As has been noted before, the multitude of scandals in DC are starting to intertwine. The NYT reports today that one aspect of the Abramoff investigation is looking into the outplacing of Congressional staffers into the fold of the K Street lobbying firms.
With a federal corruption case intensifying, prosecutors investigating Jack Abramoff, the Republican lobbyist, are examining whether he brokered lucrative jobs for Congressional aides at powerful lobbying firms in exchange for legislative favors, people involved in the case have said.The attention paid to how the aides obtained jobs occurs as Mr. Abramoff is under mounting pressure to cooperate with prosecutors as they consider a case against lawmakers. Participants in the case, who insisted on anonymity because the investigation is secret, said he could try to reach a deal in the next six weeks.
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Investigators are said to be especially interested in how Tony C. Rudy, a former deputy chief of staff to Representative Tom DeLay of Texas, and Neil G. Volz, a former chief of staff to Representative BobNey of Ohio, obtained lobbying positions with big firms on K Street.
The hiring pattern is "very much a part of" what prosecutors are focusing on, a person involved in the case said. Another participant confirmed that investigators were trying to determine whether aides conducted "job negotiations with Jack Abramoff" while they were in a position to help him on Capitol Hill.
Prosecutors are trying to establish that "it's not just a ticket to a ballgame, it's major jobs" that exchanged hands, the participant in the case said. Also under examination are payments to lobbyists and lawmakers' wives, including Mr. Rudy's wife, Lisa Rudy, whose firm, Liberty Consulting, worked in consultation with Mr. Abramoff, people involved in case said.
IF Abramoff is induced to flip, all hell could break loose on Capitol Hill. The Repugs are hip deep in this (the Dems are in it about up to their arches, by comparison... the one advavtage of being the party out of power is that your soul has no value, even if you WANT to sell it!)
Several people involved in the case, insisting on anonymity because of the plea negotiations, said they anticipated that Mr. Abramoff would try to reach an agreement with the prosecutors in a rapidly closing window of time before he is scheduled to stand trial in a separate federal case in Florida.
Mr. Abramoff and another business partner, Adam Kidan, were indicted in August on charges of wire fraud and conspiracy for reportedly defrauding their lenders as they sought to buy a company in Miami, SunCruz Casinos, that operated a fleet of gambling boats.
That trial is to begin on Jan. 9.
A lawyer for Mr. Abramoff in the case, Neal R. Sonnett, declined to comment on whether his client is conferring with prosecutors, indicating that he is moving ahead as though there will be no plea agreement.
"I'm preparing for trial," Mr. Sonnett said.
The Senate hearings uncovered many patterns of Mr. Abramoff's activities, including his offering favors to officials while making deals on government work. In one case, a former senior Interior Department official, J. Steven Griles, testified that Mr. Abramoff had offered him a position at Greenberg Traurig while Mr. Griles was in a position to affect decisions involving Mr. Abramoff's Indian clients. Mr. Griles said he reported the offer to his department's ethics division and rejected it.
Prosecutors are trying to determine whether Mr. Abramoff made similar overtures to other well positioned government workers, especially former aides to Republican leaders in of the House and Senate. Such gestures could be considered as bribery or a conflict of interest, especially if the interests of the two parties were entangled.
Of particular interest, according to several people involved in the case, are how Mr. Rudy, who left Mr. DeLay's office in 2001 to join Greenberg Traurig, and Mr. Volz, who left Mr. Ney's office in 2002 for that firm, obtained their positions. Investigators believe Mr. Abramoff may have solicited help from both men and their supervisors on Capitol Hill while helping arrange for high-paying positions, people familiar with case said.
Mr. Rudy now works for the Alexander Strategy Group, a lobbying firm run by Ed Buckham, another former senior aide to Mr. DeLay. Alexander Strategy is also under scrutiny for its ties to Mr. Abramoff and for putting Mr. DeLay's wife, Christine, on its payroll for several years.
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Hiring patterns offer a rich and complicated field for investigators. Congressional staff members routinely leave for the private work, with the sole prohibition a one-year ban on lobbying their former supervisors. Mr. DeLay is so renowned for funneling his skilled staff members into lobbying firms across Washington that his political network is known as "DeLay Inc."
Although Mr. DeLay was reprimanded by the House Ethics Committee in the late 90's for pressuring a lobbying firm to hire a Republican, the practice has become so standard in an era of Republican dominance that partisans have given it a name, the K Street Project.
What investigators seek is evidence of a quid pro quo between Mr. Abramoff and the lobbyists he helped hire, lawyers and others involved in the case said. They are especially interested in evidence that Mr. Abramoff discussed hiring Mr. Rudy, Mr. Volz or other staff members before they left the government or around the time they or their bosses were doing favors for Mr. Abramoff's clients.
This is going to turn into more and more fun for the Repugs (and in an election year!) To get an idea of how bad the situation really is, consider this. These cases are being pursued by the least aggressive, if not the most dirty, Justice Department in my lifetime (and yes, I predate Watergate!) If these guys are concerned enough to actually prosecute, imagine how much dirt there must actually be. It's staggering.
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