Posted on Wed, Nov. 29, 2006

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Judge dismisses suit against ethics panel

South Carolinians for Responsible Government might appeal ruling

By AARON GOULD SHEININ

asheinin@thestate.com

A federal judge Tuesday tossed out South Carolinians for Responsible Government’s lawsuit against the State Ethics Commission, ruling the organization has suffered no harm from the state agency.

Judge Matthew Perry said “no complaint, which would prompt the need for a contested case hearing, was ever filed against” SCRG. “No investigation was conducted. No hearing was held.”

South Carolinians for Responsible Government sued the agency May 30 after commission executive director Herb Hayden advised the group that state law required it to reveal how it spends its money.

His letter was prompted by reports SCRG had aired radio ads critical of Rep. Bill Cotty, R-Richland, over Cotty’s opposition to legislation giving parents tax credits to send their children to private schools.

Because the ad came within 45 days of Cotty’s June 13 primary race, Hayden said state law defined the ad as an attempt to influence the outcome. That meant the group had to disclose how it spends money.

Hayden’s letter is not the commission’s final word. If SCRG refused to comply — and it did refuse — then the members of the Ethics Commission would meet and determine whether they believe the law had been broken.

If the commissioners determined SCRG’s refusal was an ethics violation, the organization could be fined if it continued to refuse to file the proper disclosure reports.

Before the commissioners considered the case, SCRG filed suit. Perry said until commissioners find SCRG violated the law, there is no reason for the case to be heard in his court.

If the commission were to rule SCRG violated the ethics act, state law says the group can appeal to the state Court of Appeals and then to the S.C. Supreme Court.

SCRG spokesman Denver Merrill said the group would decide within 30 days whether to appeal the decision to the federal Court of Appeals. Hayden said he expects SCRG to appeal.

Reach Gould Sheinin at (803) 771-8658.