Lawsuit Filed to Compel Mychajliw to Comply with Campaign Finance Laws


Mychajliw accepted illegal donations after failing to gain local support; Refuses to follow laws


(Hamburg, NY) Today members of the Hamburg Democratic Committee filed a lawsuit in State Supreme Court asking a Judge to compel Stefan Mychajliw to comply with Campaign Finance Laws.

Mr. Mychajliw, the top financial officer for Erie County, who shows up to work 5 weekdays per month and is running for his 3rd different office since moving to Hamburg 4 years ago, has failed to register a committee for the purpose of disclosing his contributions and expenditures relating to his Hamburg Supervisor candidacy, despite having held at least two fundraisers and expending money on his bid for Hamburg Supervisor.

An account for his Supervisor candidacy would have been required to be open before any money is received or spent for the purposes of this year’s election.

Presumably money being spent has been coming from his Comptroller account, which is illegal due to the different donor limits of $31,484 for Comptroller, as opposed to $2,196 for Hamburg Supervisor.


The disclosure filed by Mychajliw in July, which was 11 days late, also shows at least 2 illegal donations that exceed the contribution limit for candidates running for Supervisor.

Mychajliw illegally obtained a $5,000 donation from Tarver Transit of Tonawanda which is more than double what’s allowable by law, and 2 donations totaling $3,500 from Depew based Accadia contracting, $1,300 more than what’s allowed by law.


In addition to the illegal contributions, Mychajliw’s filing showed a lack of support among Hamburg residents. In his July filing, of the 88 contributions Mychajliw received since the beginning of the year, only 16, or 20%, were from donors residing in Hamburg.

Donors living outside of Hamburg accounted for more than 90% of money Mychajliw raised for his Supervisor run. Of the $26,250 contributed to his campaign, $14,599, or 56%, came from corporate interests such as law firms, banks, and contractors who often benefit from business dealings with friendly Town Supervisors.

Mychajliw’s October filing leaves out the addresses of most of his contributors. So far for the year, Mychajliw has raised a paltry $33,525, compared with his opponent Randy Hoak’s $52,725.


This isn’t the first time Mr. Mychajliw has run afoul of campaign finance laws.

Last year, leading up to his failed Congressional run in which he was rejected by Hamburg Republicans by a 2-1 margin, Mr. Mychajliw issued payments of thousands of dollars from his Comptroller account to his patronage staff, who then donated the exact amount into his Congressional account, skirting state and federal campaign finance laws.

Mr. Mychajliw’s January campaign finance filing for his Comptroller account shows large payments to a law firm, presumably to defend himself from those same complaints.


“Campaign finance laws were put into place to ensure transparency, accountability, and a level playing field in campaigns,” said Hamburg Democratic Committee Chair Terry MacKinnon.

“Hamburg voters are rejecting Stefan’s divisive campaign of lies, and the fact that he needs to resort to breaking laws to fund his campaign shows just how desperate he is his to salvage his failing political career.”

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There’s a big scandal here but it’s not about Lisa Cook



Bill Pulte is the head of Federal Housing Finance Agency (FHFA), the agency that oversees Fannie Mae and Freddie Mac. He has been in the news recently over his allegations that prominent opponents of President Donald Trump committed mortgage fraud. Most recently, Pulte has put Federal Reserve Board Governor Lisa Cook in his crosshairs, claiming that she listed two homes as principal residences on mortgage applications.

Trump immediately used this allegation as a basis for trying to fire Cook, even though the Fed is supposed to be an independent agency outside of the president’s control. Governor Cook sued Trump over his firing effort, and the courts will ultimately decide whether this is within his power.

At this point, it is important to remember that Cook has not even been indicted for anything, much less convicted. We only have an allegation from Mr. Pulte.

It is also worth noting the irony of Trump, who was convicted in a civil trial for putting false information on loan forms, trying to fire someone for listing two homes as principal residences. Among the items that Trump put on his loan form was the claim that his 10,000 square foot condo was actually 32,000 square feet. Perhaps President Trump is offended by the pettiness of Cook’s alleged crime.

While the validity of Pulte’s allegations will have to be determined by the courts, the real scandal is Pulte himself. He is supposed to be running the agency that oversees the processing of tens of millions of mortgages by two huge quasi-public agencies. We are not supposed to be paying him to rifle through mortgage documents to find and disclose dirt that Trump can use against his political opponents.

The media really need to be directing some serious questions in Pulte’s direction.

First and foremost, how did he happen to discover the mortgage abuses that he alleges were committed by NY Attorney General Letitia James, Sen. Adam Schiff (D-CA), and now Governor Lisa Cook? Were these “discoveries” the result of random inspections done by agency staff?

Furthermore, was he looking through non-public mortgage files to gather this information?

Also, why did he make this information public when he uncovered it, instead of going through normal channels. If he had followed established procedures, he would have turned over the information to the agency’s inspector general, who would then turn if over to the Justice Department, if they determined it was appropriate. The first time the public would hear about it was when an indictment was issued.

What reason does Pulte have for not following normal procedures?

Pulte really needs to come clean on this.

He should also come clean on his holdings of Pulte Group stock, the huge housing construction company started by his grandfather. It may be the case that conflicts of interest are almost a job requirement in the Trump administration, but many of us still think that government officials should be working for the public, not trying to fatten their pocketbook.

If Pulte helps Trump get his wish and a Trump-controlled Fed lowers interest rates, it would provide a big boost to the Pulte Group’s profits. That hope would give Pulte a strong motivation to try to hasten the day when Trump appointees dominate the Fed’s Open Market Committee that sets interest rates.

Anyhow, there is definitely a big scandal here — but it involves Bill Pulte, not Lisa Cook. The media really need to take notice.

  • Dean Baker is the co-founder and the senior economist of the Center for Economic and Policy Research (CEPR). He is the author of several books, including "Getting Back to Full Employment: A Better bargain for Working People," "The End of Loser Liberalism: Making Markets Progressive," "The United States Since 1980," "Social Security: The Phony Crisis" (with Mark Weisbrot), and "The Conservative Nanny State: How the Wealthy Use the Government to Stay Rich and Get Richer." He also has a blog, "Beat the Press," where he discusses the media's coverage of economic issues.

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