John Edwards Faces Potential Indictment After Campaign Contributor Files Tax Return

For two years, a grand jury in North Carolina has reviewed charges of campaign finance law violations against John Edwards. The charges claim that Edwards used campaign money to support his mistress and love child during the Democratic presidential nomination in 2008.

According to a tell-all book by Edwards’ former aide, Andrew Young, Edwards had Young falsely claim to be the father of Edwards’ and his mistress’ baby. Edwards then secluded his mistress and the Young family from the media by allegedly using campaign funds to pay for luxury homes and hotels.

One hundred year old Rachel “Bunny” Melon provided Edwards with $700,000 as a personal gift. Melon claims she had no idea the money went to the support of Edwards’ mistress or the Young family. Melon filed a gift tax return for the donation, claiming that the money was a personal gift, not a contribution to Edwards’ political campaign. Prosecutors likely believe, however, that Melon’s money was actually a campaign contribution since Edwards used it to maintain his political appearance.

See Robin Abcarian, Edwards Could Face Indictment; At Issue is the Onetime Presidential Candidate’s Campaign Finances in Connection With a Sexual Affair,Lost Angeles Times, May 26, 2011.