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Feinstein Campaign Treasurer Charged With Mail Fraud

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Senator Dianne Feinstein, D-Calif. (Alex Wong/Getty Images)

Senator Dianne Feinstein, D-Calif. (Alex Wong/Getty Images)

BarbaraTaylor_KCBS_0001r Barbara Taylor
Barbara Taylor is the long time San Francisco City Hall Bureau Chief...
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LOS ANGELES (KCBS/AP) – California regulators are cracking down on a company at the center of a scandal over hundreds of thousands, perhaps even millions of dollars, from the campaigns of several politicians, including U.S. Senator Dianne Feinstein.

Feinstein’s longtime campaign treasurer Kinde Durkee, who runs Durkee & Associates, has been arrested by federal agents and charged with mail fraud, specifically involving the misappropriation of funds from California Assemblyman Jose Solorio.

KCBS’ Barbara Taylor Reports:

Federal affidavits said Durkee admitted dipping into client’s campaign accounts for years.

Feinstein said Durkee “wiped her out” with some reports claiming that as much as $3 million might have been taken from her over the years.

State Democratic Party Chairman John Burton said as many as 20 politicians may have been victimized over the years.

“A lot of people who run for office don’t pay that much attention and they’re trusting,” Burton said. “The person I’ve got, you couldn’t get a postage stamp by her.”

Burton said politicians that don’t have safeguards in place are especially vulnerable.

“I don’t think it’s widespread, but I guarantee everybody is asking questions about whoever their person is now,” he said.

The state Board of Accountability has issued a “cease and desist” order against Durkee & Associates to stop the firm from conducting accounting business.

(Copyright 2011 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

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