Judge midtrial throws out Pennsylvania pay-to-play case
HARRISBURG, Pa. (AP) — A judge midtrial has thrown out a pay-to-play case against a wealthy investment adviser accused of bribing Pennsylvania's former treasurer to get state business.
U.S. District Judge John Jones III said Monday that prosecutors had not proven that favors were traded in exchange for campaign contributions from defendant Richard Ireland.Jones' ruling came after the prosecution rested. He dismissed a 79-count case against Ireland. The government cannot appeal the ruling or retry the case.Prosecutors had relied on several days of testimony from disgraced former treasurer Rob McCord. He awaits sentencing after pleading guilty to extortion two years ago.McCord's testimony nonetheless painted a stark picture of how business gets done in a state without campaign finance limits. The testimony showed that donations are routinely made in someone else's name, or timed so they don't have to be reported for a year, long after the money is spent. The Legislature, meanwhile, has shown little interest in stemming the flow of money into politics."I remember thinking, 'This is a weird business because you say you lie down with dogs and get up with fleas,'" McCord, a cooperating witness in the FBI probe, said in his testimony.The FBI's investigation dates back to at least 2009, when it set up a fake company in Harrisburg and began engaging lobbyists. Agents soon ensnared a prominent behind-the-scenes player, John H. Estey, the onetime chief of staff to former Democratic Gov. Ed Rendell. Estey began cooperating with the FBI and offered up McCord as a target.Estey secretly taped McCord for the FBI, and the FBI also listened on McCord's phone calls three years ago when he ran for governor in a four-way Democratic primary. The recordings show him trying to use his position as state treasurer to strong-arm donations to his failing gubernatorial campaign.McCord, on the stand, admitted giving a $50 million investment contract to a $100,000 campaign donor who hid a connection to the contribution by giving through a joint acquaintance. He also promised to help a donor's son land an investment contract, and offering to slow down a state payment to the competitor of a donor.Pennsylvania is one of 12 states that allows unlimited campaign contributions to candidates.