James Watkins for State Auditor. It is a moral decision.

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Friends –
This morning, I earned the last of the major newspaper endorsements (7 for 8!), my campaign is executing our voter contact plans, we’re getting tons of hits every day at www.FactCheckTroyKelley.com – things appear to be going well. But I need your help this weekend to reach EVERY voter in Washington.
Earlier this week, I received a forwarded copy of an email from attorney Scott A. Smith. Scott was the lawyer who led the main lawsuit against Troy Kelley – he knows Kelley’s character & legal issues intimately.
Scott sent the attached email to 1000 of his friends and business associates and has gotten a positive response.  It’s the best summary of the Kelley issues I’ve seen. (you can also see the original Court documents here)
The Longview Daily News said “The State Auditor, as Julius Caesar once said of his wife, must be above suspicion.”  They got it right.  Integrity and character matter for a state auditor.  Can you imagine somebody with Troy Kelley’s background in that position?
My ask of you is to help get the word out today. People are voting right now!  Please share this with your friends on your email lists, Facebook, twitter, blogs and so forth.  Ask them to forward it.  It can make a huge difference.  If you can’t send it out yourself, you can help with a small donation – we only need $4000 to reach our final goals.
Thanks for your help,
Dear Friend,
In the past, I’ve sent emails about the upcoming judicial races.  This time I write about a very different race, the one for State Auditor.  I’m quite familiar with one of the candidates, Troy Kelley, because my client sued him for misappropriating money from homeowners.   During the course of the lawsuit, I conducted a thorough investigation and spent a day questioning Kelley under oath.
The Seattle Times quoted the federal judge’s description of the allegations against Kelley:  “’fraudulently transferring funds, intentional spoliation of evidence, shady business schemes, tax evasion, and hiding from creditors’ $3.8 million in newly formed accounts.”  State Auditor Candidate Settled Misconduct Case
When Kelley realized he was about to be exposed, he engaged in a cover-up.  He shut down his company, terminated his employees, and tried to hide the $3.8 million he had taken from mortgage customers.  NPR detailed Kelley’s attempts to hide the money and his claim that he did it for estate planning purposes based on the advice of a California attorney who specializes in hiding assets. Wash. State Auditor Candidate Wired Millions, Linked Account to Belize
Kelley also insisted he lost all his business records in a fire.  When that excuse was disproved, Kelley then said his computer had stopped working, that he cleaned it before giving it to a charity, and that he did not save any emails or other business records before abruptly shutting down his company’s website.  The judge repeatedly rejected Kelley’s request to seal parts of the court file.
When the lawsuit became an issue during the course of Kelley’s current campaign for State Auditor, he tried to minimize it by claiming that the lawsuit was frivolous.   Although he admitted he’d paid Old Republic to settle, he refused to say how much.  A front page story in the Tacoma News Tribune described Kelley’s refusal to reveal the truth about the amount he paid:  Kelley Won’t Disclose Details of Settlement Despite Litigant’s Offer
Kelley testified under oath that he had never paid taxes on the $3.8 million even though he insisted he had earned it fair and square.  Kelley was also caught paying personal expenses from his business account, including family vacations, child care expenses, his housekeeper, his wife’s professional expenses, and a $49,500 Lexus.  Kelley’s wife was on his payroll and Board of Directors although he later admitted she did no work for the company.
There’s much more to the story but this should suffice to explain why I believe Kelley is not fit to be elected as our state’s auditor.  This race has not gotten a lot of press coverage, so I hope you will please consider forwarding this information to your friends, family, colleagues, and other voters.
Scott A. Smith