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Bradley, Bernson Defy Order to Repay Improper Donations : Finance: Ex-mayor and councilman say they should not have to return $15,000 in campaign funds. They did not know the money had been illegally laundered.

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TIMES STAFF WRITER

Former Los Angeles Mayor Tom Bradley and City Councilman Hal Bernson have defied an order by the city’s Ethics Commission to repay a total of $15,000 in laundered campaign contributions that the two received from a giant shipping firm.

Bradley, now in private practice as a lawyer, and Bernson said it is unfair for them to have to repay money that they received in good faith, not knowing that it had been improperly donated.

The funds came from Evergreen America Corp., which admitted last month that it hid $172,000 in contributions to state and local officials by funneling the money through employees, relatives and friends.

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In admitting to wrongdoing in August, Evergreen agreed to pay an $895,000 penalty, the largest in U.S. history for a violation of campaign contribution laws.

Such hiding of the source of campaign contributions is illegal because it prevents the public from determining who is attempting to influence government actions, ethics officials said.

Repayment of the money by elected officials is intended to clear the political system of “dirty money,” said Mimi Strauss, chief of enforcement for the Ethics Commission.

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She said the city attorney’s office has been asked to take “appropriate action” to secure the $10,000 owed by Bernson and the $5,000 owed by Bradley. The money is to be paid into the city treasury.

Two other officials and one former candidate failed to meet a Monday deadline for returning improper Evergreen contributions, but none have said they will defy the month-old Ethics Commission order.

“It’s important to rid the political system of the tainted money, without anyone implying or saying that they had any knowledge or intent” to receive illegal contributions, Strauss said.

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She said Los Angeles is the only city in the country with a “no fault” provision that requires candidates to return improper contributions whether they knew they were improper or not. The provision is important because it encourages politicians to check closely to make sure they know the true identity of contributors, Strauss said.

But Bernson and Bradley argued in letters to the Ethics Commission that such payments are unfair and onerous.

Bradley’s lawyer said the former mayor has no intention of paying $5,000 to the city’s general fund because he had no idea the campaign contributions were improper.

The lawyer called the ethics law vague, adding in her letter: “It cannot mean that Tom Bradley, an unknowing pawn in someone else’s alleged and long-ago scheme, owes the general fund $5,000. Such a penalty would be incredibly harsh.”

Bernson said that forcing him to pay $10,000 without a hearing would violate his due process rights. He also said the money has already been spent. Finally, Bernson argued that he has satisfied the spirit of the law by contributing to charity well over the amount the commission says he owes.

In a letter to the Ethics Commission, Bernson said it was “very unfair for you to expect me to call upon my financial supporters to come up with additional monies” to repay the Evergreen contributions.

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Of the six other local officials and candidates ordered to repay money, three have complied. Councilwoman Ruth Galanter paid $7,500 and Councilman Mike Hernandez and former City Council candidate Kerman Maddox paid $500 each.

Councilman Richard Alatorre said he is arranging to repay $7,500 he received from Evergreen, and Billy Mills, a former Ethics Commissioner and one-time City Council candidate, said he inadvertently missed the Monday deadline and plans to repay $500.

Councilman Nate Holden said it is unfair for him to have to repay $5,000 in Evergreen contributions that he had thought were proper. He said he will grudgingly pay the money if he has enough funds in his campaign account.

A dozen state officials received the bulk of the improper contributions from the shipping firm. Although state officials are not legally required to return the money, two have said they have already given it back to Evergreen voluntarily.

Gov. Pete Wilson repaid $4,000 and Atty. Gen. Dan Lungren repaid $500, their offices reported to the state Fair Political Practices Commission.

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