Former Michigan House leader and wife charged with misusing political funds

LANSING, Mich. (AP) — Prosecutors charged the former leader of the Michigan House and his wife with financial crimes Tuesday, alleging they milked political accounts for personal travel, housing and other benefits while the Republican lawmaker was raising millions of dollars from his powerful post.

Lee Chatfield misused various political funds, including his Peninsula Fund, which was not required to report the names of donors and served as an “unregulated slush fund,” Attorney General Dana Nessel said.

The operation was a family affair, as wife Stephanie Chatfield monitored her husband's credit card balance and paid it off with cash from the Peninsula Fund, including $132,000 over a 14-month period, Nessel said.

In another example, Nessel said Lee Chatfield's brother cashed a $5,000 check from a political fund in 2020 and returned $3,500 to the lawmaker ahead of a vacation, Nessel said.

Lee Chatfield's various political funds took in more than $5 million over six years, including more than $2 million in 2020, which was his last year as speaker, the attorney general said.

“To call him, as many have, a prodigious fundraiser would not be an exaggeration,” Nessel said.

Lee Chatfield faces 13 charges, including conducting a criminal enterprise, which carries a maximum prison sentence of 20 years, and embezzlement.

Chatfield’s attorney, Mary Chartier, said she’ll fight the charges “each and every step of the way.”

“It took almost 2 1/2 years for the AG’s office to come up with charges. It’s going to be pretty flimsy if it took that long,” Chartier said.

Stephanie Chatfield was charged with embezzlement. A message seeking comment from her lawyer, Matt Newburg, was not immediately returned.

Nessel said there has been a proliferation of “dark money” political funds. She said the Peninsula Fund was organized under federal law as a tax-exempt “social welfare organization.”

“The Michigan Campaign Finance Act is effectively toothless, useless and utterly worthless as a deterrent to these crimes,” she said.

“The misuse of social welfare funds is not a new practice in Lansing. And while Lee Chatfield may have exploited the system a little bit more than others, no one political party alone has perverted or abused it,” she said.

Separately, there was a renewed call Tuesday to expand financial disclosure laws in Michigan.

“We won’t give up on seeking the type of anti-corruption laws that this state needs that most other states have,” Secretary of State Jocelyn Benson, a Democrat, said. “These charges really underscore the real necessity to more people in Lansing than ever before.”

The Chatfield investigation began in 2022 when his sister-in-law publicly said he had sexually assaulted her. He has denied the allegations and said they had a consensual affair. Investigators eventually expanded the case beyond those claims.

Nessel said there was insufficient evidence to charge Lee Chatfield based on Rebekah Chatfield's allegations, though she praised her courage in stepping forward.

“Were it not for her we likely wouldn't be here today,” the attorney general said.

Two people who were top aides to Lee Chatfield when he ran the House were charged last year with crimes, including embezzlement from nonprofit funds created for political purposes. Rob and Anne Minard have pleaded not guilty.

White reported from Detroit.

Michigan Attorney General Dana Nessel talks about charging former House Speaker Lee Chatfield, Tuesday, April 16, 2024, in Lansing, Mich. Prosecutors charged Chatfield and his wife with financial crimes Tuesday, alleging they milked political accounts for personal travel, housing and other benefits while the Republican lawmaker was raising millions of dollars from his powerful post. (Al Goldis/Detroit News via AP)

Michigan Attorney General Dana Nessel talks about charging former House Speaker Lee Chatfield, Tuesday, April 16, 2024, in Lansing, Mich. Prosecutors charged Chatfield and his wife with financial crimes Tuesday, alleging they milked political accounts for personal travel, housing and other benefits while the Republican lawmaker was raising millions of dollars from his powerful post. (Al Goldis/Detroit News via AP)

Michigan Attorney General Dana Nessel talks about charging former House Speaker Lee Chatfield, Tuesday, April 16, 2024, in Lansing, Mich. Prosecutors charged Chatfield and his wife with financial crimes Tuesday, alleging they milked political accounts for personal travel, housing and other benefits while the Republican lawmaker was raising millions of dollars from his powerful post. (Al Goldis/Detroit News via AP)

Michigan Attorney General Dana Nessel talks about charging former House Speaker Lee Chatfield, Tuesday, April 16, 2024, in Lansing, Mich. Prosecutors charged Chatfield and his wife with financial crimes Tuesday, alleging they milked political accounts for personal travel, housing and other benefits while the Republican lawmaker was raising millions of dollars from his powerful post. (Al Goldis/Detroit News via AP)

Michigan Attorney General Dana Nessel talks about charging former House Speaker Lee Chatfield, Tuesday, April 16, 2024, in Lansing, Mich. Prosecutors charged Chatfield and his wife with financial crimes Tuesday, alleging they milked political accounts for personal travel, housing and other benefits while the Republican lawmaker was raising millions of dollars from his powerful post. (Al Goldis/Detroit News via AP)

FILE - Michigan Attorney General Dana Nessel speaks during a news conference, Sept. 19, 2022, outside of the Genesee County Sheriff's Office in Flint, Mich. Prosecutors plan to announce charges Tuesday, April 16, 2024, in an investigation of the former leader of the Michigan House, the attorney general's office said. (Jake May/The Flint Journal via AP, File)

FILE - Michigan Speaker of the House Lee Chatfield bangs the gavel, April 24, 2020, in the House chambers in Lansing, Mich. Prosecutors plan to announce charges Tuesday, April 16, 2024, in an investigation of the former leader of the Michigan House, the attorney general's office said. (Matthew Dae Smith/Lansing State Journal via AP, File)

BEIRUT (AP) — Leaked photographs of the son of Libya’s late dictator Moammar Gadhafi and the tiny underground cell where he has been held for years in Lebanon have raised concerns in the north African nation as Libyan authorities demand improvements.

The photos showed a room without natural light packed with Hannibal Gadhafi’s belongings, a bed and a tiny toilet. “I live in misery,” local Al-Jadeed TV quoted the detainee as saying in a Saturday evening broadcast, adding that he is a political prisoner in a case he has no information about.

Two Lebanese judicial officials confirmed to The Associated Press on Monday that the photographs aired by Al-Jadeed are of Gadhafi and the cell where he has been held for years at police headquarters in Beirut. Gadhafi appeared healthy, with a light beard and glasses.

A person who is usually in contact with Gadhafi, a Libyan citizen, said the photos were taken in recent days. All spoke on condition of anonymity because they were not authorized to speak to media outlets.

Gadhafi has been held in Lebanon since 2015 after he was kidnapped from neighboring Syria, where he had been living as a political refugee. He was abducted by Lebanese militants demanding information about the fate of prominent Lebanese Shiite cleric Moussa al-Sadr, who went missing during a trip to Libya in 1978.

The fate of al-Sadr has been a sore point in Lebanon. His family believes he may still be alive in a Libyan prison, though most Lebanese presume al-Sadr, who would be 95 now, is dead.

A Libyan delegation visited Beirut in January to reopen talks with Lebanese officials on the fate of al-Sadr and the release of Gadhafi. The talks were aimed at reactivating a dormant agreement between Lebanon and Libya, struck in 2014, for cooperation in the probe of al-Sadr. The delegation did not return to Beirut as planned.

The leaks by Al-Jadeed came after reports that Gadhafi was receiving special treatment at police headquarters and that he had cosmetic surgeries including hair transplants and teeth improvements. Al-Jadeed quoted him as saying: “Let them take my hair and teeth and give me my freedom.”

Gadhafi went on a hunger strike in June last year and was taken to a hospital after his health deteriorated.

Libya’s Justice Ministry in a statement Sunday said Gadhafi is being deprived of his rights guaranteed by law. It called on Lebanese authorities to improve his living conditions to one that “preserves his dignity," adding that Lebanese authorities should formally inform the ministry of the improvements. It also said Gadhafi deserves to be released.

After he was kidnapped in 2015, Lebanese authorities freed him but then detained him, accusing him of concealing information about al-Sadr’s disappearance.

Al-Sadr was the founder of the Amal group, a Shiite militia that fought in Lebanon’s 1975-90 civil war and later became a political party that is currently led by the country’s Parliament Speaker Nabih Berri.

Many of al-Sadr’s followers are convinced that Moammar Gadhafi ordered al-Sadr killed in a dispute over Libyan payments to Lebanese militias. Libya has maintained that the cleric, along with two traveling companions, left Tripoli in 1978 on a flight to Rome.

Human Rights Watch issued a statement in January calling for Gadhafi’s release. The rights group noted that Gadhafi was only 2 years old at the time of al-Sadr’s disappearance and held no senior position in Libya as an adult.

FILE - In this undated file photo made available Sept. 25, 2011, Hannibal Gadhafi, son of ousted Libyan leader Moammar Gadhafi, watches an elite military unit exercise in Zlitan, Libya. Leaked photographs of Hannibal Gadhafi and the tiny underground cell where he has been held for years in Lebanon have raised concerns. Libyan authorities are demanding that Lebanon improves living conditions for Gadhafi. (AP Photo/Abdel Magid al-Fergany, File)