Texas Third Court Upholds Money Laundering Indictments Against DeLay Associates

In a decision published late Friday, Texas’ Third Court of Appeals upheld the 2005 money laundering indictments against James Ellis and John Colyandro (Third Court Decision, Houston Chronicle). The two operatives of former US House Majority Leader Tom DeLay were indicted on state charges of laundering $190,000 in corporate contributions through the Republican National State Elections Committee that wound up in seven targeted Texas House races in 2002. They appealed on two grounds: first, that the election code provisions under which they were indicted are unconstitutionally vague and overbroad — in particular, the statutory definition of “campaign contribution”; second, that the money laundering statute in effect at the time of the alleged offense is unconstitutionally vague, more specifically because the statute in effect in 2002 did not include checks in the definition of funds. The three judge panel flatly rejected both arguments and affirmed the district court’s decision. The Chronicle notes that all three judges are Republicans.

DeLay was not a party to this appeal, but his indictments on money laundering and conspiracy charges still stand and arise from the same occurrences.