A New York Democratic candidate for the state legislature appears to have gamed the state’s campaign matching funds program, illicitly receiving upwards of $162,800 in public money. Dao Yin, a candidate in the Democratic primary for the 40th Assembly District, allegedly submitted an unusually high percentage of cash contributions to qualify for public campaign funds.
Even more troubling, mounting evidence suggests Yin has used straw donors to artificially inflate the number of contributors to his campaign. Donors to New York City Mayor Eric Adams used a similar scheme in an effort to curry favor with the city’s top Democrat. A long-time associate of Adams has pleaded guilty to orchestrating the straw donor operation.
This past year, the New York legislature adopted a new, generous public matching funds program for state-level political campaigns. While lawmakers argued that the new system would boost the impact of small-dollar donors on campaigns, in reality, the system’s lack of oversight and absence of spending caps have left it rife with graft.
New York state’s matching funds system, similar to New York City‘s public-matching funds program, grants a funding match at a 12 to 1 ratio—meaning that for each dollar a candidate raises, they can receive upwards of $12 in public money. New York City limits the public match to an 8 to 1 ratio.
In the case of Dao Yin, the little-known Democrat candidate reported donations between $20 and $80 from numerous individuals who deny making the contributions and—in some instances—haven’t lived in the state for over a decade. Despite the rampant evidence of fraud by the Democratic candidate, the state Public Campaign Finance Board can do little before the June 25 primary.
Campaign contribution audits are only triggered when a candidate receives over $500,000 in matching funds, well above the $350,000 cap on state assembly campaigns. In addition, the Public Campaign Finance Board cannot subpoena records or other financial documents without prior approval of the state’s Board of Elections, bogging down potential investigations in state government bureaucracy.