Wyly Brothers Gave Millions To Over 200 Republican Candidates

This story has been updated

The billionaire brothers from Dallas who were charged by the Securities and Exchange Commission with orchestrating a massive securities fraud scheme that netted them $550 million are well-known philanthropists and fundraisers for conservative politicians.

Charles and Samuel Wyly, along with their wives, have donated $2.5 million to more than 200 Republican candidates and committees over the past 20 years, including over $1.3 million to the Republican National Committee, according to an analysis by the Center for Responsive Politics.

The top recipients of their largesse have been Texas Republicans. George W. Bush received at least $100,000 raised by the Wyly clan during the 2000 presidential election. Sen. Kay Bailey Hutchinson has received $30,400 from the family; Rep. Pete Sessions, $29,000.

Other Republican senators who've received their donations include John Cornyn of Texas, Sam Brownback of Kansas, Judd Gregg of New Hampshire, John Thune of South Dakota and Kit Bond of Missouri. Sam Wyly also funded the Swift Boat campaign that torpedoed Massachusetts Democrat John Kerry's 2004 presidential campaign.

And the Wyly brothers have been busy in the 2010 election cycle, most recently writing a check dated June 10 for $10,000 to the Republican Congressional Campaign Committee. Charles Wyly has also contributed to Freedom Works, a now-defunct political action committee started by former Republican House Majority Leader Dick Armey (which is different from the current FreedomWorks PAC affiliated with the Tea Party movement, as erroneously reported by HuffPost in an earlier version of this story). The Wylys and their companies have also reportedly contributed $353,500 to Texas Gov. Rick Perry in recent years.

As reported by HuffPost's Sam Stein, the brothers played an instrumental role in helping Bush defeat John McCain during the 2000 Republican presidential primary, with a $2.5-million advertising campaign that marked the "very first ad" launched by a 527 -- "the oft-maligned political groups that came about due to a loophole in campaign finance laws."

Sam Wyly's son Andrew ended up being a major fundraiser (or "Texas Aviator") for McCain in the 2008 election. In the 2010 cycle, Andrew has contributed to Marco Rubio's Florida Senate campaign and Pat Toomey's Pennsylvania Senate campaign, among other Republican candidates.

Beyond politics, the charges are sure to shake up the close-knit community in Dallas, where the brothers wielded enormous influence. Charles Wyly donated millions to the Dallas Center for the Performing Arts to have a building named after him, which was designed by famed architect Rem Koolhaas and billed as the world's only "vertical theater."

A prominent lawyer for the Wylys, Michael C. French, and stockbroker Louis J. Schaufele III were also charged in the case. Schaufele III is the Investment Committee chairman of the Episcopal Foundation of Dallas.

The case, which caps a six-year investigation prompted by inquiries about overseas trusts kept by the Wylys, also serves as a vindication of sorts for Senator Carl Levin (D-Mich.), who along with former Sen. Norm Coleman (R-Minn.) issued a damning 2006 report on tax haven abuses that primarily focused on the Wyly brothers.

Through a lawyer, the brothers said the charges are "without merit."

Comments

[TRex86]

08:02 AM on 08/01/2010

To my conservo-respondents: Let's try again. I posted that the Republicans carry out the agenda of a handful of billionaires and got two posts about Hassan Nemazee. What's with the right wing affection with superficial equivalencies? I concede that money corrupts both parties. I'm for public financing of elections and nuking Citizens United. That said, my point is about their POLICY AGENDA. The Republicans have been front men for a reactionary counter-revolution that extended across the 20th century and started with Teddy Roosevelt's trust busting.

Dems nominally look out for the average American. The Republicans are conducting the race to the bottom that has taken down 99 percent of the population, while enriching a tiny fraction of the top one percent: Anti-union. Anti-entitlement. Cut top bracket income tax. No inheritance tax. Fiscally disastrous (so they can "drown the federal government in a bathtub"). How anyone of average means votes Republican is testimony to their incredible propaganda machine. They ARE good.

The plutocracy has nearly won. Viz., Warren Buffet: "My tax rate is less than half of my secretary's." Ya get it yet? Republicans have conned the average American into supporting tax cuts for the rich and burdensome taxes for the rest of us. Starting with Reagan they "borrowed" the surpluses of the regressive payroll tax to disguise 30 years of income tax cuts and gave us an $11.6 trillion debt. Who's gonna pay? (Not the billionaires).

[Ogden192]

11:26 PM on 07/31/2010

Lovely, because when you are talking campaign $, even millions does not go very far when divided by 200, +.

[kdallas999]

10:44 PM on 07/31/2010

It's so sad to hear this. Just another story of Texas entrepeneurs using the inside track rather than outright competition to make their money.

It used to be that Texas was a great place for entrepeneurs and innovators.

People like Norman Brinker, who through Streak & Ale, Bennigans and Chili's created the entire casual dining market; the men of Texas Instruments with the computer chip among many other technical breakthroughs, Stanley Marcus who perfected the high-end retail market with Neiman Marcus, The Hunts who moved oil from wild catting to refinement; Mary Kay Ash who started a revolution of home marketing and a niche for home makers; Trammel Crowe who innovated commerical spec building around the world...

These people were model entrepeneurs. They made lots of money and they gave lots of money away. There was an ongoing group of mega entrepeneurs (which the Wylys have been a part of) that supported, cottled and made happen major initiatives in education, art, technology, social services, the airport and much more in Dallas.

But now, Texas is getting more known for entrepreneurs that are nothing more than high powered people trying to use their status and money to manipulate markets, industries, countries, and societies to earn a buck. And apparently, they'll stop at nothing.

Sorry everybody. I used to be proud of Texas' business people. Now, I'm often embarrassed by them.

[DoinMyHomework]

11:10 PM on 07/31/2010

Texas has had some of the most flamboyant unethical flim flam artists on the planet. I'm from there as well, and have witnessed it for decades. Its a pretty long list, and the Wyly's are just 2 more good ole boys who got caught to add to the list.

I'm trying to remember... didn't we recently have a president from there who belongs on that list?

[Friction57]

07:49 PM on 07/31/2010

so isn't it against the law to receive stolen property?

[1Houligan]

06:35 PM on 07/31/2010

I do believe it's time to hook up Congress, in it's entirety, to lie detectors when in session, with results shown at the bottom of the TV screen when one speaks. I'm luvin in this idea!!!

[1Houligan]

06:38 PM on 07/31/2010

Repel-icans - bought and paid for.

[lizipoo]

09:09 PM on 07/31/2010

Great idea!!! Will it go "ding, ding, ding, ding" and have flashing lights too?

[1Houligan]

08:11 AM on 08/01/2010

It will have the ding, ding, ding. However, no flashing lights. When I lie is detected, the floor under the lying sack will drop; hence, the offenders removal. He/She will then be removed immediately from the building and from his/her post and a new election for replacement will be held pronto. Whadaya think of that? I believe my Avatar would agree with yours! MEOW.

[Richard Sevrance]

04:08 PM on 07/31/2010

George Soros ?

[lizipoo]

09:14 PM on 07/31/2010

George is definitely canceled out by the 3 Walton (Walmart) kids who also weren't mentioned who prefer to earn their billions in a repug world.

[Richard Sevrance]

08:22 AM on 08/01/2010

How to you come by that defiantly

[mmsuki]

01:59 PM on 07/31/2010

Lowlifes.

[TRex86]

12:04 PM on 07/31/2010

Do you get it America? The Republican party is nothing but a front for the interests of a handful of reactionary billionaires. They hate the progressive income tax, the inheritance tax, labor unions and all the liberal social programs of the last century. Their amazing achievement is the fact that through their political apparatus a tiny fraction of the country has shafted over 99 percent of the population. Only a fraction of one percent of the population has prospered since the inauguration of St. Ronald the Spender.

This is class warfare, from the top down. They are winning. Don't be distracted by the blather of the Republican leadership (sic.). Their words are random. Their actions follow their orders from above. To assess the effectiveness of Republican mind control examine the auto-erotic fulminations of the Tea Baggers, the most confused, ignorant, hopeless collection of willing victims since the last lemming migration. They give a new meaning to the Stockholm Syndrome.

[teletom]

02:26 PM on 07/31/2010

And did you come to a similar conclusion over Democratic fundraiser Hassan Nemazee? Sentenced to 12 years for defrauding banks of $292 million. Did you even hear about that one? it was earlier this month. He was a huge fundraiser for Hillary and John Kerry. Virtually the same story, but the beneficiaries were Democrats. Oh and don't forget Bernie Madoff, that bastion of philanthropy, or the biggest crook in history, donated millions almost exclusively to Democrats. There is a lot going on outside that liberal bubble you live in.

[DoinMyHomework]

11:14 PM on 07/31/2010

corruption has no party... but from what I've seen dems are much happier to toss em in jail than the repubs when they find a scoundrel in their midsts...

at the very least, the dems get fired, and the repubs get jobs and shows at Fox news.

[TRex86]

08:04 AM on 08/01/2010

Please read and respond to my post above. Methinks you oversimplify the effect of the "liberal bubble" and underestimate the effect of the right wing propaganda machine.

[Orly Holmes]

12:29 AM on 08/01/2010

Democrats are in the same boat. Baram ,as a HUFFPO hack, is merely too dishonest to mention that The Center for Responsive Politics, also tracked the activities of the man whose 12 year prison sentence was handed down two weeks ago for a nearly 300 million dollar banking and stock fraud crime scandal. This individual, Hassan Nemazee, gave exclusively to Democrats and the campaigns of Gore, Kerry and Clinton in this order, and would have been tapped to serve as the Axelrod of a president Clinton had she gained the Oval Office.[ the Clintons, tight with Nemazee since the early 1990s, but have since applied a ''wheres Waldo''? to the man since his original SEC investigation began nearly two years ago].

The Washington Post July 12,2010:''Former Democrat Fundraiser For Gore, Kerry and Clinton Gets 12 Years For Fraud''.

[SoCalNick]

10:05 AM on 07/31/2010

This NEVER would have made it into the light under a REPUBLICAN Administration.

CHANGE BABY!!!

That is all

[Fattonecat]

10:05 AM on 07/31/2010

Another one of Bushes "have more,s"

[AFunkyMan]

09:47 AM on 07/31/2010

AT WHAT POINT IS ENOUGH...ENOUGH ? ..

People celebrate along with a media promoting sports figures and where they are going to cash their 100+ million cheques. Magazines are published detailing how many cars, or boats or houses or islands they own. I read a story where someone wanted to rent a country the other day for some video sh.oot. (shaking head ) ....

NO ..greed is NOT good ...in fact it is obscene.!

I saw an interview once where a billionaire was asked whether he could start over , or what he would happy to live on. He answered without hesitation TWO million dollars. Even he knew that beyond that number was truly excessive.

When we talk about helping the unemployed with benefits, we are talking about a stop gap of just hundreds of dollars to feed a family, pay the mortgage and not lose the house. THERE ARE KIDS INVOLVED.

And what else is OBSCENE is that a bunch of millionaires with multiple houses and cars and have perks all around them say NO to the people that need the help the most.

Their time of self-worshiping will soon come to an end.
VOTE OUT these radically extreme right wing obstructionists in November!

Regards,
Funky -..-.

[mrmikes]

07:07 AM on 07/31/2010

Rethuglican'ts = Enablers for hire.

[kaptaintripps]

11:10 PM on 07/30/2010

Oh! For gawd almighty's stoooopid IQ of 60s sake! Do none of these people STILL get it? It's only the millionaires...billionaires...and zillionaires who GIVE to the ReThug Party...jerkazoids! Wake up!

[Blivet]

10:45 PM on 07/30/2010

When all these pols decide to return this ill-gotten cash, who do they return it to?

[Buffyboy]

10:30 PM on 07/30/2010

Does anyone think these guys will get into as much trouble as Martha Stewart, who did far less, but who was of course, a woman.

[1Houligan]

06:40 PM on 07/31/2010

Doubting it.