What You Need To Know About The Alaska F.B.I Raids

As I stated in my last diary I will cover the Alaskan raids here on dkos day after day, in attempt to highlight the ongoing (but seemingly forgotten) culture of corruption.

Comments are urged, and researchers are desperately needed, as I'm just one person with a 9 month old to take care of. But anyways, on to the story:

Timeline:

Thursday:

Federal agents begin serving 20 search warrants in Juneau, Anchorage, Wasilla, Eagle River and Girdwood, including in the State Capitol and the legislative offices in Anchorage. The offices of six Alaska state legislators are raided, with warrants seeking materials showing contact with executives from the oil field services firm Veco and documents concerning proposed natural gas pipeline and petroleum production tax.

With agents continuing to gather documents in legislative offices, agents from the FBI and IRS interview Veco President Pete Leathard and a company attorney at the company's Midtown offices. Boxes of materials are seized from lawmakers' offices.

Friday:

Agents serve more search warrants in Anchorage and Willow, and interview current and former legislators and others.

The Warrants:

*Two dozen searches in two days.

*A copy of one of the search warrants links the investigation to a new production tax law signed last month by Gov. Frank Murkowski and a draft natural gas pipeline contract Murkowski and the state's three largest oil companies negotiated.

*Warrants were executed in Girdwood, where Ted Stevens has a home and offices.

*The warrant called for seizure of documents "concerning, reflecting or relating to any payment" to lawmakers by VECO executives Allen and Richard Smith. Agents also looked for documents about contracts, agreements or employment of legislators provided by VECO, Allen, Smith and company president Peter Leathard.

*agents were authorized to seize any documents related to The Petroleum Club, Republican pollster David Dittman or his company, Dittman Research and Communication Corp., pollster Marc Hellenthal or his company, Hellenthal and Associates, Roger Chan, VECO's chief financial officer, and Olson Air Service

*A specific item named in the search for seizure: "Any physical garments (including hats) bearing any of the following logos or phrases: `CBC,' `Corrupt Bastards Club,' `Corrupt Bastards Caucus,' `VECO.'"

*Agents left Ben Stevens' Capitol office Thursday evening with 12 boxes of documents labeled ``Evidence'' and loaded them into a vehicle.

The Companies:

VECO:

*VECO Corp is an Anchorage-based oil field services and construction company. According to its  Web site, Veco offers expertise in businesses ranging from pipelines and terminals and oil refining to the chemical and pharmaceutical industries and food and beverage services. Also VECO's executives are major contributors to political campaigns.

*At the same time it was emerging as a titan in Alaska business, the company became a dominant political power in the state, its executives and employees among the most regular and generous contributors to dozens of statewide and statehouse campaigns every election season.

*VECO has given over a million dollars in campaign contributions in recent years.

*In 2000 Veco executives and employees  donated $130,000 to candidates before the primary election.

*In 2004, the last statewide election, Veco's top three donors -- president Pete Leathard, chairman Bill Allen and chief financial officer Roger Chan -- gave more than $122,000 to the Alaska Republican Party and state House and Senate candidates. The company has also employed active lawmakers as consultants and in other capacities, including Senate President Ben Stevens, R-Anchorage.

*In 1985 Veco was fined more than $72,000 for a scheme that funneled secret donations to a select slate of candidates through an employee payroll deduction plan.

*Veco executives also are known for prowling the Capitol halls and even passing notes to lawmakers on the floor to influence votes.

*Veco supported Murkowski during primary for governor.  

The Petroleum Club:

"Welcome to Anchorage's most prestigious private club. Come and relax in elegant surroundings designed to cater to Alaska's business elite. You've said goodbye to your troubles, and are ready to enjoy special moments with friends and family in an atmosphere that celebrates just who we are."

Dittman Research and Communication Corp:

Is a Marketing research & public opinion polling services

*Has been accused of 'Push Polling' on at least one occasion

*Terry Dittman, said Friday the FBI had been to their office and said the company was not the subject of the investigation but they may have evidence related to it.

Hellenthal and Associates:

*Donates to Republican Campaigns

*"They are after people paying for votes during the recent oil and gas special sessions. I think that was fairly transparent," - Marc Hellenthal on the Investigation

*Worked for John Binkley during the Republican primary contest for governor.

*has conducted polls for VECO and other businesses on governors' and legislative races

Olson Air Service:

Owned by Sen. Donny Olson of Nome. Kott, a former House speaker

*The FBI seized five things from Olson's Office: Olson's 2006 year planner, Murkowski's gas pipeline proposal released in May, a manila folder labeled ``APOC'' for the Alaska Public Offices Commission, Olson's interim travel file and a binder related to the Alaska Stranded Gas Fiscal contract.

The People:

Ben Stevens:

*Son of Senator Ted Stevens

*has reported collecting more than $240,000 in consulting fees from VECO since 2000

*In Stevens' office, an agent appeared drawn to something on the back of a framed picture wrapped in protective plastic.

*Agents left Stevens' Capitol office Thursday evening with 12 boxes of documents labeled "Evidence"

*Has earned more than $1.5 million as a 'consultant' for special interests directed to him by his father Ted Stevens, including VECO and The Special Olympics. And that was up to 2003. Theres been more since.

*Ted Stevens' spokesman Aaron Saunders said Friday he had no comment on the search

Peter Leathard:

*Veco President

*Son Scott works on Ted Steven's staff.

*A visit to Leathard's office leaves no doubt of his own politics. Behind his desk are framed, signed

photographs of Leathard posing with the Republican power elite: President Bush (both of them), Vice President Dick Cheney and Alaska's powerhouse senior senator, Ted Stevens

*FBI and IRS interviewed Pete Leathard and a company attorney at the company's Midtown offices.

Misc Info:

*Senator John Cowdery, the Senate Rules chairman; Republican Representative Vic Kohring; Republican Representative Bruce Weyhrauch; Democratic Senator Donald Olson; and Republican Representative Pete Kott all had offices searched

*The Corrupt Bastards Club started as a barroom joke last spring among Alaska legislators whose names were linked to large campaign contributions VECO Corp

The Corrupt Bastards Club

Yesterday I posted about the FBI raids in Alaska. Today, I will expand on that and update with the newest information. Give this a read, and normally I dont ask, but a a recommend. This is the new Cunningham/MZM story, and another chance to highlight corruption before the elections.

But anyways, a quick review of what we learned yesterday, and then the new stuff. Skip the first blockquote if you read yesterday's diary.  

*Federal agents swarmed legislative offices around the state Thursday, executing search warrants in a coordinated series of raids that appeared to target the longstanding relationship between the oil-field service company Veco and leading lawmakers.

*The Offices of Senate President Ben Stevens (son of Ted 'Tubes' Stevens) and Senate Rules Committee Chairman John Cowdery where searched, as well asRep. Vic Kohring, R-Wasilla, the chairman of the House Special Committee on Oil & Gas. And Reps. Pete Kott of Eagle River and Bruce Weyhrauch of Juneau, and Sen. Donny Olson of Nome. Kott, a former House speaker, and Weyhrauch are Republicans. Olson is the only Democrat in the group.

*In disclosures he was required to file as a legislator, Stevens said he was paid $243,000 over the last five years as a "consultant" to Veco. Whenever he was asked to describe what he did for the money, Stevens refused to answer. The company also refused to say.

*Warrants were executed in Girdwood, where Ted Stevens has a home and offices.

*Agents left Stevens' Capitol office Thursday evening with 12 boxes of documents labeled "Evidence" and loaded them into a vehicle waiting them outside.

*In 1985 just a few years after the company had emerged from bankruptcy and boosted its political involvement, Veco was fined more than $72,000 for a scheme that funneled secret donations to a select slate of candidates through an employee payroll deduction plan

*One of VECO President Pete Leathard's sons, Scott, is on the Ted Steven's Staff.

Ok now what we've learned in the past 24 hours.

Anchorage Daily News provides the following:

agents served a warrant at VECO's headquaters and raided the offices of six legislators this week, looking for financial ties between the company and lawmakers, and documents having to do with Murkowski's proposed gas pipeline contract and a related rewrite of Alaska's production tax laws.

Possible misdoings in a pipeline contract between VECO and Alaskan Republicans? Gee, makes you 'wonder' why Ted Stevens put a hold on Obama'sGovernment Transparency Bill. More on what VECO would want to influence:

Among the items to be seized, according to the warrant, "from the period of October 2005 to the present, any and all documents concerning, reflecting or relating to proposed legislation in the state of Alaska involving either the creation of a natural gas pipeline or the petroleum production tax.

Its about damn time that someone noticed something fishy about Steven's son worked for Veco, And the Veco Presidents son working for Stevens.

Also The warrant called for seizure of documents "concerning, reflecting or relating to any payment" to lawmakers by VECO executives Allen and Richard Smith. Agents also looked for documents about contracts, agreements or employment of legislators provided by VECO, Allen, Smith and company president Peter Leathard.

Besides VECO and its executives, agents were authorized to seize any documents related to The Petroleum Club, Republican pollster David Dittman or his company, Dittman Research and Communication Corp., pollster Marc Hellenthal or his company, Hellenthal and Associates, Roger Chan, VECO's chief financial officer, and Olson Air Service, according to the warrant.

Oil Groups, Pollsters, Politicans and Air Services involved in a scandal, so very original... Throw into the mix that VECO was a one-time owner of the now defunct Anchorage Times, and that VECO continues to pay for the production and publication of Voice of the Times, a half-page editorial section that runs in the Daily News, and you have quite the interesting read.

But hold-up, I saved the best for last:

This should get your attention:

A specific item named in the search for seizure: "Any physical garments (including hats) bearing any of the following logos or phrases: `CBC,' `Corrupt Bastards Club,' `Corrupt Bastards Caucus,' `VECO.'"

The Corrupt Bastards Club started as a barroom joke last spring among Alaska legislators whose names were linked to large campaign contributions from oil field services company VECO Corp. Hilarious right? This is STRANGELY SIMILAR to Cunningham and Wilkes joking about being in 'The Poway Mafia'. But thats not the only similarity between the scandals, as you've probably noticed.