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Home News Eric Adams Sues Finance Board Over Withheld $3.4 Million Funds

Eric Adams Sues Finance Board Over Withheld $3.4 Million Funds

by Barbara

New York City Mayor Eric Adams has filed a lawsuit against the city’s Campaign Finance Board. He is contesting the board’s decision to withhold $3.4 million in public matching funds for his independent reelection campaign.

The lawsuit, filed Tuesday in Brooklyn’s state Supreme Court, claims the board violated city, state, and federal laws by denying the funds. Adams’ legal team argues the board’s decision was based on dismissed criminal charges and political bias rather than solid evidence.

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Frank Carone, Adams’ attorney and former chief of staff, said there is no legal reason to withhold the funds and called the board’s decision “hearsay allegations and political preference”.

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This legal move escalates the conflict between Adams and the Campaign Finance Board. Adams dropped out of the Democratic primary after his federal corruption case was dismissed by a judge following intervention from the Trump administration’s Department of Justice. However, the board’s refusal to release matching funds has seriously hurt his chances as an independent candidate.

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The board initially denied Adams’ request in December, citing a five-count bribery indictment and the campaign’s failure to provide requested documents. The lawsuit states that the campaign has since submitted the necessary paperwork.

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The board also claimed it had “reason to believe” Adams violated laws based on the indictment but did not specify details. Since the indictment was dismissed, Adams’ team argues the board should no longer rely on those allegations.

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Attorney Robert Spolzino wrote in the suit that an indictment is not a conviction, especially one dismissed without evidence. He called the board’s reliance on the indictment “arbitrary, capricious, and legally wrong.” The lawsuit also points out that the accusations in the indictment were based on actions of others, not Adams himself.

The Campaign Finance Board matches qualifying donations at an 8-to-1 ratio using taxpayer money to reduce the influence of large donors. In return, candidates agree to spending limits. Since denying Adams’ funds, the board has expanded its reasons, including citing a letter from a former U.S. Attorney who resigned in protest and called the dismissal deal a quid pro quo. The board also referenced the judge’s comment that the dismissal “smacked of a bargain” between Adams and the Trump administration.

Adams’ lawsuit claims the board’s decision blocks his ability to compete fairly and disenfranchises donors who expected their contributions to be matched. Carone said the board is trying to silence thousands of New Yorkers who support Adams because of his leadership. The board declined to comment and plans to review Adams’ eligibility again in July.

This lawsuit highlights the financial and legal hurdles Adams faces as he seeks reelection outside the Democratic primary. The delay in dismissing his case made him miss the primary, but the lawsuit suggests the denial of funds is a key reason for his independent run.

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