'Bribe Taker' Fisher Seeks Early Release

By Nolan Clay/The Oklahoman ~ Former Insurance Commissioner Carroll Fisher is asking to be released early from a private correctional facility in Tulsa.

Prosecutors objected Wednesday. They argued the judge already has been “extremely lenient” to a bribe taker who “demonstrated arrogance and disregard” throughout court proceedings.

Oklahoma County District Judge Kenneth Watson has set a hearing for July 9.
Fisher on March 2 began serving six months at the private facility. He is on a work-release program there, meaning he is allowed to leave the facility to work during the day. He returns in the evening.

He was sentenced after he pleaded no contest in February to accepting bribes. He will be on probation for another four years and six months after his release. He also must complete 150 hours of community service.

Fisher, 69, earlier spent about 14 months in state prison on a campaign-corruption case. His attorneys said he is a model prisoner.

“Further incarceration serves only to burden the system and not to further rehabilitate or educate or even to deter Mr. Fisher further. Those functions of incarceration have been accomplished,” defense attorneys told the judge.

Prosecutors countered the public already views Fisher’s six months at the private facility as an incredibly lenient sentence that is “grossly disproportionate to the crime committed by a former elected official.” Prosecutors contend there is no reason to let him out early. Prosecutors had asked the judge to give Fisher seven years in prison on the bribery case.

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Prosecutors Drop Fisher Tax Evasion Case

By Nolan Clay/The Oklahoman, In Tulsa ~ Prosecutors today dropped a tax case against former Insurance Commissioner Carroll Fisher. He next faces a bribery trial in Oklahoma City in October.

In the tax case, Fisher, 68, was charged with filing a false state tax return that understated his 1999 income. He had been accused of underpaying his state taxes.

The decision came after Associate District Judge Dana Kuehn limited evidence against Fisher. Prosecutors had been appealing her ruling.

"It does not make sense to expend time and state resources appealing this case," said Attorney General Drew Edmondson, whose assistants are prosecuting Fisher. "I have instructed the multicounty grand jury unit to prepare for trial on the bribery case, the most significant of the remaining charges.”

Fisher is now in prison on a campaign-corruption conviction.

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Fisher Faces August 18th Tulsa Trial Date

Former Insurance Commissioner Carroll Fisher faces trial on a charge he filed a false state tax return on August 18th in Tulsa. Fisher, 68, already is in prison for embezzling campaign funds and lying on a campaign report. He also faces a bribery trial in Oklahoma County on May 19. Fisher is charged in the tax case with filing a false state tax return that understated his 1999 income. The state claims he should have paid an additional $4,688 in state taxes.

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Judge: Tulsa County Proper Venue For Fisher Case

By The Oklahoman's Nolan Clay at www.newsok.com ~ Former Insurance Commissioner Carroll Fisher won a small legal victory today when a judge ruled the only proper place for him to face prosecution in a tax-evasion case is Tulsa County.

His attorneys now plan to use today's decision to ask Fisher's trial judge to dismiss the case entirely on a legal technicality.

Fisher is charged in the tax case with filing a false state tax return that understated his 1999 income. Fisher allegedly should have paid an additional $4,688 in state taxes. He was being prosecuted in Oklahoma County until a judge there ruled he must be prosecuted in Tulsa County where he signed the return.

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Fourth House Committee Member Returns Campaign Donation From Bradford Phillips Of Texas

A fourth member of the House Economic Development and Financial Services Committee, Rep. Ron Peters, Tulsa Republican, confirmed today that he has returned a campaign donation from Texas businessman Bradford Phillips, son of the controversial insurance industry figure Gene Phillips. And a fifth member may have returned a donation as well.

Asked by The McCarville Report Online if he had received a campaign donation from Bradford Phillips, Peters (pictured) replied, "Yes, $600."

Peters said he received the unsolicited donation "about a month ago" and returned it.

Committee Chairman Ron Peterson, R-Broken Arrow, has not yet responded to a similar TMRO inquiry. A House member, however, told TMRO that Peterson received a donation "much larger" than the $600 Peters received and returned. The member says Peterson also returned the donation.

Rep. Jeff Hickman, R-Dacoma, and Rep. Earl Sears, R-Bartlesville, both told the Tulsa World earlier that they received checks for $600, and Rep. George Faught, R-Muskogee, said he received $645. The contributions came in late December, apparently about the same time Peters received the donation to his campaign. They also returned the donations.

They are members of the House committee that approved legislation favorable to the Phillips family last spring.

The donations apparently came about the same time Gene Phillips hosted a mid-December fundraiser for presidential candidate Mike Huckabee in his Dallas home. House Speaker Lance Cargill, State GOP Chairman Gary Jones and other Republican members of the House attended.

Gene Phillips became a controversial figure during the tenure of former Insurance Commissioner Carroll Fisher. Fisher is serving a three-year prison sentence for embezzling $1,000 from his campaign and lying on a contributions report. He also is accused of accepting $25,000 and other gifts from Phillips, his family and business associates in exchange for favorable treatment of their insurance companies.

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McMahan Accusations Latest In A Long String

1975 ~ David Hall. Governor. Democrat. Federal racketeering, extortion. Guilty.

1993 ~ David Walters. Governor. Democrat. Campaign funny money. Guilty.

1995 ~ Claudette Henry. Treasurer. Republican. Assistant Treasurer Patricia Whitehead, federal conspiracy, bribery and money laundering. Guilty.

2003 ~ Gene Stipe. State Senator. Democrat. Federal campaign funny money plus. Guilty.

2003 ~ Mike Mass. State Representative. Democrat. Federal campaign funny money. Guilty.

2006 ~ Carroll Fisher. Insurance Commissioner. Democrat. Corruption. Guilty.

2008 ~ Jeff McMahan. Auditor and Inspector. Democrat. Federal campaign funny money plus abuse of official powers. Accused.

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Mike Brown: Cargill's 'Petty Attacks' Uncalled For

Tahlequah Democat Rep. Mike Brown (pictured) said today that House Speaker Lance Cargill's remarks last week about fiscal responsibility and ethical behavior were uncalled-for "petty attacks."

Brown said Cargill "resorted to petty attacks and blamed others for his problems. His personal attacks on other Members of the House of Representatives are uncalled for.”

“No matter what the Speaker says, the fact is more money has been spent,” said Brown. “The Speaker can send out press releases to justify paying his employees more money and buying new furniture. It is a fact that the Oklahoma House of Representatives and Legislative Service Bureau budgets have increased in his tenure as Speaker.”

“I am perfectly happy with my new office renovation,” said Brown. “I would have been perfectly content with my old oak desk, sofa and chairs. When I asked to keep my furniture I was told that keeping the old furniture wasn’t an option, the Speaker was replacing everyone’s. I am not taking issue with the Speaker over the fact that he renovated the offices. I take issue with the fact that the House budget has increased by $1 million and the Speaker is now making excuses for extravagant spending. Don’t insult my or the peoples’ intelligence by saying you’ve cut the budget when you really haven’t.”

“It seems The Speaker and other Republican House Members want to blame former Senator Gene Stipe or other elected officials' ethical behavior for their current problems. Gene Stipe hasn’t had any control of the state's budget since I’ve been elected. Former Insurance Commissioner Carroll Fisher was impeached by a Democratic controlled House in 2004 for illegally receiving bribes and gifts from the Gene Phillips Group, and is now in prison. Since then the Republican Leadership and a handful of Republican House members enjoyed a fundraiser at the Phillips home in December. When reporters asked them about it, they seemed to have selective memory loss as to whose home they were going or completely forgot the Fisher/Phillips incident.”

“Democrats took action in impeaching Fisher, will others be willing to do the same if necessary?” asked Brown.

“I want to work in a bipartisan government with the Speaker if he is willing. We can all work together to find ways to save Oklahoma taxpayers money. Just don’t use the Speaker’s office to promote spending less money when you are in fact doing the opposite.”

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Fisher's Tax Evasion Trial In Tulsa Called Off

A judge today called off former Insurance Commissioner Carroll Fisher's tax-evasion trial, ruling the former insurance commissioner must have another preliminary hearing on the evidence in the case. The trial had been set to begin Feb. 11.

Associate District Judge Dana Kuehn ruled a Tulsa County preliminary hearing judge must determine if there is enough evidence against Fisher for a trial on the tax charge

Fisher, 67, already is in prison on a campaign-corruption case. He also faces a bribery trial in Oklahoma County in May.

In the tax case, Fisher is charged with filing a false state tax return 1999. Fisher allegedly should have paid $4,688 more in state taxes.

The 2004 tax charge was first filed in Oklahoma County and Fisher had a preliminary hearing there. Last year, Oklahoma County District Judge Kenneth Watson moved the case to Tulsa. The Oklahoma County judge ruled Fisher should be prosecuted in Tulsa because Fisher signed the 1999 tax return in Tulsa.

Kuehn determined today that Fisher must have a new preliminary hearing because of the move.

Fisher, a Democrat, was insurance commissioner for nearly six years before resigning in September 2004. Fisher's acceptance of gifts from Dallas businessman Gene Phillips continues to resonate today.

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Cargill Shown In Phillips-Huckabee Event Photos

House Speaker Lance Cargill and other Republican members of the Oklahoma Legislature are shown in photos taken during a December 18th fundraiser at the Dallas home of controversial businessman Gene Phillips for presidential candidate Mike Huckabee.

Also shown in the photos are House leaders Mike Jackson, Gus Blackwell and T. W. Shannon. One source claims that a dozen or more Oklahomans attended the event.

The photos were obtained by John Angier at http://okiecampaigns.blogspot.com/, who also reports that Enid attorney Stephen Jones, Phillips' attorney, arranged for the trip working with former State Rep. Bill Case, now a lobbyist defeated in his bid to be elected insurance commissioner in 2006. Angier also reports that State GOP Chairman Gary Jones attended the event.

As reported yesterday, there's interest in the event given Phillips' involvement in the controversy over former Insurance Commissioner Carroll Fisher here, and given other circumstances involving Phillips in other states.

As we reported during the 2007 legislative session, "Insurance Commissioner Kim Holland warned the House Economic Development and Financial Services Committee that an amendment proposed by Republican Rep. Greg Piatt, R-Ardmore, and apparently supported by the House GOP leadership, opens 'the door for companies that are marginal to come into Oklahoma.'

"The amendment, supported by the Gene Phillips family insurance companies lobbyist Bobby Stem, sets a 20 percent cap on how much money insurance companies can invest in real estate construction loans. Holland wants the limit set at 2 percent. She said real estate construction loans are 'speculative and risky,' and that only three insurance companies, all tied to the Phillips family, want the change.

"The committee's action, and Holland's comments, drew more than usual attention since the Republican that Holland defeated, former Rep. Bill Case, is now a member of Stem's lobbying firm. Case had considerable support from Enid attorney Stephen Jones (Phillips' attorney)."

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Keating Backs Holland On Insurance Issue

UPDATE: Former Oklahoma Governor Frank Keating, now head of the American Council of Life Insurers in Washington, has written a letter supporting Insurance Commissioner Kim Holland's position on insurance company investments. Keating's letter puts him in opposition to several Republicans in the State House.The McCarville Report Online obtained a copy of Keating's letter, which reads in part:

"On behalf of the American Council of Life Insurers, I would like to thank you for your past and continuing efforts in working to adopt legislation that is based on model laws. I applaud your latest efforts to update Oklahoma's investment laws to conform to the investments of Insurers Model Act adopted by the National Association of Insurance Commissioners.

"ACLI expresses its support for the changes to Oklahoma law that would regulate the types and amount of investment of insurer assets in construction loans. The limits set forth in H 1958 reflect exactly the limits prescribed in the investments of Insurers Model Act. This Model Act was adopted in 1996 by the National Association of Insurance Commissioners and was the product of four years of concerted effort to create a modern and comprehensive investment law for all insurers. The effort included all segments of the insurance industry, state and federal regulators, Wall Street, investment bankers and consumers.

"The Model Act created a set of realistic limits that reflect the level of investments currently being held by a majority of our nation's insurers. After much study done by regulators and such interested parties as the Mortgage Bankers Association and the Investment Company Institute and ACLI the limit set forth in H 1958 was selected as representative of the amount of investment risk insurers should assume to balance their interests in assuring stable capital bgrowth while protecting their assets to pay promised benefits. In fact, our present research (current as of December 31, 2005) shows that our companies investments in such construction and land development loans amounted to 2.6 billion dollars which represents 0.1% of our companies general account assets."

The letter puts the former Republican governor at odds with GOP Rep. Greg Piatt of Ardmore, who pushed for an investment percentage 10 times that which Holland recommended.

(Originally posted March 6th) ~ Insurance Commissioner Kim Holland warned the House Economic Development and Financial Services Committee that an amendment proposed by Republican Rep. Greg Piatt, R-Ardmore, and apparently supported by the House GOP leadership, opens "the door for companies that are marginal to come into Oklahoma."

The amendment, supported by the Gene Phillips family insurance companies lobbyist Bobby Stem, sets a 20 percent cap on how much money insurance companies can invest in real estate construction loans. Holland wants the limit set at 2 percent. She said real estate construction loans are "speculative and risky," and that only three insurance companies, all tied to the Phillips family, want the change.

The committee's action, and Holland's comments, drew more than usual attention since the Republican that Holland defeated, former Rep. Bill Case, is now a member of Stem's lobbying firm. Case had considerable support from Enid attorney Stephen Jones, who has been linked to the Texas group "Just The Facts America" that tried to defeat Democrat Holland last year. Jones is among the state's most generous political donors, giving most often to Republicans.

Another reason for the attention is that former Insurance Commissioner Carroll Fisher is accused of accepting money and gifts from Phillips, his family and business associates; Fisher awaits trial in a bribery case that's an extension of the criminal investigation that drove him from office.

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Fisher Freed, But Barred From Work

Former Insurance Commissioner Carroll Fisher will be released from the Oklahoma County jail today, but he can no longer work outside his home, where he must remain unless going to a doctor, visiting his attorney or getting exercise. Fisher was arrested last Wednesday for violating the terms of his appeal bond, and jailed until today. Prosecutors said Fisher traveled without permission from his parole supervisor and sometimes failed to wear an ankle bracelet tracking device as required by the court. Fisher was convicted in February 2006 of embezzlement and perjury and sentenced to three years in prison but had been free while appealing the conviction.

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Fisher Jailed For Violating House Arrest Rules

Former Insurance Commissioner Carroll Fisher is in jail for violating the conditions of his house arrest as he appeals his embezzlement and perjury convictions.

Oklahoma County District Judge Kenneth Watson ordered Fisher to jail for leaving his Tulsa home without an ankle bracelet used to monitor his location, and for leaving the monitor in his car while he worked at a furniture consignment business.

The judge said Fisher will not be allowed to work when he returns to house arrest, probably next week.

Fisher apologized to the judge in court Wednesday before he was handcuffed and taken to jail.

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