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Texas Man Allegedly Used Fake PACs To Rake In Hundreds of Thousands, Spent Most At Strip Club

Haley Kennington
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A man from Texas was indicted on Wednesday for allegedly creating political action committees (PACs) in order to obtain donations from followers of Hillary Clinton, Bernie Sanders and President Donald Trump.

The PACs created by Austin resident Kyle Gerald Prall include: “HC4President,” “Feel Bern,” and “Trump Victory” – which was later changed to “Make America Great”.

Each committee was required to report to the Federal Election Commission (FEC)

In the indictment, the committees are listed as:

  • Bernie Sanders: Candidate A
  • Hillary Clinton: Candidate B
  • President Donald Trump: Candidate C

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According to the indictment, the targeting of the politician’s followers began years ago with “Feel Bern” registered with the FEC on December 30,2015, “HC4President” registered January 19th, 2016, and “Trump Victory” registered on March 25th, 2016.

The indictment states Prall opened a bank account for each PAC at one Financial Institution, then opened LLCs with their own separate bank accounts at two separate Financial Institutions, serving as “anonymous shells to launder funds from the political committees” and distribute to Prall. “Most of the bank accounts were closed shortly after the end of the 2016 election cycle,” reads the indictment.

According to the indictment, Prell told donors the money would be used to pay for transporting voters to the polls, paying for training volunteers to both make phone calls and canvas neighborhoods in support of the respective candidates, helping voters obtain identification needed to place their votes, and for contributions to then-Presidential candidate Donald Trump along with other organizations that supported Trump.

Of course, none of the above actually happened.

“Feel Bern”

Between December 2015 and July 2016, Prall–under the pseudonym “Jacob Collins” or “John Holloway” raked in over $300,000 in contributions to “Feel Bern”, paid no expenses for transportation, chartering buses, or fuel, and donated less than $4,000 to political causes, according to the indictment. On top of this, Prall paid himself a salary of approximately $46,153.80 between January and June of 2016. Prall lied to the “Feel Bern” treasurer about $3,101.92 being payments when it was actually spent at the E11VEN nightclub in Miami, Florida for “hookah, food, alcohol, and bottle service,” with an additional $1,470.00 used for “club dances performed by entertainers,” and another $710.79 for a “deep-tissue massage, pet-cleaning fee, room service, and mini-bar charges” in Austin, Texas.

“HC4President”

Prall created a website at www.hcforpresident.org and solicited all donations through it claiming, “We are volunteers helping [Presidential Candidate Hillary Clinton] win the US Presidential election and usher in a new government for the people by helping raise awareness with voters.” He promised those donating, “Your contribution goes directly toward paying for training volunteers to knock on doors, make phone calls, and spread the word about [Presidential Candidate Hillary Clinton]’s movement. It also helps pay for our initiatives to help voters obtain the appropriate ID and transportation to voting facilities.” Again, none of which happened. Over $73,000 was raised for “HC4President” between January 2016 and November 2016, none of which went to the above and with less than $1,100 actually donated to political causes, according to the indictment.

“Trump Victory”

Another website was created for this PAC, www.trumpvictory.org, where Prall falsely stated: “We are a group of volunteers from all walks of life who are looking for a real change in leadership and we believe [Presidential Candidate Donald Trump] can deliver.” He also falsely claimed, “We also donate the maximum allowed legal limits directly to [Presidential Candidate Donald Trump] and other organization and nonprofits that are supporting [Presidential Candidate Donald Trump]’s campaign for President, according to the indictment. Over $165,000 was raised under the PAC between March 2016 and November 2016, with absolutely ZERO dollars actually donated to then-Presidential candidate Donald Trump or any other organization or nonprofits in support of then-Presidential candidate Trump, according to the indictment.

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The indictment reads: “After moving funds from the political committee accounts to his LLC accounts, PRALL withdrew or transferred nearly all of the money to his personal accounts, either directly or through the LRQ account.”

Prall faces a long stint in prison with numerous counts of money laundering, false statements, mail fraud, wire fraud, and falsification of federal records.

View the full indictment here: https://www.documentcloud.org/documents/5686551-USA-v-Prall-Indictment.html

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