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Grand Jury Investigates California Campaign Violations (Koch Brother behind the Prop 32 & Prop 30 Campaigns)
Updated On: Jul 22, 2013

Teamster Members,

As many of you may recall, the Teamsters and may other Unions across California united and fought strongly against Proposition 32 and Proposition 30. Below is an article written by Christohper Arns, Staff Writer for the Sacramento Business Journal regarding the Grand Jury investigating David and Charles Koch of illegally funneling millions of dollars to try and pass these detrimental propositions during the Fall 2012 elections.


Grand jury investigates California campaign violations

A grand jury is apparently investigating whether several “dark money” groups linked to billionaire conservatives David Koch and Charles Koch illegally funneled $11 million to defeat two California ballot measures in the 2012 general election. If verified, the case would be the largest incidence of campaign money laundering in the state’s history.

According to the Daily Beast, the Small Business Action Committee, a conservative probusiness advocacy group, reported spending the money last October to defeat Proposition 30, the measure to raise income taxes to pay for education, and Proposition 32, which would have restricted unions from deducting money from their members for political activities, but didn’t reveal its donors. That’s potentially a violation of California campaign disclosure laws.

According to the Daily Beast, a social-welfare group called Protect Patient Rights may have been one of the donors. The group has been linked to the Koch brothers and is known for funneling $55 million to conservative political groups in the 2010 midterm elections. The Small Business Action Committee is run by Joel Fox, former president of the Howard Jarvis Taxpayers Association and editor of the conservative blog Fox and Hounds, which covers California politics.

Social welfare groups are nonprofit organizations that don’t have to pay taxes or reveal their donors as long as their primary purpose isn’t political campaigning. However, California law does require groups contributing to ballot campaigns to reveal their donors.

The alleged violations were initially revealed last October, according to the Daily Kos, but the grand jury investigation is new.

You can read more at the Daily Beast, including more details about how Protect Patient Rights shuffled money between several states before donating the money to anti-Prop 30 and anti-Prop 32 efforts.

Article Written By:

Staff Writer- Sacramento Business Journal

Christopher Arns covers state legislation, regulation and contracts, as well as economic news, international trade and economic development for the Sacramento Business Journal.

© 2013 American City Business Journals. All rights reserved. Use of this Site constitutes acceptance of our User Agreement (updated 3/14/12) and Privacy Policy (updated 3/14/12).

  Current Campaigns  
  • Taylor Farms workers in Tracy, California are standing up against poverty wages, disrespect and severe violations of their most basic rights. These 900 food processing workers in the Central Valley cut, wash and package salads and other products for the largest supplier of fresh-cut produce in the country. They feed the customers of major grocers, retailers and restaurant chains, including Walmart and McDonald’s.

    With a revenue of $1.8 billion in 2012, Taylor Farms can afford to treat its workers in Tracy with dignity and pay fair wages, just like their Teamster coworkers have at Taylor Farms’ facilities in Salinas, California. But when workers came together to organize with Teamsters Local 601, the company responded mercilessly. It fired, harassed, and punished workers for supporting the union. The company threatened immigrant workers with deportation, hiring an army of union-busters to run a non-stop fear campaign. During an NLRB election for union representation, Taylor Farms deployed a goon squad of supervisors to intimidate workers. The company’s violations were so egregious that the Labor Board impounded ballots while it investigates hundreds of Unfair Labor Practice charges.

    Workers in Tracy, following in the footsteps of labor leader and civil rights icon Cesar Chavez, are taking their fight to the public. The workers’ struggle for a better life for their families is supported by Teamsters in California and nationwide. We are building a movement for respect for the workers who feed America.

    ¡Si Se Puede!

  • Welcome to Teamster Organizing!

    You've heard it said that the best defense is a good offense. In the war on workers, Teamster Organizing is on the offensive! We're winning power for workers across industries and across North America. Join us!

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    After years of unfair regulations and lack of respect, we are fighting back by forming the Washington, D.C. Taxi Operators Association. Our association will be backed by Teamsters Local 922 and the 1.4 million-member International Brotherhood of Teamsters.

  • The Teamsters have stood in solidarity with worker struggles in other countries since our founding. With economic globalization, our ability to organize increasingly depends on our ability to build alliances with workers on a global scale.
    More than ever, Teamsters are organizing and bargaining with multi-national companies. A key objective of our Global Strategies Campaign is to build strong alliances with unions around the globe who organize and bargain with common employers. Our focus is on workers in the emerging global supply chains – the infrastructure of globalization.
    Globalization creates new opportunities for international worker solidarity. We seek common cause with workers around the world to build social justice for all workers and the communities in which they live.

  • This web page provides information on our fight against fast-track legislation. The measure requires Congress to take only a quick up-or-down vote on secret trade deals like the Trans-Pacific Partnership and does not allow such agreements to be amended. It limits Congress’ constitutionally mandated oversight of such trade deals and lets others decide what’s best for America. The result is fewer good-paying U.S. jobs and unsafe food and products for Americans. Read more to find out why fast track is the wrong track for Teamsters and America.

  • This is a list of Teamster locals whose members are either on strike or locked out by the employer. We will update this list on a monthly basis.


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