Interesting Story.....
A Mountain of Riches on Capitol Hill
By Tom Hamburger, Richard Simon and Faye Fiore
The Los Angeles Times
Thursday 15 June 2006
Annual disclosure data offer a look at the finances of lawmakers and their top aides.
Washington - A top aide to House Appropriations Committee Chairman Jerry Lewis (R-Redlands) reported Wednesday that he received more money than he previously disclosed from a lobbying firm that has come under scrutiny for its ties to Lewis.
The aide, Jeffrey Shockey, corrected his financial disclosure reports to reveal that his salary in 2004 from Copeland Lowery Jacquez Denton & White totaled about $500,000 more than he had reported.
He also collected nearly $2 million from the firm as a payout when he left to return to work for Lewis in 2005.
The firm, whose partners include former Rep. Bill Lowery (R-San Diego), a longtime Lewis friend, is being examined as part of a federal investigation into the practice among lawmakers of slipping federal money for special-interest projects into spending bills.
Lowery's firm represents a number of cities, institutions and businesses in Lewis' district that have received federal funds. The firm also has helped Lewis raise tens of thousands of dollars in campaign contributions, which helped his drive to gain the Appropriations Committee chairmanship in 2005.
On Friday, Shockey released advance copies of his disclosure report showing that he had received far more than had generally been known - $1.96 million - as a payout from the lobbying firm. On Wednesday, Shockey disclosed that in addition to that payment, he received a higher salary from the firm than previously reported, up from $1.5 million to over $2 million.
Lawyers for Shockey, who also had worked for Lewis before he joined the lobbying firm, said in a letter that the $1.5-million figure was his salary in 2003. They said the error involving his 2004 salary was discovered this week during a review of his financial accounts.
Shockey's high level of compensation - as he moved from Capitol Hill to the lobbying world and back again - shows the value corporate and other interests place on obtaining help in getting federal spending directives, known as earmarks, put onto federal spending bills.
Lewis and Shockey, through his lawyers, say they have done nothing wrong in the roles they have played in the earmarking process and have not been contacted by investigators. Shockey's lawyers point out that their client asked the Ethics Committee to review his compensation from the lobbying firm at the time he returned to public service.
Shockey's report was just one of hundreds released Wednesday by members of Congress and their senior aides. The annual disclosure reports offer a glimpse into the private financial affairs of lawmakers, and although assets and liabilities are detailed only within broad ranges, the information makes it clear that most legislators are well-off.
The reports show that at least 22 of California's 53 House members have assets of more than $1 million.
Sen. Dianne Feinstein (D-Calif.) and her husband, investment banker Richard Blum, have assets that have been estimated to exceed $35 million. She filed one of the thickest reports: 172 pages.
Sen. Barbara Boxer (D-Calif.), in her 10-page statement, reported that her assets consist almost entirely of a blind trust valued at $1 million to $5 million.
Investments by House Minority Leader Nancy Pelosi (D-San Francisco) and her husband include a St. Helena vineyard valued at $5 million to $25 million.
Several California lawmakers were given more time to file their reports, including Rep. Darrell Issa (R-Vista), who previously has ranked among the wealthiest House members.
The report filed by Lewis and his wife, Arlene Willis, who is his chief of staff, showed them with assets valued at $715,000 to $1.6 million, with no liabilities.
According to the report, the 71-year-old congressman sold stock and a parcel of land in 2005 with a combined value of $30,000 to $100,000.
In the wake of several scandals that raised concerns about influence peddling on Capitol Hill, many lawmakers appear to be taking fewer trips paid for by special interests.
Rep. Bob Ney (R-Ohio), who has faced criticism for a 2002 visit to Scotland arranged by disgraced lobbyist Jack Abramoff, took no trips last year.
Earlier this year, Abramoff pleaded guilty to charges that included defrauding clients and engaging in schemes to bribe members of Congress.
Rep. Alan B. Mollohan (D-W.Va.), the subject of a federal probe into possible links between his personal business activities and his duties as a member of the House Appropriations Committee, on Tuesday released amendments to his disclosure reports from 1999 to 2004 to correct what he called "a limited number of inadvertent errors."
Also, he released a chronology showing how his assets grew from less than $550,000 in 2000 to Mollohan resigned from the House Ethics Committee earlier this year after federal agents began probing his personal finances.
Mollohan's 2005 disclosure statement revealed that he received a loan valued at $15,000 to $50,000 from Don and Laura K. Kuhns.
Laura Kuhns is a former Mollohan aide who invested in real estate with Mollohan and also heads a West Virginia foundation that received earmarks requested by the congressman. Mollohan reported that he repaid the loan from the Kuhnses with 6% interest.
Rep. William J. Jefferson (D-La.), the target of a bribery investigation by federal agents who last year found $90,000 in his kitchen freezer, has debts ranging from $130,000 to as much as $300,000, according to his report.
Jefferson acquired the debt last year without any significant change in his assets, the report indicates.
He had listed no liabilities in the previous two years.
Jefferson's debts include as much as $150,000 to two New Orleans banks and up to $50,000 on a revolving charge with MBNA, a subsidiary of Bank of America.
He also reported owing up to $100,000 to Noah A. Samara, chief executive of WorldSpace Inc., which works to provide digital satellite services to emerging markets in Africa and Asia.
Jefferson was caught on videotape accepting $100,000 from a business associate, whom he allegedly agreed to help win overseas telecommunications contracts in exchange for a third of the profits.
FBI agents later searched Jefferson's freezer and found $90,000 of that money wrapped in foil, according to an affidavit.
Jefferson has denied any wrongdoing. No charges have been filed, but his legal bills have begun to mount.
His disclosure report showed contributions to his legal defense fund totaling nearly $85,000.
Many lawmakers found a variety of ways to supplement their congressional salary, currently $165,200 a year for those not serving in top leadership positions.
The wives of six California House members - Republicans John T. Doolittle of Roseville, Richard W. Pombo of Tracy, Elton Gallegly of Simi Valley and Dana Rohrabacher of Huntington Beach; and Democrats Pete Stark of Fremont and Bob Filner of Chula Vista - earned money working on their husbands' campaigns.
Lawmakers are not required to list spouses' salaries on the forms. But Rohrabacher reported that his wife earned $41,055 from his campaign committee.
Stark said his wife was paid $2,400 a month to work on his campaign. Filner said his wife's salary was about $45,000.
Sen. Hillary Rodham Clinton (D-N.Y.) and former President Clinton earned more than $8 million from speeches and book royalties.
The former president was paid for 43 speeches, collecting up to $350,000 for an appearance.
Sen. Edward M. Kennedy (D-Mass.) earned $50,000 in royalties from a book about his dog, "My Senator and Me." He was one of about a dozen senators who received money from books. Boxer took in about $16,000 from a novel she wrote.
House Majority Leader John A. Boehner (R-Ohio) reported $2,700 in slot machine winnings.
Sen. Judd Gregg (R-N.H.) did better: He collected $853,492 in the Powerball lottery.
A Mountain of Riches on Capitol Hill
By Tom Hamburger, Richard Simon and Faye Fiore
The Los Angeles Times
Thursday 15 June 2006
Annual disclosure data offer a look at the finances of lawmakers and their top aides.
Washington - A top aide to House Appropriations Committee Chairman Jerry Lewis (R-Redlands) reported Wednesday that he received more money than he previously disclosed from a lobbying firm that has come under scrutiny for its ties to Lewis.
The aide, Jeffrey Shockey, corrected his financial disclosure reports to reveal that his salary in 2004 from Copeland Lowery Jacquez Denton & White totaled about $500,000 more than he had reported.
He also collected nearly $2 million from the firm as a payout when he left to return to work for Lewis in 2005.
The firm, whose partners include former Rep. Bill Lowery (R-San Diego), a longtime Lewis friend, is being examined as part of a federal investigation into the practice among lawmakers of slipping federal money for special-interest projects into spending bills.
Lowery's firm represents a number of cities, institutions and businesses in Lewis' district that have received federal funds. The firm also has helped Lewis raise tens of thousands of dollars in campaign contributions, which helped his drive to gain the Appropriations Committee chairmanship in 2005.
On Friday, Shockey released advance copies of his disclosure report showing that he had received far more than had generally been known - $1.96 million - as a payout from the lobbying firm. On Wednesday, Shockey disclosed that in addition to that payment, he received a higher salary from the firm than previously reported, up from $1.5 million to over $2 million.
Lawyers for Shockey, who also had worked for Lewis before he joined the lobbying firm, said in a letter that the $1.5-million figure was his salary in 2003. They said the error involving his 2004 salary was discovered this week during a review of his financial accounts.
Shockey's high level of compensation - as he moved from Capitol Hill to the lobbying world and back again - shows the value corporate and other interests place on obtaining help in getting federal spending directives, known as earmarks, put onto federal spending bills.
Lewis and Shockey, through his lawyers, say they have done nothing wrong in the roles they have played in the earmarking process and have not been contacted by investigators. Shockey's lawyers point out that their client asked the Ethics Committee to review his compensation from the lobbying firm at the time he returned to public service.
Shockey's report was just one of hundreds released Wednesday by members of Congress and their senior aides. The annual disclosure reports offer a glimpse into the private financial affairs of lawmakers, and although assets and liabilities are detailed only within broad ranges, the information makes it clear that most legislators are well-off.
The reports show that at least 22 of California's 53 House members have assets of more than $1 million.
Sen. Dianne Feinstein (D-Calif.) and her husband, investment banker Richard Blum, have assets that have been estimated to exceed $35 million. She filed one of the thickest reports: 172 pages.
Sen. Barbara Boxer (D-Calif.), in her 10-page statement, reported that her assets consist almost entirely of a blind trust valued at $1 million to $5 million.
Investments by House Minority Leader Nancy Pelosi (D-San Francisco) and her husband include a St. Helena vineyard valued at $5 million to $25 million.
Several California lawmakers were given more time to file their reports, including Rep. Darrell Issa (R-Vista), who previously has ranked among the wealthiest House members.
The report filed by Lewis and his wife, Arlene Willis, who is his chief of staff, showed them with assets valued at $715,000 to $1.6 million, with no liabilities.
According to the report, the 71-year-old congressman sold stock and a parcel of land in 2005 with a combined value of $30,000 to $100,000.
In the wake of several scandals that raised concerns about influence peddling on Capitol Hill, many lawmakers appear to be taking fewer trips paid for by special interests.
Rep. Bob Ney (R-Ohio), who has faced criticism for a 2002 visit to Scotland arranged by disgraced lobbyist Jack Abramoff, took no trips last year.
Earlier this year, Abramoff pleaded guilty to charges that included defrauding clients and engaging in schemes to bribe members of Congress.
Rep. Alan B. Mollohan (D-W.Va.), the subject of a federal probe into possible links between his personal business activities and his duties as a member of the House Appropriations Committee, on Tuesday released amendments to his disclosure reports from 1999 to 2004 to correct what he called "a limited number of inadvertent errors."
Also, he released a chronology showing how his assets grew from less than $550,000 in 2000 to Mollohan resigned from the House Ethics Committee earlier this year after federal agents began probing his personal finances.
Mollohan's 2005 disclosure statement revealed that he received a loan valued at $15,000 to $50,000 from Don and Laura K. Kuhns.
Laura Kuhns is a former Mollohan aide who invested in real estate with Mollohan and also heads a West Virginia foundation that received earmarks requested by the congressman. Mollohan reported that he repaid the loan from the Kuhnses with 6% interest.
Rep. William J. Jefferson (D-La.), the target of a bribery investigation by federal agents who last year found $90,000 in his kitchen freezer, has debts ranging from $130,000 to as much as $300,000, according to his report.
Jefferson acquired the debt last year without any significant change in his assets, the report indicates.
He had listed no liabilities in the previous two years.
Jefferson's debts include as much as $150,000 to two New Orleans banks and up to $50,000 on a revolving charge with MBNA, a subsidiary of Bank of America.
He also reported owing up to $100,000 to Noah A. Samara, chief executive of WorldSpace Inc., which works to provide digital satellite services to emerging markets in Africa and Asia.
Jefferson was caught on videotape accepting $100,000 from a business associate, whom he allegedly agreed to help win overseas telecommunications contracts in exchange for a third of the profits.
FBI agents later searched Jefferson's freezer and found $90,000 of that money wrapped in foil, according to an affidavit.
Jefferson has denied any wrongdoing. No charges have been filed, but his legal bills have begun to mount.
His disclosure report showed contributions to his legal defense fund totaling nearly $85,000.
Many lawmakers found a variety of ways to supplement their congressional salary, currently $165,200 a year for those not serving in top leadership positions.
The wives of six California House members - Republicans John T. Doolittle of Roseville, Richard W. Pombo of Tracy, Elton Gallegly of Simi Valley and Dana Rohrabacher of Huntington Beach; and Democrats Pete Stark of Fremont and Bob Filner of Chula Vista - earned money working on their husbands' campaigns.
Lawmakers are not required to list spouses' salaries on the forms. But Rohrabacher reported that his wife earned $41,055 from his campaign committee.
Stark said his wife was paid $2,400 a month to work on his campaign. Filner said his wife's salary was about $45,000.
Sen. Hillary Rodham Clinton (D-N.Y.) and former President Clinton earned more than $8 million from speeches and book royalties.
The former president was paid for 43 speeches, collecting up to $350,000 for an appearance.
Sen. Edward M. Kennedy (D-Mass.) earned $50,000 in royalties from a book about his dog, "My Senator and Me." He was one of about a dozen senators who received money from books. Boxer took in about $16,000 from a novel she wrote.
House Majority Leader John A. Boehner (R-Ohio) reported $2,700 in slot machine winnings.
Sen. Judd Gregg (R-N.H.) did better: He collected $853,492 in the Powerball lottery.
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