Enron's Ties to Bush Run Deep (DNC press release nonsense)

Democratic National Committee Chairman Howard Dean issued the following statement after the guilty verdicts of Ken Lay and Jeffrey Skilling for their involvement in the Enron scandal:

"Today's guilty verdicts are another victory against the Republican culture of corruption that led President Bush’s buddy Ken Lay, Jeffrey Skilling, Jack Abramoff, Representative Tom Delay and others to believe that they were above the law. The Enron scandal epitomizes the pay-to-play politics that has enveloped the Bush White House and Republican-controlled Congress. Ken Lay was defrauding his employees and investors but he had no problem keeping the Bush campaign and RNC flush in cash. Americans are ready for new leadership that puts the people's interests before the special interests. Democrats are united in our commitment to change the way business is done in Washington."

Today, Enron founder Ken Lay was found guilty on six counts of conspiracy and fraud. A jury found that Lay helped engineer a conspiracy to artificially inflate Enron's profits, hide millions in losses and misrepresent the true nature of the company's finances. Until early 2004, Enron was President Bush's largest career patron and Ken Lay was a personal friend of President Bush. Now, Ken Lay is facing 20 to 30 years in jail for his role in one of America’s biggest corporate fraud scandals. ENRON'S FUNDING OF BUSH'S POLITICAL CAREER

Enron and Lay Were Strong Supporters of Bush and Republicans. Kenneth Lay, Enron's CEO, was a Bush Pioneer in 2000, raising at least $100,000 for the Bush Presidential campaign. Enron gave $1,114,490 to the RNC, $300,000 to the Bush inaugural, and $113,800 directly to Bush's presidential campaign from Enron employees. Lay was also a co-chairman of an April 2000 RNC gala tribute to Bush, meaning that he raised or contributed at least $250,000 for that event. At the time, Enron was Bush’s largest career patron. Furthermore, as the Financial Times reported, “Perhaps the greatest example of Mr. Lay's cache was an affectionate nickname from President Bush – ‘Kenny Boy’ - which reflected his close ties to the White House as both a donor and adviser.” [San Diego Union-Tribune, 2/11/01; Atlanta Journal-Constitution, 4/27/00; Financial Times, 7/8/04; Center for Responsive Politics, www.crp.org; Political Money Line, www.tray.com]

* Lay Donated More Than $120,000 to Bush’s Gubernatorial Campaigns. Bush ran for Governor of Texas in 1994 and 1998. Enron CEO Kenneth Lay donated $122,500 to his campaign and Enron was a “Gold” sponsor for both gubernatorial inaugural committees that cost a total of $100,000. [USA Today, 11/30/01; Texas State Archives, “1995 Texas Inaugural Committee;” “1999 Texas Inaugural Committee”] * Bush Used Enron Corporate Jet as Presidential Candidate. In 1999, as a presidential candidate, the Bush campaign used Enron’s corporate jet for campaign purposes. According to a study by the Center for Responsive Politics, Bush used the Enron corporate jet “eight times last year [1999], trips for which they were reimbursed” $25,302. Enron spokeswoman Karen Denne said that Bush personally approached Enron CEO Kenneth Lay and asked for use of the jet. [Washington Post, 2/1/00] * Enron Contributed Over $3 Million to GOP/Bush Sr. and W. in Ten-Year Span. From 1992-2002, Enron contributed a total $3,021,108 to the Republican National Committee, the National Republican Congressional Committee, the National Republican Senatorial Committee, Bush-Quayle ‘92 and George W. Bush 2000. [Campaign Study Group, 1/02]

Bush and Lay Met in the 1980s. According to the New York Times, “The relationship between Mr. Bush and Mr. Lay is close, and old: the two men got to know each other in the 1980’s, when Mr. Lay was a big political supporter of Governor Bush’s father, former President George Bush.” [New York Times, 6/30/00]

Lay Worked to Get Bush Library in Houston in 1989, Committed Funds in 1990. As early as July 1989, Ken Lay was leading a charge to bring the Bush presidential library to the University of Houston. In 1990, Lay, as University of Houston system Board of Regents chairman, announced that the board had committed $35 million toward the library. George H. W. Bush announced that Texas A&M in College Station would house his presidential library in spring of 1991. [Dallas Morning News/AP, 4/27/90; Chicago Tribune, 7/3/89; Houston Chronicle, 12/9/93]

Lay Worked With Bush on Houston Convention in 1992. According to the Houston Chronicle, “An ally of the elder George Bush, Lay worked closely with George W. Bush during the Republican National Convention in Houston in 1992, when Lay co-chaired the host committee.” Another Houston Chronicle story says, “Lay, a friend of Bush’s father, became close to the Oval Office’s current occupant in 1992. Lay was serving as co-chair of the host committee for the Republican National Convention in Houston, where the elder Bush was nominated for a second term.” [Houston Chronicle, 4/15/01; 12/29/01] ENRON AND CHENEY'S INFAMOUS ENERGY BILL

Lay Gave Cheney a Memo That Called for Rejection of Price Caps; Memo Was Integrated Into Energy Plan. During a meeting between then-Enron CEO Kenneth Lay and Cheney in April 2001, Lay gave Cheney a memo that outlined some of Enron's positions on energy. Included in the Enron memo were notes on price caps negative impact on energy markets. "The administration should reject any attempt to re-regulate wholesale power markets by adopting price caps or returning to archaic methods of determining the cost-base of wholesale power," the memo said. "Events in California and in other parts of the country demonstrated that the benefits of competition have yet to be realized and have not yet reached consumers," the memo said. Cheney's energy plan advocated against price caps and calls for a bail out for energy consumers in California. [San Francisco Chronicle, 1/30/02] FORMER ENRON EMPLOYEES WORKED FOR BUSH ADMINISTRATION

Former Economic Advisor Lawrence Lindsey Received $50,000 From Enron; Claimed to Have Given Enron “Macroeconomic Advice.” In 2000, former Bush economic adviser Lawrence Lindsey received $50,000 from Enron for consulting and described the work he provided to Enron as “macroeconomic advice.” “I was simply hired to give macroeconomic advice the way lots of other firms do,” Lindsey said in an interview with “Fox News Sunday.” “I did my job. The accounting firm -- the accountants at Enron are the ones who are overseeing accounting.” [“Fox News Sunday,” 1/6/02; US News & World Report, 6/18/01]

Former Secretary of the Army Worked For Enron To Gain Contracts for Army Utilities. Former Secretary of the Army Thomas White was a former Vice President for Enron. At Enron, White oversaw Enron’s bidding for the privatization of Army utilities. [Associated Press, 6/20/01; 6/27/01]

Former US Trade Representative and Deputy Secretary of State Robert Zoellick Was on Enron Advisory Board. Before being appointed US Trade Representative by Bush, Robert Zoellick was a member of Enron’s Advisory Council. [Press Trust of India, 7/21/01; Baltimore Sun, 1/12/01]

Former Commerce Department Chief Counsel Provided Legal Services for Enron. Former Department of Commerce General Counsel Theodore W. Kassinger listed his employment with Enron Corporation as “legal services” and the National Journal further defined his role as handling “international trade and project-financing work.” According to the Department of Commerce, “The General Counsel is the chief legal officer of the U.S. Department of Commerce” and oversees other offices. [“Personal Financial Disclosure Form,” Office of Government Ethics, 3/29/01; National Journal, 6/23/01; Department of Commerce]

Former RNC Chairman Marc Raciot Lobbied for Enron, Led Enron’s Western Advocacy Team. Former Montana Governor, former RNC Chairman and former Bush-Cheney ’04 Chairman Marc Racicot worked as a lobbyist for Enron at the Washington D.C. office of Bracewell & Patterson. According to the Wall Street Journal, Racicot was “the star of Enron’s Western states ‘advocacy team,’” tasked with lobbying Western politicians. [Associated Press, 10/16/01; Wall Street Journal, 5/18/01]

Former RNC Chairman Ed Gillespie Registered Enron Lobbyist, Fought For $254 Million Break. On March 21, 2001, before becoming chairman of the Republican National Committee, Gillespie registered to lobby for Enron. Gillespie said he would lobby on energy deregulation and California's deregulation situation, and received $525,000 from Enron. Enron executives described Gillespie as their key contact to the White House. A former Enron employee described Gillespie as the company’s “hired gun,” and said, “Whenever we had to get in to see a Republican, the first call was to Gillespie.” Gillespie also lobbied for the DeLay “stimulus” bill, which would have given Enron a $254 million tax break. [Lobby Registration Report, 2/15/02; Newsweek, 2/4/02; Washington Post, 1/26/02]

* Gillespie Lobbied Lundquist to Have Enron-Friendly Language. In April 2001, then-Enron lobbyist Ed Gillespie e-mailed Andrew Lundquist, the energy task force executive director from Feb. 1, 2001, to Sept. 30, 2001 and asked if the administration’s talking points could include a number of proposals favored by Enron. Gillespie also tells Lundquist that they are “going into the field with a new nationwide poll next week” and to “please let me know if there’s anything you would like tested.” [Senate Committee on Governmental Reform, Exhibit #A-77, 11/12/02]

Karl Rove Held Over $100,000 of Enron Stock. White House Political Advisor Karl Rove held Enron stock worth between $100,000 to $250,000 while the Bush administration was writing its energy plan. [US News & World Report, 6/18/01]

Ralph Reed Lobbied For Enron. After receiving a recommendation from Karl Rove, Enron hired former Christian Coalition executive director and current candidate for Georgia Lt. Governor Ralph Reed for lobbying services. According to the New York Times, “Associates of Karl Rove, Mr. Bush’s top political adviser, said he had recommended a lucrative consulting contract with Enron for Ralph Reed, the Republican strategist, as Mr. Bush was weighing whether to run for president.” In an October 23, 2000 memo to Enron, Reed wrote, “We are a loyal member of your team and are prepared to do whatever fits your strategic plan. … In public policy, it matters less who has the best arguments and more who gets heard -- and by whom.” [New York Times, 1/25/02; Washington Post, 2/10/02; 2/17/02]

1. From 1990 to 1994 Enron gave 42% of their donations to the Democrats. Source: The Center for Responsive Politics.

2. Florida's State pension fund, which lost $325 million on Enron, is examining what role Frank Savage, a major Democratic donor, may have played in the state's loss. Alliance Capital Management directed the fund's investments, where Savage was a senior executive and chairman at the same time he sat on Enron's board. He has donated $100,000 to Democrats and is raising money for New York gubernatorial candidate Carl McCall. Source: Time Magazine

3. Lloyd Bensten, Clinton's first treasury secretary, was a recipient of Enron's money. At the time of his campaign for Senate, he received the second largest donation from Enron. Source: Center for Responsive Politics

4. Robert Rubin, Bensten's successor, was involved with Enron while he worked as an investment banker at Goldman & Sachs. Clinton first hired Rubin to head his National Economic Council. Soon afterwards, Rubin wrote on Goldman Sachs stationery to former clients, including Enron, in which he ''looked forward to continuing to work with you in my new capacity.'' Source: WorldNet Daily

5. In the days when Franjo Tudjman was Croatia's dictator and pretending to be both a reformed communist and best friend of America in the Balkans, poor Franjo had a problem. He and some of his very best friends were wanted as war criminals by The Hague's International Court of Justice. Enron wanted a power contract with Croatia. Enron offered a deal to Tudjman. Sign up with us and we will use our gang in Washington to make sure you and your friends don't go to jail. Tudjman signed. Enron made a heap of money. Nobody went to jail. Everyone was happy - until Tudjman died of cancer. Then the lid was off, his Croatian Democratic Union was defeated and the new boys in power in Zagreb could not believe how much of their budget went to pay the electricity bills from Enron. Source: Pittsburgh Tribune-Review

6. In August 1993, McLarty, Clinton's former chief of staff, arranged an invitation for Lay, Enron's CEO, to play golf with Clinton in Vail, Colorado. This date irritated Oscar Wyatt, chief executive of Coastal, another natural gas company that had helped the Clinton election campaign raise funds. These connections to the Democratic administration helped Enron considerably. Source: Time Magazine

7. Clinton officials publicly helped Enron win the contract in India as well as in Indonesia. Enron had received U.S. government funds to build power plants in China, the Philippines and Turkey. Enron also won contracts in Pakistan and Russia while accompanying senior U.S. government officials on state trips. In June 1996, four days before India granted final approval to Enron's project, Lay's company gave $100,000 to the DNC. Source: Time Magazine

8. Enron got permission to build a pipeline from Mozambique to South Africa after National Security Adviser Anthony Lake threatened to withhold aid to Mozambique if it didn't approve the project. Source: Mozambique News Agency

9. The bulk of Enron's alleged chicanery had to have happened during the Clinton administration. Source: Fortune Magazine

10. Enron Corporation donated $100,000 to the Democratic National Committee. Six days later, Enron executives were on a trade mission with Commerce Secretary Mickey Kantor to Bosnia and Croatia. With Kantor's support, Enron signed a $100 million contract to build a 150-megawatt power plant Source: The Weekly Standard

11. Kenneth Lay hired the firm of Clinton's former chief of staff Mack McLarty. Source: Fortune Magazine

12. Democratic Senators Chuck Schumer of New York, John Breaux of Louisiana, and Jeff Bingaman of New Mexico--chairman of the Senate Energy Committee were among the top beneficiaries of Enron's political donations. Source: Fortune Magazine

13. Kenneth Lay retained Linda Robertson, a Democrat who worked for the Clinton Treasury Department, as his top D.C. lobbyist. Source: Fortune Magazine

14. Dynergy, an energy company which wanted to buy Enron and later sued them, donated $1,000 of dollars to Henry Waxman (D-CA) in the 2001-2002 cycle, one of the men leading the Enron investigation. Source: Center for Responsive Politics

15. The Democratic Senatorial Campaign Committee received three checks from the Houston-based energy and trading giant totaling $100,000. Karen Denne, an Enron spokeswoman, said the company had a record of two checks written to the committee -- dated Sept. 24 and Nov. 2 Source: New York Post

16. Joe Lieberman's and Tom Daschle's largest Contributor in the 2000 election cycle was Enron's Largest Creditor, Citigroup. Source: Center for Responsive Politics

17. Enron was apparently a big backer of some parts of the Kyoto Treaty. Source: Enron.com

18. Ken Lay slept in the Clinton White House and served as an adviser to the Clinton White House on energy issues. Source: Drudge Report

19. Enron's lead Washington lawyer is Robert Bennett, who represented Clinton in the Paula Jones case. Source: NewsMax.com

20. Neil Eggleston, a former White House associate counsel under Clinton, represents Enron's outside directors. Source: New York Post

Don't know why I find this line so funny, but it cracks me up each time I see that list posted:

" ... 6. In August 1993, McLarty, Clinton's former chief of staff, arranged an invitation for Lay, Enron's CEO, to play golf with Clinton in Vail, Colorado. This date irritated Oscar Wyatt, chief executive of Coastal, another natural gas company that had helped the Clinton election campaign raise funds. These connections to the Democratic administration helped Enron considerably. Source: Time Magazine ..."

Ha ha, lots of things irritate Oskie-WowWow - but what does this have to do with this list of things?

Oscar himself is in all kinds of trouble, since he's practically a country all by himself. He's the one who is part of the Oil-for-Food scandal and was doing business with Saddam, all on his own, illegally.

October 2005: Indictments are unsealed and Oscar is arrested - but not on TV, as I waited up till all hours to see his perp walk - never did. " ... Under the indictment, the 81 year old Mr. Wyatt faces a potential jail term of at least 60 years and the threat that the Justice Department will attempt to freeze a substantial amount of his assets. Wyatt -- who was arrested early in the morning of October 21 at his home in Houston -- is currently free after pleading not guilty to the charges and posting bail of $2.5 million. ..."

January 2006: "... Two Texans, Oscar Wyatt and David Chalmers, are accused of paying illegal kickbacks to Saddam's regime to secure oil contracts. ..."

April 2006: In a Forbes Magazine article on the tax haven of Cyprus:

" ... Bayoil's owner, David Chalmers Jr., has been indicted by a federal grand jury in New York for alleged manipulation of the program. He has pleaded not guilty.
So has Oscar Wyatt Jr., to charges of conspiracy to commit wire fraud and engage in prohibited financial transactions with Iraq. The iconoclastic Texas oil tycoon allegedly acted as an oil consultant or trader on behalf of two Cyprus companies, Mednafta Trading Co. and Nafta Petroleum.
Wyatt had a long history with Saddam. The first to bring Iraqi oil to the U.S. back in 1972, Wyatt met with the dictator in December 1990 and helped with the release of 21 U.S. hostages there. But according to the indictment and the Volcker report, Nafta and Mednafta companies paid surcharges for Iraqi oil and arranged for cargo ships to pick up the oil from Iraq and ship it to larger companies with their own refineries.
As late as January 2003 Wyatt allegedly sent a fax to an Iraqi official on Mednafta stationery to request a meeting in Baghdad. ..."

May 2006: " ... Court papers filed in New York indicate the defense believes the counts were brought only in retaliation for Wyatt being "a persistent and vocal critic of U-S policy." ..."

May 2006: From a local legal blog:

" ... The memorandum also alleges that five government agents and two uniformed police officers arrested Wyatt at his home at 6:13 a.m. on Oct. 21, and that one of the agents injured Wyatt's shoulder when he forced him against the wall and handcuffed him when Wyatt allegedly did not raise his hands quick enough.
Interestingly, in another development in the case, the Court recently granted Wyatt's request -- over the governmetn's [sic] objection -- to depose prominent Houston heart surgeon Michael DeBakey as a character witness for Wyatt. Dr. DeBakey, who is in his mid-90's and is a remarkable physical specimen, has recently been battling an illness that has reportedly left him near death. ..."

This week: Meanwhile, back on River Oaks Blvd., life goes on .... "Lynn and Oscar Wyatt rolled out the red carpet recently for the seven couples who have each committed to a $30,000 table for the Trees of Hope gala in November. ..." ... "Sighted: Lynn Wyatt of the International Best Dressed List Hall of Fame and Oscar Wyatt, treating Prince Pierre d'Arenberg of the men's International Best Dressed List Hall of Fame and his wife, Princess Sylvie d'Arenberg of Paris, to French-flavored fare at bistro moderne. ...."

Ho hum. Never a dull moment in the oil bidness. Oscar bought or tried to buy parts of Enron "after the fall". Oh yeah, he was the first to buy Saddam's oil, too. Funny, funny people. (I love Oscar.) (Umm, not like some of my other friends have loved Oscar, you understand.)

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