A former Tennessee state senator has been sentenced to 21 months in prison for his role in a campaign finance cash scheme that violated federal law. Brian Kelsey, a Republican who represented parts of Shelby County from 2009 to 2020, had pleaded guilty in June to one count of conspiracy to defraud the United States and one count of making false statements to the Federal Election Commission (FEC).
According to the plea agreement, Kelsey devised a scheme in 2016 to use straw donors and intermediaries to funnel more than $200,000 of his own money into his unsuccessful campaign for the U.S. House of Representatives. The scheme was intended to conceal the source and amount of his contributions, which exceeded the legal limits and disclosure requirements. Kelsey also falsified his campaign reports and receipts to cover up his involvement.
The scheme involved several co-conspirators, including two state lawmakers, two political consultants, and a political action committee. They agreed to act as conduits for Kelsey’s money, receiving checks from him and then writing checks to his campaign or other entities that supported him. They also received kickbacks from Kelsey for their participation.
The scheme was exposed by an investigation by the FBI and the U.S. Attorney’s Office for the Western District of Tennessee, which was assisted by the FEC and the IRS. The investigation revealed that Kelsey had used his state campaign account, a personal bank account, and a dummy corporation to transfer his funds to his co-conspirators. The investigation also uncovered emails, text messages, and bank records that showed Kelsey’s orchestration and coordination of the scheme.
Kelsey was sentenced on Thursday by U.S. District Judge Mark Norris, who also ordered him to pay a $10,000 fine and forfeit $20,241.73. Kelsey had initially pleaded not guilty to the charges in March, but changed his plea to guilty in June in exchange for a reduced sentence. He then tried to withdraw his guilty plea in July, claiming that he had been coerced and misled by his lawyers. However, Judge Norris denied his request, saying that he had entered his plea voluntarily and knowingly.
Kelsey’s lawyer, John E. Herbison, said that he was disappointed by the sentence and that he planned to appeal it. He said that Kelsey had accepted responsibility for his actions and that he had cooperated with the authorities. He also said that Kelsey had a distinguished record of public service and that he had no prior criminal history.
“Mr. Kelsey is a good man who made a bad mistake,” Herbison said. “He regrets what he did and he is ready to face the consequences.”