Bush Officials Compromised Renzi Investigation for Political Gain

In an important new article from Murray Waas, writing at The Hill, we have at long last fresh news on the Rick Renzi corruption case in Arizona, and it turns out that officials in the Bush Administration improperly leaked out information compromising the investigation of Renzi, and did so for sheer political gain immediately prior to the 2006 elections.

In the fall of 2006, one day after the Justice Department granted permission to a U.S. attorney to place a wiretap on a Republican congressman suspected of corruption, existence of the investigation was leaked to the press — not only compromising the sensitive criminal probe but tipping the lawmaker off to the wiretap.

Career federal law enforcement officials who worked directly on a probe of former Rep. Rick Renzi (R-Ariz.) said they believe that word of the investigation was leaked by senior Bush administration political appointees in the Justice Department in an improper and perhaps illegal effort to affect the outcome of an election.

At the time of the leak, Renzi was locked in a razor-thin bid for reelection and unconfirmed reports of a criminal probe could have become politically damaging. The leaked stories — appearing 10 days before the election — falsely suggested that the investigation of Renzi was in its initial stages and unlikely to lead to criminal charges.

As you will recall, Renzi’s indictment (or lack thereof at the time) was a critical prong in the greater US Attorney firing scandal, specifically as to Arizona US Attorney Paul Charlton.

Murray is right, the import of this is not merely the implications on Arizona and the loss of a really good US Attorney (and as a practitioner in Arizona I can tell you that Paul Charlton had universal respect from both sides of the political aisle, prosecutors, the defense bar and the judiciary). The really notable point here is that it permitted Renzi to circle his wagons, and falsely inferred right before the 2006 election that Renzi was clean enough to be reelected.

Despite the fervent claims of the Bush crowd to the contrary, this was gross politicization of the Justice process, and it worked.

This previously unreported episode, however, directly contradicts that claim and constitutes the first evidence that a political-corruption investigation was stymied for political reasons during the Bush administration.

As part of an apparent damage-control effort to assist Renzi’s reelection bid, information was leaked on the same day to three major news organizations: The New York Times, The Washington Post and The Associated Press. The articles reported that although there was an ongoing probe of Renzi, it was only in an early stage, no evidence of serious wrongdoing had been uncovered, and it might end up being much ado about nothing.

Yet Gonzales had already approved a request by the then-U.S. attorney leading the investigation, Paul Charlton, to seek an application from a federal judge to wiretap Renzi’s telephone.

Now the question is whether or not Eric Holder and the not quite revamped Department of Justice will investigate this obstruction of justice for the crime that it appears to be. As Paul Charlton, who undoubtedly lost his job in large part because he was going after Renzi, said “Any career federal law enforcement person knows that if you leak the existence of an investigation right as you have a wiretap go up, you are going to do great harm to what you are doing.”

That is obstruction of justice, pure and clear.

But who will watch the watchers? As you may have seen, the section of the DOJ responsible for investigating and prosecuting public official and election crimes, the Public Integrity Section (PIN), is in complete disarray, is being investigated by one Federal Court for malfeasance, and is being lambasted by several other courts. PIN would also, of course, have been central to the Renzi investigation. So who is going to investigate whom here without a special prosecutor? Waas describes the the OPR and DOJ-IG being involved:

Sources close to the investigation say that investigators working for the inspector general and OPR — mirroring the beliefs of prosecutors and FBI agents who worked the case — concluded that it was most likely that political appointees leaked the existence of the Renzi probe and had a political motivation in doing so. A spokesman for Justice’s inspector general declined to comment, and OPR similarly did not respond to inquiries for this article.

No mention of PIN there. One would think that they should either be involved in the investigation or be a subject of the investigation. But no mention. Former DOJ spokesman Brian Roehrkasse and former Criminal Division chief Alice Fisher are also central to the fact set. That is a lot of DOJ leadership; even though some of it is "former" you wonder how the DOJ will effectively investigate itself.

The other subject still not featured is the matter of the "Ft. Huachuca" story in regard to Renzi. As Marcy put it almost a year and a half ago:

More interesting than what got added to the indictment since last April is what got left out of the indictment: all mention of Renzi’s and his father’s ties to Fort Huachuca. In April of last year, Wilke explained:

Mr. Renzi told Resolution in 2005 that his support for the land swap would hinge in part on whether it helped fulfill a goal to cut water consumption along the San Pedro River, which slices through the desert far from the mining area, in southern Arizona, participants in the deal say. Fort Huachuca, a big U.S. Army base nearby, was under court order to cut water consumption, and it had been seeking help to retire farmland near the river. Mr. Renzi has longstanding ties to the base, the economic engine of the area. He grew up near it, and his father, retired U.S. Army Gen. Eugene Renzi, is its former commandant, now employed by one of its largest contractors, ManTech Corp.

[snip]

The FBI is also looking into the congressman’s dealings with Fort Huachuca, these people say.

The same question still holds now, as it did then. In fact, it is even more strident, because prior to the last election, and with a Republican led DOJ, it was easy to figure that nothing that could taint John McCain would be pursued. As John Dougherty reported last year:

If prosecutors had focused on Renzi’s submission of what might be false congressional financial disclosure statements, then McCain might have been drawn deeper into the Renzi case. The FBI has already interviewed at least one member of McCain’s Senate staff and requested that his Senate office turn over documents possibly related to the case.

Public records show that Renzi might have filed false congressional financial disclosure statements from 2001 through 2003, because he did not disclose his 50-percent ownership in Fountain Realty & Development, Inc. While submitting false congressional financial disclosure statements in this time period is not one of the counts against Renzi, the indictment states that Fountain Realty had more than $1 million in transactions with Renzi’s former business partner, and co-defendant, James W. Sandlin.

In contrast, the Justice Dept.’s seven-count felony indictment against Sen. Ted Stevens accuses the Alaska Republican senator of submitting false financial disclosure statements to Congress by concealing $250,000 in gifts from an oil industry supply company.

Did prosecutors avoid filing similar charges against Renzi to shield McCain from questions about his ties to the congressman? Or did they decide to focus on the more serious charges of wire and insurance fraud, money laundering, conspiracy and extortion?

Is the DOJ still giving McCain a wide berth? Are they staying away from this part of the story because of the key place in the domestic surveillance program of ManTech, Inc. the database and datamining goliath run by Renzi’s late father, General Eugene Renzi and that Rick Renzi was engaged in land fraud to benefit? We do not know; the better question is whether anybody at DOJ is trying to find out.

Stay tuned.

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27 replies
  1. NMvoiceofreason says:

    Obstruction of justice: it’s what US attorneys are for.

    Guamgate

    Remember Guamgate? Abramoff, Delay, Bush and – surprise, surprise, surprise – a US attorney demoted to derail an investigation into Delay and Abramoff. Basic obstruction of justice, Goes to pattern, your honor.

    NSAgate

    Remember NSAgate? Bush and Gonzales shut down an investigation by the office of the Inspector General after leaning they may be targets of the investigation. Conflict of interest and obstruction of justice. Goes to pattern, your honor.

    Now bush asks: what good are US attorneys if you cant use them to stop investigations that will ruin the reputation of good, decent lawbreaking republicans?

    obstruction of justice – its not a crime if nobody prosecutes it.

    Now they interfere with investigation of Republicans, punish those who did not investigate Democrats, and we are supposed to believe that it does not constitute an “improper purpose” under the law?

    “Witnesses have told congressional investigators that the chief of the General Services Administration and a deputy in Karl Rove’s political affairs office at the White House joined in a video conference earlier this year with top GSA political appointees, who discussed ways to help Republican candidates.” This is a violation of the Hatch act. And so is using the US attorneys to help republican candidates like Heather Wilson and Pete Domenici. I submit that all of these crimes, and others, are not merely politics, but intentional, willful violations of the law, your honor.

    • bmaz says:

      Yeah, there is a wee bit of “pattern and practice” evidence isn’t there?

      What would be nice is if the Federal Judge in Tucson assigned to the case would initiate an investigation and appoint a special prosecutor from the court like Sullivan did in Stevens. Unfortunately, trust me, Bernie Velasco is not likely to even contemplate such a thing.

  2. Jkat says:

    thanks bmaz .. a good yarn .. well spun ..

    [up there .. just above the third block quote .. you refer to the DOG-IG .. ?? DOJ ?? ]

  3. oldoilfieldhand says:

    This may take a while to digest. Thanks bmaz. Has anyone thought of writing the indictment for the Obama Justice Department and submitting it to a local Arizona newspaper? That seems to be working…

  4. Jkat says:

    ummm noomexico .. goes to pattern .. yes it does ..

    well bmaz ..the DoJ has gone to the dogs .. it’s an honest typo .. imo ..lol

  5. bobschacht says:

    I am in AZ at the moment (up in Flagstaff, which is nice and cool), and folks here will be interested in this report. Thanks much. I hope this will
    be picked up by the Arizona press, at least.

    Bob from HI
    Currently in AZ

  6. Mary says:

    Ditto on the well told story – it’s complex but you make it flow easily.

    OTOH, I have to take up for the dogs since they are the ones who suffer by comparison with DOJ. Granted DOJ lawyers may not (emphasis on the may) hike on your tires, but it certainly seems that they are more likely to do that than to be loyal and honest and committed to defending justice.

  7. JThomason says:

    As a corporatist cut in the Enron mold, Bush and his ilk resent the ethos of professional independence which has traditionally defined the American bar and stood in the way of those of similar character to the Bushites from doing what ever the hell they wanted to do law or no law. Accordingly these opportunists accustomed to corporate anonymity sought to surround themselves with the cloying sycophants, insecure in their professionalism, who would sell their independent privilege for a bowl of porridge as it were and corrupt and weaken the profession and the ethical commitment to justice. The American bar has been uniquely constituted to oppose the excesses of tyranny which corruption threatens absolutely. The corporatist understand this power to corrupt fundamentally as his principle interest in the pursuit of unbridled influence especially if it is coercive.

    Without this fundamental understanding of its constitution in relationship to tyranny the American bar is at risk of being reduced to a ministerial class in the obeisant service of an unrestrained and political authoritarianism. But this is inevitable when government serves a corporate constituency at the cost of fundamental individual considerations. One can only hope that the risk of letting this kind of political excess have free reign will be sufficiently appreciated to allow the administration of justice to ultimately exert its necessary independence.

  8. NMvoiceofreason says:

    look – I don’t say this anywhere near as it is warranted – soi forgive the shouting –

    HEY BMAZ! GREAT POST! GREAT WORK!

  9. Rayne says:

    Thanks for writing this up, bmaz, nice to hear this from someone with a local perspective.

    Interesting how Renzi was on the House Intel, Financial Services and Natural Resources committees; membership in at least two of them would be convenient if anything regarding spending and scope came up, would have had either feedback or oversight from these committees.

    Convenient if you’re doing financing of land deals or have peeps in the business to be on Financial Services, too, I suppose.

    • bmaz says:

      Keep in mind that there is a 10-15 year gap in the biography of Renzi in which he may well have worked for the CIA or highly secretive military intel services. He, if for nothing other than his father, and there is more than that, has been connected to intel concerns for a very long time. The ManTech angle has never been cracked open, but I am absolutely convinced they are a huge part of the pervasive surveillance programs run by Bush/Cheney crew and that Renzi was put up into Congress for the express purpose of facilitating that.

  10. Waccamaw says:

    Thanks for the post, bmaz. I saw the article earlier but haven’t taken the time to dig thru it……between it and your analysis, it’s gonna take a while.

  11. Kathryn in MA says:

    OT and Breaking – Chaconne won a scholarship to NetRoots Nation! Congratters!

    Back to your regularly scheduled…

    • STTPinOhio says:

      The bush administration compromised an investigation? No way! /s

      That’s exactly where I’m at on this as well.

      You know, “In other news, water is (wait for it…) wet!”

      I mean, what is it gonna take?

      Everyone who’s been paying attention knows these bastards were as crooked as a 3 dollar bill, and yet nothing.

      • bmaz says:

        Well, this is pretty significant news though because it established politicization and compromise as an element of the USA Purgegate scandal. Now, we may all have supposed that for a long time, but having people on the inside starting to appear with some direct evidence, and in a case with as many threads as Renzi, is very important.

        Earth shattering, maybe not, but critical yes.

  12. Blub says:

    wouldn’t it be profoundly ironic if, after all of shrub’s high crimes with respect to the constitution, torture, lying our way into wars, etc, etc, his people finally start falling, not for these “big” issues but over good ole’ fashioned sleaze? My dream is that shrub goes to jail – for simple racketeering, corruption, campaign finance violations, and election fraud. No drama over ideology, no “I did what I had to do to save the country and protect the American people” nonsense. No terr’ist bogeyman. No ticking bomb. Just exposure and infamy as the evil, venal sleazebag he was.

    • bmaz says:

      There are a whole heap of moving parts in this one if you filet it open. The ManTech bit is a key in the front door of the surveillance state Bush and Cheney set up. And that is just one angle. There are greasy McCain fingerprints likely in the background. There are CIA shadows lurking. And then there is the wrongful firing of Paul Charlton who was not just a good USA, but a superb one.

      • readerOfTeaLeaves says:

        Well, it looks incredibly sinister.
        And just to clarify: the BushCheneyBots screwed the FBI. That was the same FBI that had ensured they would not be present for torture interrogations, who then got screwed by someone inside DoJ-WH-OVP on a case involving money laundering, fraud, land swaps on a deal related to NSA surveillance setups?

        The same FBI that was being lied to by K-k-k-karl Rove and Scooter Libby?

        Does this set of facts you’ve laid out sound an awful lot like the Mafia screwing over the cops by controlling the government? It sure looks that way to moi.

        And if that AZ NSA surveillance work was so wonderful, then how the f*ck is it that they missed billions in AIG credit default swaps? How is it that they missed mortgage fraud on a massive scale, what with all those loans and title agreements floating around on LANs and the Internet? How is it that all that surveillance missed all those billions of dollars being siphoned out of the US economy into tax havens and overseas accounts?

        Oh, right… Renzi was on the Finance and Intel Committees… silly me.

        Come to think of it, this really underscores what the FBI (and the rest of us) must be up against.

        This post is superb and important, but dreadful for my blood pressure. This is one of those times that I suspect when Nancy Pelosi said, “You don’t know the half of it”, what she actually meant was, “You can’t even imagine how deep the shit we’re in actually is, people — and even the FBI can’t dig through it all.”

        If the Dems had lost the 2006 federal elections, I suspect that we’d be living in a surveillance state dictatorship at this point. But I also remember that it was Josh Marshall at TPM, using emails from his readers all around the US, who put all the pieces together and showed that there WAS a nationwide pattern of DoJ firings — which until that point, no one outside the WH and DoJ had been able to figure out. Thank God for smart bloggers, or we’d be under the heel of a jackboot by now.

  13. nahant says:

    I am still angry that the Bush Administration is not under more investigations. Still seems like the good old boy club. You would think that by now Holder has seen most of the secret files which must be brimming with Political motives for the laws were used to influence elections and other info of that sort.

  14. texasaggie says:

    Something to consider is that if the DOJ talks about its investigation now, assuming there is one, then it accomplishes the same thing that the Bush politicos did, alert the quarry that it is being hunted.

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