Investigator Rules Against Palin In Ethics Probe - News Story - WFTV Orlando

Investigator Rules Against Palin In Ethics Probe - News Story - WFTV Orlando

Again what is bad for a republican is fine for a democrat .......

ANCHORAGE, Alaska -- An independent investigator has found evidence that Gov. Sarah Palin may have violated ethics laws by trading on her position as she sought money for lawyer fees, in the latest legal distraction for the former vice presidential candidate as she prepares to leave office this week.

The report obtained by The Associated Press says Palin is securing unwarranted benefits and receiving improper gifts through the Alaska Fund Trust, set up by supporters.

An investigator for the state Personnel Board says in his July 14 report that there is probable cause to believe Palin used or attempted to use her official position for personal gain because she authorized the creation of the trust as her legal defense fund.



The practical effect of the ruling on Palin will be more financial than anything else. The report recommends that Palin refuse to accept payment from the defense fund, and that the complaint be resolved without a formal hearing before the board. That allows her to resolve the issue without a formal ethics reprimand.

Palin posted an entry on Twitter in which she said the "matter is still pending," a statement echoed by her lawyer.

The fund aims to help Palin pay off debts stemming from multiple ethics complaints against her, most of which have been dismissed. Palin says she owes more than $500,000 in legal fees, and she cited the mounting toll of the ethics probes as one of the reasons she is leaving office on Sunday.

Kristan Cole, the fund's trustee, said organizers have frozen the fund pending the personnel board's review. Politicians are routinely allowed to have such funds to pay off legal bills, but quirks in Alaska law can present ethics issues.

The investigator, Thomas Daniel, sided with Palin in her frustration with having to defend herself against a barrage of ethics complaints. He suggested that Alaska lawmakers may need to create a law that reimburses public officials for legal expenses to defend complaints that end up being unfounded.

Palin's friends and supporters created the Alaska Fund Trust in April, limiting donations to $150 per person. Organizers declined to say how much it has raised, and had hoped to raise about $500,000. A Webathon last month brought in about $130,000 in pledges.

In his report, Daniel said his interpretation of the ethics act is consistent with common sense.

An ordinary citizen facing legal charges is not likely to be able to generate donations to a legal defense fund, he wrote. "In contrast, Governor Palin is able to generate donations because of the fact that she is a public official and a public figure. Were it not for the fact that she is governor and a national political figure, it is unlikely that many citizens would donate money to her legal defense fund."

The ethics complaint was filed by Eagle River resident Kim Chatman shortly after the fund was created, alleging Palin was misusing her official position and accepting improper gifts.

"It's an absolute shame that she would continue to keep the Alaska Fund Trust Web site up and running," Chatman told the AP.

At least 19 ethics complaints have been filed against Palin, most of them after she was named the running mate for GOP presidential candidate John McCain. Most of those have been dismissed, and Palin's office usually sends a news release with the announcement.

The multiple ethics complaints include an investigation by state lawmakers over Palin's firing of her public safety commissioner in the so-called Troopergate scandal.

John Coale, a Washington lawyer who helped set up the fund, called the probable cause finding "crazy," adding that if upheld, it would mean that no governor could ever defend themselves against frivolous ethics complaints.

"If this complaint is true, there's no way to defend yourself" as governor, Coale said. "Anybody can keep filing ethics complaints and drive someone out of office even if you're a nut."

Coale said that unlike other states, Alaska's governor has no legal counsel's office to defend the governor from allegations brought against the governor in her official capacity.



From CNN February 18,1988


New Clinton Legal Defense Fund Created

WASHINGTON (Feb. 18) -- With their legal bills already approaching $4 million and skyrocketing because of the Monica Lewinsky allegations, President and Mrs. Clinton have authorized a new legal defense fund.

Supporters of the president, led by former Arkansas Sen. David Pryor, announced the establishment of the Clinton Legal Expense Trust on Wednesday. "The tremendous financial burden that this couple faces is unprecedented. It vastly exceeds the president's compensation. It vastly exceeds his or her financial resources," Pryor said.

The Clintons' private lawyers, including Bob Bennett and David Kendall, are among the most expensive in Washington, each billing several hundred dollars an hour.

The new fund eliminates some of the self-imposed restrictions on the original fund, which closed down at the end of last year after money simply stopped coming in.

The major changes include:

* The maximum contribution for the new fund is $10,000 per person per year, as opposed to the earlier $1,000.
* The new fund will solicit and advertise, including direct mail campaigns, something that was prohibited the last time around.
* After considering accepting contributions from lobbying groups, political action committees, labor unions and corporations, the new fund decided to limit donations to individuals.

The old fund's problems were the result, in part, of the huge embarrassment when the fund had to return some $600,000 raised by now-indicted Clinton fund-raiser Charlie Trie.

Critics say there is still a serious potential for abuse. The Center for Responsive Politics' Kent Cooper said, "When you look at a corporate leader or a union leader, or a lobbyist, saying, why would they give $10,000, is it part of their lobbying plan for some type of access buying. It opens the whole arena up to questions in the public's mind."

Not so, says the White House.

"This is being done consistent with government ethics, rules, regulations and also with what is obviously the proper way to do business," insisted White House Press Secretary Mike McCurry.

Heading up the new fund will be Tony Essaye, a well-known Washington lawyer with close ties to the Democratic party. In addition to Pryor, other trustees include businessmen Kenneth Bartels and Roger Johnson, and lawyers Maurice Mitchell and Renee Ring.

In addition to the Lewinsky matter, the Clintons' legal bills stem from Whitewater, the campaign fund-raising controversy and the Paula Jones sexual harassment lawsuit.

Legal bills are said to be increasing dramatically, especially because Clinton's insurance companies have stopped paying bills in connection with the Jones suit.

To pay current bills, the president's friends say they say they need 400 wealthy supporters to come up with $10,000 each; that would raise $4 million. Says one fund-raiser: "That shouldn't be very hard."