WASHINGTON -- The Federal Election Commission on Tuesday dismissed allegations that former GOP Senate candidate Mike McGavick violated federal election law by accepting a $28 million "golden parachute" from insurer Safeco Corp.

Democrats had complained that the payment to McGavick, the former Safeco CEO who lost in November to Sen. Maria Cantwell, D-Wash., violated laws against in-kind contributions.

The state Democratic Party filed a formal complaint last year with the Federal Election Commission, asking for an investigation into the compensation that McGavick got when he resigned from the Seattle-based insurer to run for the Senate.

At the time the compensation was thought to be about $17 million; it was later revealed to be about $28 million, mostly in stock and options. McGavick served as chief executive from 2001 to early 2006.

In its decision, the FEC said it "found no reason to believe that Friends for Mike McGavick and Michael McGavick violated" federal election law by accepting prohibited in-kind contributions from the Safeco Corp. or converting the contributions to personal use.

"The commission concluded that these payments were ordinary employment-related compensation made irrespective of Mr. McGavick's candidacy," the FEC said in its release. McGavick could not be reached Tuesday.