Judges Says Arnold Broke Campaign Law

A judge ruled yesterday that Governor Arnold Schwarzenegger broke the law when he took out $4.5 million dollars in bank loans during the final weeks of his campaign.

If upheld, the governor could be forced to pay back the loan out of personal funds.

A clause in Proposition 34 restricts candidates from loaning more than $100,000 to their own campaigns.

But the state's Fair Political Practices Commission argues that that restriction does not include bank loans. Schwarzenegger's campaign treasurer, Colleen McAndrews, said in a statement that the campaign intends to comply with the judge's order.

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