Boren, Henry Run From Funny Money; Jeff McMahan Keeps It, Says He Won't Resign Office

Congressman Dan Boren and Governor Brad Henry have moved to shed themselves of apparent funny money shoveled into their campaigns by illegal straw donors, but Auditor & Inspector Jeff McMahan is keeping his and says he won't resign.
Those are the latest developments in the growing scandal focused on former State Senator Gene Stipe, his abstract company partner Steve Phipps, and others the Federal Bureau of Investigation alleges conspired to funnel money into political campaigns.
Boren, saying he had no idea illegal donations had been made to his campaign, donated $35,600 to charity. Henry, saying he had no idea illegal donations had been made to his campaign, donated $35,000 to charity. McMahan, who received at least $40,000 from those identified as straw donors to other campaigns, said a call by Republican State Chairman Tom Daxon that he resign is political and he won't resign. He said he will take "any appropriate action necessary" to deal with the head of his abstract division, Tim Arbaugh, who is listed as an illegal $2,000 donor to Boren's campaign and as the donor of $787 to McMahan's campaign.

McMahan's office regulates abstractors. Many of those alleged to be straw donors work in abstract companies controlled by Stipe and Phipps and it is known that Phipps was a fundraiser for McMahan in his 2002 campaign, and many of the alleged straw donors were among the most generous givers to McMahan. While McMahan has indicated he barely knows Phipps, a videotape from December 2002 shows McMahan participating in a Phipps Christmas party. The videotape was made public by McMahan's Republican opponent, Gary Jones.
The campaign finance scandal erupted (again) when The Oklahoman's investigative reporting team revealed the contents of an FBI affidavit filed in conjunction with a federal grand jury probe of Stipe and Phipps and others involved in numerous entities owned or operated by Stipe and Phipps in southeastern Oklahoma. Implicated in the arranging of some entities controlled by them to receive state funds are three former legislators, including Mike Mass, involved with Stipe in a previous campaign scandal.
Those are the latest developments in the growing scandal focused on former State Senator Gene Stipe, his abstract company partner Steve Phipps, and others the Federal Bureau of Investigation alleges conspired to funnel money into political campaigns.
Boren, saying he had no idea illegal donations had been made to his campaign, donated $35,600 to charity. Henry, saying he had no idea illegal donations had been made to his campaign, donated $35,000 to charity. McMahan, who received at least $40,000 from those identified as straw donors to other campaigns, said a call by Republican State Chairman Tom Daxon that he resign is political and he won't resign. He said he will take "any appropriate action necessary" to deal with the head of his abstract division, Tim Arbaugh, who is listed as an illegal $2,000 donor to Boren's campaign and as the donor of $787 to McMahan's campaign.

McMahan's office regulates abstractors. Many of those alleged to be straw donors work in abstract companies controlled by Stipe and Phipps and it is known that Phipps was a fundraiser for McMahan in his 2002 campaign, and many of the alleged straw donors were among the most generous givers to McMahan. While McMahan has indicated he barely knows Phipps, a videotape from December 2002 shows McMahan participating in a Phipps Christmas party. The videotape was made public by McMahan's Republican opponent, Gary Jones.
The campaign finance scandal erupted (again) when The Oklahoman's investigative reporting team revealed the contents of an FBI affidavit filed in conjunction with a federal grand jury probe of Stipe and Phipps and others involved in numerous entities owned or operated by Stipe and Phipps in southeastern Oklahoma. Implicated in the arranging of some entities controlled by them to receive state funds are three former legislators, including Mike Mass, involved with Stipe in a previous campaign scandal.
Labels: Brad Henry, Dan Boren, Gary Jones, Gene Stipe, Jeff McMahan, Steve Phipps, Tim Arbaugh, Tom Daxon


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