Democrat Dirty Laundry: Dem-Linked Donor Slammed with Criminal Indictment

August 5, 2010

Dem-Linked Donor Slammed with Criminal Indictment
Former PMA Head Charged with Making Illegal Campaign Contributions

SPIN CYCLE: Speaker Pelosi Vowed that Democrats Would Lead the “Most Honest, Most Open, and Most Ethical Congress in History”

“Our goal is to restore accountability, honesty and openness at all levels of government. To do so, we will create and enforce rules that demand the highest ethics from every public servant, sever unethical ties between lawmakers and lobbyists, and establish clear standards that prevent the trading of official business for gifts,” (Nancy Pelosi’s “A New Direction for America,” Page 21).

RINSE CYCLE: Founder of Infamous Dem-Friendly Lobbying Firm Hit with Charges for Dirty Campaign Gifts

The founder of a once-influential defense lobbying firm has been indicted on charges that he made hundreds of thousands of dollars in illegal campaign contributions to boost the firm’s influence, power and prestige.

Paul J. Magliocchetti, founder and owner of the now closed PMA Group, was indicted in U.S. District Court in Alexandria on eight counts of making illegal campaign contributions and three counts of making false statements. The indictment was unsealed Thursday morning after Magliocchetti’s arrest, officials said.

PMA, which was based in Arlington County, shut down last year, several months after the FBI raided its offices as part of an investigation into the firm’s Capitol Hill ties.

For nearly five years from 2003 to 2008, according to the 18 page indictment, Magliocchetti concealed campaign contributions from the Federal Election Commission. The indictment does not allege wrongdoing by any lawmakers. PMA’s ties to lawmakers on the powerful House subcommittee in control of Pentagon spending were scrutinized by ethics investigators and were cleared.

But Magliocchetti now faces criminal charges. In some instances, prosecutors allege, Magliocchetti directed family members to make contributions and then paid them back. He also recruited two acquaintances who lived near his Florida vacation home to write checks to candidates, court papers allege. Magliocchetti reimbursed them by writing personal checks or company checks or by putting them on PMA’s board of directors, even though they never worked as lobbyists and never attended board meetings, according to the indictment.

Magliocchetti also instructed the firm’s lobbyists to make political contributions, then repaid the employees with either personal or company funds, the indictment alleges.

“Political contributions to campaign committees and political action committees of various candidates for federal office were a key part of Magliocchetti’s plan to increase PMA’s profile and its profitability,” the indictment said. (Maria Glod, “Head of Defunct Lobbying Firm PMA Indicted on Charges of Illegal Campaign Gifts,” Washington Post, 8/5/10)

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