History > 2006 > USA > House of Representatives (III)
House Approves
Power for Warrantless Wiretaps
September 29, 2006
The New York Times
By ERIC LICHTBLAU
WASHINGTON, Sept. 28 — The House voted on Thursday to give
the president the formal power to order wiretaps on Americans without a court
order for 90 days, even as a federal judge in Detroit once again declared the
administration’s program of wiretapping without warrants to be illegal.
The House approved the surveillance measure, 232 to 191, after rejecting efforts
by Democrats and some Republicans to impose greater restrictions on the
wiretapping authority.
It appears all but certain that Congress will not reach an agreement on a final
surveillance bill before its pre-election recess this week.
Senate Republicans held out hope that they would vote on Friday or Saturday on a
bill of theirs that takes a different approach to regulating wiretapping and has
the backing of the White House.
Even if the Senate acts this week, lawmakers agreed, there would not be time
before the recess for House-Senate negotiators to reach an accord on a final
plan, depriving the White House of the chance to sign a bill into law before
Election Day.
The legislation took on greater urgency on Thursday after the court ruling in
Detroit, as Judge Anna Diggs Taylor of Federal District Court gave the
government a week to appeal her decision of Aug. 17 on the wiretapping program
or shut it down.
In her earlier ruling, Judge Taylor had found that the surveillance program that
President Bush approved after the Sept. 11, 2001, attacks was illegal and
unconstitutional, violating First and Fourth Amendment protections by allowing
wiretaps on Americans’ international communications without a court-ordered
warrant.
Judge Taylor reaffirmed that finding after a hearing on Thursday, when she said
that she thought it was unlikely that the United States Court of Appeals for
Sixth Circuit, in Cincinnati, would overrule her. Her decision, she said, was
based on “settled law.”
The Justice Department immediately filed an emergency motion with the appeals
court, asking it to suspend Judge Taylor’s ruling while it considers “the
important legal issues” raised by the case, brought by the American Civil
Liberties Union. Stopping the program while the appeals court considers it would
pose “a drastic risk of harm to the nation,” the department said in its filing.
Representative Peter Hoekstra, the Michigan Republican who leads the House
Intelligence Committee, said the Detroit ruling “underscores the importance of
Congressional approval of legislation to modernize” federal surveillance laws in
the fight against terrorism.
The bill that the House passed on Thursday with Mr. Hoekstra’s backing
formalized the president’s authority to act outside the confines of the Foreign
Intelligence Surveillance Act. Congress passed that act in 1978 in response to
domestic spying on political figures and antiwar protesters.
The bill gives the president the authority to order wiretaps for up to 90 days
without a court order on Americans suspected of having ties to terrorists if the
president determines there is an “imminent threat” to the United States.
Representative Heather A. Wilson, the New Mexico Republican who wrote the
measure, said it would also impose additional Congressional oversight after what
she called the administration’s “inappropriate” failure to brief the full
Intelligence Committees on the surveillance program.
Ms. Wilson said she believed that the bill struck the right balance between
giving the government the tools it needed to fight terrorism and protecting the
privacy and civil liberties of Americans.
“This is not some drift net,” she said.
A bipartisan amendment offered by Representatives Adam B. Schiff, Democrat of
California, and Jeff Flake, Republican of Arizona, sought to limit wiretaps
without warrants to a maximum of 7 days rather than 90. The amendment would
affirm the Foreign Intelligence Surveillance Act as the “exclusive” means of
conducting intelligence surveillance.
Mr. Schiff said in an interview that Ms. Wilson’s bill would effectively gut the
current intelligence law and give the president broad and sweeping authority at
the expense of the courts. His effort failed, 221 to 202. Ms. Wilson’s measure
also faced behind-the-scenes resistance from the Bush administration, which had
pressed her to bring the bill more in line with the Senate version to speed a
final bill, Senate officials said.
The Senate bill would offer a differing and somewhat broader approach to
resolving the issue by submitting the entire surveillance program to the foreign
intelligence court for a one-time review of its constitutionality.
Critics of the approach said it would give the president virtually unchecked
authority if the program were to be declared legal.
Senator Arlen Specter, the Pennsylvania Republican who worked out the compromise
with the White House, said he saw it as the only viable way to ensure some
measure of judicial review over the program.
John Carpenter contributed reporting from Detroit
House Approves
Power for Warrantless Wiretaps, 29.9.2006,
http://www.nytimes.com/2006/09/29/washington/29nsa.html
House clears $70 billion
mostly for Iraq war
Tue Sep 26, 2006 11:03 PM ET
Reuters
WASHINGTON (Reuters) - The U.S. House of Representatives on
Tuesday gave final approval to a massive funding bill for the Pentagon that
provides another $70 billion for the wars in Iraq and Afghanistan.
The Senate was expected to pass the final version of the $447.6 billion bill by
this weekend, sending it to President George W. Bush for his signature.
The House passed it 394-22 with virtually no debate as lawmakers worked to
complete business before breaking to campaign for November elections that will
determine control of Congress.
In a slap at Bush, the bill would bar the administration from using money from
it to construct permanent U.S. military bases in Iraq or to exercise any control
over Iraq's oil sector.
Both the House and Senate have approved that language before, but until this
bill Republicans had stripped it in House-Senate conferences.
Democrats and many Republicans say the Iraqi insurgency has been fueled by
perceptions that the United States has ambitions for a permanent presence in the
country. They have called on Bush to make a policy statement that the United
States has no such plans.
With this bill, Congress will have approved more than $500 billion for the wars,
with the bulk of that spent in Iraq. Lawmakers called the $70 billion a "bridge
fund" to last about halfway through the next fiscal year, which starts on
October 1.
About $23 billion of that is to replace and refurbish equipment worn out in the
harsh environments of the two conflicts.
The bill provides $377.6 billion for the Pentagon's core programs, $4.1 billion
less than Bush wanted but $19 billion above current levels.
It funds a 2.2 percent military pay raise, and provide $557 million more for the
Army Reserve and the Army National Guard than Bush sought.
House clears $70
billion mostly for Iraq war, R, 26.9.2006,
http://today.reuters.com/news/articlenews.aspx?type=politicsNews&storyID=2006-09-27T030312Z_01_N26377365_RTRUKOC_0_US-IRAQ-CONGRESS.xml&WTmodLoc=Home-C5-politicsNews-3
In House Race, Focus Shifts to Security
September 24, 2006
The New York Times
By RAYMOND HERNANDEZ
For much of this year, Representative Nancy L.
Johnson, a moderate Republican from Connecticut, has run the kind of campaign
she has run many times before in this swing district, focusing on domestic
issues like health care and taxes, even as she distanced herself from her
party’s conservative leaders in Congress.
But in recent days, Mrs. Johnson has taken her campaign down a sharply different
path, shifting the battle with her Democratic opponent, Christopher S. Murphy,
to a new front, national security.
The day after the fifth anniversary of the 9/11 attacks, Mrs. Johnson began
showing a television commercial assailing Mr. Murphy, a state senator, as weak
on defense because he has criticized the Bush administration’s program of
warrantless surveillance.
Then, on Monday, Mrs. Johnson stood alongside Senator John McCain, a prisoner of
war in Vietnam and a strong supporter of the war in Iraq, during an appearance
in Danbury, Conn., before military veterans.
“The security of our people is my No. 1 priority,” she told reporters before the
event with Mr. McCain, a Republican of Arizona.
Her campaign has also begun referring to Mr. Murphy as a “Ned Lamont liberal,” a
pointed reference to the antiwar candidate who defeated Senator Joseph I.
Lieberman, a vocal supporter of the Iraq war, in the Democratic primary last
month. Mr. Lamont won her district with 52 percent of the vote.
It has not always been this way for Mrs. Johnson, who in her 12 terms in
Congress — the longest tenure in the state’s history — has earned a reputation
as a serious policy thinker on health care and social programs.
Democrats say her tactical shift shows that the race has tightened and that she
is mounting a negative campaign out of desperation.
But Mrs. Johnson’s new focus on terrorism also shows that Republicans believe
that national security is still a winning issue for them, even in a state where
opposition to the war in Iraq is high, support for President Bush is low and
their candidate is far better known for domestic policy.
Polls show that voters, despite qualms about the president and the war, still
give Republicans an edge in dealing with terrorism.
Mrs. Johnson’s moves coincide with an effort by Mr. Bush to make the case that
tough defense policies have made America safer since the 9/11 attacks, but that
the threats against the nation remain.
Though Mrs. Johnson has kept her distance from Mr. Bush on other issues, she has
begun to echo that message with gusto.
Her district is one of about 40 around the country that are deemed to be in play
as the Democrats try to reclaim control of the House this fall.
Underscoring the importance of the race, the National Republican Congressional
Committee plans to spend $1.2 million on television advertisements supporting
Mrs. Johnson during the final weeks of the race, while the Democratic
Congressional Campaign Committee plans to spend $1.8 million to try to defeat
her.
The new thrust of the Johnson campaign follows a bruising summer in which Mr.
Murphy and at least one prominent liberal group, MoveOn.org Political Action,
spent thousands of dollars seeking to portray her as an entrenched member of a
Congress with ties to special interest lobbyists.
The Johnson campaign asserts that she has often defied her party’s leadership,
on issues including drilling for oil in the Alaska National Wildlife Reserve and
stem cell research.
It also cites endorsements from organizations like the League of Conservation
Voters as evidence of her independence.
Now, though, Republicans say that Mr. Murphy’s criticism of the surveillance
program has provided a golden opportunity to make the election a choice between
two candidates with distinct views on national security and on other issues,
instead of a referendum on the currently unpopular Republican-controlled
Congress.
There is, of course, some risk for Mrs. Johnson in aligning herself more closely
with the president, who in a poll last month by Quinnipiac University received
an approval rating below 30 percent in Connecticut. The poll was conducted
before the president began his public push on national security.
In an interview, Mrs. Johnson would not discuss the politics driving her
decision to put national security at the forefront of her campaign. But again
and again, in simple and stark language, she argued that her opponent failed to
grasp the gravity of the threat.
“He doesn’t understand the need for a tough policy,” she said. “I want my
constituents to know that the threat is real.”
Under the surveillance program, the government, without warrants, has monitored
the international communications of people in the United States.
The Johnson campaign has asserted that Mr. Murphy would force the government to
go through the time-consuming process of getting a court order before
wiretapping communications involving suspected terrorists.
Mr. Murphy has responded that the Johnson campaign is trying to distort his
position, which he said would not cause delays in monitoring suspected
terrorists. The Bush administration, he said, was violating the law by
circumventing existing procedures, which allow the attorney general to authorize
the emergency use of electronic surveillance provided that he subsequently seeks
court authorization within 72 hours.
The campaign debate is so fierce that only an hour after Mrs. Johnson’s event
with Mr. McCain, Mr. Murphy accused her of “playing politics” with national
security.
“I think it’s pretty disgusting that Nancy Johnson has decided to politicize the
9/11 attacks,” Mr. Murphy told reporters.
So far, Mrs. Johnson has pumped much more money into the race than Mr. Murphy,
spending about $1 million compared with roughly $181,000 by him, according to
their latest campaign finance reports. Both campaigns have large reserves of
cash as they approach the final weeks of the race: $2.6 million for Mrs. Johnson
and about $1 million for Mr. Murphy.
The Iraq war has not played as central a role in the contest as it has elsewhere
in the state, where antiwar activists have put Mr. Lieberman and another strong
supporter of the war, Representative Christopher Shays, a Republican, on the
defensive.
The Murphy campaign has raised the issue, criticizing Mrs. Johnson for voting to
authorize the military invasion of Iraq.
But while Mr. Lieberman and Mr. Shays have been outspoken in their support of
the war, Mrs. Johnson has not talked all that much about her position, which is
to support the president.
Beyond that, Mrs. Johnson’s views about what to do in Iraq do not appear to
differ significantly from Mr. Murphy’s. Both are against an open-ended American
military presence in that country, and both argue that Iraqis need to play a
greater role in their own defense so that the United States can begin reducing
the number of troops there.
Mrs. Johnson is opposed to a timetable for withdrawing troops. Mr. Murphy says
that Washington should advance a schedule for withdrawing troops, to prod the
Iraqis into taking greater control of their own security, but that the specifics
of removing troops should be left to American military leaders.
Mrs. Johnson stuck to her strategy through the week, talking about national
security again on Friday during an appearance in Waterbury to accept an
endorsement from a political action committee representing veterans.
In the meantime, the Murphy campaign says it still intends to make Mrs. Johnson
an emblem of the excesses of one-party control in Washington and what it
describes as a Republican penchant for bestowing favors on big campaign
contributors.
In particular, the campaign has cited the acceptance by Mrs. Johnson, one of the
top fund-raisers in Congress, of tens of thousands of dollars in campaign
contributions from the insurance and pharmaceutical industries in 2003, around
the time she helped write legislation adding prescription drug benefits to
Medicare. Democrats have complained that the new drug program would enrich
insurance and drug companies at the expense of the elderly.
But Mrs. Johnson has been aggressively promoting the prescription program and
her work on it.
In an interview, Mr. Murphy said that Mrs. Johnson’s attacks concerning national
security would not resonate with voters because the Republicans have failed to
address other security issues, including ports, and because the war in Iraq has
made the nation less safe.
“It’s familiar ground for them,” he said of the Republicans’ attempts to portray
him and other Democrats as weak on national security. “But it’s much more
dangerous.”
In
House Race, Focus Shifts to Security, NYT, 24.9.2006,
http://www.nytimes.com/2006/09/24/nyregion/24johnson.html
Editorial
Keep Away the Vote
September 21, 2006
The New York Times
One of the cornerstones of the Republican
Party’s strategy for winning elections these days is voter suppression,
intentionally putting up barriers between eligible voters and the ballot box.
The House of Representatives took a shameful step in this direction yesterday,
voting largely along party lines for onerous new voter ID requirements. Laws of
this kind are unconstitutional, as an array of courts have already held, and
profoundly undemocratic. The Senate should not go along with this cynical,
un-American electoral strategy.
The bill the House passed yesterday would require people to show photo ID to
vote in 2008. Starting in 2010, that photo ID would have to be something like a
passport, or an enhanced kind of driver’s license or non-driver’s
identification, containing proof of citizenship. This is a level of
identification that many Americans simply do not have.
The bill was sold as a means of deterring vote fraud, but that is a phony
argument. There is no evidence that a significant number of people are showing
up at the polls pretending to be other people, or that a significant number of
noncitizens are voting.
Noncitizens, particularly undocumented ones, are so wary of getting into trouble
with the law that it is hard to imagine them showing up in any numbers and
trying to vote. The real threat of voter fraud on a large scale lies with
electronic voting, a threat Congress has refused to do anything about.
The actual reason for this bill is the political calculus that certain kinds of
people — the poor, minorities, disabled people and the elderly — are less likely
to have valid ID. They are less likely to have cars, and therefore to have
drivers’ licenses. There are ways for nondrivers to get special ID cards, but
the bill’s supporters know that many people will not go to the effort if they
don’t need them to drive.
If this bill passed the Senate and became law, the electorate would likely
become more middle-aged, whiter and richer — and, its sponsors are anticipating,
more Republican.
Court after court has held that voter ID laws of this kind are unconstitutional.
This week, yet another judge in Georgia struck down that state’s voter ID law.
Last week, a judge in Missouri held its voter ID law to be unconstitutional.
Supporters of the House bill are no doubt hoping that they may get lucky, and
that the current conservative Supreme Court might uphold their plan.
America has a proud tradition of opening up the franchise to new groups, notably
women and blacks, who were once denied it. It is disgraceful that, for partisan
political reasons, some people are trying to reverse the tide, and standing in
the way of people who have every right to vote.
Keep
Away the Vote, NYT, 21.9.2006,
http://www.nytimes.com/2006/09/21/opinion/21thu1.html
House panel backs Bush on detainees
Wed Sep 20, 2006 10:58 PM ET
Reuters
By Thomas Ferraro and Vicki Allen
WASHINGTON (Reuters) - In a dramatic reversal,
a U.S. House of Representatives panel on Wednesday endorsed President George W.
Bush's plan for tough interrogations and trials of foreign terrorism suspects
after Republicans rounded up enough members to turn defeat into victory.
Embarrassed Republicans on the House Judiciary Committee were forced to hold a
second vote to pass Bush's bill after losing the first one to Democrats and a
couple of defecting Republicans. They then mustered absent members to eke out a
20-19 majority to send the bill to the House floor.
On another national security issue before the November 7 congressional
elections, the House Judiciary and Intelligence committees, on separate votes,
narrowly approved legislation to impose new rules on Bush's warrantless domestic
spying program.
Both measures are certain to be hotly debated in the House and Senate before
members go home in October to campaign for re-election.
The committee vote on the interrogations measure reflected divisions among House
Republicans over Bush's bill, as moderates and a few conservatives questioned
whether Bush's plan would backfire on U.S. personnel in future wars and whether
it met U.S. judicial standards.
Bush wants the authority from Congress to allow a program of CIA interrogations
and detentions that critics have said amount to torture. The White House denies
the program involves torture. The U.S. Supreme Court in June struck down Bush's
original plan.
House Majority Leader John Boehner of Ohio shrugged off the Republican
defections and called Democrats' opposition "just one more in a long line of
troubling actions that weaken our ability to wage and win the Global War on
Terror."
The White House is trying to reach a compromise with a group of rebelling Senate
Republicans over the bill, Without a deal, his measure faces almost certain
defeat in the Senate as Democrats and a number of Republicans say it would allow
abusive interrogations and unfair trials.
The U.S. general who oversees the Guantanamo prison for terrorism suspects urged
Congress on Wednesday to offer clear guidance on what interrogation techniques
are prohibited under international accords barring inhumane treatment of war
prisoners.
Gen. Bantz Craddock, outgoing chief of the Miami-based U.S. Southern Command,
said military interrogators needed a precise definition of what constituted
"outrages on personal dignity" -- prohibited under Common Article 3 of the
Geneva Conventions.
DEBATE ON SURVEILLANCE
Republican backers of Bush's warrantless domestic spying program said the new
legislation would update surveillance laws, bolster oversight and spell out when
and how a president can order such surveillance without a court order.
Opponents, mostly Democrats, said the legislation would expand presidential
powers and threaten civil liberties.
The bill now goes to the full House. The Senate is struggling to agree on a
surveillance measure of its own.
Critics charge the surveillance program, begun shortly after the September 11
attacks, violates the law requiring warrants for eavesdropping on suspects
inside the United States.
A federal judge recently ruled the program illegal. The case is expected to end
up in the Supreme Court after Bush appealed, arguing he had the inherent power
to do it.
Bush has been accused of surpassing his authority in a number of areas since the
September 11 attacks, including the indefinite detention and harsh treatment of
foreign terrorism suspects and overly aggressive counterterrorism measures
domestically.
(Additional reporting by David Morgan and Joanne Kenen)
House
panel backs Bush on detainees, R, 20.9.2006,
http://today.reuters.com/news/articlenews.aspx?type=newsOne&storyID=2006-09-21T025754Z_01_N20234847_RTRUKOC_0_US-SECURITY-GUANTANAMO-VOTE.xml&WTmodLoc=Home-C1-TopStories-newsOne-2
In Case Against Politician, a Tale of Friendship,
Ambition and Betrayal
September 16, 2006
The New York Times
By CHRISTOPHER DREW
LOUISVILLE, Ky. — In July 2005, Vernon L. Jackson returned
home to Louisville from Washington, where he had just met with Representative
William J. Jefferson, the Louisiana Democrat who had been helping promote his
fledgling digital-technology company. David Harper, a lawyer for the company,
said he had never seen Mr. Jackson so demoralized.
For nearly five years, the inventor and the congressman had carried the message
that Mr. Jackson’s company, iGate, could help close the “digital divide” by
delivering high-speed Internet access to poor blacks around the world.
They had flown to Africa to seek business opportunities, and they had talked up
iGate to potential partners at the Kentucky Derby and the United States Open
tennis tournament in New York.
But now, with iGate starved for cash, Mr. Jackson was convinced that Mr.
Jefferson, his “friend on the Hill,” was about to betray him, Mr. Harper
recalled.
Over breakfast at the Grand Hyatt Hotel, the congressman had made a proposal
that, in Mr. Jackson’s view, was tantamount to theft: in return for a quick
infusion of cash, Mr. Harper said, Mr. Jefferson and his investors would take
control of iGate and its promising broadband patents while easing Mr. Jackson
aside and cutting off most of the company’s creditors.
Unbeknownst to the two men, the Federal Bureau of Investigation had been
monitoring their dealings. Less than three weeks later, agents raided Mr.
Jefferson’s homes, in Washington and in New Orleans, and found stacks of cash
stuffed in a freezer.
Mr. Jackson, 54, has pleaded guilty to paying more than $400,000 in bribes for
Mr. Jefferson’s help; on Sept. 8, he was sentenced to seven years in prison. An
F.B.I. search of the congressman’s office last May set off a showdown between
Congress and the Justice Department. Mr. Jefferson has denied any wrongdoing and
remains under investigation.
In recent months, the outlines of the case have emerged in court filings and
news reports. But an examination of court records and dozens of internal iGate
documents, as well as interviews with a number of Mr. Jackson’s associates,
offers a far clearer picture of the relationship between the two men, and of how
Mr. Jefferson went from helping a small company to trying to take it over for
his family’s benefit.
Mr. Jefferson, 59, grew up poor on a cotton farm yet became one of the most
prominent black members of Congress, with a seat on the powerful Ways and Means
Committee. He developed a reputation for nurturing black entrepreneurs, like Mr.
Jackson, and working to expand trade with Africa.
Jobs for Family Members
Soon after meeting Mr. Jackson in late 2000, Mr. Jefferson prodded the Pentagon
to test one of iGate’s products, documents show. He recruited investors and did
favors for iGate’s leading supplier. He also lobbied political leaders in
Nigeria, Ghana and Cameroon to include iGate in telecommunications projects,
while repeatedly urging the Export-Import Bank of the United States to finance
the deals.
And each time the company seemed poised to take off, records show, Mr. Jefferson
sought a greater share of the potential profits for his family.
His wife, Andrea, had a marketing contract with iGate; their eldest daughter did
legal work for iGate and one of its investors; and Mrs. Jefferson’s
brother-in-law was iGate’s chief engineer. Even before the congressman brought
up the takeover proposal, he had arranged for a consulting firm owned by his
wife and five daughters to receive nearly 31 million shares of iGate stock,
roughly a quarter of the company, at no cost, documents show.
The F.B.I. has said that Mr. Jefferson also sought a substantial share of
profits made by iGate’s partners in a Nigerian venture, and that a complaint
from one of those investors prompted the investigation.
“Greed is one thing,” said William A. Warner, a former I.B.M. executive who had
a contract to market iGate’s products. “But this guy took it to another level.”
Mr. Jefferson’s lawyer, Robert P. Trout, said that given the investigation, the
congressman and his family would not discuss their dealings with iGate. Mr.
Jefferson, who is seeking a ninth term in office, said earlier this year that
his family’s dealings with Mr. Jackson were legitimate, and that when “all is
said and done, you will see that there is an honorable explanation for
everything.”
But in his guilty plea, Mr. Jackson asserted that iGate’s payments to the
family’s consulting firm amounted to bribes for Mr. Jefferson’s help. He also
said he believed that if he had stopped paying, Mr. Jefferson would have quit
helping him.
Mr. Jackson, a boisterous man as big as a football lineman, has been cooperating
with federal authorities. In a recent interview, he declined to talk about
details of the case. But he said that while he had lost an earlier company to
chicanery by business associates, “I didn’t think it was going to happen to me
in dealing with someone in government.”
Several of Mr. Jackson’s associates described him as an innovative engineer, if
a bit naïve about business.
As a minority student with top science scores, he was recruited in high school
by Bell Labs, which paid for him to get an associate’s degree in electronics.
After rising over 20 years to senior engineer, Mr. Jackson said he retired and
started a company to develop videoconferencing from desktop computers.
The collapse of that business led him to start iGate in 1998, with a focus on
delivering high-speed Internet access over the old copper phone wires. Mr.
Jackson said he thought military bases, corporate campuses, hospitals and
schools would be able to use iGate’s relay boxes to send graphics and streaming
video to outlying buildings without expensive fiber-optic lines. He also hoped
to interest the phone companies.
Vying for an Army Contract
Mr. Jackson and Mr. Jefferson were introduced in late 2000 by a Washington
consultant, Jack W. White, who had been hired to sell iGate’s technology to the
Army. Mr. Jefferson soon called an Army official to his office to press for a
test of the device, which supported iGate’s claims about data-transfer speeds.
In early 2001, the congressman told Mr. Jackson that he could not provide any
more help, according to court documents filed in connection with the F.B.I.’s
search of the congressman’s office and Mr. Jackson’s guilty plea. Instead, he
recommended hiring the ANJ Group, a consulting firm just incorporated under the
names of his wife and his daughters.
The women were hardly marketing professionals: Mrs. Jefferson was vice
chancellor of the New Orleans campus of Southern University, and while the
Jeffersons’ oldest daughter was a lawyer, the others were still in school. Even
so, iGate’s agreement with ANJ provided for payments of $7,500 a month, plus 5
percent of any money it raised from investors and 5 percent of sales over $5
million it made for iGate. Mr. Jackson also gave ANJ 100,000 shares of stock and
options for a million more.
Former iGate officials said Mrs. Jefferson made at least two marketing contacts
in Louisiana, with a telephone company and a university, though nothing came of
them. But, the officials said, it was her husband who kept driving most of the
action.
Over dinner in New Orleans that spring, he and Mr. Jackson persuaded five men,
mostly Jefferson campaign donors, to invest $375,000 total. One of them, Lloyd
L. Villavaso, said he had left feeling an iGate contract with the Army was
“pretty much a done deal.”
By mid-2002, Mr. Jackson had persuaded a unit of Siemens, the German
conglomerate, to manufacture iGate’s devices. Mr. Jefferson attended iGate’s
annual shareholder meeting with a Siemens executive and an Army testing
official, and that summer, Siemens invited Mr. Jackson to a stock-car race,
where iGate’s slogan, “Communications in Motion,” was painted on two cars.
The congressman later did several favors for Siemens, at Mr. Jackson’s request.
Mr. Jefferson offered, for example, to arrange for the company’s chief executive
to be taken to the front of the customs line when he flew in from Germany, and
he set up a meeting with Army officials about possible contracts, said Paula
Davis, a spokeswoman for Siemens USA.
Reaching Out to Nigeria
Africa was another promising market, former iGate officials said, because few
countries there could afford fiber-optic lines. In June 2003, the congressman
introduced Mr. Jackson to officials at Netlink Digital Television, a Nigerian
company that agreed to invest $45 million to use iGate’s products in Africa. At
this point, Mr. Jackson was developing a new product, a “triple play” switch
that could deliver voice, data and video communications to home and business
consumers. Netlink was to put up $6.5 million and finance the rest, with Mr.
Jefferson’s help, through the Export-Import Bank.
As Mr. Jackson began gearing up, Mr. Jefferson moved to increase his family’s
stake: in late July 2003, court papers show, he presented Mr. Jackson with an
amendment to the ANJ contract, giving the firm 35 percent of iGate profits in
Africa.
But relations soured with the Nigerian company, and by early 2004, Netlink was
demanding some money back. The F.B.I. said Mr. Jefferson had also expected to
receive a share of Netlink’s profits. Agents found a letter the company’s lawyer
had sent the congressman that May, accusing him of breaking Nigerian laws.
In June 2004, Brett M. Pfeffer, a former aide to Mr. Jefferson, introduced him
to a Virginia investor, Lori A. Mody, who ran a foundation that supplied
technology to public schools. When Ms. Mody wired iGate $3.5 million for a new
Nigerian deal, it looked as if the company was finally starting to click.
Mr. Jackson’s original device had passed a field test at Fort Stewart, Ga., and
Fort Sam Houston in Texas was about to begin what would become another
successful test. Siemens had installed the technology in security systems at
Howard University and Ronald Reagan Washington National Airport. That August,
after the company demonstrated the triple-play switch, a top research official
at SBC Communications, which later merged with AT&T, asked in an e-mail message
to an iGate engineer how the company had managed to surpass an industry
standard.
On Aug. 20, 2004, company records show, iGate granted the ANJ Group 30 million
shares of stock. And that Labor Day weekend, said Ms. Davis, the Siemens
spokeswoman, Siemens treated the congressman, Mr. Jackson and their wives to a
weekend in New York, including airfare, lodging and tickets to the United States
Open and “The Lion King.”
An Informer Wears a Wire
But before long, nearly all of iGate’s sales initiatives had stalled or begun to
crumble. The Army had to pay for the war in Iraq and the fight against
terrorism. The biggest phone companies had decided to extend their fiber-optic
networks or develop triple-play switches with other suppliers.
Ms. Mody, meanwhile, had become suspicious, and in March 2005, she agreed to
wear a wire for the F.B.I.
Over the next several months, she recorded conversations in which Mr. Jefferson
pushed for 30 percent of her profits. According to court documents, he suggested
that 3o percent go to a Nigerian company owned by his daughters, and that both
his sons-in-law be involved in the deal. The F.B.I. said he asked Ms. Mody for
$100,000 to bribe Nigeria’s vice president, and agents found nearly all of it in
his freezer.
The wire also captured the congressman telling Ms. Mody that he was frustrated
with how Mr. Jackson was running iGate, and asking her to help ANJ buy a
controlling interest and replace Mr. Jackson. According to the F.B.I., he told
Ms. Mody, “I’m in the shadows, behind the curtain.”
Three days later, on July 15, 2005, at the Washington breakfast, the congressman
revealed his takeover plan to Mr. Jackson, proposing that iGate be merged into a
new company, with Mr. Jackson’s ownership shrinking to 3 percent from 60
percent, said Mr. Harper, the iGate lawyer. Mr. Jackson was offered an
incentive: $500,000 in cash and two years on the company’s payroll, at a total
additional salary of $1 million. But he rejected the deal, Mr. Harper said.
Since the case became public that August, Mr. Pfeffer, the former Jefferson
aide, has pleaded guilty to conspiracy charges. IGate has rescinded nearly all
the Jefferson family’s stock grants. Siemens has severed its ties with Mr.
Jackson, and iGate has closed its offices and furloughed its staff.
But even with his looming prison term, which could be reduced if he continues to
cooperate, Mr. Jackson has not given up on his dream of providing broadband
access both here and in the developing world. He remains disappointed in how
slowly the phone companies have upgraded broadband services, and he continues to
talk to investors about providing more bandwidth over leased phone or power
lines, he said.
He has also become a minister at the Spirit of Peace Missionary Baptist Church
here.
The pastor, R. Z. Miller, said that at first he was afraid the scandal might
have set Mr. Jackson on “a run for the cross.” But he said Mr. Jackson recently
preached about his struggle to embrace forgiveness and atone for his mistakes.
“I told Vernon that even though I teach forgiveness,” Mr. Miller said, “I don’t
know if I could really forgive like he has.”
In Case Against
Politician, a Tale of Friendship, Ambition and Betrayal, NYT, 16.9.2006,
http://www.nytimes.com/2006/09/16/washington/16jefferson.html?hp&ex=1158465600&en=84a525551079c293&ei=5094&partner=homepage
Lawmaker Admits He Took Illegal Gifts
September 16, 2006
The New York Times
By PHILIP SHENON
WASHINGTON, Sept. 15 — Representative Bob Ney of Ohio
admitted Friday that he had effectively put his office up for sale to corrupt
Washington lobbyists and a foreign businessman in exchange for illegal gifts
that included lavish overseas trips, the use of skyboxes at sports arenas in the
Washington area and thousands of dollars worth of gambling chips from London
casinos.
In a plea agreement announced by the Justice Department, Mr. Ney, a six-term
Republican who once seemed poised to rise far in the House leadership, admitted
to a wide-ranging criminal conspiracy and to making false statements about the
gifts.
With the agreement, Mr. Ney became the first member of Congress to acknowledge
criminal acts in the investigation of the former superlobbyist Jack Abramoff, an
inquiry that threatens to ensnare other Republican lawmakers and dim the party’s
hopes in the November elections.
Although Mr. Ney could face up to 10 years in prison, federal prosecutors said
they would recommend a 27-month sentence for the lawmaker, who announced last
month that he was abandoning his campaign for another term. He could also face
up to $500,000 in fines.
Mr. Abramoff, once a leading fund-raiser for the Republican Party, pleaded
guilty in January to conspiring to corrupt public officials, including Mr. Ney.
In a statement released by his lawyers, Mr. Ney, 52, suggested that his criminal
acts were related to alcoholism.
“I have come to recognize that a dependence on alcohol has been a problem for
me,” said Mr. Ney, who friends say entered an in-patient alcohol-treatment
facility this week. “I am not making any excuses, and I take full responsibility
for my actions.”
He said the plea agreement “will enable me to accept responsibility for what I
have done, to start repairing the damage I have caused and to start healing my
family.”
After several months with little public activity in the two-year-old
investigation into Mr. Abramoff’s lobbying operation, Mr. Ney’s plea agreement
offered new ammunition to Democratic political strategists hoping to end
Republican control of the House and Senate this fall.
The House Democratic leader, Representative Nancy Pelosi of California, said Mr.
Ney’s plea agreement was proof of “what we have long said: the Republican
culture of corruption has pervaded Congress.” Speaker J. Dennis Hastert,
Republican of Illinois, said, “The illegal behavior that Congressman Bob Ney has
admitted doing was unacceptable.”
In the plea agreement, Mr. Ney admitted that he had “corruptly solicited and
accepted a stream of things of value” from Mr. Abramoff and his lobbying
partners. Those partners included Neil G. Volz, Mr. Ney’s former chief of staff,
who pleaded guilty to similar conspiracy charges in May.
The list of illegal gifts accepted by Mr. Ney from Mr. Abramoff’s lobbying
operation was long: an all-expense-paid golfing trip to Scotland in 2002; a
gambling vacation in New Orleans in 2003; meals and drinks at restaurants in and
around Washington, mostly at one owned by Mr. Abramoff on Pennsylvania Avenue;
and large campaign contributions “from Abramoff’s clients for whom Ney had
agreed to perform official acts.”
The official acts, the Justice Department said, included Mr. Ney’s efforts to
insert language in House bills to aid Mr. Abramoff and his clients, as well as
to place statements in the Congressional Record on their behalf.
The plea agreement suggests that Mr. Ney may have done his most important favor
to Mr. Abramoff in 2001 and 2002 when he helped direct a multimillion-dollar
Congressional contract to one of Mr. Abramoff’s lobbying clients, a technology
company that was contracted to install the infrastructure for wireless telephone
service in the House.
In 2002, Mr. Ney admitted, he introduced an amendment in the House to allow a
“foreign-beverage-distiller client of Abramoff’s lobbying firm” to label its
alcohol as “made in Russia” when in fact it was to be distilled in a former
Soviet Republic outside of Russia.
Mr. Ney also admitted accepting thousands of dollars in gambling chips from a
foreign businessman who was not named in the court papers but had previously
been identified by government officials as Fouad al-Zayat, the Syrian-born owner
of an aviation company in Cyprus that sought Mr. Ney’s help in Washington.
In its court papers, the Justice Department said Mr. Ney traveled twice to
London — in February and August 2003 — to meet with the businessman, who wanted
Mr. Ney’s help in easing an American embargo that barred the sale of airplanes
and aviation parts “in a foreign country,” previously identified as Iran; he
also wanted Mr. Ney’s help in obtaining an American visa.
During both trips, prosecutors said, Mr. Ney received thousands of dollars worth
of chips from London casinos that the lawmaker then parlayed, through his
gambling, into an estimated $50,000 — most of it, $47,000, on the August trip.
On returning home in August, the plea agreement said, Mr. Ney gave about $5,000
to a staff member to carry so the lawmaker “could carry and report a lower
dollar amount to Customs Services officials upon re-entry into the United
States.” On his customs form, Mr. Ney reported that he was bringing only $32,000
into the country. The court papers did not explain the $10,000 discrepancy.
Lawmaker Admits He
Took Illegal Gifts, NYT, 16.9.2006,
http://www.nytimes.com/2006/09/16/us/16ney.html
House Republicans Will Push for 700 Miles
of Fencing on Mexico Border
September 14, 2006
The New York Times
By RACHEL L. SWARNS
WASHINGTON, Sept. 13 — House Republicans
announced Wednesday that they would move swiftly to pass legislation requiring
the Bush administration to build 700 miles of fencing along the Mexican border
to help stem the flow of illegal immigrants and drugs into the United States.
The legislation, which is expected to go to the House floor for a vote on
Thursday, would require construction of two layers of reinforced fencing along
stretches of California, Arizona, New Mexico and Texas that are considered among
the most porous parts of the border.
It would also require officials of the Department of Homeland Security to
establish “operational control” over all American land and sea borders by using
Border Patrol agents, fencing, satellites, cameras and unmanned aerial vehicles.
The bill is the first in a series of border security measures House Republicans
have promised to pass before the midterm elections in November.
The House majority leader, Representative John A. Boehner, Republican of Ohio,
hailed the legislation as “a critical step towards shutting down the flow of
illegal immigration into the United States.”
Democrats promptly criticized the plan as political grandstanding intended to
energize conservative voters before the elections.
The House passed a nearly identical fencing provision as part of a border
security bill in December. Michael Chertoff, the homeland security secretary,
has publicly raised doubt about the effectiveness of border fencing,
particularly in remote desert areas.
While the Senate easily approved 370 miles of border fencing in its own
immigration bill in May, it is unclear whether the two chambers will be able to
reach agreement on the issue before Congress recesses this month. House leaders
have said they will not support the Senate bill, which would create a guest
worker plan and put millions of illegal immigrants on a path to citizenship in
addition to toughening border security.
Jennifer Crider, a spokeswoman for the House Democratic leader, Representative
Nancy Pelosi of California, dismissed the fence bill as partisan politicking.
“Republicans have a record of failure on border security,’’ Ms. Pelosi said,
“and this is their attempt to cover up that record.’’
House Republicans countered that immigration hearings held across the nation in
August showed that Americans expected Congress to toughen border security,
particularly while the country remained under threat of terrorist attacks.
Congressional staff members predicted that some House Democrats, especially
those from border states, would support the fencing bill.
The barriers, which are to be accompanied by additional lighting, cameras and
ground sensors, would be built near Tecate and Calexico on the California
border; Columbus, N.M.; and El Paso, Del Rio, Eagle Pass, Laredo and Brownsville
in Texas.
House Republicans have also proposed counterfeit-proof Social Security cards for
citizens and immigrants searching for work, measures that would require the
deportation of immigrants linked to Central American gangs and an increase in
the number of Border Patrol agents as part of their border security agenda.
“The first priority of the American people is secure borders,’’ said
Representative Peter T. King, Republican of New York, who is the chairman of the
House Homeland Security Committee.
House Republicans said they were encouraged by what they called the success of a
14-mile fence at San Diego that was mandated by Congress in 1996. Crime rates
have dropped by 47 percent since the fence was constructed, they said, and the
number of illegal immigrants captured dropped to about 9,000 in 2005 from about
200,000 in 1992.
Amy Call, a spokeswoman for the Senate majority leader, Bill Frist of Tennessee,
said Senate Republicans would consider the legislation.
“The leader believes very strongly that we need to secure the border,’’ Ms. Call
said. “We’ll look at all options to do that.’’
Senator Jeff Sessions, the Alabama Republican who championed the fencing
provision in the Senate, praised House Republicans for pushing ahead with the
legislation. Mr. Sessions said he was concerned that the Senate proposal, which
had been attached to the military appropriations bill, might not receive
adequate financing.
“They’ve put forth a strong barrier bill,’’ Mr. Sessions said of House
Republicans. “It’s time for us to complete the job.’’
House
Republicans Will Push for 700 Miles of Fencing on Mexico Border, NYT, 14.9.2006,
http://www.nytimes.com/2006/09/14/washington/14immig.html
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