Land Swap Plan Causes Trouble For Congressman (Renzi)

[babylonsister]

http://online.wsj.com/article_email/SB117708053389976977-lMyQjAxMDE3NzI3MDAyODAwWj.html

Land-Swap Plan Causes Trouble For Congressman
Mr. Renzi Offers Field To Mining Companies;
Grand Jury Is Active
By JOHN R. WILKE
April 21, 2007; Page A1

SUPERIOR, Ariz. -- As they dig for nickel, copper and other commodities in the far corners of the earth, the world's largest mining companies, Rio Tinto PLC and BHP Billiton Ltd., are used to solving geological problems. Here, though, the problems they encountered were political.


North America's largest copper lode is believed to be buried more than a mile beneath Apache Leap, the stark red cliffs that loom above this storied Old West town about an hour east of Phoenix. Resolution Copper Co., a joint venture between Rio Tinto and BHP Billiton, wants to mine it. But first it needs Congress to approve a federal land exchange, under which Resolution would swap 5,000 acres of private land for 3,000 acres of public land near its planned mine.

In exchange for supporting the bill, the local congressman, Rick Renzi, a Republican, insisted on something in return: He wanted Resolution to buy, as part of the land swap, a 480-acre alfalfa field near his hometown of Sierra Vista, according to documents and people involved in the deal.

Resolution executives refused. For starters, they thought the land was overpriced, people close to the deal say. More troubling, they discovered it was owned by Mr. Renzi's former business partner, these people say.

Resolution wasn't the only party troubled by the congressman's demands. His chief of staff resigned and began cooperating secretly with the Federal Bureau of Investigation, according to witnesses and others close to the case. The FBI began a preliminary inquiry that was first reported in October, just before Mr. Renzi was elected to a third term.

That investigation has now become a formal public-corruption probe by a federal grand jury in Tucson. On Thursday, the grand jury authorized a search warrant of a Renzi family business. Investigators have uncovered evidence that Mr. Renzi received a cash payment from his former business partner, funneled through a family wine company, after a second investor group pursuing an unrelated land swap agreed to pay $4 million for the alfalfa field, according to people contacted in the course of the two-year investigation.

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[EVDebs]

1. I like the "national security" argument given...

""Congressman Renzi told me that the purchase of the Sandlin parcel was a matter of national security, and that it was key to ensuring the viability of Fort Huachuca," Mr. Aries says. "He said that if we were to buy it before" upcoming hearings about the possible closure of the base, "he would give our swap priority -- a 'free pass,' he said, would be sure to get through the Natural Resources Committee," thereby ensuring its approval."

This blends in nicely with this quote from Lisa Myer's article on MSNBC as to the reason behind the Attorney-gate firings:

"It's all part of a growing ongoing investigation into corruption in defense and intelligence contracts, which already has sent former Rep. Randy “Duke” Cunningham to prison and, legal sources say, may threaten others in Congress and the CIA. "

http://www.msnbc.msn.com/id/12634250 /

...and will M$M be investigating Ptech's software in the DOJ, WH, and DOE etc ?

Notable clientele
http://en.wikipedia.org/wiki/Ptech

I thought the GOP was all about 'national security', not corrupt land deals and outsourcing !

The Bush administration's unique blend of incompetence AND corruption will stand as unparalleled in American history. Grand mal incompetence and corruption !

[havocmom]

2. The crook must have been asking a whole lot for that land for them to balk

Land in the area around Sierra Vista much be appreciating, or will again here soon, at a fantastic rate. At one edge of that town is Ft Huachuca Army base. It has some very specific uses and back in the late 80s, LOTS of spooky types started showing up, along with some rather impressive high tech trinkets. Some call it Langley West.

The town of Sierra Vista has grown by leaps with the changes in the base. Any land there is probably worth a fortune. If a mining company balked at buying a few hundred acres, the bastard must have really been greedy.