The PAC Coordination Loophole: How Laurel Libby Hid the Money Trail

The PAC Coordination Loophole: How Laurel Libby Hid the Money Trail

It wasn’t a defense fund. It was a funnel.

Behind Rep. Laurel Libby’s claims of needing legal defense support, a far more insidious strategy was at play:

  • PAC coordination.
  • Shell-game fund transfers.
  • Deliberate misrepresentation of donor intent.

This is how the Dinner Table PAC and Fight for Freedom PAC operated as political laundering tools—turning grassroots grief into unrestricted dark money.

How It Worked

PACs are legally required to remain independent from candidates. Libby broke that wall.

  • She donated $700 to The Dinner Table PAC.
  • PACs funneled money back into her campaign infrastructure via “consulting,” ads, and “operating expenditures.”
  • Over $132,000 remains unaccounted for from The Dinner Table PAC.

All while donors thought they were funding a lawsuit.

The Loophole in Action

  • Direct contributions to candidates are capped in Maine
  • But PACs can raise unlimited funds
  • So wealthy donors gave to PACs instead
  • Those PACs then spent money on Libby’s behalf, sidestepping legal limits

That’s not fundraising. That’s laundering—with a flag on it.

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What the Law Says (and She Violated)

  • 11 C.F.R. § 109.21: No direct coordination between PACs and campaigns
  • 52 U.S.C. § 30116(a): Contribution caps exist for a reason
  • 18 U.S.C. § 1343: Wire fraud may apply if donors were misled

Libby’s PAC network not only coordinated with her campaign, it disguised that coordination as independent activism.

Captured Evidence Includes:

  • Donation records with misclassified donor identities
  • PAC-to-PAC transfers showing redirection of donor money
  • Lack of any itemized legal expenses despite the “defense fund” branding
  • Archived screenshots of fundraising claims that contradict financial disclosures

The Bigger Picture

This is a national template in action.

  • Create a crisis
  • Launch a PAC to “fight back”
  • Move funds in the dark
  • Say it’s legal
  • Hope no one checks the receipts

Until now.

Read the Full Report & Legislation 

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