hamilton County GOP and the Deters' campaign employ the same fund-raiser, Eric Sagun, Borges said. During his tenure as temporary chairman of the Hamilton County GOP, Deters brought Sagun on board.

"I know Joe has had some tough discussions with Eric about the appearance issue," Borges said. "I do know that no decision has been reached."

Contact T.C. Brown at:

tcbrown@plaind.com, 800-228-8272