Former Republican gubernatorial candidate Marc Holtzman has appealed a ruling that he broke campaign finance law by using an anti-Referendum C group to boost his bid for governor.

Holtzman said he's appealing because "my reputation's important to me and I'm willing to do what it takes."

"I'm convinced that I did nothing wrong and this was a frivolous, politically motivated lawsuit, and I'm not content to walk away from it," he said.

But the appeal also reopens consideration of the penalties Holtzman could face, meaning the $4,404 fine imposed by the administrative law judge in May could grow as high as $3.5 million.

The case centers on Holtzman's involvement with last year's anti-Referendum C group "If C Wins, You Lose." Voters in November approved the ballot measure, which allowed the state to keep more tax money.

The administrative law judge, Robert Spencer, found that Holtzman used the group to circumvent campaign finance laws that limit contributions to gubernatorial candidates to $1,000.

But Holtzman's attorney, Gabriel Schwartz said the law unconstitutionally muzzles candidates' right to speak out on issues.