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Politics

Nathan Fletcher again turns to campaign cash for legal defense against sexual assault allegations

Former San Diego County Supervisor Nathan Fletcher is again banking on his abandoned state Senate campaign to pay for his steep legal defense bills in a lawsuit accusing him of sexual assault.

Fisher & Phillips LLP, the firm representing Fletcher in the case, billed his campaign $200,000 for “professional services” in the first six months of this year, according to campaign finance disclosures. The bill had not been paid as of June 30.

In April, KPBS found Fletcher’s dormant campaign had paid Fisher & Phillips more than $323,000 to cover his legal bills last year.

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The lawsuit against Fletcher was filed last March by Grecia Figueroa, a former spokesperson for the San Diego Metropolitan Transit System (MTS). The suit alleges Fletcher, who was a county supervisor at the time, sexually assaulted Figueroa on multiple occasions. The lawsuit is still winding its way through legal proceedings.

Fletcher terminated his state Senate candidacy days before the lawsuit was filed and later resigned his seat on the Board of Supervisors. But he still had more than $900,000 in his campaign coffers. The campaign, while dormant, has maintained its active status with the California Secretary of State.

Fletcher may be testing the boundaries of what is a legal campaign expenditure, according to campaign finance experts, as he converts his political war chest into a kind of legal defense fund. The majority of Fletcher’s state Senate campaign expenditures have gone to his lawyers in the alleged sexual assault case.

The California Fair Political Practices Commission (FPPC), which oversees campaign finance enforcement, has received a complaint against Fletcher for his use of campaign funds for attorneys fees in the case. The state commission is now considering whether to launch an investigation, which could provide legal clarity for similar situations moving forward, according to experts.

Fletcher has repeatedly denied the sexual assault allegations made against him. He claims the relationship was consensual and has mounted a vigorous defense, including filing a countersuit against Figueroa for defamation. Figueroa has cycled through several attorneys in the case.

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Jim Sutton, Fletcher’s campaign attorney, did not respond to requests for comment. In April, he told KPBS in an email that the expenditures are legal because they are related to Fletcher’s run for office.

"Ms. Figueroa and her attorneys have referenced Mr. Fletcher’s public profile as a candidate for the State Senate (sic) throughout their legal filings,” Sutton wrote. “In short, but for his candidacy, there would be no lawsuit.”

Jack Holcomb, Figueroa’s attorney, denied this allegation in an email.

"Ms. Figueroa’s lawsuit is not politically motivated and speaks for itself,” he wrote.

According to the FPPC, a candidate can spend campaign money on matters “reasonably related to a political, legislative, or governmental purpose.” That includes attorneys’ fees in cases “directly related to activities of the (campaign) that are consistent with its primary objectives.”

But Fletcher’s situation is not so clear-cut.

"This is a somewhat legally murky area," said Jessica Levinson, a professor at Loyola Law School.

She said state campaign finance laws offer broad latitude for candidates to spend campaign contributions. But there’s a bright line they cannot cross: using money for personal expenses.

"All of it depends on whether the lawsuit is filed against Nathan Fletcher as an individual, or if it's filed against Nathan Fletcher because he's a candidate," Levinson said.

She said she believes it’s likely the FPPC will look into the complaint that’s been filed against Fletcher — in part because this specific situation is "a close call," but also to provide clarity for other candidates in the future.

The complaint was filed in May by Amy Reichert, a small business owner who unsuccessfully ran for the District 4 seat on the County Board of Supervisors in two elections. Reichert ran against Fletcher in 2022 and then ran again for the seat last year after his resignation.

Jay Wierenga, communications director for the FPPC, confirmed in an email that the commission received the complaint and it "remains under review by the Enforcement Division."

Allison Hayward, a former FPPC commissioner, said the commission may take its time before deciding whether to launch an investigation into the complaint. She said the FPPC could wait until the lawsuit is resolved to have as much information as possible.

Based on the available facts, and how broadly state campaign finance rules are written, she said Fletcher’s use of campaign funds for the lawsuit is probably allowed.

"I think it's unlikely that it violates the laws that exist right now," she said.

Yet, Hayward added that while the spending might be legal, it might not be ethical in the eyes of voters and contributors who supported Fletcher’s campaign for office.

“It seems a little bait-and-switchy to me, and I think it does to a lot of people,” she said.