10/15/2010 03:14 pm ET Updated May 25, 2011

Michael Steele Challenges Democrats: 'Put Up Or Shut Up'

RNC Chairman Michael Steele jousted across networks with DNC Chairman Tim Kaine Friday morning, telling Democrats pushing a recent report on conservative groups allegedly funneling foreign contributions into campaign efforts to "put up or shut up." Democrats have not provided concrete proof of illegal foreign contributions, and the chairman demanded that they either produce hard evidence or drop the issue.

"That is the most craziest thing I've ever heard," Steele told Fox News. "And you know what, I'm tired of Democrats making these accusations. Put the proof on the table. You're running your mouth, you're talking trash for three weeks of an election...Put up or shut up!"

Steele also described the massive expenditures by conservative third party groups like Karl Rove's American Crossroads as "long overdue."

Democrats, including the president, have chosen to make the charges that conservative third-party groups draw large amounts of funds from unknown foreign donors into a campaign issue. DNC Chairman Tim Kaine said Thursday that the alleged scandal could be the biggest since Watergate.

On Friday, Kaine also appeared on ABC News's "Good Morning America" to brace his earlier claims.

"Watergate was a scandal that involved a number of things including campaign financing that was being done with dollar bills in sacks handed over to the Committee to Reelect the President," Kaine said. "Because of that the reforms were put in place after Watergate to require the disclosure of donors to financial campaign. This is one of the single best things that's happened in American politics in the last 30 years and the Republicans have made, I believe, a concerted effort to divert as much campaign funding in to non-reporting entities."

WATCH Steele on Fox News: