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Agents Raid Office of Senator’s Son — Ben Stevens, Ted’s Son, Among Six Alaska Lawmakers Whose Offices Get Fed Attention

September 5, 2006
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By Associated Press

JUNEAU, Alaska – The offices of at least six Alaska legislators, including the son of Sen. Ted Stevens, were raided by federal agents searching for possible ties between the lawmakers and a large oil field services company, officials said.

Department of Justice spokeswoman Jaclyn Lesch said Friday the searches began Thursday and continued Friday. FBI spokesman Eric Gonzalez said a total of 20 search warrants were being executed across Alaska, but would not say where.

A copy of one of the search warrants, obtained by The Associated Press, links the investigation to a new production tax law signed last month by Gov. Frank Murkowski and a draft natural gas pipeline contract Murkowski and the state’s three largest oil companies negotiated.

The warrant called for seizure of documents concerning any payment made to lawmakers by Bill Allen and Richard Smith, executives of oil field services giant VECO Corp. Agents also looked for documents about contracts, agreements or employment of legislators provided by VECO, Allen, Smith and company president Peter Leathard.

Lesch said no further comment is likely to come from the Justice Department unless charges are filed.

VECO’s executives are top contributors to Alaska politicians. The company staunchly supported the governor’s production tax plan, a version of which the Legislature passed in August after twice rejecting it earlier this year. Lawmakers have also twice failed to pass legislation related to the governor’s pipeline fiscal contract with BP PLC, ConocoPhillips and Exxon Mobil Corp.

Amy Menard, an Anchorage-based attorney for VECO, said the company received a warrant on Thursday. She said the company would cooperate with agents in providing the broad range of information they want.

Among the offices searched was that of Republican Senate President Ben Stevens, whose father is Alaska’s senior senator. Ted Stevens has reported collecting more than $240,000 in consulting fees from VECO since 2000. Ted Stevens’ spokesman Aaron Saunders said Friday he had no comment on the search.

Ben Stevens could not be reached Friday.

Agents left Ben Stevens’ Capitol office Thursday evening with 12 boxes of documents labeled “Evidence” and loaded them into a vehicle.

Also searched were offices belonging to state Sen. John Cowdery, the Senate Rules chairman; Republican state Rep. Vic Kohring; Republican state Rep. Bruce Weyhrauch; Democratic state Sen. Donald Olson, and Republican state Rep. Pete Kott.

“It’s pretty bizarre,” Cowdery said Friday. “That’s all I know, it’s pretty bizarre. I certainly haven’t done anything wrong.”

Kohring said he cooperated and was told he was not a target of the investigation.

(c) 2006 Commercial Appeal, The. Provided by ProQuest Information and Learning. All rights Reserved.