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The Carter Center<br />

Presidential Election in Egypt<br />

to them by Egyptians, are important components of<br />

electoral transparency and provide voters a much<br />

fuller picture of the candidates and campaigns. Such<br />

reports demonstrate to the public, including opposing<br />

campaigns and regulators, whether campaigns are<br />

adhering to campaign finance guideline and create<br />

a disincentive for campaigns to attempt to accept<br />

illegal donations or make illegal expenditures. As was<br />

true during the parliamentary <strong>elections</strong>, allegations<br />

of illegal campaign funding and spending during the<br />

<strong>presidential</strong> election were difficult to refute, not only<br />

because of the absence of<br />

enforcement of existing<br />

campaign finance regulations<br />

but also because<br />

of the complete absence<br />

of transparency in<br />

campaign donations and<br />

expenditures.<br />

Within 15 days of the<br />

announcement of results,<br />

all candidates are required<br />

to submit to the PEC<br />

a detailed statement of<br />

their campaign finances,<br />

including the total funds<br />

received, their source and nature, amounts spent on<br />

the electoral campaign, and how they were spent. 117<br />

These statements may be referred by the PEC to<br />

Egypt’s Central Auditing Office (CAO), which<br />

must audit and report to the PEC within 15 days.<br />

Furthermore, the PEC is required to redistribute any<br />

outstanding balance of campaign funds on a pro-rata<br />

basis to the contributors. 118<br />

PEC Decision No. 9 of <strong>2012</strong> establishes a<br />

committee to specifically monitor and evaluate the<br />

expenditures of candidates’ campaigns, while the law<br />

provides for both fines and imprisonment penalties<br />

for any person who spends funds on the campaign not<br />

drawn from the bank account, spends funds on other<br />

purposes, exceeds the expenditure limit, or receives<br />

any contributions from foreign or unauthorized<br />

Egyptian sources. 119<br />

Although the campaign finance provisions<br />

of the law are significantly more detailed<br />

and comprehensive than those employed<br />

during the parliamentary <strong>elections</strong>, there<br />

are still significant concerns about the<br />

effectiveness of these provisions.<br />

Although the campaign finance provisions of the<br />

law are significantly more detailed and comprehensive<br />

than those employed during the parliamentary <strong>elections</strong>,<br />

there are still significant concerns about the<br />

effectiveness of these provisions. Several campaigns<br />

complained that 10 million EGP was inadequate to<br />

conduct a national campaign in a nation as large<br />

as Egypt. A 2 million EGP limit during the second<br />

round, for a national campaign of more than two<br />

weeks, seemed even more inadequate. Levels this low<br />

could be an incentive for campaigns to spend additional,<br />

unreported funds<br />

or encourage other groups<br />

or individuals to spend<br />

unreported funds on<br />

behalf of the candidate.<br />

The PEC lacked the<br />

capacity to fully enforce<br />

campaign finance<br />

regulations. Allegations<br />

that several candidates<br />

received in-kind, unreported<br />

donations of goods<br />

and services and that<br />

some campaigns may have<br />

received foreign funding<br />

could not be adequately considered by the PEC<br />

during either rounds of the campaign. It was unclear<br />

how many claims of campaign finance violations<br />

were filed directly with the Office of the General<br />

Prosecutor and the status of cases, if any, involving<br />

campaign finance. 120<br />

117 Article 6, PEC Decision No. 7<br />

118 Article 26, Law Regulating the Presidential Election<br />

119 Articles 48 and 55, Law Regulating the Presidential Election<br />

120 In accordance with the law, the PEC informed The Carter Center<br />

that all campaigns would be audited by the Central Auditing Agency<br />

following the conclusion of the second round of the campaign. As<br />

of October <strong>2012</strong>, there have been no public reports of any activities<br />

conducted by this agency in reviewing campaign accounts or of any<br />

actions taken by the agency against any campaign.<br />

41

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