I first met Bob McDonnell nearly 20 years ago and I never, ever would have expected that I'd see he and his wife indicted on federal charges. Personally, my gut feeling is that Maureen got this ball rolling with Star Scientific and Bob McDonnell failed to rein her in and it was downhill from thereon out. Based on what the Richmond Times Dispatch is reporting, both Bob and Maureen McDonnell are in very serious legal trouble. What continues to stun me is the level of greed that seems to have consumed them. Did they think that they would not get caught or did they believe that Virginia's near nonexistent ethics laws would allow them cover? Obviously, McDonnell's political career is over. Here are story highlights:
Former Virginia Gov. Bob McDonnell and his wife, Maureen, were indicted today by a federal grand jury on 14 counts stemming from the first couple’s acceptance and solicitation of thousands in gifts and loans from a wealthy businessman during McDonnell’s term.
The indictment, spelled out in an extensive document filed by the United States Attorney for the Eastern District, paints a detailed portrait of how the governor and his wife accepted more than $135,000 in direct payments as gifts and loans from then-Star Scientific CEO Jonnie Williams Sr., in addition to golf outings and other things of value, in exchange for the first couple's assistance in promoting his struggling Henrico-based company’s dietary supplement, Anatabloc.
It also asserts that the McDonnells lied on loan applications and forms requiring them to declare debts and then tried to cover their tracks.
Taken together, the charges, if they resulted in convictions and maximum sentences, could produce fines in excess of $1 million and put the McDonnells behind bars for decades.
The indictment alleges "a scheme to violate federal public corruption laws," according to a Department of Justice release.
According to the indictment, from April 2011 through March, 2013, the McDonnells "participated in a scheme to use the former governor's official position to enrich themselves and their family members by soliciting and obtaining payments, loans gifts and other things of value from Star Scientific, a Virginia-based corporation and J.W.," an apparent reference to Williams, then Star's CEO.
"The McDonnells obtained the things of value in exchange for the former governor performing official actions on an as-needed basis to legitimize, promote and obtain research studies," for Anatabloc.
The indictment also alleges that the McDonnells "attempted to conceal the things of value received from J.W. and Star to hide the nature and scope of their dealings with J.W. from the citizens of Virginia, by ... routing things of value from family members and corporate entities controlled by the former governor to avoid annual disclosure requirements."
The indictment alleges that the first couple did not disclose that they had loans with Williams when they sought loans in October 2012 and in early 2013 from a financial institution and another private lender. It also alleges that Maureen McDonnell made "false and misleading statements" to investigators regarding the first couple's relationship with Williams.
The indictment also alleges that these actions, as well as attempts to produce paperwork after the fact declaring the loans and their terms to the borrowers, were an attempt to "obstruct, influence and impede" the investigation.
According to the indictment the McDonnells, both 59, are charged with:
* 1 count of conspiracy to commit honest-services wire fraud
* 3 counts of honest-services wire fraud
* 1 count of conspiracy to obtain property under color of official right
* 6 counts of obtaining property under color of official right
* 1 count of making false statements to a federal credit union
Additionally, Bob McDonnell is charged with making a false statement to a financial institution and Maureen McDonnell is charged with one count of obstruction of an official proceeding.
And the gifts were extensive. Among them:
More than $100,000 in campaign contributions, mostly in-kind donations of flights on Williams’ private jet
$15,000 shopping spree to New York City for Maureeen McDonnell in spring 2011
A trip to the Final Four in Houston to see VCU play in April 2011
$50,000 to Maureen McDonnell in May, 2011, $30,000 of which first lady used to purchase Star stock
$15,000 to cover catering expenses at the June, 2011 wedding of Cailin McDonnell
A 2011 summertime stay at Williams’ Smith Mountain Lake vacation home
$7,500 worth in golf outings for the McDonnell’s sons and members of his staff between May and September, 2011
A $6,500 Rolex watch with the inscription “71st Governor of Virginia”, which Maureen McDonnell gave to her husband for Christmas in 2011
$70,000 to MoBo Real Estate partners – a real estate partnership between the governor and his sister, in 2012
A $10,000 wedding present to another McDonnell daughter in December 2012.
Virginia's law is
considered one of the most lax in the country regarding gifts to elected
officials. There is no limit on the amount of a gift an official may
accept, but officials must report any gift over $50 in value on annual
statements of economic interest.
What happened to the straight shooter that I once knew? Did power go to his head?
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