Rep. Jefferson indicted in bribery probe

Source: By Lara Jakes Jordan and Matthew Barakat, Associated Press Writers.

WASHINGTON - Louisiana congressman William Jefferson (news, bio, voting record) received more than $500,000 in bribes and sought millions more in nearly a dozen separate schemes to enrich himself by using his office to broker business deals in Africa, according to a federal indictment Monday.

The charges came almost two years after investigators raided Jefferson's home in Washington and found $90,000 in cash stuffed in his freezer.

The indictment lists 16 counts, including racketeering, soliciting bribes, wire fraud, money laundering, obstruction of justice and conspiracy. He faces a possible maximum sentence of 235 years.

He is the first U.S. official to face charges under the Foreign Corrupt Practices Act, which prohibits corporate bribery overseas.

Jefferson, through his lawyer, claimed innocence. He will be arraigned Friday in U.S. District Court in Alexandria.

The schemes were complicated and Jefferson set up front companies to hide the money and disburse it to family members, prosecutors said.

"But the essence of the charges are really very simple: Mr. Jefferson corruptly traded on his good office and on the Congress," said Chuck Rosenberg, the U.S. attorney in Alexandria.

House Speaker Nancy Pelosi (news, bio, voting record) is expected to push this week for Jefferson to be stripped of his seat on the Small Business Committee, according to a leadership aide who spoke on condition of anonymity because the decision had not yet been announced.

"If these charges are proven true, they constitute an egregious and unacceptable abuse of public trust and power," said Pelosi, D-Calif. "Democrats are committed to upholding a high ethical standard and eliminating corruption and unethical behavior from the Congress."

House Republican Leader John Boehner (news, bio, voting record) of Ohio said Jefferson should be expelled from Congress if he is found guilty and refuses to resign.

Jefferson, 60, whose congressional district includes New Orleans, has said little about the case publicly. He was re-elected last year despite the investigation.

His lawyer, Robert Trout, on Monday called the indictment "lengthy and creative" and accused prosecutors of "trying to create an offense."

"Even after they turned over every rock, they did not allege in this indictment that (Jefferson) promised anybody any legislation. There is no suggestion that he promised anyone any appropriations. There were no earmarks. There were no government contracts," Trout said during a news conference in Los Angeles.

Trout also said Jefferson has no intention of seeking a plea bargain. "He's obviously not happy about being indicted, but he's confident that when the facts are known he will be vindicated," Trout said about his client. "He is committed, he is confident and he is ready to fight."

Two of Jefferson's associates have struck plea bargains with prosecutors and have been sentenced.

Brett Pfeffer, a former congressional aide, admitted soliciting bribes on Jefferson's behalf and was sentenced to eight years in prison.

Another Jefferson associate, Louisville, Ky., telecommunications executive Vernon Jackson, pleaded guilty to paying between $400,000 and $1 million in bribes to Jefferson in exchange for his assistance securing business deals in Nigeria and other African nations. Jackson was sentenced to more than seven years in prison.

Both Pfeffer and Jackson agreed to cooperate in the case against Jefferson.

The impact of the case has stretched across continents and even roiled presidential politics in Nigeria. According to court records, Jefferson told associates he needed cash to pay bribes to the country's vice president, Atiku Abubakar.

Abubakar denied the allegations, which figured prominently in that country's presidential elections in April. He ran for the presidency and finished third.

In Lagos, Nigeria, Abubakar spokesman Garba Shehu said the former vice president "has always denied wrongdoing in the matter."

"He has only had official interaction with the congressman, who the vice president felt deserved a hearing because he was a ranking member of the U.S. Congress," Shehu said. "The vice president was in no way cited in this thing, so we feel vindicated."

While Abubakar is not cited by name, the indictment refers to "Nigerian Official A," a high-ranking official in Nigeria's executive branch who had a spouse in Potomac, Md. One of Abubakar's wives, Jennifer Douglas, lived in that Washington suburb. A search warrant for the Potomac home, combined with the indictment, makes clear that Abubakar is the unnamed Nigerian official.

As co-chair of a congressional caucus dedicated to African investment and trade, Jefferson was ideally positioned to influence business contracts with African governments. The indictment said Jefferson would meet with African officials and write official letters on behalf of businesses that agreed to provide kickbacks.

Court records indicate Jefferson was videotaped taking a $100,000 cash bribe from an FBI informant who felt the congressman and another businessman had bilked her out of millions. Most of that money later turned up in the freezer in Jefferson's home.

In May 2006, the FBI raided Jefferson's congressional office, the first such raid on a congressman's Capitol office. That move sparked a constitutional debate over whether the executive branch had stepped over a boundary.

The raid's legality is still being argued on appeal. House leaders objected to the search, saying it was an unconstitutional intrusion on the lawmaking process. The FBI said the raid was necessary because Jefferson and his legal team had failed to respond to requests for documents.

Some but not all the documents seized in the raid have been turned over Justice Department prosecutors.

Assistant Attorney General Alice Fisher said the documents helped bring the case against Jefferson. "Some of those documents that we were able to obtain through the process have indeed supported the charges that are presented today," Fisher said.

Associated Press writers Michael Blood in Los Angeles, Laurie Kellman in Washington and Edward Harris in Lagos, Nigeria, contributed to this report.

French Total oil boss under formal investigation

Source: Middle East Times.

AFP March 23, 2007

PARIS -- A French judge has placed the chief executive of the Total oil group under formal investigation on suspicion of paying bribes to secure a major gas field deal in Iran.

Christophe de Margerie, who is already under investigation over the Iraq "oil-for-food" bribes scandal, was officially warned of the new accusations Thursday night after he had spent more than a day in detention.

The judge placed Margerie, who has only been Total's chief executive since February, under investigation for suspected "corruption of foreign public agents and misuse of corporate assets," a legal source said.

Margerie was given conditional release.

The French oil company is suspected of paying top Iranian officials nearly 100 million Swiss francs ($80 million) through two Swiss bank accounts to win a contract for the South Pars offshore gas field in 1997.

Margerie was detained by French police Wednesday before being transferred to a serious financial crime unit a day later, judicial officials reported. Four other serving and former Total executives were also detained but later released without charge.

In a statement, Total said that its chief executive had been placed "under formal investigation in proceedings related to the development of the South Pars project in Iran."

Being placed under judicial investigation is one step short of being charged with a crime in the French legal system. It does not necessarily mean that 55-year-old Margerie is heading for trial.

A case can be dropped if a judge is unable to sustain his accusations against an individual.

In the statement Total expressed "its full support for its employees and confirms that the agreements for the development of the South Pars project were entered into in compliance with applicable law."

It also said that the company was "confident" that the "investigation will establish the absence of any illegal activities and reaffirms that Total adheres to a strict code of conduct regardless of the difficulties linked to its activities and the environments in which it operates."

The suspicions center on a contract Total won from the Iranian oil company NIOC for the South Pars field.

The French judge is partly relying on testimony given by an employee of Norwegian oil company Statoil who revealed the existence of a corruption system in Iran during an investigation in Norway.

According to sources, money was paid to Iranian officials between 1996 and 2003 when Margerie was Total's Middle East director.

Last year he was charged with complicity with fraud and corruption by the same judge as part of an investigation into a French link to the "oil-for-food" scandal in Iraq.

Companies were said to have paid money to get oil deals from Iraq while it was under UN sanctions during the Saddam Hussein years.

Several other Total executives and former executives, including Patrick Rambaud, who was also questioned over the Iran deal, have also been put under investigation as part of the "oil-for-food" scandal.

Known in the company as "Big Moustache," Margerie was promoted to head of Total in February in succession to Thierry Desmarest who had overseen huge expansion of the group and is president of the supervisory board.

Margerie studied at the elite ESCP business school in Paris, joining the finance department of Total in 1974, rising to the managing committee in 1992, and becoming director for the Middle East region in 1995.

French Judge grills Total chief over corruption accusations

Source: Yahoo News.

A French judge on Thursday questioned Total oil chief executive Christophe de Margerie over corruption suspicions surrounding a major gas deal in Iran, bringing formal charges a step closer.

The French oil giant is suspected of paying top Iranian officials nearly 100 million Swiss francs (60 million euros, 80 million dollars) through two Swiss bank accounts to win a contract in 1997

Margerie was detained by police on Wednesday and on Thursday was transferred to the serious financial crime unit, legal sources said.

He was later taken to the office of magistrate, Philippe Courroye, who has spent three months investigating the South Pars contract that Total secured with the Iranian oil company NIOC.

Courroye could place de Margerie under judicial investigation which would be the first stage toward formal charges.

Four other Total executives, including financial director Robert Castaigne and a former senior executive, Patrick Rambaud, who was in charge of Total's negotiating section, were also detained on Wednesday but released late in the day without charge.

Total has confirmed that the executives have been questioned over the South Pars offshore field deal. But a spokesman said the group, France's biggest company in terms of turnover, supports Margerie and "confirms that the agreements signed respected the law."

If Margerie is not charged he could still be warned that he is needed as a witness or given an unconditional release.

According to sources close to the inquiry, the money was paid to Iranian officials between 1996 and 2003, when Margerie was Total's Middle East director. The Swiss accounts belonged to a suspected intermediary in the deal. Switzerland has frozen some 9.5 million euros from the accounts.

The oil group's chief executive is no stranger to controversy.

Last year he was charged with complicity with fraud and corruption by the same judge as part of an investigation into a French link to the "oil-for-food" scandal in Iraq.

Companies were said to have paid money to get oil deals from Iraq while it was under UN sanctions during the Saddam Hussein years.

Several other Total executives and former executives, including Rambaud, have also been charged as part of the "oil-for-food" scandal.

Known in the company as "Big Moustache," Margerie was promoted to managing director of Total in February in succession to Thierry Desmarest who had overseen huge expansion of the group and is president of the supervisory board.

Ex-leader of Liberia charged with stealing $1.3 million

Source: CNN.

MONROVIA, Liberia (AP) -- The former president has been charged with stealing more than $1 million from Liberia's coffers while in office, government officials said Wednesday.

Gyude Bryant, who led the interim government from October 2003 until current President Ellen Johnson Sirleaf took office in January 2006, had previously been accused of embezzlement in a report issued by the Economic Community of West African States.

Police had questioned Bryant in recent months as part of a wide anticorruption campaign, and government officials said they finally had enough information to issue charges.

"Mr. Bryant has been formally charged with theft of property," Information Minister Laurence Bropleh said, adding the figure of $1.3 million "could go higher."

Bryant took office as the country emerged from civil war and totalitarian rule by Charles Taylor, who fled into exile in Nigeria in August 2003 and is awaiting trial for war crimes in a U.N.-backed court for atrocities committed by his forces in neighboring Sierra Leone.

Liberia is still recovering from more than a decade of war and unrest, with limited electricity even in the capital, poor roads and wrecked industries. Sirleaf has spent much of her first year in office leading a crackdown on government corruption that Liberians have applauded.

Bryant declined to comment on the charges. One of his lawyers said they were awaiting the government's proof.

"If you make a charge, make sure you can support the charge," Samuel Clark said. "It is just not fair to make allegations when you have no proofs of those allegations."

Bryant had said earlier that he believed he would be protected by immunity given to sitting heads of state.

Bropleh said the former president would be held accountable.

"Unfortunately, when the action is criminal and you are former transitional head of state, you don't have that immunity. You have to account for your actions especially when it has to do with theft of government's resources," Bropleh said.

Bropleh said a court date has yet to be set for Bryant's case.