(CA redistricting) Group returns tainted money ($1.75M from The Groper)

[UpInArms]

http://www.mercurynews.com/mld/mercurynews/news/politics/12841222.htm

SACRAMENTO - A campaign fund controlled by Steve Poizner, the wealthy Silicon Valley Republican running for state insurance commissioner, has returned $1.75 million in donations made by Gov. Arnold Schwarzenegger and his campaign committee -- contributions Democrats say were illegal.

But Poizner's committee, set up to push the redistricting ballot measure endorsed by the governor, will not pay back an additional $1.1 million Democrats say should also be off-limits.

The controversy over the donations comes as the fall campaign heats up for a Nov. 8 special election called by Schwarzenegger. The redistricting measure is one of eight initiatives on the ballot.

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