Monday, November 21, 2005

Threat of Federal Charges Against DeLay Grows

The likelihood of federal charges against members of Congress intensified on Monday when a key player in a broad corruption probe pleaded guilty to conspiracy and agreed to co-operate with investigators.

Under a plea agreement with the Department of Justice, Michael Scanlon, a former aide to Tom DeLay, the powerful Texas congressman, admitted that he had conspired to defraud four Native American Indian tribes that operated or hoped to operate casinos.

He faces up to five years in prison and agreed to pay nearly $20m in restitution. Mr Scanlon, who operated a grassroots public relations firm, admitted that he and an unnamed lobbyist conspired to charge the tribes high fees and split the profits.

Mr Scanlon and Jack Abramoff, a Republican with close ties to Mr DeLay, earned more than $80m from Indian tribes from 2001-2004. Those transactions are being examined by the Senate Indian affairs committee, and by federal investigators.

FULL STORY

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