U.S. Republican congressman pleads not guilty to misusing campaign funds

U.S. Rep. Duncan Hunter and his wife Margaret pleaded not guilty in San Diego on Thursday in Federal Court to charges they illegally used his campaign account for personal expenses.

Bail was set at $15,000 US for the congressman and at $10,000 for his wife.

Prosecutors said bond could be set low because the Hunters are living paycheque to paycheque.

The 60-count indictment includes charges of bank fraud and conspiracy to commit wire fraud. The indictment alleges they used more than $250,000 to finance family trips to Italy and Hawaii, golf outings, school tuition, theatre tickets and even fast food purchases.

"The Hunters spent substantially more than they earned," the indictment said. "They overdrew their bank account more than 1,100 times in a seven-year period resulting in approximately $37,761 in 'overdraft' and 'insufficient funds' bank fees."

A handful of demonstrators outside the courthouse held signs that read "Lock him up!" And "Crooked Duncan Hunter."

Hunter easily finished first in a June primary and established himself as a strong favourite to hold onto California's 50th Congressional District in San Diego and Riverside counties in the November midterm elections.

In a statement this week, House Speaker Paul Ryan called the charges "deeply serious" and said Hunter will be removed from his committee assignments, pending resolution of the case. House Democratic leader Nancy Pelosi said Ryan should call on Hunter to resign.

Hunter has served in Congress since 2009, the year his father Duncan Lee Hunter retired from the legislative body after 28 years.

Hunter's attorney, Gregory A. Vega, claims there was political pressure to tarnish Duncan Hunter before the general election.

Hunter and Rep. Chris Collins of New York endorsed Donald Trump in February, among the first elected officials to do so when the outsider candidate's nomination was far from certain.

Hunter evoked President Trump's conspiracy-minded allegations concerning the federal government with reporters earlier this week.

"This is the U.S government what I would call the deep state or folks in the U.S. government that don't care what the election does. They want to rig the election their own waybecause they can't beat me in a real election," he said.

Collins was indicted earlier this month on charges that include insider trading.

With files from CBC News