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.