FBI searches offices of 6 Alaska lawmakers, including son of U.S. Sen. Ted Stevens

JUNEAU, Alaska – The offices of at least six Alaska legislators, including the son of Sen. Ted Stevens, were raided by federal agents searching for possible ties between the lawmakers and a large oil field services company, officials and aides said.

Department of Justice spokeswoman Jaclyn Lesch said Friday the searches began Thursday and were continuing Friday. FBI spokesman Eric Gonzalez said a total of 20 search warrants were being executed across Alaska, but would not say where.

A copy of one of the search warrants, obtained by The Associated Press, links the investigation to a new production tax law signed last month by Gov. Frank Murkowski and a draft natural gas pipeline contract Murkowski and the state's three largest oil companies negotiated.

The warrant called for seizure of documents concerning any payment made to lawmakers by Bill Allen and Richard Smith, executives of oil field services giant VECO Corp. Agents also looked for documents about contracts, agreements or employment of legislators provided by VECO, Allen, Smith and company president Peter Leathard.

Sought-after items named in the search include hats or other garments bearing the phrases "CBC," "Corrupt Bastards Club" or "Corrupt Bastards Caucus." What the names referred to was unclear, and authorities would not comment.

Lesch said no further comment is likely to come from the Justice Department unless charges are filed.

VECO's executives are top contributors to Alaska politicians. The company staunchly supported the governor's production tax plan, a version of which the Legislature passed in August after twice rejecting it earlier this year. Lawmakers have also twice failed to pass legislation related to the governor's pipeline fiscal contract with BP PLC, ConocoPhillips and Exxon Mobil Corp.

There was no immediate response to a call seeking comment from VECO representatives.

Among the offices searched was that of Republican Senate President Ben Stevens, whose father is Alaska's senior senator. Ted Stevens' spokesman Aaron Saunders said Friday he had no comment on the search.

Ben Stevens could not be reached at his Anchorage home on Friday.

Also searched were offices in both Juneau and Anchorage belonging to state Sen. John Cowdery, the Senate Rules chairman; Republican state Rep. Vic Kohring; Republican state Rep. Bruce Weyhrauch; Democratic state Sen. Donald Olson, and Republican state Rep. Pete Kott.

"It's pretty bizarre," Cowdery said Friday. "That's all I know, it's pretty bizarre. I certainly haven't done anything wrong."

He said he didn't know why he was included in the raid or why agents seized items "unrelated to anything," including the stubs of his legislative salary checks.

Kohring said he cooperated and was told he was not a target of the investigation. Calls to Weyhrauch and Kott were not immediately returned Friday. Olson was in Nome on Friday, but his office line was busy and he could not be reached for comment.

Four different teams of at least six federal agents each spent hours searching offices on each floor of the Capitol.

Besides VECO and its executives, agents were authorized to seize any documents related to The Petroleum Club, Republican pollster David Dittman or his company, Dittman Research and Communication Corp., pollster Marc Hellenthal or his company, Hellenthal and Associates, Roger Chan, VECO's chief financial officer, and a flying service that Olson owns, according to the warrant.

Hellenthal said Friday that he had not been contacted by federal agents. He said his firm has conducted polls for VECO and other businesses on governors' and legislative races.

A receipt, obtained by the AP, of items the FBI seized from Olson's office lists five things: Olson's 2006 year planner, Murkowski's gas pipeline proposal released in May, a manila folder labeled "APOC" for the Alaska Public Offices Commission, Olson's interim travel file and a binder related to the Alaska Stranded Gas Fiscal contract.