Another Big Democratic Funder Headed to the Big House


Looks like the Democratic presidential candidate, whomever it is, will be running without the deep pockets of famed plaintiff lawyer Bill Lerach. Lerach is a California securities class action lawyer whose name has struck fear in the hearts of corporate executives for years thanks to his success winning some enormous cases, including a $7 billion settlement from companies that helped Enron hide its wrongdoing.

His crusades against corporate wrongdoing have made Lerach something of a folk hero in certain quarters, and he’s won friends in high places for plowing his winnings into Democratic politics. Just in 2004, Lerach’s law firm donated more than $1.5 million to 527 groups like the AFL-CIO’s Coalition to Defend the American Dream that worked to defeat President Bush. Before the ban on soft money, Lerach and his partner, Melvyn Weiss, donated millions of dollars to Democratic Party entities.

That reliable spigot of campaign funding is likely to dry up now that Lerach has agreed to plead guilty to a criminal conspiracy charge stemming from a seven-year federal investigation. Prosecutors charge that Lerach and his firm paid more than $11 million to people to be plaintiffs in their shareholder lawsuits. Lerach could spend up to two years in prison as a result of his plea. Even if he gets to hang on to most of his money, it’s unlikely that many candidates are going to want to take it…

DOES IT FEEL LIKE POLITICS IS AT A BREAKING POINT?

Headshot of Editor in Chief of Mother Jones, Clara Jeffery

It sure feels that way to me, and here at Mother Jones, we’ve been thinking a lot about what journalism needs to do differently, and how we can have the biggest impact.

We kept coming back to one word: corruption. Democracy and the rule of law being undermined by those with wealth and power for their own gain. So we're launching an ambitious Mother Jones Corruption Project to do deep, time-intensive reporting on systemic corruption, and asking the MoJo community to help crowdfund it.

We aim to hire, build a team, and give them the time and space needed to understand how we got here and how we might get out. We want to dig into the forces and decisions that have allowed massive conflicts of interest, influence peddling, and win-at-all-costs politics to flourish.

It's unlike anything we've done, and we have seed funding to get started, but we're looking to raise $500,000 from readers by July when we'll be making key budgeting decisions—and the more resources we have by then, the deeper we can dig. If our plan sounds good to you, please help kickstart it with a tax-deductible donation today.

Thanks for reading—whether or not you can pitch in today, or ever, I'm glad you're with us.

Signed by Clara Jeffery

Clara Jeffery, Editor-in-Chief

We Recommend

Latest

Sign up for our newsletters

Subscribe and we'll send Mother Jones straight to your inbox.

Get our award-winning magazine

Save big on a full year of investigations, ideas, and insights.

Subscribe

Support our journalism

Help Mother Jones' reporters dig deep with a tax-deductible donation.

Donate