Democratic donor indicted in Missouri

John Steffen, a high-flying Missouri developer who was a major contributor to Democrats before his businesses started to go sour, was indicted on bank fraud charges last Friday.

Steffen was a generous donor, contributing more than $220,000 to party figures both in the state and nationally through the decade up to 2008, according to records at the Federal Election Commission.

Among recipients, Sen. Harry Reid, D-Nev., received $21,500 in a series of checks between 2003 and 2007 to his campaign committee and his personal political action committee, the Searchlight Leadership Fund.

Steffen also gave $15,000 to the Nevada State Democratic Party in 2004, which was the last year Reid was on the ballot.

Asked whether they would be shedding Steffen's donations in light of his indictment, Reid's campaign and the Nevada party leadership got together and coordinated an answer. They issued identical statements: "Your question presumes guilt, something that has not been determined by the courts.  We’re going to let the legal process run its course."  

Steffen was accused of cheating the Business Bank of St. Louis out of $827,000 in state tax credits in 2007. He had been awarded the tax credits for use as collateral on a loan, but essentially double dipped and used them for other projects, according to authorities.

Other Democrats who received donations included Sens.Maria Cantwell of Washington, Debbie Stabenow of Michigan, then-Sen.Barack Obama, John Kerry of Massachusetts, John Warner of Virginia, Tom Harkin of Iowa, Chuck Robb of Virginia, Claire McCaskill of Missouri, then-Sen. Ken Salazar of Colorado, Bill Nelson of Florida, and a handful of House members from Missouri.

Steffen also donated $10,000 to the Missouri Republican State Central Committee in 2005.