Corruption Digest - December 14, 2005

As my new book Hostile Takeover prepares to be released in the Spring, here is your December 14, 2005 briefing on how America's political system is being sold to the highest bidders.

CONGRESSIONAL CORRUPTION: Lee Newspapers reports that Sen. Conrad Burns' (R-MT) former top aide is now cooperating with prosecutors in the ongoing investigation into indicted lobbyist Jack Abramoff. According to a new poll, Burns, who is up for reelection in 2006, is currently the most unpopular Republican Senator in America, largely because details keep coming out about his involvement in the scandal. Incredibly, though Burns recently told reporters that Abramoff is a "bad guy" who he wished had "never been born," Burns is refusing to give back the $150,000 in campaign contributions he pocketed from Abramoff...The Associated Press reports that Texas prosecutors have issued subpoenas for bank records and other information of a defense contractor involved in the Duke Cunningham bribery case as part of the investigation of former House Majority Leader Tom DeLay (R-TX). This move potentially ties the two scandals together, though the Hill Newspaper notes that the House Ethics Committee is now preparing to stonewall calls for it to investigate the matter itself...The Hill also reports that aides to Sen. Bill Frist (R-TN) are now taking to screaming at reporters when they ask any questions about the ongoing SEC investigation into Frist's stock sales from his supposedly "blind" trust. Josh Marshall has more.

WHITE HOUSE CORRUPTION: Businessweek reports that former Bush Commerce Secretary Don Evans "has been offered the post of board chairman at a state-run oil company by Russian President Vladimir Putin." Evans would bring his intimate connections to the Bush administration, as well as his knowledge of America's energy/national security topography to work for one of the United States' critical energy competitors.

STATE CORRUPTION: In Alabama, a grand jury hands down more fraud/corruption charges for former Gov. Don Siegelman and HealthSouth CEO Richard Scrushy...In New York, Newsday and the Times Union chastise the Pataki administration for trying to get out of enforcing new lobbying disclosure laws...In Florida, the Palm-Beach Post reports, "The day after passing a rigorous lobbying reform bill barring lawmakers from accepting gifts of any kind from lobbyists, House Speaker Allan Bense sent an e-mail to his 120 members inviting them to a quail hunt underwritten by lobbyists."....In Pennsylvania, good government advocates and some Republican lawmakers press the state to end its distinction as the only state without lobbying rules. However, the Pittsburgh Post-Gazette reports that House Speaker John Perzel (R) "has consistently said he sees no need to require lobbyists to detail their clients or how much they spend on dinners, drinks, gifts or trips for legislators." Perzel is facing rising criticism from local newspapers over his refusal to support a lobbyist crackdown. One headlined an editorial "John Perzel: Lobbyists' friend, obstacle to reform."...In Utah, legislators are preparing a bill to "bar cities and counties from hiring lobbyists to go after federal funds." This comes after stories in Montana showing Rep. Denny Rehberg (R) steered municipal/county lobbying contracts to Abramoff lobbyists, after Rehberg pocketed donations from those lobbyists...

THE CORRUPTION INDUSTRY: The Hill newspaper reports that GOP Congressman-turned-lobbyist Jim Greenwood is working to weaken the Sarbanes-Oxley corporate reform bill on behalf of the drug/biotechnology industry. He likely expects to meet with success: Reuters reports today that the SEC is already moving to gut the law..As Democrats berate the "culture of corruption," the Hill points out they are often just as guilty of using and abusing Washington's revolving door. Specifically, the newspaper reports that Nicole Venable, former Clinton trade official and top aide to Rep. William Jefferson (D-LA), "is joining the U.S. Chamber of Commerce as director of congressional and public affairs for international trade." She is also a former assistant vice president of the Pharmaceutical Research and Manufacturers of America.

THE "YOU HAVE TO READ IT TO BELIEVE IT" FILE: Under the headline "House GOP to 'Date' Lobbyists - For a Price," the Salt Lake Tribune reports that "Republicans in the Utah House of Representatives will let lobbyists 'date' them for a few precious minutes - as long as they donate to their political action committee." Organizers, who call the event "speed dating," say "the idea is simply a fun, new way to raise campaign cash." The newspaper goes on to lampoon the idea in an editorial cartoon.

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