Federal probe scrutinizes financial dealings of American Conservative Union

Sources tell The Dispatch that federal investigators are currently looking into possible criminal campaign-finance misdeeds at ACU during Schlapp’s tenure. As part of the investigation, the FBI has interviewed former and current ACU employees about the financial dealings of the organization and its leaders—and in particular, as one source said, about their “knowledge of the events leading up to the endorsement of Brian Kelsey.”

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Who is Brian Kelsey? He’s a Tennessee state senator who in 2016 was trying to secure the Republican nomination for the open seat in his state’s 8th Congressional District. Beginning in July 2016, Kelsey made a series of odd financial moves. As reported by the Tennessean, his state Senate campaign sent more than $100,000 to a political action committee, the Standard Club PAC, affiliated with a Nashville members-only club. That PAC then sent $37,000 to a federal PAC called Citizens 4 Ethics in Government, which then turned around and sent $36,000 to the ACU. The Standard Club PAC also sent $30,000 to the ACU directly.

Immediately thereafter, the ACU, which had endorsed Kelsey in the federal race shortly before, inked an $80,000 radio ad buy trumpeting him as the race’s true conservative champion.

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