Cash-strapped Clinton fails to pay bills

[Switchgear]

link

Hillary Rodham Clinton’s cash-strapped presidential campaign has been putting off paying hundreds of bills for months — freeing up cash for critical media buys but also earning the campaign a reputation as something of a deadbeat in some small-business circles.

A pair of Ohio companies owed more than $25,000 by Clinton for staging events for her campaign are warning others in the tight-knit event production community — and anyone else who will listen — to get their cash upfront when doing business with her. Her campaign, say representatives of the two companies, has stopped returning phone calls and e-mails seeking payment of outstanding invoices. One even got no response from a certified letter.

Their cautionary tales, combined with published reports about similar difficulties faced by a New Hampshire landlord, an Iowa office cleaner and a New York caterer, highlight a less-obvious impact of Clinton’s inability to keep up with the staggering fundraising pace set by her opponent for the Democratic presidential nomination, Illinois Sen. Barack Obama.

Clinton's campaign did not respond to recent, specific questions about its transactions with vendors. But Clinton spokesman Jay Carson pointed on Saturday to an earlier statement the campaign issued to Politico, asserting: "The campaign pays its bills regularly and in the normal course of business, and pays all of its bills."

Just like with other businesses, it’s common for campaigns to carry unpaid bills from month to month, but in Clinton’s case, it also could serve a strategic purpose.

The New York senator’s presidential campaign ended February with $33 million in the bank, according to a report filed last week with the Federal Election Commission, but only $11 million of that can be spent on her battle with Obama.

The rest can be spent only in the general election, if she makes it that far, and must be returned if she doesn’t. If she had paid off the $8.7 million in unpaid bills she reported as debt and had not loaned her campaign $5 million, she would have been nearly $3 million in the red at the end of February.

By contrast, if you subtract Obama’s $625,000 in debts and his general-election-only money from his total cash on hand at the end of last month, he’d still be left with $31 million.

The presidential campaign of presumptive Republican nominee Arizona Sen. John McCain reported $4.3 million in debt at the end of February, but only $1.3 million of that was in the form of unpaid bills to a dozen vendors. The rest was a bank loan, which the campaign says it paid off last week.

I heard this over the weekend on WTOP, I'm surprised it hasn't gotten more attention. I've seen comments recently that Hillary shouldn't drop out because she still has plenty of money, but it looks like whatever extra she has is coming out of her own pocket.

[MurrayH81]

Its tough for the Clintons to raise money now, because:

1. They no longer have income from Mena Airport.

2. They can no longer promise anything in return value (other than keeping Bill away from their young women). It's clear to most people now that she will not win the nomination, so they have nothing to trade there.

3. Its been a long time since they could raise money the good ol' way like they did in Whitewater and other places, since most of their accomplices, or would be accomplices are wary of jail terms while the Clintons successfully evade.

4. Their Library is just not a crowd pleaser.

5. They don't have any more White House stuff to pawn or sell.

[Thiebear]

China knows when its candidate lost and stop the funds.. simple enough to figure out.

[headexplode]

She should see if Spitzer is still available. He is a big spender.

[MurrayH81]

She should see if Spitzer is still available. He is a big spender.

she may be a bit high profile for him atm. I think the wife would come unglued if he was doing something uglier and older than she was.

[Koolblue13]

China knows when its candidate lost and stop the funds.. simple enough to figure out.

Its tough for the Clintons to raise money now, because:

1. They no longer have income from Mena Airport.

2. They can no longer promise anything in return value (other than keeping Bill away from their young women). It's clear to most people now that she will not win the nomination, so they have nothing to trade there.

3. Its been a long time since they could raise money the good ol' way like they did in Whitewater and other places, since most of their accomplices, or would be accomplices are wary of jail terms while the Clintons successfully evade.

4. Their Library is just not a crowd pleaser.

5. They don't have any more White House stuff to pawn or sell.

:laugh::laugh::laugh:

Now this looks like my kind of candidate. Broke!

[Larry]

Not saying anything about Clinton, but I was under the impression that anybody who deals with an election campaign and doesn't demand Cash In Advance had to be either an idiot or somebody who wants to make a campaign contribution but doesn't want it listed as such.

Folks, you're dealing with a "company", where what, 95% of them go bankrupt within six months?

[Koolblue13]

I guess Obama is safe. When your theme is "give me your money" and everybody buys it, you never go broke.

Thinking about what I've heard about McCain having an unaccounted for $4 million and possibly having to bail out, this whole thing seems a little strange.

[Larry]

I guess Obama is safe. When your theme is "give me your money" and everybody buys it, you never go broke.

I thought he only wanted your change.

[Corcaigh]

John Glenn had a campaign debt of more than $3M from his 1984 presidential bid that lasted more than a decade.

[Kilmer17]

I think its funny that one of the bills they failed to pay was the health insurance.

Which we know she has made a campaign issue of making it a crime to NOT pay for your own health insurance if her plan is enacted.

[Koolblue13]

I thought he only wanted your change.

No sir, I believe that is what he is planning on giving back.

[Burgold]

She needs to get out. The nomination is technically over and this election is shaping up to be about the economy. The last thing the Dems need is her campaign being broke and sued all over the place for not paying its bills.

[alexey]

She needs to get out. The nomination is technically over and this election is shaping up to be about the economy. The last thing the Dems need is her campaign being broke and sued all over the place for not paying its bills.

Maybe this is a good thing. The Party will have an easier time distancing themselves from Hillary as her plight becomes more and more rediculous.

[gbear]

She needs to get out. The nomination is technically over and this election is shaping up to be about the economy. The last thing the Dems need is her campaign being broke and sued all over the place for not paying its bills.

don't know..being broke with creditors calling might be somethin a lot of voters can relate to? :doh:

[Burgold]

don't know..being broke with creditors calling might be somethin a lot of voters can relate to? :doh:

:laugh:

True.

Although, it may also work to tie her to the Bush/Republican economic policies too. So,it could be a lose, win, lose.

On the third hand, Obama's campaign really perked up after Oprah. Maybe, Hillary's going for the Judge Judy angle.

[Thiebear]

I saw Clinton and strapped and it seemed to flow...