Published: Sun, Feb. 03, 2008 12:30AM

Modified Tue, Feb. 12, 2008 09:19AM

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Last month, Easley said trying to ban fundraisers from the process would just push the money underground.

"When you get into the fundraising business, if people want to participate, they'll find a way, just like the squirrel into the bird feeder," Easley said. "I want to know how much somebody's given who's been appointed and I think people want to know as well."

Finding wiggle room

But when Easley was elected governor in 2000, two years after the reform bill passed, he quickly found wiggle room in the transportation reform law. Easley's counsel, Hampton Dellinger, asked Grayson G. Kelley, a senior deputy attorney general, for an interpretation of what made someone a fundraiser under the new law. (Dellinger is now a Democratic candidate for lieutenant governor.)

Kelley focused on the phrase "personally acquired" in the law. He said that meant the only disclosure required was of "funds the appointee personally accepted from a donor and physically transferred to the campaign, executive committee or political committee."

To make sure he had understood the intent of Perdue and other sponsors, Kelley said, he talked to the legislative staff who drafted the law. He said they support his view "that a narrow construction of the disclosure provision was intended."

Perdue declined to be interviewed for this report. Her spokesman, David Kochman, released a statement saying the legislation was a "starting point" for reform and stronger than the version passed by the House. Easley also declined to be interviewed.

With the opinion in hand, Easley's staff advised his appointees to the board in a memo that they did not have to disclose fundraising if it did not involve collecting the checks.

Shortly afterward, appointees Louis W. Sewell Jr. of Jacksonville and D.M. "Mac" Campbell of Elizabethtown wrote "none" on their fundraising disclosure forms. Interviews with other Easley fundraisers, and an internal Easley campaign document obtained by The News & Observer, show that Sewell helped meet a $125,000 fundraising goal in Onslow County, while the campaign counted on Campbell to help raise $50,000 in Bladen County. (An Easley spokesman, Seth Effron, said neither Easley nor Dave Horne, the campaign treasurer in 2000, could confirm the document's authenticity. Effron said Easley declined to comment on the information within it.)

Another Onslow County fundraiser for Easley, Joe Henderson, said that he, Sewell and another man solicited contributors by phone and held a reception for Easley at an inn that has since been torn down.

Sewell, who also served on the board under former Gov. Jim Hunt, did not return messages left at his home or at work. He is a retired executive with the Golden Corral steakhouse chain. In 2005, Easley awarded him one of the state's highest honors, the Order of the Long Leaf Pine.

Campbell confirmed that he raised money for Easley in 2000 and 2004 by holding fundraisers at his lakefront cottage, but he did not have to disclose his efforts because he did not collect the checks. He cited the Easley memo.

Another appointee, Lanny T. Wilson of Wilmington, said in his 2000 disclosure form that he would follow up with information about his fundraising, but no such documentation is on file with the legislature or the Governor's Office. Wilson said he doesn't remember whether he provided it and said he didn't have to anyway because he did not "personally acquire" contributions.

In the disclosure he filed for his reappointment in 2005, Wilson listed totals he raised for 17 candidates, including Easley. He also wrote that he held a fundraiser for Easley. But other than family members, Wilson does not list the names of any contributors. The form asks for the names of contributors; the law says that appointees are required to disclose contributions.