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.

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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.