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8 charged in Pennsylvania Turnpike probe
BY MARK SCOLFORO and MARC LEVY, Associated Press
HARRISBURG -- A former state Senate power broker, three former top Pennsylvania Turnpike Commission officials and four others were charged Wednesday in a sweeping investigation that prosecutors said involved a long-running "pay to play" scheme in which contract-hungry vendors gave lavish gifts and political campaign contributions.
The group of former state officials used their extraordinary power over multimillion-dollar turnpike commission contracts both to enrich themselves, rig bids for favored businessmen and help sway political campaigns, Attorney General Kathleen Kane said. The largely secret investigation that came to light Wednesday dates back to 2009 and involved hundreds of witnesses to crack a political and corrupt culture, she said.
"Evidence of secret gifts of cash, travel and entertainment and the payment of substantial political contributions to public officials and political organizations by private turnpike vendors and their consultants demonstrates that the turnpike operates under a pay-to-play system that is illegal and corrupt," Kane said.
Charges were filed against retired state Senate Democratic floor leader Bob Mellow, currently jailed in a federal prison in South Carolina on unrelated corruption charges. Mellow, 70, was accused of helping supporters and contributors get business from the turnpike and pressuring turnpike staff to support him politically and raise campaign funds.
Also charged were former turnpike chief executive Joseph Brimmeier, 64, and former turnpike chairman Mitchell Rubin, 61.
The investigation is continuing, but is restricted by an eight-year statute of limitations, Kane said.
Turnpike vendors named by the grand jury gave hundreds of thousands of dollars collectively in political campaign donations, while winning tens of millions of dollars in contracts over the past decade. Recipients of the campaign donations included former Philadelphia state Sen. Vincent J. Fumo, who is in federal prison on unrelated corruption charges, and former Gov. Ed Rendell.
The vendors also paid for gifts and entertainment worth tens of thousands of dollars, including trips to Paris and Vienna, tickets to professional baseball games, golf outings and expensive meals, some of which was not reported as required by the law, Kane said.
Business executives, including the two businessmen charged in the case, who participated in the pay-to-play system were rewarded with multimillion-dollar contracts, authorities said.
"The reason they made these contributions and provided these gifts (is) because they knew that was the way they would get these contracts," state police Commissioner Frank Noonan said.
Companies identified by the grand jury, but whose executives were not charged with wrongdoing, included engineering firms, transportation planning and design firms and a major bond underwriter.
Kane said the selection and recommendation of turnpike vendors followed what witnesses identified as a 60-40 rule that split up contracts among firms favored by Republicans and Democrats: 60 percent of the turnpike contracts went to the "majority party" and 40 percent went to the "minority party."
The governor appoints turnpike commissioners. Traditionally, three of the five turnpike commissioners are from the governor's political party, while the other two are from the other political party. Each must be confirmed by a two-thirds majority of the state Senate, helping give senators influence there.
The other defendants were the turnpike's former chief operating officer George Hatalowich, 47; former turnpike employee Melvin Shelton, 81; former turnpike employee Raymond Zajicek, 67; Dennis Miller, 51, a former vice president of information technology firm Ciber; and vendor consultant and registered lobbyist Jeffrey Suzenski, 63.
Miller, Rubin, Hatalowich and Suzenski were arraigned Wednesday and released on $100,000 unsecured bail. Shelton and Brimmeier are due in court today. Arrangement was pending for Mellow, and Zajicek was expected to arrive later this week from Florida.
The men either declined comment or could not be reached Wednesday. Miller's lawyer said his client has cooperated fully with the grand jury investigation and will fight the charges.
Rendell was not named, but it is clear he is referred to in the grand jury report as Gubernatorial Candidate No. 1, for whom Brimmeier and Hatalowich were allegedly collecting political donations from vendors.
Rendell said Wednesday that he had not read the indictment and was unaware of any inappropriate activity.
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