The US maritime sector is paying close attention to the legal travails of Representative Duncan Hunter, a champion of US-flag shipping in Congress, who has been charged with corruption.
Hunter was indicted in a federal court on charges of misusing campaign funds. The southern California congressman and his wife, Margaret, were charged with using more than $250,000 in campaign cash for personal purchases between 2010 and 2016.
Soon after he pleaded not guilty, Hunter stepped down from his House of Representative committee posts, including his role as chairman of the Coast Guard and Maritime Subcommittee, which covers US-flag shipping, maritime safety and shipbuilding.
‘Unwavering defender of the Jones Act’
“He is a big supporter of maritime programmes, and the subcommittee will continue supporting the programmes,” said a Washington DC maritime policy expert.
In his most recent shipping-related legislative initiative, Hunter, who has described himself as “an unwavering defender of the Jones Act”, sponsored a safety bill that ordered the implementation of US Coast Guard recommendations in response to the sinking of the US-flag El Faro.
It remains to be seen whether the corruption charges will have any negative repercussions on the fate of the safety bill.
“I don’t believe that it will have a serious effect on the El Faro legislation because that is a consensus measure,” Charlie Papavizas, a Winston & Strawn lawyer who represents US-flag shipowners, tells TradeWinds.
Papavizas adds that the current scenario “is concerning” as Hunter is a “strong supporter of the US merchant marine”.
The House passed a package of legislation in July including the Maritime Safety Act of 2018, which contains provisions covering timely weather forecasts, emergency safety gear with locator beacons, float-free voyage data recorders with integrated emergency position indicating beacons and other safety improvements.
'Pure politics'
The couple is charged in a 60-count indictment with conspiracy to commit wire fraud, falsification of records, bank fraud and aiding and abetting in the prohibited use of campaign contributions, according to news reports.
The indictment details some 200 instances of campaign funds being used as personal expenses.
The $250,000 went toward everything from airfare for a pet rabbit and lavish family vacations to private school tuition, the indictment states.
The Hunters are also accused of lying to cover up spending and drawing from campaign coffers despite warnings from staffers and investigator and reporter inquiries.
Hunter and his legal team have branded the charges as “pure politics”, a “deep state” conspiracy and a politically motivated witch-hunt.
Hunter seemingly tried to shift the blame onto his wife during an interview given after the arraignment last week in a San Diego federal court.
“She was also the campaign manager, so whatever she did that’ll be looked at too, I’m sure,” Hunter said on Fox News. “But I didn’t do it. I didn’t spend any money illegally.”
If proven guilty, the Iraq and Afghanistan war veteran may face a prison term of 21 months to five years.
Hunter is paid $174,000 a year as a member of Congress, while Margaret Hunter receives $3,000 a month as his campaign manager.
Despite the setbacks, Hunter remains in the lead for re-election in a heavily Republican district.