Category Archives: ethics investigations

“Congress ethics office clears Bachus of insider trading”

WaPo reports.

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“STOCK Act to be Signed Today”

Sunlight Foundation: “A few of us at Sunlight are excited to be going to the bill signing ceremony for the STOCK Act (S. 2038) in a few hours. While the ultimate form the bill took was weaker than what we hoped for, Sunlight has long supported the STOCK Act and the increased transparency it will create.”

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“House ethics panel launches new probes of Reps. Shelley Berkley, Vern Buchanan”

WaPo reports.

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“Study Shows House Members Profit”

NYT:

A nonprofit ethics group here spent the last nine months examining every member of the House — for campaign spending, budget earmarks, office accounts and lobbying by any relatives — and found that the families of more than half of all the House lawmakers have received payments or otherwise benefited financially from their affiliation with a lawmaker in the two previous election cycles.

The 346-page report by Citizens for Responsibility and Ethics in Washington, or CREW, is an extraordinary compendium of creative accounting, self-interested budgeting and generous expense reimbursements. It highlights common practices that translate into tens of millions of dollars in payments to relatives or the lawmakers themselves.

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“Brief of the Week: When AGs unite”

National Law Journal: “After the U.S. Court of Appeals for the 11th Circuit upheld bribery and “honest services” fraud convictions of former Alabama governor Don Siegelman last year, more than 100 former state attorneys generals decided to intervene.”

My earlier coverage of this pending cert. petition is here.

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“Wisconsin Supreme Court justices battle over recusing themselves”

The Wisconsin Center for Investigative Journalism offers this report (via Howard).

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“For House leaders, no clear rules for policing their own”

Ben Pershing on lack of House ethics enforcement.

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“Anti-Corruption Provisions Should be Restored to STOCK Act in Conference, Legal Center, Reformers Tell Majority Leader Reid”

See this press release.

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“Fixing Washington”

I have posted this draft book review essay on SSRN.  Here is the abstract:

This Essay reviews recent books about lobbying, campaign finance, and the problems of Washington by Lawrence Lessig and Jack Abramoff. Together, Lessig and Abramoff offer a convincing critique of how lobbying skews public policy and can harm the United States. The books demonstrate that lobbyist fixers can thwart the public interest, especially by blocking or altering legislation on issues which lack salience with the general public but which mean a great deal for the individuals players with the most at stake. Although it is tempting to focus on Abramoff’s admittedly illegal behavior, both books illustrate that much of the problem of money, politics, and lobbying stems from what is legal, not illegal. Indeed, although both Abramoff and Lessig present the problem as one of “corruption,” the real concern is less with exchanges of dollars for political favors and more with the decline in national economic welfare which occurs thanks to lobbyist-facilitated rent-seeking. Lessig also appears concerned with political inequality, although he distances himself from egalitarian arguments for reform. Defining the problem as one other than corruption, however, threatens reform’s constitutionality in a post-Citizens United world.
While the critiques of the Washington status quo are well made, both books offer incomplete reform agendas and an unconvincing path to enacting reform. Much of what is wrong with Washington has nothing to do with money in politics. Instead partisan gridlock and the divergence of legislative action from the apparent public interest emerges from the highly partisan and ideological nature of Congress and the presidency; the breakdown of civility and an era of “gotcha” politics; and structural impediments to enacting legislation, such as the Senate filibuster and changes in the House committee structure. The current trend of toxic politics and inadequate institutions to channel such politics arose not from an outsized influence of money on politics but from a variety of sources, including the party realignment in the South following the civil rights movement and the resurgence of partisan media (and now social media).
Even if the authors’ complete reform agendas were enacted and the amount of rent-seeking legislation procured by lobbying significantly curbed, it is far from clear that Washington would be “fixed.” Lessig, for example, claims that money has prevented both left and right from getting their agendas passed. It is hard to see that money has been the primary stumbling block to enacting simultaneously competing agendas. When it comes to the high salience, big legislative questions such as immigration reform, the primary barriers to reform are partisanship and vetogates, not the role of money. In the rare circumstance when major legislative reform does pass, as in the case of health care reform, the passage of legislation further fuels partisan recriminations.
Nor is it clear that the kinds of fundamental campaign finance reforms which Lessig advocates stand any realistic chance of being enacted under current political conditions. Lessig acknowledges the hard road ahead, but even so he still seems overly optimistic. For example he suggests there is a 10 percent chance that a call for a constitutional convention to amend the Constitution to allow new campaign finance and lobbying reform could succeed. But the same partisan, sclerotic politics which would make reform of money in politics only a partial solution to broken Washington would also make the chances of calling a constitutional convention to enact a reform agenda much slimmer than one-in-ten. Fixing Washington may have to await widespread scandal or a societal shift which alleviates the partisanship currently gripping national politics.

This is an early draft, just going out to law reviews.  Comments welcome!

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STOCK Act Will Pass, Do Nothing

So says Politico.

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Parallels Between Bachus Investigation and Credit Mobilier Scandal

WaPo explores.

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“Rep. Bachus faces insider-trading investigation”

AP: “The Office of Congressional Ethics is investigating the chairman of the House Financial Services Committee over possible violations of insider-trading laws, according to individuals familiar with the case. Rep. Spencer Bachus (R-Ala.), who holds one of the most influential positions in the House, has been a frequent trader on Capitol Hill, buying stock options while overseeing the nation’s banking and financial services industries.”

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“Did Pelosi run afoul of fundraising rules in news conference on fundraising?”

WaPo reports.

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Kenneth Gross Updates Where We Are on the STOCK Act Bills

Here.  UPDATE: Sunlight redlines the House and Senate versions of the bill.

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“STOCK Act’s Pace Worries Experts”

Roll Call: “Differences between the Senate and House versions of legislation banning insider trading by Members and staff have experts worried about what provisions will make the final cut as the two chambers rush to pass the bill and claim the ethical high ground.”

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“Capitol Assets: Some legislators send millions to groups connected to their relatives”

The latest installment in WaPo‘s must-read series on members of Congress and self-interest.

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“Increasing number of ethics probes rattles House Republicans”

The Hill: “An increasing number of House Republicans are getting wrapped up in allegations of ethics violations ahead of the November elections, handing Democrats easy campaign fodder and putting the GOP in an unexpected bind.”

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“Convicted Lobbyist Abramoff Tells Lawmakers to Be Wary of Money”

Bloomberg reports.

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“Abramoff as Ethics Guru Latest Chapter in Political Second Acts”

Bloomberg reports.

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“Ethics Extends Vern Buchanan Investigation”

Roll Call reports.

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“Gableman voted with law firm after receiving free legal services; He cast key vote in collective bargaining case”

The hits just keep on coming at the Wisconsin Supreme Court.

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“Judge: Former FEC members might testify for Edwards”

The Raleigh News & Observer reports.

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“Newt Gingrich tries to re-write history of his ethics scandal (Fact Checker biography)”

WaPo‘s “The Fact Checker” reports.

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“Justice Gableman not charged legal fees in ethics case”

Milwaukee Journal-Sentinel: “State Supreme Court Justice Michael Gableman received free legal service worth thousands of dollars from one of Wisconsin’s largest law firms as it defended him against an ethics charge, according to a letter released Thursday by the firm.”

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“Institute defends challenge to public employees’ right to serve in Legislature”

News from Nevada.

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“In Jack Abramoff’s memoir, ‘Capitol Punishment,’ an unrepentant reformer?”

This book review appears in the Washington Post.

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“Blagojevich Sentenced to 14 Years in Prison”

NYT reports.

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“Revisiting Newt Gingrich’s 1997 Ethics Investigation”

NPR strolls down memory lane.

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“Ethics Office Releases Report on Jackson’s Push for Senate Seat”

NYT’s “The Caucus:” “The 300-page report said it had “probable cause” to believe that Mr. Jackson had instructed a prominent Illinois Democratic Party donor, most likely Raghuveer Nayak, to raise the money for Mr. Blagojevich in return for Mr. Jackson’s appointment.”

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“Ethics decision looms for Rep. Jesse Jackson Jr. as racial politics highlight primary challenge”

The Fix reports.

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“Isn’t That Already Illegal? Congressional Insider Trading”

Lisa Gilbert has written this column for the Huffington Post.

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How Not to Campaign for Judge in Indiana

The following election fundraiser ad by a judge (who is also the spouse of the Marion County Democratic party chair) earned an admonition from the Indiana Commission on Judicial Nominations:

Around August 15, 2011, invitations to a fundraiser to support the 2012 re-election campaign of Judge Pierson-Treacy were mailed to over six-hundred people in the Indianapolis area. The invitations notified potential donors that a fundraiser was to be held on September 15, 2011 at the office of a local attorney who is a co-chair of Judge Pierson-Treacy’s campaign committee. In the text of the invitation, under a heading marked “Suggested Contributions,” was a list of recommended monetary amounts with legal monikers next to them. The suggested contributions were written as:

$150 “Sustained”
$250 “Affirmed”
$500 “So Ordered”
$1000 “Favorable Ruling”

Recipients of the invitations then were directed to make checks payable to the “Re-Elect Judge Becky Committee” and to send the checks to a particular address.

 

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TPM Interviews Jack Abramoff on His Recent Conversion to Lobbying and Campaign Finance Reform

Here.

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WaPo Editorializes on Fixing the Hatch Act

Here.

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“Reform Groups Press Congress to Curb Congressional Insider Trading”

See this press release.

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“Court orders reinstatement of redistricting official”

The Arizona Republic offers this report about this order issued by the Arizona Supreme Court today.  This is major news for the vitality of the redistricting commission in Arizona.  An opinion from the court will follow.

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“The Hatch Act: A Law Misused”

Carolyn Lerner has written this NYT oped.  It begins: “THE federal agency I lead, the United States Office of Special Counsel, enforces a law that is broken and needs to be fixed. … [The Hatch Act] at its worst… prevents would-be candidates in state and local races from running because they are in some way, no matter how trivially, tied to a source of federal funds in their professional lives. Our caseload in these matters quintupled to 526 complaints in the 2010 fiscal year, from 98 in 2000. We advised individuals on this law 4,320 times in 2010.”

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Read the Reply Brief in the Carrigan Case Before the Supreme Court of Nevada

Here.  Briefing is now complete and the case will be set for oral argument.  [Disclosure: I informally consulted on this brief.]

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Read the Nevada Commission on Ethics’ Brief in the Carrigan Case Before the Nevada Supreme Court

Find it here.  [Disclosure:  I consulted with Mr. Carrigan's lawyers on their brief in this case, and was on the briefing in the U.S. Supreme Court.]

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CREW ♥ John Edwards

The Raleigh News and Observer reports that CREW has filed a brief supporting Edwards’ motion to dismiss.  More from Roll Call.

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“Perry supplemented wealth with profitable deals”

AP offers this report, in which I am quoted about politicians and good financial results.

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“Are our justices bought and paid for?”

Bert Brandenburg’s Chicago Tribune oped begins: “These days, the Wisconsin Supreme Court is looking a lot like Congress: fractious, dysfunctional and awash in special-interest cash. The Wisconsin story has important implications for courts in the Midwest and around the country.”

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“Government Ethics and Bailouts: The Past, Present, and Future”

Great looking symposium in the Minnesota Law Review.

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“Special prosecutor named in Prosser/Bradley altercation”

The latest from Wisconsin.

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Extensive Must-Read NYT Article on Rep. Issa’s Business Interests

Lichtblau:

Most wealthy members of Congress push their financial activities to the side, with many even placing them in blind trusts to avoid appearances of conflicts of interest. But Mr. Issa (pronounced EYE-suh), one of Washington’s richest lawmakers, may be alone in the hands-on role he has played in overseeing a remarkable array of outside business interests since his election in 2000.

Even as he has built a reputation as a forceful Congressional advocate for business, Mr. Issa has bought up office buildings, split a holding company into separate multibillion-dollar businesses, started an insurance company, traded hundreds of millions of dollars in securities, invested in overseas funds, retained an interest in his auto-alarm company and built up a family foundation.

As his private wealth and public power have grown, so too has the overlap between his private and business lives, with at least some of the congressman’s government actions helping to make a rich man even richer and raising the potential for conflicts.

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“House ethics punts Waters’s ethics case to outside counsel”

WaPo reports.

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“An Ethics Process Badly in Need of Reform”

Meredith McGehee blogs for The Hill.

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“Outside lawyer hired to review investigators in Rep. Waters’ ethics case”

The House Ethics Committee has asked Billy Martin to look into things.

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“Reince Priebus accuses Obama of ‘an apparent crime’”

The rhetoric gets ratcheted up in Politico’s latest over Obama’s fundraising video, apparently shot in the Map Room of the White House.

More from The Hill and the Wall St. Journal.

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“Did ethics staff taint Maxine Waters probe?”

That’s what Politico is asking.

Update: CREW wants to investigate the investigators.

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