FBI 'Smoking Gun' Affidavit Revealed By Oklahoman; Boren, McMahan Got Alleged Illegal Donations Via Stipe, Phipps, Associates

In what can be described as a "smoking gun" affidavit, the Federal Bureau of Investigation alleges that former State Senator Gene Stipe and others conspired to make illegal donations to Congressman Dan Boren, Auditor & Inspector Jeff McMahan, and possibly others. Boren, the document indicates, probably was not aware of the illegal donation. Boren confirmed that and said any money given to his campaign illegally will be donated to charity.

The Oklahoman's investigative reporting team revealed the document today; the document claims Stipe engaged in illegal activity even while under house arrest for arranging illegal donations to an earlier federal campaign.

The affidavit seems to reinforce allegations made last year by Republican auditor and inspector candidate Gary Jones, who questioned fundraising in McMahan's campaigns of 2002 and 2006. The affidavit claims that at least one person gave McMahan $3,200 in 2002 and was reimbursed in a scheme involving McMahan friend Steve Phipps, Stipe's business partner in the abstracting company empire they own. The affidavit also alleges that Tim Arbaugh, the head of McMahan's abstracting division, himself was the conduit for an illegal donation. McMahan said today that Arbaugh denies the allegation.

The affidavit is the latest "smoking gun" development in the scandals that have swirled around Stipe and his associates in recent years. This investigation is providing information to a federal grand jury now empaneled in Muskogee. The FBI affidavits are filed as part of that proceeding.

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