Scandal Continues to Plague Political and Lobbying Activities of Detroiters Bankrolling Shinnecock Casino Plans

For more than a decade, campaign contributions and lobbying fees doled out by Michael J. Malik, Sr. and his partners in the Ilitch Family are often attached to controversy, scandal, alleged corruption and illegal activities.  Consider that in 2010, Mrs. Michael Malik was forced to tell a Detroit-area Court that he had a consistent “pattern of bullying, intimidation and influence peddling.”

1^st Campaign Contribution Controversy Verified in the Media: 

Governor under Fire for Accepting Malik’s Money

In 1998, an investigation by the Augusta Chronicle revealed then-South Carolina Governor David Beasley had accepted campaign contributions from Detroit casino interests, namely Michael Malik and Tom Celani, an earlier Malik gaming partner.  They had played significant roles in a fundraiser organized for the South Carolina Governor in Detroit. 

At the time, South Carolina had no legalized gambling and the Governor had taken a public pledge not to accept or be influenced by gambling money.  While Malik and Celani helped bankroll a 1996 campaign to approve gambling in Detroit and were by 1998 affiliated with gambling interests some of which they controlled, no casinos had yet been approved or built in Detroit.  It was not common consideration that Detroit money might be gambling money.

Clearly, the hope was that people in South Carolina would not realize that contributions raised in Detroit were directly from those heavily invested in or affiliated with gambling. (Beasley Donors Disputed; Augusta Chronicle; 8.03.98)

Reporters & Watchdogs Make Case for All-Star Congressional Influence Peddling

On the eve of Major League Baseball’s 2005 All-Star Game (Detroit), an AP reporter broke a story about a $5,000 per head fundraiser being held in Detroit during the All-Star events to benefit then-Congressman Richard Pombo.  He was chair of the congressional committee overseeing Indian matters.  (Pombo no All-Star in watchdog group’s eyes; Associated Press; 7.13.2005)

Hosts of the All-Star Game fundraiser for Pombo were Malik and Christopher Ilitch, CEO of Ilitch Holdings.  His parents are Detroit Tiger’s owner Michael Ilitch and Marian Ilitch, Malik’s partner who reportedly has bankrolled the Shinnecock Indian Nation’s efforts to win approvals needed to establish gaming on Long Island. Perhaps most controversial was the timing of events.  Less than 48 hours after the Malik/Ilitch All-Star fundraiser, Pombo had scheduled a congressional hearing with an agenda item that read “Status of Settling Recognized Tribes’ Land Claims in the state of New York.”

For several congressional election cycles, the Ilitch Family and Malik had collectively been among Pombo’s top tier of donors. They had hosted or participated (bundling) in fundraisers on his behalf and also were flying him around the U.S. in a private jet. All they had invested in Rep. Pombo had remained under the radar until the All-Star Game story broke.  The watchdog groups Common Cause and Citizens for Responsibility and Ethics in Washington (CREW) helped break the story and kept the controversy alive for the remainder of the 2006 elections. Congressman Pombo failed to win re-election.

Failed to Disclose $26,600 Campaign Contribution; Fined $6,500 in CA

In 2004, the year before the All-Star Game controversy, Barwest, a Malik/Ilitch casino affiliate bankrolling attempts to secure approvals of various Indian gaming proposals in Barstow, CA, had quietly contributed $26,600 to Pombo’s local GOP Central Committee.  Malik failed to report the Barwest contribution to California election officials.  California’s Fair Political Practices Commission (FPPC) became aware of the possible violations of that state’s political reform laws and an investigation got underway.  In 2006, the FPPC found Malik’s Barwest violated state election law on two counts and fined Malik $6,500. (Press Release; California Fair Political Practices Commission; 10.24.2006)

Career Ending All-Star Scandals; Congressional Investigations

In 2003, Barbara Bonfiglio, the controversial Washington D.C. attorney/lobbyist/PAC treasurer, signed casino syndicator Michael Malik‘s MJM Enterprises & Development as a lobbying client of her firm Williams & Jensen. Malik paid Bonfiglio $220,000 between 2003 & 2005. Malik had matters before committees chaired by Reps. Richard Pombo, Don Young and Jerry Lewis -- Bonfiglio served as PAC treasurer/advisor to these members' leadership committees. In the midst of various GOP scandals including that involving House Speaker Tom DeLay, TPM Muckracker reported that Bonfiglio abruptly left Williams & Jensen in March 2006 and resigned as treasurer/advisor to various PACs and fundraising committees for Sen. Rick Santorum and Reps. Tom DeLay, Richard Pombo, Jerry Lewis, Don Young and others. She was subpoenaed at least once, in 2004, in connection with the DeLay corruption scandals. Malik distanced himself and affiliates from Bonfiglio but continued to invest heavily in her friends Pombo (Natural Resources/Native America Affairs), Young (Transportation) & Lewis (Appropriation).

Continued Affiliation with Controversial D.C. Lobbyists

When Malik left the Williams & Jensen lobbying firm, he took his business to Potomac Partners and lobbyist Richard Alcalde.  Alcalde particularly had a close relationship with Congressman Jerry Lewis, whose congressional district included the California desert community of Barstow, one of the communities where Malik/Ilitch have tried to build a casino.  At that time, Lewis was also the chair of the House Appropriations Committee.  Malik/Ilitch were hoping to get federal funds to support casino-related projects in Port Huron, Michigan, and other funds to support business ventures Malik pursues with the Bay Mills Indian Community.  Again, controversy ensued when the Washington Post reported that D.C. based Potomac Partners (Alcalde) was paying Lewis’ Las Vegas-based step-daughter to be a "strategic partner." 

Further, nearly all of Malik’s other affiliates and Indian partners had contracts with Wheat Government Relations, the lobbying firm of former Congressman Alan Wheat.  But in truth Wheat was funneling the funds to the Kessler & Associates (lobbyists Richard S. Kessler, Billy Lee Evans).  With the funds to Kessler funneled through Wheat, Kessler could avoid publicly disclosing the firm was a lobbying for Malik, Malik’s affiliates and partners, and “Gaming” or “Native American” interests.  In 2004 alone, Malik/Wheat paid Kessler almost $300,000 using that scheme. In all Kessler was paid nearly $600,000. The following circumstances unfolded after the scheme filtering payments to Kessler & Associates was exposed: the Kessler firm submit revised disclosure documents recategorizing the Wheat client work as involving issues of Indian/Native American Affairs or Gaming, Gambling & Casinos; Billy Lee Evans ceased his lobbying career in 2007; and in 2008, Kessler & Associates was disbanded.  Richard Kessler formed Hamilton Advisors in 2008 and has lobbied on behalf of one or two clients each year since.  The Wheat firm has continued to lobby on behalf of various Malik/Ilitch affiliates and partners.

Failed To Disclose Another 17 CA Contributions Totaling $26,500; Fined Again!

In 2006, Malik/Ilitch believed they were close to getting a gaming Compact approved in California. Governor Schwarzenegger had negotiated an amended Compact with the Los Coyotes Band of Indians, the tribe Malik/Ilitch bankrolled in California. That Compact was pending ratification by the State’s legislature.  Malik/Ilitch and their affiliates contributed heavily to those who would sit on the committees that would make the initial recommendation to ratify.  At the same time, California’s FPPC was wrapping up its investigation into the 2004 failure by Malik/Barwest to disclose the $26,600 to Pombo’s GOP Central Committee.  Malik was spending thousands to influence legislators in 2006 and despite the experience of the previous 2-year FPPC investigation and a significant fine, when he filed his official year-end 2006 major donor campaign disclosure reports, he indicated $0.00 in campaign contributions during the second half of 2006 when, in fact, he had actually given 17 lawmakers a total of $26,500.  Another FPPC investigation ensued and in 2009 the FPPC found Malik had violated California’s campaign reform laws in 2006 and this time fined $4,000. (Press Release; FPPC; 2.19.2009)

Malik’s NY Contributions Bring Controversy; NY Candidates Return Funds

During the 2010 campaign cycle Malik/Ilitch again focused their political contributions toward New York and candidates who might influence decisions that would allow them to expand gaming opportunities with the Shinnecock Indian Nation. Notably efforts to win approval to build a casino and other commercial development near the Belmont Park & Race Track on Long Island. They gave the maximum to New York’s U.S. Senators Charles Schumer and Kirsten Gillibrand. They sought to influence county and state lawmakers and Malik contributed to the campaign of now Governor Andrew Cuomo.  Contributions he made in New York races for the House of Representatives and State Senate became campaign liabilities.  News Day started reporting on the controversy surrounding Malik.  Several candidates including State Senators Jeff Klein and Craig Johnson reported returning Malik’s contributions. (Sens. Johnson, Klein to return Malik contributions; Daily News; 10.13.2010) Congressman Tim Bishop said he would return the funds too.

And now, there are questions surrounding the reporting of $15K Gov. Cuomo accepted from Malik.

Nearly $8 Million to Influence Lawmakers; Bordering on Unethical and Breaking Laws; and for the Purpose of Advancing Gaming Plans Fronted by Native Americans

Throughout the first decade of the 21^st Century, Malik/Ilitch and their affiliates have paid lobbyists more than $6,500,000 dollars and funneled more than $1,200,000 to politicians almost exclusively for the purposes of influencing matters of gambling, Native American affairs and transportation appropriations related to, as of yet unapproved, casino development projects they have pursued in three states (Bay Mills Indian Community – Port Huron, MI; Los Coyotes Band of Indians – Barstow, CA; Shinnecock Indian Nation – Long Island, NY).  Allegations of corruption and influence peddling and findings of illegal activity swirl around these Detroit casino syndicators and those they touch. And consider the possibilities that there are other investors behind the dozens of Malik/Ilitch gaming affiliates.  Who are they? What are their histories? Who are they contributing to or lobbying? What is their influence?

Reference Sources:

Search D.C. Lobbyists, Lobbying Firms, Lobbying Clients at OpenSecrets.org

Search Donors to Federal Campaigns Committees at OpenSecrets.org

Search Michigan Political Donors,  Lobbyists, Registered Casino Interests

Search California Political Donors,  FPPC

Search New York Political Donors

TheVerifiableTruth.com

See also:

• Controversy seems to always follow Detroit Casino Syndicator Michael MalikWhy is Detroiter Mike Malik Michael Malik: The Latest Life & Times of a Detroit Casino SyndicatorDragging former Hawaii Governor Waihee around Long Island, NY?
• Strange Bedfellows: Hawaii's Former Governor & Detroit's Gambling Promoter?
• Disclosure? And their tangled web: Detroiter Michael Malik, the Jack Utsick Ponzi Scheme, Shinnecock & Bay Mills Indians, and Akerman Senterfitt

•  To Bypass Carcieri and Other Off-Reservation Casino Hurdles, Detroiters Plan Introduction of "Mandatory Acquisition Legislation" in Congress
• It's Carcieri not Malik that poses Bigger Problems for the Shinnecock Nation
• What They Won't Tell You: Insights on Gateway Casino Resorts, its Detroit Organizers and Their Plans for Shinnecock Casinos

Controversy seems to always follow Detroit Casino Syndicator Michael Malik

Michael J. Malik, Sr.
Detroit Casino Syndicator

A glimpse at some of the controversies surrounding Detroit casino syndicator Michael J. Malik, Sr.:

• Malik was arrested for beating 12-year-old son of his then girlfriend. (1997) Detroit News
• Michigan Gaming (MGCB) investigators found questionable histories for Malik and several of his original gaming partners.  Those histories included tax dodging, court ordered real estate negligence claims and 40+ foreclosures. (1999) Las Vegas Review-Journal
• Malik was denied a gaming license by the MGCB. (1999)
• Malik failed to report a $26,500 political contribution and was fined on two counts of violating California election law. (2004)
• In the footsteps of Jack Abramoff, Malik’s use of influence peddling, using political contributions to leverage influence with Members of Congress including former Reps. Richard Pombo and Don Young, has been scrutinized by the national media. Corruption roll call: the most corrupt Members of Congress. (Since 2005)
• Following multiple investigations by California's Fair Political Practices Commission (FPPC), Malik has twice (2006 & 2009) been fined a total of $10,500 and found to have violated California's political reform laws on a total of three counts. Over the course of several election cycles, he's simply failed to report more than $52,000 in political contributions. The majority of those contributions he failed to report even after he had previously been found to be in violation and fined on two similar counts. No excuses.
• Malik's former mistress, Heather Lufkins Robinson (she subsequently married NBA player Clifford Robinson) filed a property claim suit against Malik alleging he had purchased a home for her while he was still married and they were carrying on an affair. A judge tossed out the claim when it became clear that the former mistress had previously perjured herself to help Malik hide assets from his former wife during their divorce proceedings. (2006 Complaint)
• A son, Cameron Anthony Malik, is born to unwed parents Michael J. Malik (age 52) and Brooke Garwood (age 28) in November 2006.
• Malik’s partnership with the Los Coyotes Band of Indians was terminated by the tribe’s well-respected chairwoman who called Malik “the Devil” and indicated he was “seducing” younger members of her tribe. (2007)
• Malik continued to ignore California political finance disclosure laws and failed to report a $5,000 contribution to the Democratic Party. (2007)
• Malik faces charges in a Florida Federal District Court brought by a court appointed Receiver alleging Malik’s involvement in a ponzi scheme and $2.1 million fraudulent transfer. (2008)
• Malik was found guilty by an Arizona court of illegally discharging a firearm. He was ordered to do community service and fined almost $15,000. His hunting licenses in Arizona and Michigan were revoked. (2008)
• Malik defaulted on a $1 million personal line of credit with Fifth Third Bank; was delinquent on property taxes and had real estate in foreclosure. (2008 & 2009)
• Miami Beach Police were called to break up a party at a lavish $7.9 million estate being rented by Michael J. Malik, Sr., as a vacation home. Police reports and subsequent investigations (Case #10-24620) indicate police found substances onsite and that cocaine and other drugs were present and being used during a five-day party marathon. (2010)
• On January 21, 2010, Michael Malik marries Brooke Garwood, the mother of his 3-year-old son Cameron, in a Las Vegas wedding ceremony costing upward of $300,000.  Six weeks later, Malik files for annulment/divorce. She counter-sues. In documents filed early in the divorce proceedings both parties allege drug and alcohol abuse; fast-living and sexual debauchery; emotional abuse; questionable parenting skills; numerous infidelities prior to and during the short-lived marriage; influence peddling; buying witnesses and more. As the divorce proceeds, Malik asks the Court to restrict further public access to the Court documents and divorce details.
• Wayne County Treasurer issues a Certificate of Forfeiture over a $4.25 million lake front residential property owned by Malik because he has failed to pay thousands in back property taxes. (2010)
• New York political candidates for State Senate and U.S. House of Representatives come under attack for accepting campaign contributions from tainted casino syndicator Michael J. Malik, Sr., and decide to return his contributions in order to quiet the controversy. (2010)
• Questions arise over more than $15,000 in campaign contributions Malik gave to New York Governor Andrew Cuomo who is expected to make decisions that will impact Malik's ability to develop a casino and entertainment complex at the Belmont Park & Race Track on Long Island. Cuomo Rejects Campaign Contributions from Michael Malik.
• After Malik & Gateway Casino Resorts investors dumped perhaps as much as $40 million into process that gained Shinnecock Indian Nation Federal Recognition and put them on the path toward casino development, tribe still votes down go-forward contract with Malik because, as was reported, majority don't trust and are suspcicious of Malik.

Mike Malik is Mrs. Marian Ilitch's casino gaming partner. Malik, however, has failed to ever obtain a license to operate, be employed by or be affiliated with a licensed gambling facility.  Ilitch owns Detroit's MotorCity Casino and is involved in other gaming development activities.  Along with her husband, Michael Ilitch, they control Ilitch Holdings, Inc., parent of such brands as Little Caesars Pizza, Detroit Tigers MLB franchise, Detroit Red Wings NHL franchise and dozens more.

Wikipedia: Michael J. Malik, Sr.


originally posted 8.07.08
updated and reposted 08.13.08

Casino syndicator with history of illegal activity contributes $30k to Democratic Senatorial Campaign Committee

According to OpenSecrets.org, Detroit casino syndicator Michael J. Malik, Sr. contributed $30,400 to the Democratic Senatorial Campaign Committee on 6.19.09.

Previously such contributions by Malik and his casino gaming partners Mike and Marian Ilitch flowed to committees to re-elect Michigan Senators Debbie Stabenow and Carl Levin -- two who have spearheaded Congressional activity that would pave the way for Malik and his partners to develop an off-reservation Indian casino (Bay Mills Indian Community) in Port Huron, MI.

For more than a decade Malik has failed to win such Congressional approvals despite raising hundreds of thousands of dollars for those who have carried his water including Stabenow, Levin, Michigan Representative Candice Miller, Alaska's Representative Don Young and several others that have been key to Malik's schemes.

Malik and Ilitch are also behind similar off-reservation Indian casinos proposed in Barstow, CA (Los Coyotes Band of Cahuilla and Cupeno Indians) and Hampton Bays, NY (Shinnecock Indian Nation).

In December 2008, Malik was found guilty on firearms charges in Arizona. As a result he was forced to pay a nearly $15,000 fine and stripped of his right to hunt in a majority of U.S. states for a period of five years.

In February 2009, Malik was found to have violated California campaign finance laws and was also fined. Malik has a history of repeating such violations in California.

In April 2009, Fifth Third Bank filed a complaint in Oakland County (MI) Circuit Court claiming Malik had defaulted on a $1 million line of credit.

In May 2009, Malik entered into a settlement agreement in Florida Federal Court acknowledging that he had previously accepted at least $620,000 in fraudulent transfers (Goldberg v. Malik) as part of a Ponzi scheme. That case stemmed from a $300 million Ponzi scheme case brought by the Securities & Exchange Commission against Jack Utsick and others. Utsick has subsequently taken asylum in Brazil.

Another aide to Alaska's Rep. Don Young implicated in Abramoff Lobbying Scandal

2.02.09

Rep. Don Young aide implicated in lobbying scandal

By ERICA WERNER

WASHINGTON (AP) — A second former staffer to an Alaska congressman has been implicated in the Jack Abramoff influence-peddling investigation as the scandal sweeps up a growing number of ex-Capitol Hill aides and lobbyists.

Fraser Verrusio, who worked under Republican Rep. Don Young when the congressman chaired the House Transportation and Infrastructure Committee, figures in plea deals reached recently by two former Abramoff associates and a one-time congressional aide.

Identified in federal court papers only as "Staffer D," he's described accepting an all-expenses-paid trip to Game One of baseball's 2003 World Series from lobbyists who wanted his help.

Two attorneys familiar with the case said Monday that Staffer D is Verrusio, who was policy director on the transportation committee for about five years. The attorneys spoke on condition of anonymity because of the ongoing investigation.

An attorney for Verrusio, Paul Rauser, didn't immediately return a call. A Justice Department spokeswoman declined comment.

The lavish trip to the series game between the Florida Marlins and the New York Yankees at Yankee Stadium has already helped prosecutors win corruption-related guilty pleas from three people: Trevor Blackann, a former aide to two Missouri Republicans; James Hirni, a former Abramoff lobbying associate; and Todd Boulanger, another former Abramoff deputy.

Boulanger and Hirni helped provide the World Series trip. Blackann and Verrusio were the recipients and were also treated to a chauffeured SUV, dinner at an expensive steakhouse and a visit to a strip club, court papers say.

The purpose was in part to influence Verrusio and Blackann to help an equipment rental company win favorable language in a highway bill, according to a plea deal Boulanger accepted Friday.

Abramoff is in prison and has cooperated with the Justice Department to help convict more than a dozen people, including former Rep. Bob Ney, R-Ohio.

Mark Zachares, also a former Young aide, pleaded guilty to conspiracy in April 2007. Zachares acknowledged accepting gifts and a golf trip to Scotland from Abramoff's team in exchange for official acts on their behalf.

Young's spokeswoman did not immediately return a call for comment Monday. Young has denied wrongdoing but in December he stepped down under pressure as lead Republican on the Natural Resources Committee, saying he wanted to focus on clearing his name in an unrelated corruption investigation in Alaska.

Intentional or not? Tribe's seasoned D.C. lobbyist has a history of negligent, delayed reporting

Consider that Richard Alcalde (aka Rick Alcalde) has been a D.C. lobbyist for more than a decade.

On 2.16.06, Potomac Partners D.C., a lobbying firm founded by Richard Alcalde, formally filed a lobbying registration form revealing it had been representing the Shinnecock Indian Nation for more than 10 months. Alcalde indicated on that registration form that the firm was not being paid by any affiliated organization to represent the tribe.

Potomac Partners D.C. then late-filed, on 3.02.06, both its Mid-Year 2005 and Year-End 2005 reports of lobbying activity on behalf of the Shinnecock which totaled $120,000 in payments.

And then, more than three years after Alcalde (Potomac Partners) was hired to represent the Shinnecock Indian Nation, Alcalde amended the original registration form to indicate that an affiliate of the tribe, Gateway Casino Resorts, was paying the tribes bills and directing its lobbying activity.

Based on details available at OpenSecrets.org -- and the reliability of Alcalde's disclosures -- Alcalde and his firm Potomac Partners D.C. have been paid $430,000 to represent the Shinnecock starting in 2005.

Detroit-based Gateway Casino Resorts is one of several entities formed by Michael Malik and Mrs. Marian Ilitch to bankroll the Shinnecock tribe’s efforts to receive federal recognition and then build a casino resort on Long Island. Potomac Partners D.C. and its lobbyists (Alcalde and Daniel Feliz) have represented other Malik/Ilitch affiliates as well: MJM Enterprises & Development and Blue Water Resorts.

In recent years, Acalde has found himself in the middle of several Capitol Hill scandals involving Rep. Jerry Lewis (R-CA) and Rep. Don Young (R-AK). Notably Alcalde is at the middle of an ongoing investigation into a $10 million highway earmark for a Florida interchange (Coconut Rd.) reportedly carried by Young. That scandal involves Alcalde’s clients including Daniel J. Aronoff; Aronoff’s Landon Companies and its associates; Florida Gulf Coast University; and others. As TPMmuckraker.com and the Wall Street Journal reported, Alcalde is one of Young's "A-Team" of lobbyists who are to be granted unfettered access to Young's staff.

Young was the former chair of the House Resources Committee and until recently was ranking member of that committee which oversees Indian matters.

Attorneys tied to Aronoff and Ilitch helped them raise funds for Reps. Don Young, Candice Miller and others

Attorney Harold S. Fried, is president of the Michigan-based law firm Fried Saperstein Abbatt PC. Fried has represented Daniel J. Aronoff’s Landon Companies as confirmed in court documents filed 9.30.05 (Landon Development Corp. v. Target Corporation) and Minutes of the Novi Planning Commission. Fried and Aronoff are anchored in Michigan but both have residences and business interests in Florida. Aronoff’s Landon Development/Edison Farms and an office of Fried Saperstein are both located at 800 Seagate Dr, Naples, FL.

A Naples News article published 4.16.06, “Money a motivator in I-75 earmark?” indicates Fried helped Aronoff with a Florida fundraiser for Alaska’s Rep. Don Young that has now come into question as part of an alleged pay-to-play scandal involving a $10 million earmark for a Florida interchange.

According to the Michigan Bar Association member directory, Sarah Deson-Fried, Harold Fried’s wife, in 2003 she joined the Troy, MI law offices of Miller Canfield Paddock & Stone PLC as senior counselor in its real estate group; however, she’s no longer featured on the Miller Canfield Web site. Deson-Fried was a gubernatorial appointee to the Michigan Humanities Council Board of Directors and was elected its treasurer in 2005; however she resigned the post in 2007 with two years left on the term. She is also affiliated with HSL Investments, LLC.

The Michigan Humanities Council Web site lists the following as its largest donors for FY 2005:

Friends in FY 2005



Sage ($1,000 and over)
Daniel & Nancy Aranoff, Bloomfield Hills
Sarah Deson-Fried, Birmingham
Fried Sapersten Abbat PC
Miller, Canfield, Paddock & Stone
Marilyn Williamson, West Bloomfield

When it comes to defending high profile clients on criminal and personal matters, Harold Fried is frequently called upon by Michael Ilitch to represent his Red Wings players and several family members. And the Miller Canfield firm which employed Deson-Fried in its real estate group represented Ilitch/Detroit Tigers, Inc. in matters related to the development of Comerica Park; and handled business matters for Little Caesars Enterprises, Inc. and Ilitch Holdings.

A review of political contributions using OpenSecrets.org, suggests that when clients like Aronoff and Ilitch called upon Harold Fried to support political candidates they were trying to influence, Fried and his wife jumped on the bandwagon.

Between 1999 and 2005, the Frieds frequently made political contributions which mirrored contributions made by Daniel Aronoff and/or his wife Nancy. The beneficiaries of their political generosity included Reps. Don Young, Katherine Harris, Mario Diaz-Balart, and Thad McCotter among others.

Records available via CSPAN indicate Sarah Deson-Fried participated in a 3.11.03 fundraiser hosted by Detroit’s Ilitch family and attended by their friends, associates and a stable of their attorneys who raied money for Rep. Candice Miller. The fundraiser was held less than a month after Rep. Miller had introduced her first bill in Congress, H.R. 831, intended to pave the way for a Port Huron casino backed by Ilitch and friends. That bill was co-sponsored by Rep. Don Young.

Fried’s roster of high-profile clients who call when they’re in trouble includes:

*Sergei Fedorov, at the time one Mike Ilitch’s star skaters on the Detroit Red Wings, was arrested in 2001 after failing a field sobriety test and charged with driving while impaired. (Click-On Detroit)

*Bob Probert, another Red Wings player who was arrested in 1989 for smuggling cocaine and subsequently served three months in federal prison. (St. Petersburg Times)

*Nellie Varner, a former University of Michigan Regent who along with Herb Strather founded Atwater Entertainment Associates (MotorCity Casino), faced allegations of possible involvement in the 1998 murder of her daughter's ex-boyfriend. (Michigan Daily)

*Ronald Ilitch, the eldest son of Mike and Marian Ilitch, who was arrested on domestic violence charges in 2004 involving a girlfriend, Lisa Wood. Ilitch ultimately plead guilty to the charges. (Detroit Free Press)

*Fried also represented Ron Ilitch in a 1997 divorce proceeding. (Oakland Co. Courts)

*Michael Ilitch, Jr., another of Mike & Marian Ilitch's sons, has reportedly struggled with addictions during his life. Fried attempted to get Ilitch’s previously suspended Michigan drivers license re-instated during court proceedings in 2000. (Oakland Co. Courts)

Fried’s scruples have been questioned over the years:

In 1996, an Administrator representing Michigan’s Attorney Grievance Commission alleged that Fried and several colleagues participated in a scheme to counsel clients, who were dissatisfied with the judge assigned to their case, to retain an attorney related to that judge as co-counsel, solely for the purpose of removing the judge from their case. The Administrator alleged that Fried and the others received compensation based on their ability to get a client’s case transferred to another judge. (Grievance)

During a 2006 trial on wrongful discharge claims brought by a former Clerk of the 48th District Court (Bloomfield Township, MI), the Detroit Free Press reported that jurors heard testimony which alleged: “Harold Fried, an Oakland County defense attorney who has raised tens of thousands of dollars for myriad judicial candidates, routinely distributed tickets to prized sports events in an effort to curry favor with court employees.” (Detroit Free Press)

List of Michigan donors to Alaskan's Midnight Sun PAC is rather Dis-Honorable

The list of donors from Michign who have ever given money to the Midnight Sun PAC, Rep. Don Young's so-called leadership PAC, is rather short as one might expect given Young hails from Alaska. Just five donors. But those five donors, some bordering on infamous, made seven contributions totaling $23,500.

Further, a review of the short-list reveals a rather "Dis-Honorable Roll" of donors.
Ironically, book-ending this list are Detroiters Herbert J. Strather and Michael J. Malk, Sr.; one time partners, who respectively made the first and last contributions Midnight Sun PAC has ever received from Michigan donors. And sandwiched in the middle is Daniel J. Aronoff.

Malik and Strather were behind the legalization of commercial gambling in Detroit and were considered founders of Detroit's MotorCity Casino. However, the pair were among a handful of "investors" who were disqualified from receiving gaming licenses by the Michigan Gambling Control Board (MGCB) and as such had to dump their interests in the casino before it could open its doors. Among various considerations, Malik had recently been arrested for beating the 12-year-old son of a girlfriend and reportedly had IRS issues; and Strather, among other things, had previously been convicted of bribery.

Malik
For nearly a decade, Mike Malik has sought Rep. Young's help advancing unorthodox plans the casino syndicator is bankrolling for an Indian Casino in Port Huron, Michigan; and other earmark matters involving the Bay Mills Indian Community. (Anchorage Daily News: Alaska's Young a leader in Michigan Indian casino fight).

In 2005-06, Malik and his partners, members of Detroit's Ilitch family, were among the top five donors to Young's political committee and they gave Young the highest grossing day of fundraising he had in that entire two year campaign cycle . Only those affiliated with Veco (Bill Allen, Rick Smith), JHT Holdings (Dennis Troha) and Carnival Corp. contributed more than Malik/Ilitch Family. Vecco execs have plead guilty to political corruption charges and Troha has already been indicted on similar charges he "reimbursed" family members who contributed to various candidates.

Mike Malik is developing a pattern of political campaign finance violations. His affiliate Barwest LLC (another of his partnerships with Detroit's Marian Ilitch) was found to have violated California's political reform laws on two counts for failing to disclose a $26,600 contribution it made to former Rep. Richard Pombo's County GOP Victory Committee. Malik used Barwest to front private aircraft travel for Rep. Young.

Malik is the subject of an ongoing investigation by California's Fair Political Practices Commission (FPPC) because he denied making another $26,000+ in contributions to the committees of various California lawmakers in 2006 -- at the same time the previous FPPC investigation was concluding.

Strather & Dalgleish
Similarly, Herb Strather has bankrolled efforts to get approvals needed to build a large casino resort on Cape Cod in partnership with the Mashpee Wampanoag Indian Tribe. Young sat as Chair, Vice Chair and then ranking member of the House Resources Committee which has oversight for Indian matters.

Strather put $4 million into a hidden fund that enabled his partner, former tribal chairman Glenn Marshall, to carry out a scheme of illegal campaign finance activity including reimbursements to other so-called "donors." Marshall and other such "donors" from the tribe contributed to Midnight Sun PAC on the same date Strather and Mary Ann Dalgleish, a Strather & Associates Vice President, contributed to the PAC. We will assume Strather knew better than to reimburse Dalgleish for her contribution.

Dalgleish was apparently one of 100+ "investors" Strather recruited to syndicate Atwater Entertainment Associates LLC in the mid-1990s although Dalgleish had a personal history of financial hardship. AEA is the entity Strather syndicated to bankroll the legalization of gaming in Detroit and start MotorCity Casino. Dalgleish may also have been an investor in AtMashpee LLC, the syndication Strather organized to bankroll the Mashpee Wampanoag casino plans.

Aronoff
Appearing predictably on the PAC list three times -- and of all things, at the center of the list -- is Daniel Aronoff, perhaps so far the most publicly notorious donor on this list. (Note that the entry for Aronoff's most recent contribution has his last name misspelled as Aaronoff -- error or intention?).

Aronoff owns land in Florida and is the Michigan-based real estate developer at the center of the scandal and investigation into a $10 million earmark advanced by Rep. Young that was designated for improvements to the Coconut Road interchange off Florida's I-75. The project would have significant value to Aronoff who was a prodigious fundraiser for Young.

Aronoff, Malik and Strather have similar patterns of interaction with Young and have been significant bundlers/fundraisers for Young's various political committees, GOP causes and closest allies (former Reps Richard Pombo, John Doolittle, etc.). They've flown Young around in private aircraft, organized fundraisers, hired the some of the same notorious lobbyists and in exchange, sought help from Rep. Young above and beyond the norm.

Wend
The fifth Michigan donor on the list is Dennis Wend, who is referred to as a government employee albeit the only government employee from Michigan to contribute to Midnight Sun PAC -- and contribute $3,000.

Wend is executive director of technology transfer at the United States Army Tank Automotive Research, Development and Engineering Center, located at the U.S. Army Tank-Automotive and Armaments Command in Warren. He contributed to Midnight Sun PAC only after he was given the spotlight in 2004 & 2005 at Alaska's Clean Energy Symposium I & II.

Former Interior Official says Rep. Don Young frequently pushes matters that aren't in the public interest and fails

In a story published 12.10.08 about Rep. Don Young (R-AK) losing his leadership position as ranking member on the House Natural Resources Committee, the Anchorage Daily News quotes Deborah Williams, a former Clinton Administration official who worked under Interior Secretary Bruce Babbitt as saying:

"When Don Young sought to advance the public good in that position, it was a pleasure to work with him and he was very effective."

"But again and again, when he sought to advocate for legislation or interests that were not in the public interest ... he was thwarted and spent a lot of energy and political capital on issues that did not advance."

Williams' statement is perhaps exemplified by the numerous failed schemes Rep. Young helped advance throughout the last decade intended to grant approvals for Detroit casino syndicators to build a third Bay Mills Indian Community casino in Port Huron, MI, 300+ miles by automobile from the tribe's reservation on Michigan's Upper Peninsula -- plans nevertheless backed by several of Rep. Young's more significant Michigan-based campaign contributors including Mike & Marian Ilitch and their Detroit-based gaming and development partner Michael J. Malik, Sr.

Proponents of the Port Huron casino schemes say the project would be good for the local economy. Opponents say the plan sets a dangerous national precedent for the approval and subsequent widespread expansion of off-reservation gaming establishments nationwide; and that non-Indian casino syndicators are simply exploiting tribes and seeking to find "reservation-shopping" loopholes in the Indian Gaming Regulatory Act (IGRA) so they can build, manage and profit from "off-reservation" Indian casinos located in more lucrative urban markets.

ADN article recounts Rep. Don Young's history with House Natural Resources Commmittee

12.10.08

Young bumped from top House committee spot
RESOURCES: Longtime chair acknowledges taint from federal investigation.

By ERIKA BOLSTAD

ebolstad@adn.com

WASHINGTON -- U.S. Rep. Don Young, who wielded considerable power on the House Committee on Natural Resources in the 1990s as chairman and in recent years as its senior Republican, on Wednesday lost his top spot on the panel...

...It definitely is the end of an era, said Deborah Williams, an environmentalist who now heads Alaska Conservation Solutions. In the Clinton Administration, Williams worked for then-Interior Secretary Bruce Babbitt as a top aide on Alaska issues while Young headed the Resources Committee. In that role, she often testified about Alaska-related matters at his committee meetings, and occasionally, sparred with him.

"When Don Young sought to advance the public good in that position, it was a pleasure to work with him and he was very effective," Williams said. "But again and again, when he sought to advocate for legislation or interests that were not in the public interest ... he was thwarted and spent a lot of energy and political capital on issues that did not advance."

Young took over the Resources Committee in 1995 after Republicans regained control of the House of Representatives in the 1994 elections. At that time, the Natural Resources Committee was renamed the House Resources Committee -- a signal that its focus would be less about conservation and more about resource development. At one of Babbitt's first meetings with Young at the helm, at a committee hearing on a federal wolf reintroduction program, he told Young: "Mr. Chairman, I have no doubt about who the alpha wolf is in this room."

Young held the chairmanship of the committee until internal House rules on term limits for committee chairmanships forced him to step aside for Rep. Jim Hansen, R-Utah. Hansen held the seat for two years before the Republican Young had mentored, Rep. Richard Pombo of California, took over as chairman.

Young then took over as chairman of the House Transportation and Infrastructure Committee, where he oversaw the $286.4 billion highway spending bill in 2005 that included money for what became known as Alaska's "bridges to nowhere." It also earmarked $10 million for the now-infamous Coconut Road interchange study in Florida that, this year, prompted Young's colleagues to ask for a federal investigation into how it was inserted in the bill... (Complete Story)

GOP pressures Rep. Don Young to step down as ranking member of House Natural Resources Committee

As reported by The Associated Press in an article published 12.11.08 in the New York Times:

Rep. Don Young of Alaska stepped down under pressure as the senior Republican on the House Natural Resources Committee, saying he wants to focus on clearing his name in a corruption investigation.

Three Republican officials said Young acted after House Minority Leader John Boehner of Ohio told Young privately he would oppose Young if he sought to retain his post. The officials spoke on condition of anonymity Wednesday, saying they were not authorized to discuss the events.

Ilitch and associates gave $150k to those who pushed casino bill in House

Those who argued in the U.S. House of Representative in favor of H.R. 2176 received more than $150,000 from those backing a casino in Port Huron, Michigan.

On 6.25.08, the House of Representatives debated the merits and voted on H.R. 2176, a bill that would have settled so-called land claims made by two Michigan tribes.

If passed, the bill would have paved the way for the Bay Mills Indian Community to build a casino away from its reservation in Port Huron, Michigan. Casino interests who are pushing that plan include Michael J. Malik, Sr. and members of Detroit's well-known Ilitch Family. Malik and the Ilitch family have partnered on various casino projects in Michigan and across the U.S.

The following Representatives, as captured by C-Span, argued in favor of H.R. 2176:

• William Clay (D-MO)
• John Dingell (D-MI)
• Dale Kildee (D-MI)
• Candice Miller (R-MI)
• Nick Rahall (D-WV)
• Bart Stupak (D-MI)
• Don Young (R-AK)

A review of political contributions available at newsmeat.com reveals Mike Malik, members of the Ilitch Family (including Mike & Marian Ilitch) and several lobbyists who represent their affiliates and partners (Alan Wheat, Julie Shroyer, Richard Alcalde & Daniel Feliz) have contributed more than $150,000 directly to political committees controlled by those seven Members of Congress. (See Contributions List)

Pelosi pressured to replace Rep. Rangel; GOP has not replaced Reps. Young or Lewis

Politico is reporting that House Speaker Nancy Pelosi is facing growing pressure to replace Rep. Charles B. Rangel (D-N.Y.) atop of the powerful Ways and Means Committee. For now however, writers John Bresnahan & Patrick O'Connor conclude:

Pelosi also has breathing room within her own caucus. Republicans tried to turn Rangel into a campaign issue during the recent elections, calling on Democratic challengers and incumbents to return the hundreds of thousands of dollars in campaign contributions that Rangel has handed out in recent years, but Democrats largely ignored this effort.

Democrats have countered Republican attacks on Rangel by pointing out that Boehner has not ousted Reps. Don Young (R-Alaska) and Jerry Lewis (R-Calif.) from high-ranking committee posts despite ethics allegations and FBI investigations of both men...

Is it a coincidence or not that a team of Detroit casino syndicators lead by Marian Ilitch and Michael J. Malik, Sr., happens to have questionable lobbying and campaign contribution ties to Reps. Rangel, Young and Lewis. The Ilitch/Malik team has contributed at least $89,000 to political committees controlled directly by those three members of congress.

Various Ilitch/Malik affiliates and partners (Bay Mills Indian Community, MJM Enterprises, Blue Water Resorts, etc.) have a hired lobbyists (Alan Wheat, Wheat Government Relations; Richard Alcalde and Daniel Feliz, Potomact Partners DC; Richard Kessler and Billy Lee Evans, Kessler & Assoc.; Barbara Bonfiglio, Williams & Jensen) who have been at the center of controversy and investgations involving the three Congressmen referenced above.

Tribe's contribution to Rep. Don Young's re-election committee not easily discoverable

The Bay Mills Indian Community contributed two checks totaling $5,000 to the re-election committee of Rep. Don Young (R-AK) on 4.01.08, April Fool's Day. But discovering that fact is no easy task.

The Bay Mills tribe was able to exploit a loophole in federal campaign finance laws which generally prohibit contributions from organizations, restricting donations to individuals. Most political data bases are built to track the first and last names of individual donors not the name of an organization. This makes discovering contributions from organizations like Indian tribes more difficult. Searching contributor lists using "Bay Mills Indian Community" is not likely to yield any references.

However, these two contributions were discovered after reviewing "Schedule A (Itemized Receipts)" of Young's quarterly disclosure report filed 7.15.08. That report covered his campaign committee's activity for the period 4.01.08 to 6.30.2008.

It's worthy noting that one day before the tribe made its two contributions, on 3.31.08, Young received several thousand dollars in checks from a deal maker who has pushed a scheme to develop a third Bay Mills casino and his D.C. lobbyists.

Five years ago Young co-authored H.R. 831 (108th Congress); and since then, he has worked to advance plans backed by casino syndicators who seek to exploit opportunities with the Bay Mills tribe in order to build a casino in Port Huron, Michigan.

In his most recent effort, Young helped to successfully shepherd H.R. 2176 through the House Natural Resources Committee last February. The bill, intended to pave the way for the proposed casino development, was approved by the Committee and reported out favorably on 2.13.08.

As noted above, on on March 31st & April 1st -- a little more than six week's after his success in the Natural Resources Committee -- the tribe, its casino syndicator and lobbyists representing their interests gave at least $11,000 to Young's committee.

Then on 6.25.08, Young led, with passion, debate on the floor of the House of Representatives in favor of H.R. 2176. However, his colleagues weren't buying it and overwhelming rejected the bill in a vote with an outcome of 121 yeas to 298 nays.

By posting the tribe's contributions on April 1st, Young was able to:

• Avoid disclosing the contributions until after the 6.25.08 vote on the House Floor;
• Report them separately from contributions made by their financial backers and lobbyists which were reported in the 1st Quarter '08 disclosures.

Could Rep. Young's controversial $10M Coconut Rd. earmark pave the way for Boston Red Sox?

The News-Press in Fort Meyers, Florida, reports that property in south Lee County, owned by Michigan developer Daniel J. Aronoff, is one of five sites under consideration for development of a new Boston Red Sox Spring Training Complex by 2012.

Aronoff's Florida land is under consideration because the Red Sox want a new complex with a stadium and practice field. In their current situation, the Red Sox play their games in downtown Fort Myers at City of Palms Park but hold early-spring workouts several miles away.

However, nothing is ever quite that easy. And, neither Aronoff or the two-square miles of wetlands property which sits along Interstate 75 are without controversy

See, both are at the center of a federal corruption investigation involving U.S. Rep. Don Young (R-AK) who earmarked $10 million for a Coconut Road interchange study after a 2005 Estero-area fundraiser, which Aronoff attended, netting Young about $40,000.

Capitol Hill Lobbyist Richard Alcalde (Potomac Partners DC) is also at the heart of the Coconut Road earmark investigation. Alcalde represented Aronoff's Landon Companies and Alcalde has been identified as one of a select group of "A-Team" lobbyists who are especially close to Young.

Alcalde represents another Michigan developer, Michael J. Malik, Sr., and Malik's casino gaming affiliate MJM Enterprises. Malik and a partner, Mrs. Marian Ilitch, are behind plans to advance several Indian casinos across the country. Alcalde represents one of their Native American partners as well, the Shinnecock Indian Nation of New York.

Like Aronoff, Malik and the Ilitch family have contributed and raised thousands for Rep. Young's committees and flown him around in their private aircraft; and in return, Young has helped advance plans they back for an Indian casino in Port Huron, Michigan.

And there's another Major League Baseball (MLB) connection too. Marian's husband, Mike Ilitch, owns the Detroit Tigers.

Michigan casino developers must be pleased that despite predictions Rep. Young won re-election

Despite earlie polls indicating he would be defeated in his bid for re-election, Rep. Don Young (R-AK), one of Detroit casino syndicator Michael Malik's pals on Capitol Hill, has been re-elected.

Rep. Young, Alaska's sole House member since 1973, appears to have survived an otherwise bruising night for House Republicans across the U.S. He maintains a comfortable lead over his Democratic challenger, former state Rep. Ethan Berkowitz, capturing 51.49% to Berkowitz’s 43.97%.

Young, who championed the "Bridge to Nowhere" among other controversial earmarks, is embroiled in a corruption investigation and facing scrutiny for a controversial highway-bill earmark (Coconut Road, FL) that benefited one of his donors/fundraisers, Daniel Aronoff. .

Among other things, Young has relentlessly helped Malik advance various schemes intended to approve an off-reservation casino in Port Huron, Michigan, to be built and managed by Malik whose partners have included Marian Ilitch, Harrah's and others.

During the last decade, Rep. Young served as Chairman, Vice Chairman and now Ranking Member of the House Natural Resources Committee which has oversight of Indian gaming matters. Young co-sponsored two of at least seven bills introduced intending to pave the way for Malik's casino plans -- H.R. 5459 (2002) & H.R. 831 (2003). During the second session of the 110th Congress, Young successfuly championed Natural Resources Committee approval of H.R. 2176 and then passionately lead the failed floor fight for passage of the bill.

Young, previously Chairman of the House Transportation Committee, also attempted to use transportation appropriations bills during 2004 & 2005 to slip through, under the radar, approvals Malik needs; a controversial practice that Young carried out on behalf of other donors as well.

During the last six years, Malik and his partners have retained several of Rep. Young's "A-Team" lobbyists -- secretly paying some of them more than $665,000. They've used their private aircraft to fly Young to various U.S. destinations and fronted other entertainment costs, and contributed thousands to Young's various campaign committees and other GOP committees that benefit Young -- in 2006 they were among his top 10 donors.

For a more complete picture of Young's relationship with Malik and partners, see our post from August 2007 or click on the label "Don Young."

U.S. Sen Stevens indicted; Rep. Young still under investigation on related matters

TALKINGPOINTSMEMO
7.29.08

TED STEVENS INDICTED ON 7 CRIMINAL COUNTS

Ted Stevens, the senior senate Republican from Alaska, has been indicted on seven counts of making false statements for failing to disclose on his Senate financial disclosure forms hundreds of thousands of dollars worth of gifts he received in Alaska over seven years. He will not be arrested but will be allowed to turn himself in.

The FBI investigation leading to the indictment began almost two years ago when the FBI raided Steven's son, Alaskan State Sen. Ben Stevens, and others. At the center of the investigation were executives from VECO who have plead guilty to bribing at least four legislators includin the younger Stevens. Ted Stevens' Road To Ruin

Wall Street Journal reporters Evan Perez and Jim Carlton write that the investigation has upended Alaska state politics, casting scrutiny on Sen. Stevens -- who is running for re-election this year -- and on his congressional colleague, Rep. Don Young of Alaska, who is also under investigation.

Ilitch casino frontmen doing damage control again

Marian Ilitch's casino frontmen are at it again.

Before news could reach Barstow that U.S. Bureau of Indian Affairs (BIA) has issued a new ruling indicating off-reservation casinos must be within a 25-mile radius from an Indian tribe's headquarters, Ilitch's Lansing-based PR man Tom Shields and Shane Chapparosa, a member of the Los Coyotes Band of Indians, made an appearance before the Barstow City Council to "unveil" their third plan in five years for a casino in the Mojave Desert town.

There are several acceptions to the new 25-mile rule but it does not appear that the Los Coytes Band of Indians who are headquartered in north eastern San Diego County, more than a 150 mile drive from Barstow, meet any of those exceptions.

Using such tactics to head-off bad news during Barstow's local election campaign cycles have become a strategic political mainstay for Ilitch political strategist Tom Shields.

Barstow's Mayor Lawrence Dale has guaranteed exclusivity to BarWest since his early in his first term and has taken extreme political measures on BarWest's behalf. BarWest principals and agents may have helped Dale secure federal earmarks for his other pet projects from Rep. Don Young and others.

Dale was first elected to office in November 2000 when he upset the incumbent Mayor. He was re-elected again in 2004 and is running for a third term as Mayor in November. Each time he's pledged to make economic development his top priority for the Desert town and the failed BarWest casino resort has been the cornerstone of his plans.

Ilitch and a partner, Detroit-based casino syndicator Michael Malik, formed BarWest and using that entity have been pursuing plans for a Barstow casino since 2001. They made their first plans public in 2003. California Governor Arnold Schwarzenegger denied their first plan in 2004. The California Legislature failed to ratify a second proposal during back-to-back legislative sessions in 2006 & 2007. The U.S. Department of Interior rejected the second proposal in 2008 after kicking off an Environmental Impact Study (EIS) three years earlier.

You may want to review these related posts:

• Did earmarks guarantee exclusive casino development rights for Young's pal?
• Did Wal-Mart & Detroit casino financiers influence Young's support for Barstow earmark?
• Young used a generic highway earmark as vehicle to slip through approval of Michigan Indian casino

Web site of D.C. Lobbyists Kessler & Associates disappears

The Web site for D.C. lobbying firm Kessler & Associates (screenshot pictured below) is no longer available "live" on the Web -- but a cache version is available. And in "taking down" the Web site they failed to remove a .pdf file of Kessler & Associates marketing materials which remains accessible on the Web.

click to see a larger screenshot

Following allegations and calls for investigations involving Richard Kessler (Rick Kessler/Ripon Society/Ripon Education Fund), former Rep. Billy Lee Evans (one of Rep. Don Young's nine "A-Team" lobbyists), and others tied to the lobbying firm, the Web site was "taken down."

Among allegations, a group of Detroit gambling interests including Marian Ilitch and Michael Malik (and their partners/affiliates) quietly funneled $665,000 to Kessler & Associates to lobby Rep. Don Young and others on gambling matters from 2003-2005. The payments were funneled via another lobbyist, former Rep. Alan Wheat (Wheat Government Relations).