Contractor’s bribes to Louisiana lawmaker raise questions

An Army contractor's recent admission that he bribed a member of Congress is prompting more questions about the role of lawmakers in directing contracts.

On May 3, Vernon L. Jackson, chief executive officer of the Louisville-based technology company iGate Inc., pleaded guilty to giving Rep. William Jefferson, D-La., money and other favors in exchange for helping him win contracts with the Army and business in African nations.

According to the plea agreement, Jackson met Jefferson, who is not named in the agreement, in 2000. The lawmaker allegedly helped Jackson convince the Army to test iGate's technology and to get the company's products on schedules at the General Services Administration.

The Army began using Jackson's communication technology in Fort Stewart, Ga., according to the plea agreement. In addition, Jefferson, who worked with African countries to promote trade and business with the United States, encouraged senior officials in Cameroon, Ghana and Nigeria to use iGate technology.

On their own, these actions would not have been particularly remarkable. Lawmakers routinely help constituents win government business by calling federal agencies and procurement officials on their behalf. But in this case, the lawmaker's activities were allegedly influenced by bribes.

According to the plea agreement, in 2001 Jefferson told Jackson that he would no longer help him unless he made payments to a company that was set up for Jefferson's wife and children. Jackson agreed and said he gave the Louisiana congressman monthly payments of $7,500, a percentage of iGate sales, stock options and other benefits. In total, Jackson said he paid Jefferson's company more than $400,000.

"Vernon Jackson got favorable treatment from a congressman because he paid for it," said Alice Fisher, assistant attorney general of the criminal division at the Justice Department, in a statement. Jackson faces up to 20 years in prison and fines of up to $500,000.

A woman who answered the phone at iGate said Jackson no longer has an office at the company and no one currently at iGate has anything to do with the case. Jackson's lawyer, public defender Michael Nachmanoff, said he could not comment given the continuing nature of the investigation.

Jefferson denied receiving bribes and said he was surprised and disappointed when he learned of Jackson's guilty plea. "I have never over all the years of my public service, accepted payment from anyone for the performance of any act or duty for which I have been elected," Jefferson said. He referred further questions to his lawyer. Jefferson has not been charged with any wrongdoing.

On Wednesday, the Center for Responsive Politics, a nonprofit research group in Washington, reported that Jackson and his wife gave $16,000 in campaign contributions to Loretta and Linda Sanchez, sisters and Democratic congresswomen from California. While there was no evidence that the contributions were illegal, the group said, "It is unclear why a Kentucky businessman and his wife chose to single out politicians from California and Louisiana." Loretta Sanchez serves on the House Armed Services Committee.

The center reported that a spokeswoman for Loretta Sanchez and a spokesman for Linda Sanchez said that neither member helped Jackson win contracts.