Donation scheme alleged
Brothers William and Robert Tierney of Gilbert are indicted in a federal investigation accusing them of using a phony PAC to solicit money donors were told would support autism-related legislation.
All the telemarketer on the phone ever asked for was a small, one-time donation to support autism awareness.
For years, unsuspecting donors wrote checks and made online credit card donations to the Grassroots Awareness Political Action Committee thinking it would be used to advocate for children with autism as had been promised.
In reality, a complaint unsealed in New York federal court Thursday said less than 1 percent of donations made to the PAC were actually contributed to political candidates. No money was ever used to promote autism-related legislation.
Instead, millions of dollars were funneled to a web of shell companies before lining the pockets of Gilbert brothers William and Robert Tierney, authorities said in the complaint.
William Tierney, 46, and Robert Tierney, 40, were arrested in Arizona this week and charged in New York City federal court with wire fraud conspiracy, mail fraud conspiracy, conspiracy to commit money laundering, and conspiracy to engage in monetary transaction in property derived from specified unlawful activity.
Grassroots Awareness was just one of the nine bogus PACs that allegedly preyed on unsuspecting donors under the guise that their donations would be used to advocate for autism, law enforcement, opposition to abortion and Republican ideology. The operation netted $50 million over the last decade, according to the indictment.
About $3.5 million went directly to the Tierneys, while the rest covered overhead and telemarketing. Only $109,000 was actually donated to candidates, according to the indictment.
“The defendants, as alleged, capitalized on the sympathy and activism of those who sought to support awareness of various causes near and dear to their hearts,” FBI Assistant Director William F. Sweeney Jr. said in a statement. “Instead, virtually none of the money raised was used for its intended purpose, and the so-called political action committees served as nothing more than a front for an extensive personal fundraising campaign.”
Michael Morrissey, an attorney for the brothers, did not respond to a request for comment Friday.