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April 19, 2018      5:38 PM

Updated: Alleged Securities Fraud by Texas GOP Chairman Jim Dickey emerges as issue in his bid for reelection

Challenger Cindy Crocker Asche says this “disqualifies him to represent RPT to donors and investors”; Dickey’s attorney says Asche is “grossly misrepresenting”

Editor’s note: This story has been updated to include comments from Dickey and his attorney. The legal documentation is available to subscribers at the bottom of this story – SB

The GOP woman running against Republican Party of Texas Chairman Jim Dickey on Thursday morning said the incumbent cannot be trusted with the party’s finances because of his history of alleged securities fraud in a case brought against him back in 2004 by the Securities and Exchange Commission.

Cindy Crocker Asche of Frisco is challenging Dickey for his chairmanship at the upcoming RPT convention. Dickey was installed by the State Republican Executive Committee last year after a brief race against a Brenham businessman following the resignation of former Chair Tom Mechler. 

In a speech in Lubbock, Asche told a group of Republican activists that her campaign uncovered the fact that Dickey settled with the SEC in 2006 amid allegations he repeatedly and knowingly misrepresented the value of hedge fund investments – resulting in the loss of tens of millions of dollars – and then falsely blamed the losses on the terror attacks of September 11, 2001.

“This disqualifies him to represent RPT to donors and investors,” Asche said in her speech as tweeted by Lubbock radio host Jay Leeson. In her speech, Asche said Dickey's investors including the Art Institute of Chicago were defrauded to the tune of roughly $63 million.

By Scott Braddock

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