Public Source2a

!
'The End of Legal Bribery" by Jeffrey Birnbaum Page 5 of 7
Yet despite all the obstacles, federal prosecutors have gathered enough
incriminating evidence of campaign donation bribery in the Abramoff affair to
convince those involved (and their high-priced lawyers) to own up to their crimes
rather than take their chances in court. The pleas stemming from the Abramoff
scandal all involve campaign donations. According to Abramoffs plea agreement,
he, ex-DeLay aide Michael Scanlon, and others "engaged in a course of conduct
through which one or both of them offered and provided a stream of things of value
to public officials in exchange for a series of official acts . . . . These things of value
included, but are not limited to, foreign and domestic travel, golf fees, frequent
meals, entertainment, election support for candidates for government office,
employment for relatives of officials, and campaign contributions." The plea deal
for Tony Rudy, also a former DeLay aide, lists "election support" among the things
of value he gave with Abramoff and others.
The Abramoff and Scanlon pleas get very specific. The contributions that they
swapped for favors included $4,000 to the campaign committee of "Representative
# 1 " and $ 1 0,000 in contributions to the National Republican Congressional
Committee "at Representative # 1 's request. " Representative # 1 has been widely
identified as Rep. Bob Ney (R-Ohio), who is under investigation as part of the
Abramoff scam. Ney denies any wrongdoing. Officials close to the investigations
say that possible campaign-donation bribery is also being looked at as part of the
ongoing probes of as many as six other lawmakers.
The Abramoff incident has thrown official Washington into a whirl of self
examination and relative self-denial. All sorts of accepted rules and behaviors are
being reconsidered. Many lawmakers and congressional staffers are voluntarily
staying away from the fancy dinners and lunches that lobbyists love to host, at least
for the time being. And one of Capitol Hill's sweetest and most widely available
perks--travel to golf resorts underwritten by private pleaders--has become a rarely
sampled treat.
But the most interesting signs of potentially big changes to come can be seen in the
advice that beltway lawyers are giving to their clients. Ken Gross, head of the
political law practice at Skadden, Arps, Slate, Meagher & Flom, has been swamped
this year with requests for information and analysis from big corporations and trade
associations eager to know how to stay out of trouble in post-Abramoff
Washington. Gross is warning his big business clients to be extra careful about how
they handle their millions of dollars in contributions to candidates for federal office.
Tying those gifts even subtly to a request to take a specific action, he warns, could
put both the giver and the receiver into legal jeopardy. Under this theory, for
example, real-estate brokers would be prohibited from saying even tangentially that
their donations are intended to protect the home-mortgage-interest deduction even
though, of course, they are.
As a result, Gross and his team at Skadden are looking more minutely than ever at a
wider variety of money-solicitation communications sent out by the political action
committees they represent, and weeding out explicit language. Whenever the
lawyers see wording that even suggests what the P ACs want in return for their
donations, they recommend that the offending text be removed. "I don't say that any
of these things are legally actionable," Gross says. Yet he edits them out anyway.
FOIA_000105
, "The End of Legal Bribery" by Jeffrey Birnbaum Page 6 0f 7
"I've had to get a new supply of red ink," he says.
These retrenchments are minuscule compared to the burgeoning reassessment of

campaign giving, which is the biggest potential alteration that Abramoff could bring
to town. If 2006 brings a slew of indictments against members of Congress and
their aides, and those charges produce an uprising at the ballot box in November,
almost anything can happen. Lawmakers could decide not to hold as many lobbyist
sponsored fundraising events, especially in Washington, for fear of bad publicity
(and possible indictment against themselves) and raise much more of their money
from small-dollar Internet-based sources and from their own constituents back
home. So much of what denizens of the capital do revolves around raising money
that if the Abramoff affair even slows campaign donations a little, Washington
could be transformed a lot.
The Abramoff plea agreements are also sparking a reassessment among at least
some public-interest groups about the best way to fight the "corrupting influence"
of money in politics. For decades, such groups have poured their energies into
trying to make the existing system of campaign-finance regulations and laws work
better, to little avail. Now, groups like Melanie Sloan's CREW are turning
increasingly to the Justice Department rather than to Congress to find redress
against abuses in the campaign-finance system. Instead of spending all its time
filing complaints with congressional ethics committees (which rarely act) or
pressing for new lobbying laws, CREW has also been writing letters to the Justice
Department seeking investigations, for example, of Republican Reps. Pete Sessions
(Texas) and Jerry Lewis (Calif.) for acting too closely in concert with their donors.
It thinks it has a strong chance for success there given the Abramoff cases.
"Although the Justice Department has always been entitled to look at campaign
contributions as bribes, it hasn't done so traditionally," Sloan said. "But now the
department is making a change."
Groups for or against abortion don't just work to elect lawmakers who support their
positions. They also bring lawsuits that challenge the constitutionality of, say, South
Dakota's ban on abortion or California's stem-cell agency. With these suits, they
hope not only to win specific battles but also to get judgments that set new legal
precedents. Similarly, if groups devoted to reining in Washington's money culture
really wanted to make headway, perhaps they would be wise to focus not only on
pushing elected officials to change the system but also on ginning up investigations
that might put lawmakers and their donors in j ail and perhaps would force the
courts to clarify their cloudy definitions of bribery. Money will always have a say
in politics. But nowadays, its voice is deafening. Maybe the work of diligent
prosecutors will soon allow average voters to be heard more often as well.
Jeffrey Birnbaum is a columnist and national correspondent for The Washington

Post and a political analyst for FOX News Channel.
FOIA_000106
June 2006
The End of Legal Bribery

How the Abramoff case could change Washington .
. So far, the scandal surrounding disgraced lobbyist Jack Abramoff has produced
some vivid and memorable examples of modem Washington graft--skybox tickets,
pricey restaurant meals, golfjunkets to Scotland. Yet at the center of the scandal is
something more prosaic, and potentially far more explosive: good old-fashioned
campaign donations. Deep in the plea agreements won by Justice Department
lawyers are admissions by the defendants--Abramoff and his cronies, ex-DeLay
aides Tony C. Rudy and Michael Scanlon--that they conspired to use campaign
contributions to bribe lawmakers. Even though these gifts were fully disclosed and
within prescribed limits, the government said they were criminal, and the
defendants agreed. This aspect of the case has received little attention. But it is
sending shudders down K Street. If such prosecutions were to become
commonplace, the paid persuaders of Washington and their big-money clients
would be dealt a body blow. If prosecutors begin to assert as a matter of routine that
lobbyist gifts and campaign contributions are a form of bribery, it could open up a
whole new front on the decades-old (and largely ineffective) effort to break the
nexus of money and politics in the capital.
"More than in the past, the Department of Justice seems to be trying very hard to tie
campaign contributions to legislative acts by members of Congress and to draw the
inference that there's a criminal connection between the two," says Robert K.
Kelner, chairman of the election law and political law practice at Covington &
Burling. "If they succeed then I think it will change the standard advice that lawyers
will give their clients about political contributions and also change common
practices on Capitol Hill." Stanley Brand, a noted criminal defense attorney at the
Brand Law Group in Washington, agrees. "The department is inching toward
making campaign contributions the central thing of value when they charge a
bribe," says Brand. "I don't know if they'll get all the way there. But it would be an
eight on the Richter scale for the campaign finance system if they do. Every PAC
and interest group would have to ask itself if its donation is going to be grist for a
prosecution. "
The earthquake would certainly

upset Washington, but it would
probably delight almost
everyone else. For decades,
opinion polls have shown that
voters think their politicians are
bought and sold by the rich and
connected. But these same FOIA_000107
V()tPT<: h �vp � 1 <:() <:ppn �n"
number of campaign finance "reforms" put in place, only to watch the system
become evermore driven by dollars.
Unlike overhaul efforts in the past, though, which have relied on politicians
cleaning up the very system that keeps them in power, the Justice Department's
Abramoff case opens up the possibility of genuine change. Imagine, for instance, if
the oil companies and their executives could no longer link their campaign
contributions to their interests in energy legislation. Or if trial lawyers couldn't do
the same with tort reform legislation. Robbed of much of their ability to bend the
power structure with donations and other gifts, these industries would have less
reason to give at all. They'd be forced instead to rely on the persuasiveness of their
arguments rather than the power of their pocketbooks.
Legalized bribery
Campaign finance laws are built on a legal fiction. To wit: Electoral donations are
considered within the law even though they are actually bribes at root. Think of
them as "legalized bribery. " Through bundled contributions and PAC giving,
industries, labor unions, and interest groups of all stripes try to persuade lawmakers
to vote their way on the issues they care most about. Donors do not express their
desire j ust that way. They use euphemisms like "buying access" to wink and nod
their way toward the same thought. But the truth is the truth. Interests give money
to buy votes. Unfortunately for those interests, lawmakers receive funds from so
many sources, and also sometimes make their legislative decisions based on factors
that have nothing to do with money, that the contributions do not always produce
the result they desire. Still, the basic fact remains. The dollars would not be offered
unless the donors hoped they would lead to a very specific result.
At the same time, congressional campaigns must be privately funded. Candidates

for elective office have no choice but to raise the money they need to pay for
advertising, consultants and the like. And that, in tum, has forced the legal system
to attempt the impossible: to clear the way for financial gifts while also trying to
limit the influence those gifts inevitably bestow on the recipients. The result has
been an elaborate set of monetary limits and disclosure requirements that
superficially transform outcome-directed gratuities into federally sanctioned
benefits.
The compromise has never worked very well. Numerous campaign finance
overhauls enacted since Watergate, up to and including the 2002 McCain-Feingold
bill, have driven out many of the grossest abuses--for instance, lawmakers blithely
accepting envelopes of money in exchange for favors. And disclosure requirements
have at least given citizens the ability to see who's trying to purchase influence from
whom. But by providing the imprimatur of respectability to campaign contributions,
the so-called reforms also helped increase the flow of that money, and bred in
donors and lawmakers alike a sense of invulnerability.
The laws certainly didn't stop former Rep. Tony Coelho, head ofthe Democratic
Congressional Campaign Committee in the 1 980s, from openly demanding that
GOP-leaning lobbyists share their largesse with the reigning Democrats as the price
of having their concerns considered. Nor did they hinder Abramoff, DeLay, and
others from melding K Street and the GOP into a modem-day political machine. By
placing loyalists in key K Street jobs, and cutting out Democrats when they could,
GOP leaders gave themselves the ability to divert rivers of donations (from, say,
Indian tribes or drug companies) to whichever close House race or subterranean
independent expenditure they wished. And they've attempted to punish lobbying
organizations that wouldn't cooperate. DeLay was even warned about the practice FOIA_000108
h" thp T-TAl l C P pth1f'C f'{"\n-I ....... 1tt"""" 1.-. 1 000 ,, +'i-�� h� n � A �+h� __ +� _ -l <- - _ _ _ _ _ ___ L - --
electronics association from hiring a Democrat as its president. "That was
incredibly objectionable and, I thought, illegal; legislation was so clearly tied to
finances. And DeLay made no bones about it. He even kept a list of Republican
contributors in his desk," said Melanie Sloan, executive director of Citizens for
Responsibility and Ethics in Washington (CREW). "Now, it seems the Justice
Department is coming around to thinking that it is illegal, and that is an excellent
thing."
When is a bribe not a bribe?
Whether they knew it or not, donors have always been under threat of bribery
charges if they overtly tried to buy a lawmaker's vote with their campaign
contributions--and the lawmaker acquiesced in the deal. But both donors and
politicians have been largely shielded from the consequences of their actions in part
because bribery cases involving campaign contributions are hard to prove in court.
Still, such cases are winnable if prosecutors are willing to put in the time. Former
South Carolina state representative Paul Derrick was convicted in 1 999 on extortion
and conspiracy charges related to taking a fully disclosed, $ 1 ,000 campaign
contribution in exchange for his vote on a gambling bill. Authorities conducted a
sting operation (called, appropriately, "Operation Lost Trust") that directly
connected the technically legal donation to the vote.
"If somebody follows the legislature's rules to the letter but it's then proven that
they took something including a campaign donation in exchange for some official
act, they nonetheless would be violating criminal law," says Jan Baran, an expert on
campaign- finance law with Wiley Rein & Fielding. Kathleen Clark, a professor at
Washington University Law School in St. Louis agrees: " The court has put
obstacles in the way of prosecutions of special interest campaign contributions, but
has never made them impossible."
All contributions, of course, are not bribes. A politician who runs on an anti
abortion platform, takes contributions from anti-abortion supporters, and
subsequently votes in line with those views, would never be subject to the bribery
statute. "There's a large segment of fundraising activity that is perfectly legal and
appropriate," notes Baran. "Candidates will always get money in legal amounts
from people who support them. That's not evidence that the public official has done
anything in exchange for that money."
The shorthand way of expressing when a legal contribution can be a bribe is this:
When a person gives anything of value, including a nominally legal campaign
contribution, to a public official in exchange for what's known in the trade as an
"official act," that is a bribe. Sun-Diamond Growers of California was convicted
during the Clinton administration of giving illegal gratuities to Agriculture
Secretary Mike Espy, including tennis tickets, luggage and other gifts worth about
$5,900. But the Supreme Court let the agricultural cooperative off the hook in 1 999
when it wrote, "For bribery there must be a quid pro quo--a specific intent to give or
receive something of value in exchange for an official act." Espy had gotten plenty
from Sun-Diamond, but had done nothing in return for the gifts. Therefore, no
crime was committed.
Sounds simple, right? Well, it isn't. UCLA law professor Daniel H . Lowenstein
wrote an entire chapter in a 2004 scholarly book, Private and Public Corruption,
that he entitled "When Is a Campaign Contribution a Bribe?" His answer to the
question he posed was, essentially, "Well, it's hard to know. " The law on the
subject, he wrote, is "unstable," "cloudy," and "hopelessly confused . " What about
FOIA_000109
the instance, he asked, in which a lawmaker promises to support a major donor
"whenever I can"? Is that illegal? Or how about when a lawmaker changes his
position on an issue right after a big contribution is given by a company that wants
him to vote that way? Can that possibly be okay?
Experience tells us that lawmakers and lobbyists almost never say directly what
they mean when it comes to what an average person would consider to be graft.
Neither side of such a transaction is generally dumb enough to speak the following
sentence for example: "Okay, here's the deal, for $ 1 00,000, the vote will go the way
we agree. " (The now-incarcerated former representative Randy "Duke"
Cunningham actually did write out a bribe list--$50,000 for every $ 1 million in
appropriated funds he would obtain--on congressional stationery no less. But he is
the exception.) If a lawmaker accepts money to vote in favor of a briber's interest,
that is almost certainly a crime. But beyond that, the issue is not clear-cut. "It's very
difficult to make campaign contributions into a bribe, especially in the absence of
undisputable video or audio recordings," says Baran.
In addition to the difficulty of gathering sufficient incriminating evidence of an

explicit quid pro quo, prosecutors must also contend with recent court rulings that
have narrowed the definition of what constitutes an "official act. " In a 2 to 1
decision by a federal appeals court panel in February, the illegal gratuities
conviction of a former D.C. Metropolitan Police Department detective named
Nelson Valdes was overturned because his actions were not a "formal" part of his
job and, therefore, were not deemed to be an "official act." Valdes ran license plate
numbers through law enforcement databases and provided the vehicle-ownership
information that he collected to a person who paid him cash. But the court ruled that
since the collecting of such data represented a "casual and informal use of
government resources" and was not part of his normal duties, his 2002 conviction
had to be reversed. The ruling makes it that much harder to win bribery cases
involving campaign contributions. "Now, virtually every time the government tries
to bring an official-acts prosecution," says Boston College law professor George
Brown, "the defense will cite the Valdes case. "
A new supply o f red ink
employment for relatives of officials, and campaign contributions . " The plea deal
Committee "at Representative # l 's request. " Representative # 1 has been widely
say that possible campaign-donation bribery is also being looked at as part of the FOIA_000110
on{[oin{[ nrohes of as manv as siy nthp.r lllwmllkp.rc;:
sampled treat.

home. So much of what denizens of the capital do revolves around raising money
(Texas) and Jerry Lewis (Calif) for acting too closely in concert with their donors.
department is making a change." FOIA_000111
hope not only to win specific battles but also to get judgments that set new legal

Mission Masthead Features Archive Writers Guidelines

Feedback Customer Service Subscribe Online Make A Donation
This site and all contents within are Copyright © 2006

The Washington Monthly 1 3 1 9 F Street N.W. #7 1 0
Washington DC. 20004.
Comments or questions . . . please email editors by clicking here
FOIA_000112
�'The End of Legal Bribery" by Jeffrey Birnbaum Page 1 of 7
June 2006
The End of Legal Bribery

How the Abramoff case could change Washington.
By Jeffrey Birnbaum
-----------------
. So far, the scandal surrounding disgraced lobbyist Jack Abramoff has produced
some vivid and memorable examples of modern Washington graft--skybox tickets,
pricey restaurant meals, golfj unkets to Scotland. Yet at the center of the scandal is
something more prosaic, and potentially far more explosive: good old-fashioned
campaign donations. Deep in the plea agreements won by Justice Department
lawyers are admissions by the defendants--Abramoff and his cronies, ex-DeLay
aides Tony C. Rudy and Michael Scanlon--that they conspired to use campaign
contributions to bribe lawmakers. Even though these gifts were fully disclosed and
within prescribed limits, the government said they were criminal, and the
defendants agreed. This aspect of the case has received little attention. But it is
sending shudders down K Street. If such prosecutions were to become
commonplace, the paid persuaders of Washington and their big-money clients
would be dealt a body blow. If prosecutors begin to assert as a matter of routine that
lobbyist gifts and campaign contributions are a form of bribery, it could open up a
whole new front on the decades-old (and largely ineffective) effort to break the
nexus of money and politics in the capital.
"More than in the past, the Department of Justice seems to be trying very hard to tie
campaign contributions to legislative acts by members of Congress and to draw the
inference that there's a criminal connection between the two," says Robert K.
Kelner, chairman of the election law and political law practice at Covington &
Burling. "If they succeed then I think it will change the standard advice that lawyers
will give their clients about political contributions and also change common
practices on Capitol Hill. " Stanley Brand, a noted criminal defense attorney at the
Brand Law Group in Washington, agrees. "The department is inching toward
making campaign contributions the central thing of value when they charge a
bribe," says Brand. "I don't know if they'll get all the way there. But it would be an
eight on the Richter scale for the campaign finance system if they do. Every PAC
and interest group would have to ask itself if its donation is going to be grist for a
prosecution. "
The earthquake would certainly

upset Washington, but it would Suliscritie ODline NoWl & ..
FOIA_000113
"The End of Legal Bribery" by Jeffrey Birnbaum Page 2 of 7
probably delight almost everyone else. For decades, opinion polls have shown that
voters think their politicians are bought and sold by the rich and connected. But
these same voters have also seen any number of campaign finance "reforms" put in
place, only to watch the system become evermore driven by dollars.
Unlike overhaul efforts in the past, though, which have relied on politicians
cleaning up the very system that keeps them in power, the Justice Department's
Abramoff case opens up the possibility of genuine change. Imagine, for instance, if
the oil companies and their executives could no longer link their campaign
contributions to their interests in energy legislation. Or if trial lawyers couldn't do
the same with tort reform legislation. Robbed of much of their ability to bend the
power structure with donations and other gifts, these industries would have less
reason to give at all. They'd be forced instead to rely on the persuasiveness of their
arguments rather than the power of their pocketbooks.
Legalized bribery
Campaign finance laws are built on a legal fiction. To wit: Electoral donations are
considered within the law even though they are actually bribes at root. Think of
them as "legalized bribery. " Through bundled contributions and PAC giving,
industries, labor unions, and interest groups of all stripes try to persuade lawmakers
to vote their way on the issues they care most about. Donors do not express their
desire just that way. They use euphemisms like "buying access" to wink and nod
their way toward the same thought. But the truth is the truth. Interests give money
to buy votes. Unfortunately for those interests, lawmakers receive funds from so
many sources, and also sometimes make their legislative decisions based on factors
that have nothing to do with money, that the contributions do not always produce
the result they desire. Still, the basic fact remains. The dollars would not be offered
unless the donors hoped they would lead to a very specific result.
At the same time, congressional campaigns must be privately funded. Candidates

for elective office have no choice but to raise the money they need to pay for
advertising, consultants and the like. And that, in turn, has forced the legal system
to attempt the impossible: to clear the way for financial gifts while also trying to
limit the influence those gifts inevitably bestow on the recipients. The result has
been an elaborate set of monetary limits and disclosure requirements that
superficially transform outcome-directed gratuities into federally sanctioned
benefits.
The compromise has never worked very well. Numerous campaign finance
overhauls enacted since Watergate, up to and including the 2002 McCain-Feingold
bill, have driven out many of the grossest abuses--for instance, lawmakers blithely
accepting envelopes of money in exchange for favors. And disclosure requirements
have at least given citizens the ability to see who's trying to purchase influence from
whom. But by providing the imprimatur of respectability to campaign contributions,
the so-called reforms also helped increase the flow of that money, and bred in
donors and lawmakers alike a sense of invulnerability.
The laws certainly didn't stop former Rep. Tony Coelho, head ofthe Democratic
Congressional Campaign Committee in the 1 980s, from openly demanding that
FOIA_000114
GOP-leaning lobbyists share their largesse with the reigning Democrats as the price
of having their concerns considered. Nor did they hinder Abramoff, DeLay, and
others from melding K Street and the GOP into a modem-day political machine. By
placing loyalists in key K Street jobs, and cutting out Democrats when they could,
GOP leaders gave themselves the ability to divert rivers of donations (from, say,
Indian tribes or drug companies) to whichever close House race or subterranean
independent expenditure they wished. And they've attempted to punish lobbying
organizations that wouldn't cooperate. DeLay was even warned about the practice
by the House ethics committee in 1 999 after he and others tried to prevent an
electronics association from hiring a Democrat as its president. "That was
incredibly objectionable and, I thought, illegal; legislation was so clearly tied to
finances. And DeLay made no bones about it. He even kept a list of Republican
contributors in his desk," said Melanie Sloan, executive director of Citizens for
Responsibility and Ethics in Washington (CREW). "Now, it seems the Justice
Department is coming around to thinking that it is illegal, and that is an excellent
thing."
When is a bribe not a bribe?
Whether they knew it or not, donors have always been under threat of bribery
charges if they overtly tried to buy a lawmaker's vote with their campaign
contributions--and the lawmaker acquiesced in the deal. But both donors and
politicians have been largely shielded from the consequences of their actions in part
because bribery cases involving campaign contributions are hard to prove in court.
Still, such cases are winnable if prosecutors are willing to put in the time. Former
South Carolina state representative Paul Derrick was convicted in 1 999 on extortion
and conspiracy charges related to taking a fully disclosed, $ 1 ,000 campaign
contribution in exchange for his vote on a gambling bill. Authorities conducted a
sting operation (called, appropriately, "Operation Lost Trust") that directly
connected the technically legal donation to the vote.
"If somebody follows the legislature'S rules to the letter but it's then proven that
they took something including a campaign donation in exchange for some official
act, they nonetheless would be violating criminal law," says Jan Baran, an expert on
campaign- finance law with Wiley Rein & Fielding. Kathleen Clark, a professor at
Washington University Law School in st. Louis agrees: "The court has put
obstacles in the way of prosecutions of special interest campaign contributions, but
has never made them impossible."
All contributions, of course, are not bribes. A politician who runs on an anti
abortion platform, takes contributions from anti-abortion supporters, and
subsequently votes in line with those views, would never be subject to the bribery
statute. "There's a large segment of fundraising activity that is perfectly legal and
appropriate," notes Baran. "Candidates will always get money in legal amounts
from people who support them. That's not evidence that the public official has done
anything in exchange for that money."
The shorthand way of expressing when a legal contribution can be a bribe is this:
When a person gives anything of value, including a nominally legal campaign
FOIA_000115
!'The End of Legal Bribery" by Jeffrey Birnbaum Page 4 0f 7
contribution, to a public official in exchange for what's known in the trade as an

"official act," that is a bribe. Sun-Diamond Growers of California was convicted
during the Clinton administration of giving illegal gratuities to Agriculture
Secretary Mike Espy, including tennis tickets, luggage and other gifts worth about
$5,900. But the Supreme Court let the agricultural cooperative off the hook in 1 999
when it wrote, "For bribery there must be a quid pro quo--a specific intent to give or
receive something of value in exchange for an official act." Espy had gotten plenty
from Sun-Diamond, but had done nothing in return for the gifts. Therefore, no
crime was committed.
Sounds simple, right? Well, it isn't. UCLA law professor Daniel H. Lowenstein
wrote an entire chapter in a 2004 scholarly book, Private and Public Corruption,
that he entitled "When Is a Campaign Contribution a Bribe?" His answer to the
question he posed was, essentially, "Well, it's hard to know. " The law on the
subject, he wrote, is "unstable," "cloudy," and "hopelessly confused." What about
the instance, he asked, in which a lawmaker promises to support a major donor
"whenever I can"? Is that illegal? Or how about when a lawmaker changes his
position on an issue right after a big contribution is given by a company that wants
him to vote that way? Can that possibly be okay?
Experience tells us that lawmakers and lobbyists almost never say directly what
they mean when it comes to what an average person would consider to be graft.
Neither side of such a transaction is generally dumb enough to speak the following
sentence for example: "Okay, here's the deal, for $ 1 00,000, the vote will go the way
we agree." (The now-incarcerated former representative Randy "Duke"
Cunningham actually did write out a bribe list--$50,000 for every $ 1 million in
appropriated funds he would obtain--on congressional stationery no less. But he is
the exception.) If a lawmaker accepts money to vote in favor of a briber's interest,
that is almost certainly a crime. But beyond that, the issue is not clear-cut. "It's very
difficult to make campaign contributions into a bribe, especially in the absence of
undisputable video or audio recordings," says Baran.
In addition to the difficulty of gathering sufficient incriminating evidence of an

explicit quid pro quo, prosecutors must also contend with recent court rulings that
have narrowed the definition of what constitutes an "official act." In a 2 to 1
decision by a federal appeals court panel in February, the illegal gratuities
conviction of a former D.C. Metropolitan Police Department detective named
Nelson Valdes was overturned because his actions were not a "formal" part of his
job and, therefore, were not deemed to be an "official act. " Valdes ran license plate
numbers through law enforcement databases and provided the vehicle-ownership
information that he collected to a person who paid him cash. But the court ruled that
since the collecting of such data represented a "casual and informal use of
government resources" and was not part of his normal duties, his 2002 conviction
had to be reversed. The ruling makes it that much harder to win bribery cases
involving campaign contributions. "Now, virtually every time the government tries
to bring an official-acts prosecution," says Boston College law professor George
Brown, "the defense will cite the Valdes case."
A new supply of red ink
FOIA_000116
employment for relatives of officials, and campaign contributions. " The plea deal
Committee " at Representative # 1 's request." Representative # 1 has been widely
say that possible campaign-donation bribery is also being looked at as part of the
ongoing probes of as many as six other lawmakers.
sampled treat.
FOIA_000117
1 , J I I

home. So much of what denizens ofthe capital do revolves around raising money
(Texas) and Jerry Lewis (Calif.) for acting too closely in concert with their donors.
department is making a change."
hope not only to win specific battles but also to get j udgments that set new legal

FOIA_000118
" ,
"The End of Legal Bribery" by Jeffrey Birnbaum Page 7 0f 7
Mission Masthead Features Archive Writers Guidelines

Fe��J)a�k Customer Seryice Subscribe Online Make A Donation
This site and all contents within are Copyright © 2006

The Washillgton Monthly 1 3 1 9 F Street N.W. #7 1 0
Washington DC. 20004.
Comments or questions . . . please email editors by clicking here
FOIA_000119
' {' ,
Promises? what promises? - Print Version - International Herald Tribune Page 1 of 1
INTERNATIONAL
1ltralh atrllntnt
P romises? what promises?
The New York Times

MONDAY, MAY 22, 2006
Bono, the U2 star, has always been

good at turning a quick phrase, and last
week was no exception. During a stop in
Rwanda, which was part of a six-nation
tour of Africa, the Irish singer turned
philanthropist described a recent
meeting he had held with members of
the House Appropriations Committee,
including Representative Jerry Lewis,
the Republican chairman from
California.
'We spoke to the good men and

women ," Bono said at a news
conference after touring a hospital in
Kigali. "They welcomed us with opened
arms, patted us on the back and shook
our hands, and their eyes misted up at
the right place."
And when he left town , Bono said, those

same committee members turned around and slashed President George W. Bush's request for $3
billion more for foreign aid down to $600 million .
The House action, unfortunately, is business as usual when it comes to aid. The politicians in
Washington talk a beautiful game about trying to combat global poverty. They make grand speeches
about the crying need of AIDS orphans in Uganda. They paint touching pictures of American plans to
help.
Last year was long on promises. The British prime minister, Tony Blair, called Africa's poverty "the
fundamental moral challenge of our generation." The UN secretary general , Kofi Annan, characterized
our generation as one that could make poverty history. Bush twice stood on the world stage and
promised to sharply increase development assistance - at the Group of 8 summit meeti ng in Scotland
in July, when he pledged to double aid to Africa by 201 0, and again two months later, at a UN meeting
in New York, where he urged that the Monterrey Consensus, which calls on rich countries to increase
their spending on development aid to 0.7 percent of gross national product, be put into effect.
So far, this year has been disgracefully short on anything resembling action. Talks at the World Trade
Organization to reduce global farm subsidies, a move that would help poor countries, have stalled.
And the House decision to slash Bush's request
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AP Wire 1 0511 712006 1 House ignoring pledge to disclose sponsors of pet projects Page 1 of 2
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House ignoring pledge to disclose
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ANDREW TAYLOR
Associated Press
News
• Obituaries WAS H INGTON - Just two weeks after the House passed a reform bill requiring
• Breaking News lawmakers to attach their names to pet projects, GOP leaders are advancing spending
•Local bills containing billions of dollars in such parochial "earmarks" whose sponsors remain
•Nation anonymous.
• Photos
• Politics
M ost lawmakers, like Rep. Jeff Miller, R-Fla. , who obtained $ 1 1 million for a child
•State
•Weird News development center at Eglin Air Force Base in Pensacola, are happy to take credit for
• World their earmarks when asked. Others, like Martin Sabo, D-Minn . , immediately put out news
• Central Coast Sun releases trumpeting hometown projects like a $ 1 million sewer system upgrade for
Bulletin M inneapolis.
Sports
Entertainment So why isn't the Appropriations Committee instituting the reforms, aimed at introducing
Business g reater openness to the earmarking process in the wake of scandals and ongoing federal
investigations into lawmakers and their earmarks?
Living
Opinion/Letters
After all, one former lawmaker, Rep. Randy Cunningham, R-Calif., is already in prison on
charges he took bribes from defense contractors in exchange for federal projects. And
ONLINE FEATU RES senior Appropriations Committee Democrat Alan Mollohan of West Virginia is under
Tribune Front Page federal investigation over earmarks awarded to companies led by friends and business
Newspaper Ads Online associates.
Advertising sections
And Appropriations Committee Chairman Jerry Lewis, R-Calif., is facing scrutiny for his
Past articles
dealings with earmark-seeking lobbyist Bill Lowery, a former congressman from San
Discussion Boards
Diego.
Maps & Directions
Newcomers Guide The official reason is that the disclosure bill isn't yet law and leadership has agreed to
Newsroom Projects apply the disclosure requirements to other committees and not just the Lewis-led
Yellow Pages Appropriations panel. Appropriators complain that lawmakers on other committees - like
the tax-writing Ways and Means panel - should have to claim responsibility for their
SITE S E RVICES "Dork." which is often far more costlv.
FOIA_000121
1- ,4..,,,1..-_ _ J '- _ _ _ _ _ _ _ _ 1
•
1 ·
: ' 1 1:1; Ell
AP Wire I 0511 7/2006 I House ignoring pledge to disclose sponsors of pet projects Page 2 of 2
Contact Us "We agreed to work with all the (legislative) committees and the tax committee to make
•Staff List sure we have a rule that's fai r and equitable for all committees," said Majority Leader
RSS Headlines John Boehner, R-Ohio. "Until that becomes law, I think that we're asking an awful lot to
expect one committee to meet that requirement."
Advertise
Final resolution of the disclosure legislation, part of a broader effort to overhaul rules
regarding lobbyists and congressional travel, however, could be months away.
Added Appropriations panel spokesman John Scofield: "If you're going to talk about
earmarks, let's talk about the really expensive ones that are a permanent part of the tax
code."
But there could be other factors at play as well. For starters, revealing sponsors of
projects could create problems within the rank and file over the often arbitrary nature of
how earmarks are awarded. Senior lawmakers in the leadership on the Appropriations
panel reap many projects, as do junior lawmakers facing difficult re-election bids.
Disclosure could spur resentments if some members start wondering why certain people
are getting special treatment.
Earmarks come in many varieties, but they're often money set aside in spending bills for
individual members' requests such as federal construction projects and grants to
universities, hospitals and local law enforcement agencies.
The number of earmarks has greatly increased under Republican control of Congress,
and budget hawks in the G O P are dismayed about the party's performance on spending.
Now, with President Bush and GOP leaders clamping down on domestic agency
budgets, the House panel is trimming the number of projects it awards.
ON THE NET
House Appropriations Committee: http://appropriations.house.gov/
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San Bernardino County Sun - Payment to Lewis staffer studied Page 1 of 4
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San Bernardino, CA, 5/25/2006
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I
Payment to Lewis s taffe r stud ied
Former lobbyist got hefty severance pay
Lisa Friedman and George Watson, Staff Writers
Congressional watchdogs blasted a $600,000 severance payment that a lobbying firm with ties to Rep, Jerry Lewis
paid to one of its partners days before he assumed a top slot with Lewis on the House Appropriations Committee,
Redlands native Jeff Shockey lobbied Congress on behalf of dozens of San Bernardino County and Riverside
County agencies in his six years with Copeland Lowery Jacquez Denton & White. Shockey quickly rose to partner,
and before leaving in 2005 to become Lewis' deputy staff director, he earned $1 .5 million, making him one of
Washington's top-paid lobbyists.
Considering Shockey's salary and stake in the firm, several political ethicists said they do not consider a $600,000
severance payment excessive. At the same time, such a rich going-away present from a firm with vested interests in
Congress to an aide who would have his hands on congressional purse strings troubled many watchdogs.
"Here is this aide who clearly influences what happens on the committee," said Michael Surrusco, director of
Common Cause's ethics campaign. "Immediately before taking the job he's being paid by a select group of clients,
and that stinks," he said. "The system shouldn't allow that to happen."
According to published reports, federal prosecutors are examining links between Lewis, the chairman of the
appropriations panel, and the lobbying firm's founder, former San Diego Rep. William Lowery, in connection with the
bribery investigation of convicted Rep. Randy "Duke" Cunningham.
Shockey was not identified in the reports as being under investigation.
Lewis has vigorously denied any wrongdoing. He condemned Cunningham's behavior as egregious, adding "the
standards of integrity I have followed in my career are a direct repudiation of the kind of behavior displayed by Mr.
Cunningham."
Shockey, who first worked for Lewis in the 1 990s before joining Lowery's firm , is one of two aides who have traveled
between the congressman's office and the lobby shop. Shockey's 2005 severance agreement, according to financial
disclosures, included compensation for undistributed profits, receivables and six months of calculable revenue from
the clients he brought to Copeland Lowery.
Shockey did not return a call for comment. House Appropriations Committee spokesman John Schofield said
Shockey is being penalized in the press for being financially successful and honest.
"He had a stake of ownership in a business which he was required under law to divest before he came back to the
Hill," Schofield said, adding that Shockey followed "not just the letter of the law, but the spirit of the law" in publicly
detailing his severance package.
FOIA_000123
"He came back because he believes in Chairman Lewis and what he's about," Schofield said. "The only thing I
guess the guy is guilty of is being successful in the private sector."
Congressional Accountability P roject Director Gary Ruskin said the size of the payment is unusual, and underscores
the persistent problem of the revolving door between Capitol H ill and K Street, where many lobbying firms have their
offices.
"It helps point out how, increasingly, Washington is seen as a favor factory and you can get paid a lot of money if you
can shake the Washington money tree," he said.
Even other lobbyists were surprised by the amount of the severance package.
"Wow," David Turch, a lobbyist in D . C . since 1 987 whose client list includes a raft of San Bernardino County and
Riverside County agencies, said of Shockey's $600,000 payday.
"I should be so lucky, and I own the firm," Turch said.
Shockey grew up in Redlands, attended Redlands High School and worked locally during summers.
Fred Ford, a local logger, once employed Shockey, who was his son's friend.
"He was a young man still trying to find himself," Ford said of Shockey. "It was clear he wasn't going to be working in
orchards his whole life."
Ford recalled Shockey as being a hard , thorough worker.
"I'm not surprised he's made the money he's made," Ford said. "He was a very determined guy."
Shockey graduated from Cal State San Bernardino with a political-science degree and later earned a master's there
in public administration.
Harold Willis, a businessman in San Bernardino who lives in the same Redlands neighborhood as Shockey's family,
met Shockey one day when both were preparing to go jogging. They decided to run together.
The two became friends and would frequently meet to tackle their runs of at least six miles, if not longer, Willis said.
In a way, it was an odd partnership, Willis said, because
he was in his late 50s at the time and Shockey was a
college student.
But they took to each other because they shared topics of

interest, Willis said.
"He is a good distance runner," said Willis, who is now

78 . "He's a very nice young man. We talked about water
issues, and it was clear he knew his stuff."
While running, the pair discussed politics, local issues

and Shockey's future, Willis said. Shockey was interested
in a career in law enforcement, but Willis lightly prodded
Shockey toward politics.
"I'm not saying I was the reason it happened," Willis said.

"It's just something we talked about."
______ The friendship contin ues to this day. Willis ran with
Shockey around the Christmas holidays, he said.
Shockey first joined Lewis' office in 1 99 1 , working as a legislative director and point man on an appropriations
FOIA_000124
subcommittee overseeing veterans and housing issues that Lewis then chaired.
Shockey left Lewis for Lowery's firm in 1 999. Within months, 1 0 agencies in Riverside and San Bernardino counties
had flocked to him, some of them severing longtime ties with other D.C. firms. By 2005, Shockey had racked up a
lengthy client list in the region, including water agencies, universities, the city and county of San Bernardino,
Riverside County, and the cities of Redlands, Murrieta, Loma Linda, Twentynine Palms and Victorville.
The University of Redlands, for example, hired Shockey in July 1 999, according to lobbying reports. Ron Stephany,
vice president of university relations, said officials decided to hire a professional lobbyist for the first time largely
based on a positive relationship they had built with Shockey when he served on Lewis' staff.
"When Mr. Shockey accepted a position with Copeland Lowery, we, in essence, followed him there," Stephany said.
He said the university has benefited from employing a D .C .-based lobbyist and continued with the firm after Shockey
returned to Capitol Hill.
Of Shockey, Stephany noted that his parents still live in Redlands and said, "He's very interested in the region; he's
very committed to the quality of life in this community."
Randy Van Gelder, assistant general manager of the San Bernardino Valley M unicipal Water District, said his
agency also hired Copeland Lowery in 2000, after their previous lobbyist retired, based on having worked with
Shockey in the past.
"It was primarily that we already knew him; we knew he knew how the system works back there," Van Gelder said.
"He is very, very knowledgeable."
Victorville Councilman Terry Caldwell said he could not remember why the city terminated its relationship with E. Del
Smith & Co. , then hired Shockey, in 2000. "Del Smith had done good work for us," Caldwell said. "But we kind of
reached a consensus that it was appropriate to make a change."
Caldwell maintained that it was not Shockey's relationship with Lewis that prompted the switch , but rather the
lobbying firm's expertise in transportation issues.
Turch, who represented the city and county of San Bernardino as well as the Inland Valley Development Agency
before they switched to Shockey, said his firm "scored very high and delivered. "
But, he said, "This i s a competitive business. I think (Shockey) d i d the best j o b h e could t o market his skills the best
he can."
Ruskin and Surrusco both said Congress has failed to adequately address the revolving-door issue. An ethics bill
that recently passed the House was watered down so that instead of forcing an extended waiting period before
lawmakers and aides can lobby their former colleagues, it merely emphasizes added education of the current
regulations.
Neither version included any restriction on lobbyists returning to elected office.
RETURN TO TOP
Updated: May 25, 2006 12:48:53 AM PDT

Neighbors unite to mourn child
,. 3 more charged in shooting
Jarred shot at before
Congress looking for middle ground
,. Exit exam restored by Supreme Court
'1 think she's a hero'
Assembly candidate is on probation
LL report clears city staffers
,. J udge praised for fairness, compassion
FOIA_000125
iii No unwritten 'code of honor protects children

S B crime issue stil l council's hot topic
iii Man enters plea o n gun charges
Schwarzenegger says he's prepared to send Guard to
border
iii Police refuse to discuss Seay killing
First wave of National Guard soldiers head to border
states n ext week
Mother, 69 , had 'a lot of fight in her: daughter says
On this date in The S u n : Redlands police officers,
chief honored
I n Brief 5-25-2006
iii C rime a n d Public 5-25-2006
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h ttp ://www.latimes.c om/news!nationw orldJnationlla-na-lewis1 1 may l l ,0.28 1 725 1 . story?collc� la-home-headlincs
From the Los Angeles Times
Lewis Surfaces i n Pro be of C u n n i n g ham

B y Peter Pae
Times Staff Writer
May 1 1 , 2006
Federal prosecutors have begun an investigation into Rep. Jerry Lewis, the Californian who chairs the powerful
House Appropriations Committee, government officials and others said, signaling the spread of a San Diego
corruption probe.
The U.S. attorney's office in Los Angeles has issued subpoenas in an investigation into the relationship between
Lewis (R-Redlands) and a Washington lobbyist linked to disgraced former Rep. Randy "Duke" Cunningham (R
Rancho Santa Fe), three people familiar with the investigation said.
The investigation is part of an expanding federal probe stemming from Cunningham's conviction for accepting
$2.4 million in bribes and favors from defense contractors, according to the three sources.
not clear where the investigation is headed or what evidence the government has. But the probe suggests that
stigators are looking past Cunningham to other legislators and, perhaps, the "earmarking" system that
members of Congress use to allocate funds.
Lewis said Wednesday that he was not aware of any investigation, had not been contacted by any investigator and
did not know why he would be investigated.
"For goodness sake, why would they be doing that?" Lewis asked.
The government is looking into the connection between Lewis and his longtime friend Bill Lowery, the sources
said. Lowery, a lobbyist, is a former congressman from San Diego.
As chairman of the Appropriations panel, Lewis has earmarked hundreds of millions of dollars in federal contracts
for many of Lowery's clients, one of the sources said.
Lewis said he knew Lowery well, having spent 1 2 years in Congress with him, but denied favoring eannarks for
Lowery's clients.
"Absolutely not," Lewis said. He said all the eannarks he authorized benefited "my constituents and my people."
H e said he was particularly proud of helping fund programs such as the cancer treatment center at Lorna Linda
University, a client of Lowery's. "That would never have been accomplished without an eannark," he said.
The Lewis investigation is in the early stages and has not been presented to a grand j ury, the sources said. They
on condition of anonymity because they were either involved in the probe or were not authorized to speak
ongoing investigations.
Thorn Mrozek, spokesman for the office of U.S. Atty. Debra Wong Yang, said that as a matter of policy he could
not confirm or deny any investigation it might be conducting.
FOIA_000127
served on the House Appropriations Committee together from 1 98 5 to 1 993 .
Shortly after leaving Congress, Lowery founded Copeland Lowery Jacquez Denton & White, a Washington
lobbying firm whose clients include Brent R. Wilkes, a defense contractor who is the focus of a separate probe in
San Diego.
has been identified by his lawyer as the unindicted "co-conspirator No. 1 " in the Cunningham corruption
case.
In that case, Cunningham was sentenced to eight years and four months in prison for accepting $2.4 million in
bribes and favors from "co-conspirator No. 1 " and his business associate, Mitchell Wade, who pleaded guilty to
bribing Cunningham. Cunningham and Wade are cooperating with federal investigators.
Wilkes and his companies have given Lewis at least $60,000 in campaign contributions over the years, making
them among the lawmaker's largest contributors.
At the same time, Wilkes has paid Lowery's firm more than $ 1 60,000 in lobbying fees.
According to Taxpayers for Common Sense, a nonpartisan research organization, Lewis has earmarked at least
$70 million in federal funds for a mapping software company in Redlands. The company, Environmental Systems
Research Institute Inc., is one of Lowery's largest clients and has paid more than $320,000 in lobbying fees,
according to the nonpartisan Center for Public Integrity.
Investigators are said to be particularly interested in the intermingling of Lewis' and Lowery's staffs and whether it
led to favorable treatment for Lowery's clients in securing government contracts.
Jeff Shockey, a key Lewis staffer, went to work for Lowery as a lobbyist in 1 999 and then returned to Lewis' staff
year. According to a source familiar with the investigation, Shockey received $600,000 in severance payments
Lowery's firm before returning to Lewis to become the deputy staff director for the House Appropriations
HH'H"'�� with an annual salary of $ 1 70,000.
-
"He is now the gatekeeper for more than $850 billion," said Keith Ashdown of Taxpayers for Common Sense,
referring to the Appropriations Committee's role in disbursing government funds.
Shockey could not be reached for comment.
John Scofield, communications director for the House Appropriations Committee, said Shockey and the
committee had had "no contact with any entity of any kind," referring to investigators.
"This is all based on anonymous sources and hearsay. It's borderline slanderous," Scofield said.
In 2003 , another key Lewis aide, Letitia White, became a lobbyist for Lowery.
"It's the wicked revolving door," said Naomi Seligman Steiner, investigator for Citizens for Responsibility and
Ethics in Washington, a government watchdog backed by liberal groups that has questioned the relationship
between Lewis and Lowery.
Lewis was among several members of Congress who came under scrutiny after the Cunningham corruption case
erupted last summer. Cunningham, also a longtime Lewis friend, admitted to earmarking funds to Wilkes in return
for cash and favors.
O
�"" " challenged Lowery, the incumbent, in the 1 992 Republican primary. But Lowery dropped out of the
-'"
after he was identified as one of the worst offenders of "Rubbergate," in which several members of Congress
were discovered to have written numerous bad checks on the House bank. Lowery acknowledged writing 300 bad
checks.
Cunningham's campaign slogan was: "A congressman we can be proud of. " FOIA_000128
Lewis is one of the senior members of Congress, with 27 years on Capitol Hill. At one time, he was head of
California's GOP delegation, and became a "cardinal" - as the chairs of Appropriations subcommittees are
known - serving most recently as chairman of the Appropriations defense subcommittee and managing the
.
spending bill in the federal budget.
year, Lewis became chairman of the full committee, historically one of the most powerful jobs in
ashington.
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Cozying Up to Power - Los Angeles Times Page 1 of 6
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BREAKING N EWS The immigration bill has passed with a Senate vote of 62 to 36.
HOME Cozying U p to Power

S ite M a p Brent Wilkes' businesses g rew a long with his political ties. He is 'co-conspirator No. 1 ' i n
the Cun ningham case, h i s lawyer says. He h a s not been charged.
Busi ness
By Peter Pae and Dan Morai n, Times Staff Writers
Adve rti s i n g
Money & I nvesting
May 8 , 2006
T e ch n o l ogy
Video G a m e s POWAY, Calif. - B rent R. Wilkes was a small defense contractor who looked for powerfu l
W o r k & C a re e r friends i n h i g h places.
B u s i n e s s To o l s
I n vestor T i p s & When Arnold Schwarzenegger ran for governor, Wilkes was one of the first to contribute to
Tools his campaign. Schwarzenegger later gave h i m plum appointments to boards that oversee
L a w R e s o u rce s
the p restigious Del Mar racetrack, where Wilkes held cou rt on opening day in 2004 and
M o n e y L i b ra ry
Money Q & A
2005.
B a n k Rates
P re s s Re l e a s e s ADVERTISEMENT On Capitol H i l l , Wilkes plied
lawmakers with g ifts , favors and hefty
N EW S campaign contributions. He leased a
C a l i fo r n i a I L o c a l jet and took then-House Majority
National leader Tom Delay (R-Texas) to
World three states on a golfing vacation. H e
E n te rta i n m e n t N e ws hired expensive lobbyists close to
B u s i ness leg islators who controlled last-mi n ute
S p o rts changes to the Pentagon's budget.
Politics
Opinion Over the last decade, some of
C o l u m n i s ts Wilkes' two dozen firms in San Diego
P r i n t Ed i t i o n Stretch out in Economy Plus. and Virg i n ia received about $ 1 00
CIJ What i s RSS?
United Economy Plus: million in federal contracts. They
C a l e n d a rl ive More legroom than any other U.S. airline. were small deals by Washington
standards, usually a few millio n
T ra v e l _ U N I T E D dollars apiece, and they involved d u l l
----->---�---�-<---
LaaHl more row

West M a g a z i ne
House & Garden Economy Plus' jobs - scan ning a n d filing
Hea lth
documents, supplying computer
Food
storage devices or delivering bottled
C a r C u l tu re
water to government workers
O b i tu a r i e s
overseas - but rivals complained that Wilkes got more than his share.
C rossword, S u d o k u
All Sections
Not bad for someone who g rew up poor, raised by a single mother in a small, prefab home
Co rrections
south of a San Diego N avy base.
BUY, SELL & MORE Now investigators want to find out whether Wilkes comm itted any crimes in securing those
J o bs government jobs.
C a rs
R e a l Estate Federal prosecutors in California, Texas and Washington are i nvestigating political
A p a rtm e n ts contributions by Wilkes, his associates and employees of h is n umerous companies,
P e rs o n a l s sou rces fam il iar with the investigations said. Separately, the Pentagon's i nspector general
D e a l s a t Lo c a l is probing contracts awarded to a Wilkes company, a Pentagon source said.
S to re s
FOIA_000130
5/25/2006
C o u p o ns
Wilkes was a shrewd businessman, those who worked with h i m recall. Court documents,
N e ws p a p e r A d s
Pentagon reports and campaign finance records show that he carefully built a broad
network of political contacts to enhance his chances of winning new busi ness.
The public story about Wilkes now includes reports of his involvement with Delay,
Log Out
disgraced former Rep. R andy "Duke" Cunningham , prostitutes and the NO. 3 official at the
Help
C IA , who may have steered business to Wilkes. The CIA's executive director, Kyle "D usty"
C o n ta c t U s
Foggo, has been a friend of Wilkes' since their youth. They roomed together at San Diego
L.A. Times Archives
State U niversity, were best men at each other's weddings and named their sons after each
C u s t o m i z e d N e ws
other.
Prosecutors are a lso reportedly i nvestigating whether Wilkes and an associate paid for
C u s to m e r S u p p o rt hotel hospitality suites in Wash i ngton and supplied prostitutes for congressmen. Wilkes'
San Diego attorney, M ichael Lipman, said his client "vehemently denies a ny i nvolvement
with prostitution."
Wilkes, 5 1 , has not been charged with a crime. Federal prosecutors declined to comment.
But Wilkes' lawyer has confirmed that his client is "co-conspirator No. 1 ," who plays a
prominent role in the C u n ni ngham case.
In Marc h , Cunningham was sentenced to eight years and four months in prison, the
harshest penalty ever imposed on a former member of Congress in a corruption case. The
San Diego Rep ub lican admitted receiving $2.4 m il l ion in bribes, g ifts and favors from fou r
co-conspirators and evad ing more t h a n $ 1 million in taxes. They were t h e price of
C u n ningham's influence in landing lucrative defense contracts.
C u n ningham admitted accepting a $ 1 00, 000 bribe from co-conspi rator No. 1 - Wilkes
and said that person helped pay off a $525 ,000 mortgage on his home. Prosecutors
charged that C u n ni ngham ignored a warning from a Pentagon official that $750, 000 i n
invoices from a Wilkes firm appeared t o b e fraud ulent.
Starting in 1 996, Wilkes, h is firms, employees and family members donated more than
$600, 000 to federal lawmakers and their political action com mittees, campaign finance
records s how. As Wilkes' businesses expanded, so did h is political contributions.
U ltimately, most of Wilkes' government work came from "earmarks," a controversial step in
which legislators attach extra fu nds to bills to cover pet projects, even if a federal agency
didn't request them.
"Wilkes was bri lliant. He knew how to work the system a nd he made the U . S . government
h is bottomless piggybank," said Keith Ashdown, vice president of policy for g overnment
watchdog Taxpayers for Common Sense in Washingto n .
Wilkes a nd h i s associates made their largest federal campaign donations t o House

Appropriations Committee member Rep . John T. Doolittle, a Republican from Sacramento,
who received $82,000. C u nningham received $76,500, and $60,000 went to
Appropriations Committee Chairman Rep . Jerry lewis (R-Red lands).
lewis said Friday that he knew Wilkes socially years ago and even took a trip with him to
G uatemala. But the lawmaker insisted he never had discussions with Wilkes about federal
contracts. In January, he added , he donated Wilkes' contributions to Habitat for H umanity.
Doolittle acknowledged openly advocating for Wilkes' busi ness i nterests in Washington
because he believed that the technology developed by Wilkes' company had useful
military app lications.
Wilkes' role as a Capitol H i ll player d rew a sharp contrast with his hum ble childhood. He
was one of six children of a Navy pilot posted at the M iramar air station near San Diego.
H is father was killed i n 1 95 9 while taking off from an aircraft carrier. later, said
Assemblyman Mark Wyland, an Escondido Republica n , Wilkes often mentioned his
father's death to businessmen and politicians, including C u n ningham, a decorated N avy
FOIA_000131
pilot d u ring the Vietnam War.
At H il ltop High School , Wilkes played on the football team and developed a lifelong
friendship with Foggo. In college, Wilkes and Foggo were active in the Young
Republicans, and they formed a friendship with City Councilman Bill Lowery, who was
later elected to a San Diego House seat and was succeeded by Duke Cunni ngham.
Wilkes earned a degree i n accounting and went to work as a CPA.
By the early '90s, Lowery had i ntroduced Wilkes to C u n ningham, said a former business
associate who is part of the Cu nningha m probe and req uested anonymity. Wilkes touted
his Was hington connections. It's one reason he was h ired as a lobbyist in 1 993 for Audre
I nc . , a fledgling S a n D iego firm with a new technology to convert maps into a digital
format.
About a year later, Wilkes formed a competing firm, ADCS I nc.
By 1 997 C u n ningham held a seat on the powerful House defense appropriations

subcomm ittee, and that year he earmarked $20 million for the digital conversion initiative.
The idea was to convert the Pentagon's old engineering d rawi ngs, maps and paper
documents i nto digital form for preservation . Wilkes' ADCS was among the firms selected
to receive project funds.
Over the next four years, Cun ning ham secured through legislation $80 m i ll ion i n d ig ital
document work, and Wilkes' firm was always a beneficiary. But Wilkes wanted more.
The Pentagon was slow to pay Wilkes because Army officials in the field preferred Audre's
rival system, according to an i nspector general's report. S o in J u ly 1 999, co-conspirator
No. 1 faxed C u n ning ham "talking points" on how to bu lly a Pentagon ma nager into
releasing more government fu nds. These documents were i ncluded in C u n n ingham's
sentencing hearing.
The memo instructed the lawmaker to demand that the Defense Department official shift
money from another program to cover funds designated for ADCS. "We need $ 1 0 m[illion1
more immediately , " C u n n i ng ham was to tell the officia l .
If t h e official d id n't cooperate, Cu nningham was t o say his next calls would be t o two high
ranking Pentagon officials. The script called for C u n n i ngham to add: "This is very
important and if you cannot resolve this others will be calling also" - two names in this
passage are blacked out in the memo. Despite Cun ningham's threats, the Pentagon
manager was unmoved, accord ing to grand j ury testimony.
A week later, Cunni ngham and Lewis called a Washington news confere nce to annou nce
that they had slashed $2 billion in funding for the F-22 Raptor fighter jet, one of the
Pentagon's prized programs, citing cost overruns. Both congressmen had been key
supporters of the project, and their comme nts shocked Pentagon officials.
Within days, the same Pentagon manager who had been resistant to C u n ningham's
appeals sent the congressman a list of other programs where money could be
"reallocated" to Wilkes' firm, according to cou rt documents. "The Defense Department
spends $1 billion a day, so the [Wilkes] contract was l ike a rou nding error. It j u st wasn't
worth putti ng our big programs at risk," a senior Pentagon official said on condition he not
be identified.
On Friday, Lewis said "there was no con nection whatsoever" between h is position on the
F-22 program and C u n ningham's effort to press ure the Pentagon on Wilkes' behalf. "If I
knew about it, I would have stopped it," Lewis said.
The Pentagon agreed to send $5 million more to Wilkes' firm , according to court
documents. The F-22 fu nds were later restored. In subsequent years, Cunningham a nd
Lewis supported full fund i ng for the warplane.
FOIA_000132
I n May 2000, a month after h is firm received the $5 million, Wilkes wrote two checks to
C u n ningham for a total of $ 1 00,000. These payments were used as evidence in the
bribery case.
Defense contractors complained about Wilkes getting an outsize share of fu nding for the
digital documents project, prompting a review by the Pentagon's i nspector general. A June
2000 report questioned this lopsided funding and said it caused some military officers to
"lose confidence in the fairness of the selection process."
About this time a Pentagon official concluded that Wilkes' ADCS had fraudulently billed the
Pentagon $750,000 for document scanning work at the Panama Canal that was never
completed , cou rt records show. A Pentagon official alerted C u nningham. I n stead of taking
action , the congressman later called the official's boss to com plain about his work,
according to cou rt documents.
Flush with government business, Wilkes bought a $ 1 . 4-millio n home in 1 999 on a gated ,
two-acre estate in the San Diego suburb of Poway, with a tennis court and pool. The seller
was Charger quarterback Stan H umphries .
Wilkes became a major p hilanthropist in h is hometown. He a nd h is wife, Regina, pledged

$1 m illion to a San Diego chi ldren's hospital. He donated generously to his alma mater,
San Diego State, and established a foundation to help military families. A local YMCA
named Wilkes man of the year.
Wilkes also built a stu n n i n g , $ 1 1 -million g lass office building in Poway to house h is
companies. He would hold fundraising dinners there for charities a nd GOP campaigns.
He often targeted political fig u res on the rise. Wilkes cu ltivated a relationship with Tom
Delay.
After Delay became H ouse majority leader in 2002, Wilkes and h is associates contributed
$57, 000 to Delay and his political action com mittee. Wilkes and his political advisory firm ,
Group W, also paid $630,000 to Alexander Strategy G roup, a now-defunct Washington
firm run by a former Delay aide, to lobby for h is business i nterests . Wilkes also paid for a
golfing trip with Delay.
Delay's tenure in the powerfu l post ended in September, when he was i ndicted on money
laundering charges. Delay plans to resig n from Congress entirely. Wilkes was
subpoenaed by Texas prosecutors as part of their i nvestigation i nto the lawmaker's
activities.
In all, Wilkes spent at least $ 1 . 1 million on lobbyists, federal records show. I ncluded in that
tally was $ 1 60 ,000 to lowery, a congressman turned Wash ington lobbyist. An important
lowery staffer is a former top aide to lewis. I n Wash i ngton, Wilkes also shared a wine
locker with his C IA friend Foggo at the Capital Grille restaurant, where powerful lobbyists
cou rt lawmakers.
Another Wash ington i nsider who was part of Wilkes' circle was Mark Adams, deputy
undersecretary of Defense in the Clinton administration. Adams oversaw contracts
awarded to ADCS in the late 1 990s. Within a month of leaving h is govern ment post,
Adams joined Wilkes' payroll. Adams cou ld not be reached for comment.
The Pentagon i nspector general is now reviewing contracts that were awarded to Wilkes,
a Pentagon source said .
The connections between Wilkes and C u nn i ngham that are being investigated are "the tip
of the iceberg ," said Naomi Seligman Steiner, investigator for watchdog g roup Citizens for
Responsibility and Ethics in Wash i ngton. She believes that other congressmen could be
implicated i n a wider corruption case.
In March, the C IA said that its i nspector general had lau nched an investigation of Foggo
and his ties to Wilkes. N ewsweek magazine later reported that a 2004 contract valued at
FOIA_000133
http://www.latimes.comlbusiness/la-fi-wilkes8mav08. 1 .5253 4 1 5.ful1.storv ')!?')!?OOf\
$2 million to $3 m i llion went to a Virg i n ia firm owned by Wilkes to supply bottled water and
household goods to C IA staff members i n war zones. At the time, Foggo worked in
Germany as the senior C IA procurement officer and was in a position to award contracts
for supplies g oi ng to operatives i n I raq and elsewhere.
The C IA issued a statement: "Mr. Foggo has overseen many contracts in h is decades of
public service. He reaffirms that they were properly awarded and adm i nistered ." The
agency also said, "It is standard practice . . . to look into assertions that mention agency
officers . . . . That s hould in no way be seen as lending credibility to any allegation . "
Last week, the Wal l Street Journal reported that prosecutors were i nvestigating whether
Wil kes and an associate had paid for hotel hospitality suites in Wash ington and supplied
prostitutes for H ouse members. The CIA confirmed only that Foggo attended poker games
at Wash i ngton hotels.
Wilkes was active in state politics too. He and his associates have donated $230,000 to
California can d idates and Republican org a n izations since 2000. Schwarzenegger's
campaigns collected $87, 000 of that, and Wi lkes' foundation gave an additional $20, 000 to
nonprofit organizations Schwarzenegger had fou nded.
I n 2003, Wi l kes co-chaired Schwarzenegger's fundraising operation in San Diego County.

But in March of this year, Schwarzenegger insisted he didn't know Wilkes, adding that he
was u naware of the details of Wilkes' appointment to the racetrack boards. "Sometimes I
don't get invo lved in those kinds of decisions," the governor said .
Although Wilkes was a large donor to Schwarzenegger, his contributions to other state
candidates were modest, but they often went to up-and-comers.
Wilkes a nd h i s associates gave $ 1 6 , 800 to Assemblyman George P lescia (R-San Diego),

who recently became the chamber's GOP leader. P lescia's wife is Melissa Dollaghan, who
worked as Wilkes' head of government affairs until she took a leave last summer, when
the C u n ningham scandal broke. Dollagh a n q u it in the fall.
Dollaghan declined to comment. " It was her feeling that [Wilkes] kept everything close to
the vest," Plescia said. Wilkes never asked h i m for anything in Sacramento, the
assemblyman added.
What is clear is that Cu nningham played a key role in the business affairs of Wilkes and
the contractor's associate Mitchell Wade.
Prosecutors described Cunningham as a congressman for h ire who bullied Pentagon

bureaucrats to approve contracts for co-conspirator No. 1 and for Wade. In February,
Wade pleaded g u i lty to giving Cunningham more than $1 m il l ion in bribes in exchange for
government contracts . Wade, who is awaiting sentencing, could not be reached for
comment.
In 1 999, after the Pentagon raised allegations about Wil kes' overbilling the govern ment, h e
turned to Wade t o act o n h is behalf t o w i n new contracts , according t o a source close to
the Cunningham investigation. Wade had worked for the Defense I ntelligence Agency
duri ng the fi rst I raq war and was hired by Wilkes in 1 999 as a consultant.
Wade had set up a Washington-based firm , MZM Inc., to provide "computer consulting
services," but it had no revenue u ntil it was hired by Wilkes, according to company
records.
I n 2002, C u n ningham appropriated more than $6 million in Pentagon funds to pay MZM
for data storage systems, and the job was su bcontracted to Wilkes. ADCS delivered
$700, 000 worth of computer equipment to the Pentagon and Wilkes turned a $4. 8-million
profit, while Wade kept $678,000. Accordi ng to prosecutors i n the C u n n i ngham case,
MZM overbilled the government.
The contracts m u ltiplied, and Wade began to do well on h is own . MZM has received more
FOIA_000134
5/25/2006
than $ 1 50 million in government work since 2002.
As federal dollars poured into MZM, Wade rewarded C u n ningham more lavishly , and this
u ltimately led to their downfall. In November 2003 C un ning ham sold his home i n Del Mar
Heights to Wade for $ 1 . 68 million. Nine months later, Wade sold the house for a $700,000
loss.
This windfall enabled Cu nningham to buy a larger, $2.5-million home in Rancho Santa Fe,
a more exclusive area. As part of these real estate tra nsactions, i n May 2004 Wilkes paid
$525,000 to a mortgage broker, who in turn paid off Cunn ingham's home loan, according
to legal documents.
In J u ne of 2005, the San Diego U n ion-Tribune reported on these sweetheart real estate
deals, and it led to the federal probe of C un ningham.
In November, as C un ningham prepared to plead g u i lty to bribery charges,

Schwarzenegger's staff forced Wilkes to resign his racetrack posts.
Wilkes has put his Poway office building up for sale and has laid off most of his staff.
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5/25/2006
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Hedge funds work to build K St. clout Page 1 of 4
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Cong ress B lo g Hedge funds work to build K St. clout
By Elana Schor
NEWS
C a m p a i g n 2006
Like many growth industries that go a-courting in Congress, hedge
B u s i n es s funds have approached legislative and regulatory hurdles with
& lobbyi n g lobbyists retained and pocketbooks open.
The Executive
U n d e r the D o m e
As hedge funds continue to attract a broader class of investors,
COMMENT however, they are discovering that educating lawmakers
E d itoria l s overcoming one Securities and Exchange Commission (SEC)
letters member's recent admission that "there is no clear definition of what
Op-Eds a hedge fund is" - can be even harder than playing the markets.
D i c k M orris
ON IMMIGRATION, Most hedge funds begin as a pool of rich investors who use their
FOR ONCE, BUSH
UNDERSTANDS
combined wealth to play off falling stocks and securities with "short
WHAT THE PUBLIC sells" and other risky trading moves. But one company, Cerberus
WANTS
Capital Management, is more than just a hedge fund.
A l bert E isele
J o h n F o rt i e r
A n d re w G la ss Cerberus controls the Alamo and National car-rental chains and
B e n G od d a rd Albertson's supermarkets and recently led a group that purchased
David Keene
GMAC, the profitable loan-financing arm of General Motors. When
Josh M a rs h a l l
ly n n Sweet
WorldCom went bust in 2003, Cerberus owned so much of its debt
Byron York that one of the fund's notoriously private executives testified before
POLLSTERS: the Senate Judiciary Committee.
David H i l l
M a r k Mellm a n
In late 2003, when the SEC began moving toward requiring all
FEATURES hedge-fund advisers to register with the agency, Cerberus and other
Ca p i ta l l i v i n g
previously unregulated hedges began fearing harsher new rules to
H i l lsca pe come. In the Senate, independent-minded Banking Committee
Soc i a l Scene Chairman Richard Shelby (R-Ala.) had publicly criticized hedge
Ca pitol
funds' role in misbehavior by mutual funds.
Ambitions
U n co m m o n lives
Resta u r a n t So Cerberus pitched to Shelby in classic Washington style: the fund
Review threw a fundraiser, netting the senator's leadership PAC $99,500 in
Book Reviews
a single day from Cerberus executives and allies. The PAC's total haul
FOIA_000136
httn· //WUlW thph l 1 1 r,{)m/thph i 1 1 /pYn{)rt/TheHi l llNew�!FrontnaQ'e/050406IhedQ'e.htm 1 5/25/2006
, Hedge funds work to build K St clout Page 2 of 4
CLI\SSI FlEDS Feb. 17, 2004, the day of the fundraiser, was $217,750, though it is
unclear from Federal Election Commission (FEC) data how much of
the non-Cerberus contributions were solicited or bundled by fund
executives.
All Ads
Five days before the fundraiser, Cerberus scored a win when then
RESOURCES
Federal Reserve Chairman Alan Greenspan came out against the SEC
PR Newswi re hedge-fund rule, which already had met with skepticism from
Write Your Republicans. Five months after the fundraiser, Shelby voiced qualms
on hedge-fund registration during a hearing with then-SEC
PREVIOUS Chairman William Donaldson, the rule's Republican chief architect.
ISSUES
last Six "I have questions, which I hope to have answered, about whether
adviser registration is the most effective means to address concerns
Hea lthWatch
voiced by the SEC," Shelby said at the July 2004 hearing. Three
weeks after that, though Shelby never publicly opposed the hedge
fund rule, Cerberus executives sent $22,000 in a single day to the
senator's campaign committee.
"I supported Donaldson where I could dealing with the regulation of

hedge funds," Shelby said. "Remember, Greenspan was against it. "
Despite high-profile opposition, the SEC implemented the rules in

2004·
Shelby spokesman Andrew Gray strongly denied that the fundraiser

had any impact on Shelby's actions on the hedge-fund rule, which
has been challenged in court but remains a high priority for the new
SEC chairman, former Rep. Chris Cox (R-Calif.).
''I'll put the fundraiser in perspective in terms of its role in shaping

Shelby's position: none. Absolutely none," Gray said via e-mail. "His
standards come from a philosophical perspective. You will find, time
and time again, that he comes from principled standards in terms of
his philosophical beliefs."
Gray also pointed to Greenspan's counsel against forced hedge-fund

registration, which the economic guru warned could spark a market
downturn. Donaldson had requested that lawmakers hold off on a
legislative solution to unregulated hedging, asking that the SEC be
free to work its will.
Members of Congress made 16 personal visits with Greenspan

between Feb. 17, 2004, and mid-2005, but Shelby was not one of
them, according to Federal Reserve records obtained by The Hill
under the Freedom of Information Act. Banking Committee member
Sen. Chuck Hagel (R-Neb.), whose Banking subcommittee will hold a
hedge-fund hearing May 16, met with Greenspan four times during
that span.
FOIA_000137
1 . . I I 1. 1 1 '11 I .l /rrl _ T T " 1 1 tl.. T _ _ IT--
Ads (
Shelby's office declined to comment on whether Cerberus or the

senator initiated the fundraiser, and Cerberus did not return several �DS C
requests for comment. Shelby's Defend America PAC reimbursed the Cu rveJ
CDS d
fund two weeks after the event for $747 in "catering, car, room 2,300 E
expenses," according to FEC filings obtained through the over 2 ,
nonpartisan Center for Responsive Politics. credit
www . ma
Shelby is not the only congressional leader approached by Cerberus,

which owns a paper company that is the largest private employer in St�trtilJ
tiny Russell County, Ala. USA Today first reported in January that Fund��
Cerberus threw a fundraiser for House Appropriations Committee We pre
service
Chairman Jerry Lewis (R-Calif.) to lobby for continued funding of a
start al
WorldCom defense contract that would benefit the hedge fund. admini
fund.
www,turr
Between November 2003 and April 2004, Cerberus sent $38,000 to
Sen. Orrin Hatch (R-Utah) while the then-Judiciary Committee
chairman spearheaded Senate oversight of WorldCom's emergence
Hedge
from Chapter 11. Cerberus executives also gave $ 12,000 to former Exper!
House Majority Leader Tom Delay's (R-Texas) Americans for a Let the
Republican Majority PAC during the 2004 election cycle. investr
manag
for you
Cerberus has spent $2.13 million on lobbying since 2003 and hired www Jerr
its first in-house lobbyist this year. Cerberus contract lobbyist Craig
Whitney, a former top aide to Cerberus's global investments
chairman, former Vice President Dan Quayle, set up a PAC last year
Compl
called Improve America that receives cash almost exclusively from
Fund
Cerberus investors. Let U s
Hedge
While Cox has begun training SEC inspectors to monitor hedge-fund You , A
www,hec
compliance with the rule, touting more than 2,400 new registrations
since it took effect in February, Cerberus appears to have found an
exemption. The Hedge Fund reportedly has not yet registered, Advertis'
though it may do so in the future.
One securities lobbyist, who spoke on the condition of anonymity

because he represents clients tracking the hedge-fund rule, said
Cerberus took the same approach as any other business seeking new
friends on Capitol Hill.
"The way to do it is, you set up a lobbying arm and get people to go
and lobby and try to push back," this lobbyist said.
He compared the hedge funds' battle to the accounting industry's

public-relations strategy after bookkeeping shortcuts contributed to
the stunning fall of Enron in 2001. While accounting lobbyists
successfully staved off congressional intervention after Enron, the
implosion of WorldCom made the Sarbanes-Oxley corporate
governance law inevitable.
http://www.thehilLcomlthehilVexport/TheHilllNewslFrontpageI050406/hedge.html
FOIA_000138
5/25/2006
Cerberus's hedge-fund competitors also have begun signing contract

lobbyists to prepare for future legislative battles. Moore Capital
Management has hired a team from Wilmer Cutler that includes
Marianne Smythe, a former SEC investment-management director
who also represented Democratic billionaire George Soros, who
made his fortune from hedging. Farallon Capital recently hired the
Normandy Group, a new firm opened by seven departed lobbyists
from Fleischman and Walsh.
Elliott Associates, run by GOP hedge-fund king Paul Singer, retained

powerhouse teams at Mehlman Vogel Castagnetti and Navigant
Consulting to track last year's bankruptcy and asbestos-litigation
bills. Elliott executives boast fundraising skills to rival Soros and
Cerberus, including $92,500 in personal donations from Singer to
the National Republican Senatorial Committee since 2003.
Hedge-fund magnate James Chanos, whose Kynikos Associates

hedge fund already has registered with the SEC, is diverging from the
Cerberus strategy of under-the-radar lobbying with his plans for a
second hedge-fund trade association. Chanos's new coalition could
serve as a counterweight to the Managed Funds Association (MFA),
which criticized the hedge-fund rule during its initial stages.
Andrew Lowenthal, a former Democratic Banking Committee aide,

represents Kynikos through his new shop, Porterfield & Lowenthal.
Lowenthal emphasized that the Chanos coalition is still in its early
stages.
Chanos's "frustration with the way the industry was both perceived
and responded to is why he's trying to form a coalition," Lowenthal
said. " His belief is that one fund by itself is not going to be enough to
play a significant policy role down here [in Washington] ."
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FOIA_000139
1_ ...CL _ _ I
· Rep. Lewis Subject of Federal Probe Page 1 of 2
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Rep. Lewis Subject of Federal Probe
Staff a n d agencies
20 May, 2006 Now H iring Home
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WASH I NGTON - The U . S . attorney's office in Los Angeles has opened
an investigation into House Appropriations Committee Chairman Jerry
Lewis and h is dealings with a lobbyist with connections to disgraced
former Rep. Randy "Duke" Cunningh a m , a person familiar with the Bush is Listenill9
situation said Thu rsday. use big words!
shirts/stickers/mugs/hats/ri
dontblamemeivoted4keny .com
The source, who spoke on condition of anonymity because of the
confidential nature of the investigation, said subpoenas h ad been issued ,
but could not say to whom.
The investigation into Lewis was first reported Thursday by the Los Florida Capitol Advocate
Angeles Times. More than 30 years
experience Florida
legislative advocacy
"Neither I nor any of my staff has been contacted by the Department of
fIoridacapitoiadvocate.com
J ustice with regard to an investigation into my congressional service, "
Lewis said in a statement.
The lobbyist involved is Lewis' longtime friend Bill Lowery, a former

congressman from San D iego who served on the Appropriations
Committee with Lewis before leaving Congress in 1 993 .
Those clients have included ADCS Inc., a San Diego defense

contracting firm founded by Brent Wilkes, an un indicted co-conspirator in
Cunningham's corruption case.
"I h ave never, under any circumstances, told or suggested to someone
FOIA_000140
1_ ....._ . I I. . � . � . . l � �n 1�<>", ... 1",.,r1.,.,. """tn /"lhprl1n /<::t()r1 p.�lindex .nhn?action=fullnews&id=1 88475 5/22/2006
Rep. Lewis Subject of Federal Probe Page 2 of2
seeking federal dollars for a project that they would receive favorable
treatment by making campaign donations," Lewis' statement said . "If I
learned that anyone on my staff made such a suggestio n , they would no
longer be working for me."
"I welcome a thorough review of these projects by anyone," Lewis said .
Messages left for Lowery a n d officials a t h i s lobbying firm were not

immed iately returned Thursday.
A message left for Shockey was not immed iately returned Thursday.
Another Lewis aide, Letitia White, reportedly became a lobbyist for

Lowery in 2003.
© 2006 The Associated Press. All rights reserved .

1 33
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Article Launched : 05/ 1 3/2006 1 2 : 00 : 00 AM PDT
Top l obbyist receives $600,000 severa nce pay

By Lisa Fried man, From our Washington Bureau
WASHINGTON - Cong ressional watchdogs on Friday blasted a $600,000 severance payment

that a lobbying shop with ties to Rep. Jerry Lewis made to one of its partners days before he
assumed a top slot with Lewis on the House Appropriations Committee.
Red lands native Jeff Shockey lobbied Cong ress on behalf of dozens of San Bernard ino and
Riverside county agencies i n his six years with Copeland Lowery Jacquez Denton & White.
Shockey quickly rose to partner, and before leaving in 2005 to become Lewis' deputy staff
d irector, he earned $ 1 . 5 million, making him one of Washington's top lobbyists.
Considering Shockey's salary and stake In the firm, several ethicists said they do not consider a
$600,000 severance payment excessive. At the same time, a multi-million dollar going-away
present from a firm with interests before the committee to an aide with his hands on Cong ress'
pu rse strings troubled many watchdogs.
"I think it stinks," said M ichael Su rrusco, d irector of Common Cause's ethics campaig n .
"Here i s this aide who clearly influences what happens o n the committee. Immed iately before
taking the job he's being paid by a select group of clients and that stinks," he said. "The
system shouldn't allow that to happen."
Ethics questions
Accord ing to published reports, federal prosecutors are examining links between Lewis, who
heads the appropriations panel, and the lobbying firm's founder, former San Diego
congressman William Lowery, In connection with the bribery investigation of convicted Rep.
Randy "Duke" Cunningham.
Lewis vigorously denied any wrongdoing and said he has no knowledge of an investigation. He
condemned Cunningham's behavior as egregious, adding "the standards of integrity I have
followed in my career are a d irect repudiation of the kind of behavior displayed by Mr.
Cunningha m . "
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· Press-Telegram - Top lobbyist receives $600,000 severance pay Page 2 of 4
Shockey, who first worked for Lewis in the 1990s before joining Lowery's firm, is one of two
aides who have traveled between the cong ressman's office and the lobby shop. Shockey's 2005
severance agreement, accord ing to financial d isclosures, included compensation for
und istributed profits, receivables and Six months of calculable revenue from the clients he
brought to Copeland Lowery.
Shockey did not return a call for comment. House Appropriations Committee spokesman John
Schofield said Shockey is being penalized in the press for being financially successful and
honest.
"He had a stake of ownership in a business which he was required under law to d ivest before
he came back to the Hill," Schofield said , adding that Shockey followed "not just the letter of
the law, but the spirit of the law" in publicly detailing his severance package.
"He came back because he believes in Chairman Lewis and what he's about," Schofield sa id.
"The only thing I guess the guy is gu ilty of is being successfu l in the private sector."
Cong ressional Accountability Project Director Gary Ruskin said the size of the payment is
unusual, and underscores the persistent problem of the revolving door between Capitol Hill and
K Street.
Adve rtisement Even other lobbyists were

surprised by the amount.
·Wow," David Turch, a lobbyist In

D.C. since 1987 whose client list
includes a raft of San Bernardino
and Riverside County agencies,
said of Shockey's $600,000
package.
"I should be so lucky, and I own

the firm, H Turch said.
Shockey's history
Shockey attended Ca l State San

Bernardino with a political science
major and later earned a
master's degree in public
admin istration there. He first
joined Lewis' office in 199 1 ,
working a s a legislative director
and a point person on an appropriations subcomm ittee overseeing veterans' and housing that
Lewis then chaired.
Shockey left Lewis for Lowery's firm in 1999. Within months, 10 Riverside and San Bernardino
agencies had flocked to him, some of which severed longtime ties with other D.C. firms. By
2005, Shockey had racked up a lengthy client list, including local water agencies, universities,
the city and county of San Bernardino, Riverside County, and the cities of Red lands, Mu rrieta ,
Loma Linda, Twentynine Palms and Victorville.
The University of Redlands, for example, hired Shockey in J u ly 1999, according to lobbying
reports. Ron Stephany, vice president of university relations, said officials decided to hire a
professional lobbyist for the first time largely based on a positive relationship they had built u p
with Shockey when h e served on Lewis' staff.
Of Shockey, Stephany noted his parents still live in Redlands and said, "He's very interested in
the region, he's very comm itted to the quality of life in this community."
Randy Van Gelder, assistant general manager of the San Bernardino Valley Municipal Water
D istrict, said his agency also hired Copeland Lowery in 2000 after their previous lobbyist
reti red, based on having worked with Shockey In the past.
"It was primarily that we already knew him, we knew he knew how the system works back
there," Van Gelder said . "He is very, very knowledgeable . "
FOIA_000144
httD://www .Dresstelegram.com/ci 3 8 1 7028 5/22/2006
Press-Telegram - Top lobbyist receives $600,000 severance pay Page 3 of 4
Turch, who represented the city and county of San Bernardino as well as the Inland Valley
Development Agency before they switched to Shockey said his firm "scored very high and
delivered. "
Ruskin and Surrusco both said Cong ress has failed to adequately address the revolving door
Issue. An ethics bill that recently passed the House was watered down so that Instead of forcing
a n extended waiting period before lawmakers and aides can lobby their former colleagues, it
merely emphasizes added education of the current regulations.
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" I? ') f') OOt')
Talking Points Memo: by Joshua Micah Marshall May 3 , 2006 1 2 : 1 6 AM Page 1 of 5
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Talking Points Memo

by )oshua Micah M.arshaU
ADVERTISERS MI
« previous I Talking Points Memo Horne I next ») Bio I Adver

Archive I
Contribute
(May 03, 2006 -- 1 2 : 1 6 AM EDT)
SEJ
IT'S REALLY SUCH a small world over at Shirlington Limousine.

That's the always-in-troubl e DC limo outfit which, reportedly,
specialized in carting congressmen and their Agency pals over to Member o'
Brent Wilkes' good-time parties where they played poker, got 810g Ad
Advertise (
ripped and got down with the hookers Wilkes and Shirlington head
blc
honcho Chris Baker, allegedly, also made available.
TPM ME
In case you've forgotten your scorecard at home, Brent W ilkes is the

arch-briber in the Randy
"Duke" Cunningham
scandal. As the Wall Street
Journal first reported back
on April 27th, federal
investigators are looking
WHAT'S Bl
into evidence that, in '17M
addition to cash prizes,
Wilkes may have also set �
Duke up with hookers at
the parties he threw in DC. No sex withal
The Feds also looking into Ads by � Karen Kornbl
what other members of pointed out tt
Congress and intelligence logic behind t
Have h igh cholesterQ11 moms can't v.
officials spent quality time
Need to lower your important job
at Wilkes' hoedowns.
number? Find more The Elephanl
(Wilkes' was apparently
information here. Room
throwing these parties for something like 1 5 years .) WWW . lipitoLcom
Patrick Healy
NYT front-pa!
This Justin Rood post from TPMmuckraker has quotes from Reps. Clintons, Deli
Duncan Hunter (R-CA) and Jerry Lewis (R-CA) denying that they Married and I
partied with Wilkes. And here's the follow-up piece from the What's Your R ealAge? on the State (
Journal in which the CIA concedes that Agency #3 man Dusty Look younger, live longer.
Double Stane
Take the free RealAge
Foggo did party with Wilkes but didn't stick around for the hookers ABC, facing (
test disaster, has
to show up. www . ReaIAge.com
Elizabeth Val
C harlie Gibsc
Anyway, Chris Baker was clearly Wilkes' go-to guy for the anchor the e\
Leukemia & Lymphoma through . . .
Info
n"" ..... _ I__ i"'i _"" .... _ ..."' _ ", ,. ii_ H E LP
http://www .talkingpointsmemo.comiarchives/008350.php
FOIA_000146
5/25/2006
' Talking Points Memo: by Joshua Micah Marshall May 3 , 2006 1 2 : 1 6 AM Page 2 of 5
My colleague
Jahanbegloo
'hospitality suites' notwithstanding the fact that Baker's lawyer told
recently jaile(
the San Diego Union-Tribune that Baker was "never in attendance regime. I folic
in any party where any women were being used for prostitution work for 20 yl
purposes." And, as we discussed late Tuesday, there's something
N. H. ContinL
pretty fishy about the mega-contracts Baker's company managed to Continued: L{
land from the Department of Homeland Security. Maine's Ban£
offers reporte
pursue if anyl
interested in I
But just how is that Wilkes got hooked up with Chris Baker? And
how'd B aker get so wired?
much undero
j.. H E RD L I N E S
.. F E E OlllJ RNE
Well, this evening we got a hold of Shirlington's annual reports filed
with the Commonwealth of Virginia State Corporation
Commission. And, surprisingly enough, for the fIrst several years TPM APPR'
Baker's company was in operation -- specifIcally from 1 995 through
1 999 -- one of the company's directors was a guy with a San Diego
Altercation
Conason
address.
DonkeyRisir
Gadflyer I
He was Jerome Foster. JamesWole<
NewDonl
Washingt·
What was also weird is that, like Wilkes, Foster was a defense Washin
contractor. Foster's Pentech had some sort of energy management
TPM DEPl
technology and they had contracts with the navy, various
governmental jurisdictions and even private sector companies. Kate (
TPM RESEAF
Now, here's where it gets sort of odd. If you've followed the Wilkes
Austin
story, you know that the guy who taught Wilkes how Washington
Ryan C
Josh E
works and has been in the mix with him every since is former Rep.
Bill Lowery (R-CA). Wilkes fIrst spent Asheest
quality time with Lowery back in the
1 980s when one of Wilkes' j obs was to
take Lowery on trips down to Central
America to hang w ith K y le "Dusty"
Foggo and the Contras.
Good fun like that can't last forever, of

course. And in 1 992 Lowery lost his
seat to freshman Rep. Randy "Duke"
Cunningham after the two San Diego
reps were pushed into the same district
and had to run against each other.
Out of work, Lowery decided to become a lobbyist. Here's a piece

from the Union-Tribune about Wil ke s and Lowery and here's
another about Lowery's sweet ammgement with nearby Rep. Jerry
Lewis (R-CA). As Donald Trump might say, they've made a lot of
money together.
Not surprisingly, after Lowery set up his lobbying fIrm Copeland

Lowery & Jacquez, Wilkes hired him to lobby for his company
ACDS. Between 1 998 and 2002, Wilkes paid Lowery's outfIt some
$200,000.
Anyway, strange as it may seem, another one of Lowery's cli en ts

was none other than Jerome Foster's Pentech.
FOIA_000147
Talking Points Memo: by Joshua Micah Marshall May 3 , 2006 1 2 : 1 6 AM Page 3 of 5
All told, I'd say that means that Chris Baker's limousine company
was really popular with businessmen from San Diego looking to
haul down federal defense contracts. Baker was Brent Wilkes', shall
we say, procurement officer, when it came to saucing up and getting
women for members of Congress Wilkes wanted earmarks from.
Another San Diego contractor, Foster, was a director of Baker's
limo company. And both contractors, in tum, were clients of Bill
Lowery.
Enough coincidences like that and you start to think it's not all a
coincidence.
-- Josh Marshall
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FOIA_000148
SignOnSanDiego.com > News > Politics > Randy 'Duke' Cunningham -- Co-conspirator's . . . Page 1 o f4
Weather I Traffic I Surf I
o Maritime Museum
!Jjlndy 'Duke' Cunningham
N ews Co-conspi rato r's poss i b l e l i n ks to

Metro I Latest News
prostitutes eyed
North County
Temecul a / Riverside <!6 SAVE TH I S (!1S2l EMAIL TH I S e� PRINT THIS E-tr MOST POPULAR
Tij u a n a / Border
California
By Dean Cal breath
Nation UNION-TRIBUNE STAFF WRITER
Mexico
April 28, 2006
World
Obituaries
Federal prosecutors are reviewing records of two Washington, D.C., hotels
Today's Paper
where Poway defense contractor Brent Wilkes rented suites as part of their
A P Headl ines investigation into whether prostitutes were involved as he tried to curry
B u s i n es s favor with lawmakers and CIA officials.
Technology
Biotech
Wilkes, whom federal prosecutors have identified as a co-conspirator in the
bribery case of former Rep. Randy "Duke" Cunningham, rented hospitality
In Depth
suites in the capital on behalf of his flagship company, ADCS Inc.
In Iraq
War o n Terror As The San Diego Union

Tribune reported in
Advertisement
Pension Crisis
50th District December, the suites - 0 Next Ten

Special Reports first at the Watergate
M ultimedia Hotel and then at the
Photo G a l l eries
Westin Grand Hotel -
had several bedroOIns
T o p i cs
where lawmakers and
Pol itics
other guests could relax.
M i litary
Science Federal investigators are

Education trying to determine
Health I Fitness whether Cunningham
Features and other legislators
Soluti o n s
brought prostitutes to the
Travel
hotels or prostitutes were
provided for them there,
Opinion
according to a report in
Col umnists
yesterday's Wall Street Journal that was confirmed by the Union-Tribune.
Steve Breen
Forums A source close to the bribery case, who spoke on the condition of
Web logs anonymity because of the ongoing investigation, told the Union-Tribune
that Mitchell Wade, who pleaded guilty in February to bribing
Hll
Services
Weather
Cunningham, told federal prosecutors that he periodically helped arrange Hftf
FOIA_000149
SignOnSanDiego.com > News > Politics > Randy 'Duke' Cunningham -- Co-conspirator's. . . Page 2 of 4
Traffic
for a prostitute for the then-congressman.
Surf Report
Archives
A limousine would pick up Cunningham and a prostitute and take them to
E-mail Newsletters the ADCS hospitality suite, Wade reportedly told investigators. Federal
Wireless I RSS agents are investigating whether other legislators had similar arrangements
Noticias en Enlace with Wilkes or Wade, a business associate of Wilkes who ran his own
Internet Access defense contracting company, MZM Inc.
Wilkes' attorney, Michael Lipman, denies that his client hired prostitutes. THI1l
Toc
Two of Wilkes' former business associates say they were present on several YotJI�
occasions when Shirlington Limousine & Transportation Service of
northern Virginia brought prostitutes to the suite. They say they did not see
lawmakers in the suites on those occasions, though both had heard rumors
of congressmen bringing women to the rooms.
Shirlington's attorney, Bobby S. Stafford, confirmed in a letter that from

the company's founding in 1990 through the early 2000S, Shirlington
President Christopher Baker "provided limousine services for Mr. Wilkes
for whatever entertainment he had in the Watergate."
Stafford's letter stated that Baker was "never in attendance in any party
where any women were being used for prostitution purposes."
Last year, Shirlington won a $21 million contract from the Department of
Homeland Security.
According to the Journal, FBI agents have interviewed women employed

at escort services in Washington, as well as other potential witnesses.
In his guilty plea in November, Cunningham said Wilkes, referred to as

"co-conspirator NO. 1," gave him more than $630,000 in cash and gifts in
order to gain government contracts. Wade, known as "co-conspirator
NO. 2," also named Wilkes in his guilty plea. Wilkes has not been indicted
in the case, and his companies continue to receive money from government
contracts.
Several of Wilkes' former employees and business associates say he used

the hospitality suites over the past 15 years to curry favor with lawmakers
as well as officials with the CIA, where both Wilkes and Wade sought
contracts. Quickli
Wilkes hosted parties for lawmakers and periodic poker games that RestaUr<
included CIA officials as well as members of the House Appropriations and Hotels
Intelligence committees. Cunningham, who sat on both committees, was a Shoppin
frequent guest, according to some of the participants in the poker games. Eldercar
People who were present at the games said one of the regular players was
Kyle Dustin "Dusty" Foggo, who has been Wilkes' best friend since the two Yellow
[I:
attended junior high school in Chula Vista in the late 1960s. In October,
Foggo was named the CIA's executive director - the agency's third-highest
position.
Free N.
Another player was a CIA agent known as "Nine Fingers," so named SfgnOi
because he lost one of his digits while on assignment. '\\:.l,,/'�
IEnter er
"I remember big spreads of food and alcohol, but mostly cigars," said
former Rep. Charlie Wilson of Texas, who attended a couple of the poker
FOIA_000150
· SignOnSanDiego.com > News > Politics > Randy 'Duke' Cunningham -- Co-conspirator's... Page 3 of 4
parties during the 1990S. Cell

F
Wilson said nearly all the poker players at the two games he attended were
CIA officials, including Foggo and Nine Fingers. He said there were no
women or other lawmakers present, but added that he had to leave the
games early "because the cigar smoke was too thick, and I don't deal well
with that."
IJruL(;�
Foggo, who occasionally hosted the poker parties at his house in northern LA JOLl
LA JOLl
Virginia, is under investigation by the CIA's inspector general to determine TENNIS
whether he helped Wilkes gain CIA contracts.
REeE...,·
CIA spokesman Paul Gimigliano said such an investigation is routine when Phonel
POWAY
questions are raised about an official's actions at the agency. MISSIO
CABIN E
"Because the inspector general's review is ongoing, it would be
inappropriate to discuss specific matters that may fall within that review," Lic�rts'
SAN 01
Gimigliano said. "The fact that the inspector general is looking into J . H . CO
something should in no way be seen as lending credibility to any assertion."
M�cC:1!
One of Wilkes' companies, Archer Logistics, won a contract to provide SAN 01
AOVOC.
bottled water, first-aid kits and other supplies to CIA agents in Afghanistan
and Iraq. The company had no previous experience with such work, having LIFE<!!
been founded a few months before the contract was granted. WillI,.
SAN 01
MCAS [
Critics familiar with the contract, valued at $2 million to $3 million, say the
CIA overpaid for the work. The contract was approved by the CIA office in MASSII
Frankfurt, Germany, where Foggo oversaw acquisitions. Foggo did not THERA
ClrcL.
personally sign the contract, however, said unnamed CIA officials who REQI,U:
spoke with Newsweek. LA JOLl
EVANS
"Mr. Foggo maintains that the contracts for which he was responsible were
�TO�
properly awarded and administered," Gimigliano said. SAN Mt
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WSJ.com - Prosecutors May Widen Congressional-Bribe Case Page 1 of 4
THE WALL STREET JOURNAL.

O N L I N E
� OTHER FREE
FEATURES
Prosecutors May Widen
Cracks in Republican
Unity Congressional-Bribe C ase
Republicans run the risk
of losing control of
Congress as party Cunningham Is Suspected
members squabble, Of Asking for Prostitutes;
particularly over
conservatives' spending
\Vere Others Involved?
By SCOT J. PAL TROW
worries. Subscribe to W
April 1 7. 2()()6; Page 1 6
The Baby-Photo
Backlash
(See Corrections & Amplifications item below.)
Self-absorbed parents
have been around
forever, but now with
Federal prosecutors are investigating whether two contractors
just one keystroke, they implicated in the bribery of former Rep. Randall "Duke"
can mass-email photos,
Cunningham supplied him with prostitutes and free use of a
creating a kiddie
overload. limousine and hotel suites, pursuing evidence that could
broaden their long-running inquiry.
Firms Target Besides scrutinizing the prostitution scheme for evidence that
Cellphone
Pornography might implicate contractor Brent Wilkes, investigators are
Many technology focusing on whether any other members of Congress, or their
companies have begun
developing real-time
staffs, may also have used the same free services, though it
monitoring and filtering isn't clear whether investigators have turned up anything to
applications to block
implicate others.
adult content from being
viewed by u nderage
cell phone users.
In recent weeks, Federal Bureau of
Investigation agents have fanned out
across Washington, interviewing
� See More Free women from escort services, potential
Features
witnesses and others who may have
been involved in the arrangement. In
� Go to WSJ.com's an interview, the assistant general
Home Page
manager of the Watergate Hotel
confirmed that federal investigators
� SROWSE WSJ.com had requested, and been given,
FRONT records relating to the investigation
SECTION
PAGES Randy Cunningham and rooms in the hotel. But he
declined to disclose what the records
• News show. A spokeswoman for Starwood Inc., Westin's parent
• Technology company, said she wasn't immediately able to get information
• Markets on whether the Westin Grand had been contacted by
• Personal Journal investigators.
• Opinion
• Weekend & Leisure
• Health
FOIA_000152
Media & Marketing TODA V'S MOST P(

•
Mr. Cunningham, a Republican from San Diego, was
Asia
•
sentenced March 3 to more than eight years in federal prison • Dow's Dive Could Im�
Europe
after he admitted taking $2.4 million in bribes. The bribes
•
Investing
• Americas
were taken in exchange for helping executives obtain large • Vonage I PO Tumbles
contracts with the Defense Department and other federal • Apple's Rivals Need [
Free Dow Jones agencies. Mr. Cunningham, who resigned from Congress in • A Tale of Two Auto PI
Sites November, pleaded guilty to two criminal counts, one of tax
• H-P Lost Faith in Fiori
MarketWatch evasion and one of conspiracy. Merger
CareerJournal
OpinionJournal
In documents filed in federal court in San Diego, prosecutors
StartupJournal
Real EstateJournal
listed four "co-conspirators" in the bribing of Mr. Cunningham. The two who alle!
CollegeJournal the biggest role, listed as co-conspirators No. 1 and No. 2, have been confirmed b)
Department officials and defense lawyers to be Mr. Wilkes and Mitchell Wade, th
former head of MZM Inc., a software and computer-services firm that Mr. Cunnin
to gain federal contracts.
The charges against Mr. Cunningham had alleged that "Co-conspirator # 1 " -- Mr.
given the congressman more than $600,000 in bribes, including paying off a mort!
Cunningham's house.
Mr. Wilkes hasn't been charged with any crime, and people with knowledge of the
say he recently decided he would fight any charges that might be filed rather than
and cooperate with the investigation. Michael Lipman, Mr. Wilkes's lawyer, denie
had been involved in procuring prostitutes. "There was no such conduct. It did not
Lipman said. The lawyer added that "Mr. Wilkes and ADCS strongly believe that
actions have been proper and appropriate. They are confident that the government
the same conclusion."
Mr. Wilkes, of Pohway, Calif., founded a series of companies that obtained federa
including ADCS Inc., which won contracts to convert paper military records to co
Images.
Mr. Wade in February pleaded guilty to giving bribes of more than $ 1 million to 1\
Cunningham, including cash, antiques and payment for yachts. Mr. Wade, who ha
sentenced yet, is cooperating with prosecutors. According to people with knowled
investigation, Mr. Wade told investigators that Mr. Cunningham periodically phor
request a prostitute, and that Mr. Wade then helped to arrange for one. A limousin
picked up the prostitute as well as Mr. Cunningham, and drove them to one of the
originally at the Watergate Hotel, and subsequently at the Westin Grand.
Mr. Wade told investigators that all the arrangements for these services had been r
Wilkes and two employees of Mr. Wilkes's company, according to people with kn
his debriefing. He said Mr. Wilkes had rented the hotel suites and found the limou
who had "relationships" with several escort services. Mr. Wade told prosecutors t1
Mr. Cunningham would contact him to request these services, and he would pass (
to Mr. Wilkes or his employees, who then made the actual arrangement. Mr. Wadt
other times Mr. Cunningham called Mr. Wilkes directly to make the requests.
If investigators find that any other members of Congress or their staffs received se
FOIA_000153
called hospitality suites, that could help make a case that they had illegally taken a
benefit Mr. Wilkes in return for favors from him. Mr. Wilkes, his family members
employees were heavy campaign contributors to several members of Congress. Bl
so far apparently haven't found any evidence that other members of Congress had
Mr. Wade told investigators that he had knowledge only of the service being provi
Cunningham, not anyone else, and has said he doesn't know whether Mr. Wilkes n
provided prostitutes or other free entertainment to anyone besides Mr. Cunninghar
K. Lee Blalack II, Mr. Cunningham's lawyer, said, "I have no comment on that" w
about his client's alleged use of prostitutes. Mr. Cunningham, 64 years old, curren1
undergoing a routine medical evaluation at the Butner Federal Correctional Comp]
Carolina.
People close to the case said prosecutors had hoped that Mr. Wilkes, like Mr. Wad
plead guilty and turn over information relevant to the investigation. Now that he h
he won't do so, prosecutors are hunting for evidence to bolster any potential case a
Meanwhile, prosecutors are looking at whether they can make corruption cases ag,
lawmakers based on Mr. Wilkes's campaign contributions to them. But lawyers ex
campaign-finance and criminal law say such cases are far more difficult to prove t
involving outright bribery. The government must show a direct "quid pro quo" tha
has taken action on a particular bill solely because of a campaign contribution.
Proof of the prostitution scheme, on the other hand, could provide potentially dam
evidence that Mr. Wilkes had taken illegal steps in exchange for legislative favors.
involved in the investigation said.
Write to Scot J. Paltrow at scoLpaltTow@wsj .com
Corrections & Amplifications:
An alleged co-conspiratorin the former congressman Randall "Duke" Cunningharr

lives in Poway, Calif. This article misspelled the name of the city as Pohway.
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'The End of Legal Bribery" by Jeffrey Birnbaum Page 5 of 7

"I've had to get a new supply of red ink," he says.

These retrenchments are minuscule compared to the burgeoning reassessment of

Jeffrey Birnbaum is a columnist and national correspondent for The Washington

The End of Legal Bribery

The earthquake would certainly

At the same time, congressional campaigns must be privately funded. Candidates

When is a bribe not a bribe?

In addition to the difficulty of gathering sufficient incriminating evidence of an

A new supply o f red ink

These retrenchments are minuscule compared to the burgeoning reassessment of

Jeffrey Birnbaum is a columnist and national correspondent for The Washington

Mission Masthead Features Archive Writers Guidelines

This site and all contents within are Copyright © 2006

The End of Legal Bribery

The earthquake would certainly

At the same time, congressional campaigns must be privately funded. Candidates

When is a bribe not a bribe?

contribution, to a public official in exchange for what's known in the trade as an

In addition to the difficulty of gathering sufficient incriminating evidence of an

A new supply of red ink

"I've had to get a new supply of red ink," he says.

These retrenchments are minuscule compared to the burgeoning reassessment of

Jeffrey Birnbaum is a columnist and national correspondent for The Washington

Mission Masthead Features Archive Writers Guidelines

This site and all contents within are Copyright © 2006

The New York Times

Bono, the U2 star, has always been

'We spoke to the good men and

And when he left town , Bono said, those

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Newspaper Ads Online associates.

House Appropriations Committee: http://appropriations.house.gov/

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San Bernardino County Sun - Payment to Lewis staffer studied Page 1 of 4

San Bernardino, CA, 5/25/2006

Link To Article .;:� Print Article Email Article

Article Launched: 05/1 7/2006 12:00:00 AM PDT

Shockey was not identified in the reports as being under investigation.

"I should be so lucky, and I own the firm," Turch said.

Ford recalled Shockey as being a hard , thorough worker.

But they took to each other because they shared topics of

"He is a good distance runner," said Willis, who is now

While running, the pair discussed politics, local issues

"I'm not saying I was the reason it happened," Willis said.

Neither version included any restriction on lobbyists returning to elected office.

Updated: May 25, 2006 12:48:53 AM PDT

iii No unwritten 'code of honor protects children

Lewis Surfaces i n Pro be of C u n n i n g ham

Shockey could not be reached for comment.

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HOME Cozying U p to Power

LaaHl more row

Wilkes a nd h i s associates made their largest federal campaign donations t o House

pilot d u ring the Vietnam War.

Wilkes earned a degree i n accounting and went to work as a CPA.

About a year later, Wilkes formed a competing firm, ADCS I nc.

By 1 997 C u n ningham held a seat on the powerful House defense appropriations

Wilkes became a major p hilanthropist in h is hometown. He a nd h is wife, Regina, pledged

War o n Terror As The San Diego Union