Foreign Contributions and the Supreme’s Overdue Decision on Campaign Funding

by Michael Collins

The Supreme Court of the United States will soon announce a major decision on our lightly controlled system of campaign funding. Will it retain some limitations on corporate influence or will the court blow the lid off and cause a perpetual flood of unrestricted corporate contributions?

An additional outcome may surprise and shock the public. Snip

During oral arguments before the court, Olson argued that McCain-Feingold unlawfully restricts the First Amendment rights of U.S. corporations. Justice Ruth Bader Ginsburg had this exchange with Olson:

MR. OLSON: What the Court has said in the First Amendment context, New York Times v. Sullivan, Rose Jean v. Associated Press, and over and over again, is that corporations are persons entitled to protection under the First Amendment.

JUSTICE GINSBURG: Would that include –

MR. OLSON: Now, Justice –

JUSTICE GINSBURG: Would that include today’s mega-corporations, where many of the investors may be foreign individuals or entities?

MR. OLSON: The Court in the past has made no distinction based upon the nature of the entity that might own a share of a corporation.

JUSTICE GINSBURG: Own many shares?

MR. OLSON: Pardon?

JUSTICE GINSBURG: Nowadays there are foreign interests, even foreign governments that own not one share but a goodly number of shares.Citizens United v. Federal Elections Commission, Oral Arguments, pp. 4, 5, Sept. 9, 2009

Justice Ginsburg created a poison pill by putting on notice any Supreme Court majority that overturns the lower court decision: your actions will allow foreign funding for U.S. campaigns. Any foreign entity could simply exercise an existing or newly acquired ownership position in a U.S. corporation to demand services from that corporation’s latest wholly owned candidate.

The current bans on direct corporate contributions and contributions from foreign entities would become meaningless. The influence of the “corrosive and distorting effects of immense aggregations of wealth” obtained through the control of puppet politicians would submit all of us to the vicissitudes of balance sheets and the salary and bonus demands of board chairmen all over the world (to an even greater degree than we now experience).

Supremes Green Light Foreign Money in U.S. Elections! How well will that fly with citizens in the current political climate? Does the Supreme Court even care?