Defeated Rep. Madison Cawthorn (R-North Carolina) illegally spent campaign funds and now cannot repay the funds.
During his reelection, Cawthorn was low on cash and tapped into his general election funds. His campaign used donations for the general election race in a desperate attempt to help him overcome his feverish primary race.
Documentation from early May shows Cawthorn had approximately $137,000 on hand and owed $325,000 in debt during that time. The campaign spent nearly $3,000 at Papa’s Beer and $21,000 for housing accommodations in Florida. The campaign also accumulated excessive consulting fees, being the main contributing factor to his spending troubles.
Under federal law, candidates are allowed to raise money for primary and general election races at the same time, but the funding must be used for the designated race, to else it has to be paid back. Given that Cawthorn lost in the primary election, he is required by law to refund the donations.
By May 5, his campaign had only 2% of the $3.7 million it accumulated since January 2021 and had used general election funds months prior.
Last Friday, Cawthorn’s treasurer reportedly quit, and he took over the position. Specifics on his current financial status are not clear.
Cawthorn also faces an ethics complaint that he had an inappropriate relationship with staffer Stephen Smith.
