Holden Seeks Limits on Rival’s Funds : Politics: Council veteran points to allegations that Sanders is suspected of misusing grants in mayor’s race.

Los Angeles Councilman Nate Holden demanded Friday that his political rival, attorney Stan Sanders, be barred at present from receiving any more so-called matching funds to subsidize his council campaign.

In a letter to the city Ethics Commission, Holden said it is “ridiculous” for the commission to disburse matching funds to Sanders when the state Fair Political Practices Commission is investigating allegations that Sanders misused similar funds in his 1993 mayor’s race.

Until Sanders is cleared of wrongdoing, he should get no more money, Holden said.

Ben Bycel, head of the Ethics Commission, declined to comment.

Sources have previously confirmed that the FPPC is looking into whether Sanders misused campaign funds in his mayoral campaign to pay business debts.

In 1993, Sanders wrote a check for $53,490.01 to settle a protracted rent dispute with Mid-Wilshire Associates, the firm that rented Sanders his law office.

The check was drawn against Sanders’ mayoral campaign account. Sanders has said he turned his law office into his campaign headquarters in 1993, and thus it was appropriate to pay the rent with political funds.

During his current council campaign against Holden, Sanders has so far received $23,767 from the Ethics Commission-administered matching funds program.