Jeff McMahan Confirms Interview By FBI Agents; Denies He's A Target In Phipps Probe

By Jerry Bohnen, NewsRadio 1000 KTOK

The FBI has interviewed him about his ties to three southeast Oklahoma Democrats and a Kiowa businessman under government probe, confirms State Auditor Jeff McMahan.

But he denies he is a target of the probe and blames his problems on his Republican opponent.

"There was (sic) two gentlemen that I visited with. But they just asked me what kind of relationship or connection that I have with the sub-state planning districts," explained McMahan. "I said none."

He went on to say he explained to the agents how certain legislative funds pass through his office but are distributed equally to the planning districts.

"What the deal is," said McMahan, "I took legal campaign contributions from individuals that live in the southeast part of the state. Perfectly legal contributions who get absolutely nothing in return but good government."

He blames his problems on his Republican challenger Gary Jones. "He just, he just keeps trying to tie me to these individuals from southeast Oklahoma. It can't be done because we've given no favors."

McMahan is referring to the FBI investigation of Democrats Randall Erwin, Mike Mass and Jerry Hefner and their alleged relationship with Kiowa businessman Steve Phipps. Mass, Hefner and Erwin allegedly used their positions in the legislature to funnel nearly $3 million dollars in state money to different businesses run by Phipps.

Some reports claim the deal to funnel the money to Phipps was cut in secret meetings held in McMahan's office. He denies it. "The only time I ever remember even talking to Randall Erwin and Mike Mass was just to say that there was no funds, special project monies going through this office," he claimed in an interview today as he arrived at the State Capitol. "There is absolutely no substance to it. And when we get the authority from the legislature, we're gonna audit every special project monies that come out of the legislature."

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