Tuesday, February 12, 2008

McMahan's Alleged Abuse Of Power Likely Focus Of House Impeachment Proceedings, Sources Say

Federal allegations that Auditor and Inspector Jeff McMahan misused and abused the powers of his office to help abstract company owner Steve Phipps likely will be the focus of an investigation by a House committee to be formed next week, sources tell The McCarville Report Online.

The House panel will decide if impeachment proceedings are warranted.

"It's a slam dunk" that the committee will proceed, said one House member.
House Speaker Chris Benge, Tulsa Republican, placed Rep. Mike Reynold's House Resolution 1051, which calls for the formation of a committee to look into allegations against McMahan, a Democrat, on Wednesday's House floor calendar.

Late this morning, Benge issued a statement in which he said if the resolution passes next week, he intends to name an eight-member committee made up of four Republicans and four Democrats. The committee will have two co-chairs, one from each party.
“We need to take the politics out of this situation as much as possible,” said Benge. “Considering impeachment of a statewide-elected official is very serious, and we plan to move forward in a bipartisan manner so the charges can be fully reviewed without bias.”
The course laid out in the resolution mirrors the process followed during the investigation of former Insurance Commissioner Carroll Fisher, who resigned in 2004 before an impeachment trial was held.
If the committee comes back with a recommendation to remove McMahan from office, and the entire House approves the articles of impeachment, the Senate would then hold a trial. Members could act on taking the first step toward impeachment proceedings against McMahan as early as next Monday.
While the nine-count federal indictment of McMahan and his wife, Lori, also alleges the laundering of thousands of dollars into McMahan's 2002 campaign, it is the allegations that McMahan conspired with Phipps and McMahan's abstract division head, Tim Arbaugh, to eliminate an abstract company competitor and help Phillips in a legal battle with his then-partner, former State Senator Gene Stipe, that are viewed as those most likely to detail the extent of McMahan's alleged corruption and abuse of power.
Phipps is now a convicted felon, one of many snared in the scandal.
GOP House members who have reviewed the federal indictment cite sections 25, 28, 29, 30, 31 and 32 as the possible focus of the House probe.
"Taking funny money is serious enough," said one House insider. "Abusing the official power of your office to financially assist a corrupt provider of straw donations is even more serious. There's a clear, and continuing, quid pro quo. The evidence the feds got is overwhelming and they've got witnesses as well. McMahan is a disgrace."

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Thursday, January 24, 2008

Mike Reynolds Calls For McMahan Investigation

State Rep. Mike Reynolds today filed legislation to create a special committee to investigate State Auditor and Inspector Jeff McMahan and determine whether Articles of Impeachment should be pursued.
"Given the very serious charges leveled against Mister McMahan by federal investigators, the members of the Oklahoma House of Representatives now have a clear constitutional duty to investigate those charges and determine if impeachment is appropriate," said Reynolds, R-Oklahoma City.
House Resolution 1051, by Reynolds, calls for the creation of a Special Investigating Committee of the House of Representatives "to conduct a comprehensive and detailed study and investigation of the activities of Jeff McMahan, State Auditor and Inspector ..."
The committee would have the power to subpoena witnesses, documents and records; take testimony under oath and request punishment for contempt for "any disobedience of process."
Speaker Lance Cargill (R-Harrah) would appoint the committee members.
The process outlined in the resolution is similar to the one used during the investigation and eventual impeachment of former Insurance Commissioner Carroll Fisher.
McMahan has been indicted on one count of conspiracy, six counts of mail fraud and two counts of violating the federal Travel Act to promote bribery.
Following McMahan's indictment, several officials suggested the auditor should step aside until a conviction or acquittal occurred, but Reynolds said that may not be legally permissible. Reynolds noted there is no provision in the Oklahoma Constitution allowing an elected official to "step aside" while still retaining office. In fact, he said some legal experts believe McMahan will effectively vacate his office should he step aside and, as a result, could then actually be impeached for "nonperformance of duty."
Reynolds said he will ask Attorney General Drew Edmondson to issue a formal opinion on that legal question.

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