It’s only getting worse for Rep. William Jefferson (D-LA). Vernon Jackson, 53, the CEO of Louisville-based iGate Inc., pleaded guilty today to charges of bribing Jefferson. This is the second plea to implicate Jefferson. The first other was from his former aide, Brett Pfeffer.
From the AP:
Prosecutor Mark Lytle said Jackson paid roughly $360,000 over a four-year period to a company controlled by the congressman’s wife in exchange for Jefferson’s help promoting iGate technology in Africa. Jackson also gave the company a 24 percent stake in iGate and paid for $80,000 in travel expenses on the congressman’s trips to Africa to promote iGate.
Jackson said in court that the congressman helped iGate receive a government certification allowing the company to obtain military contracts. After that, the congressman insisted on financial compensation to continue his efforts on behalf of iGate.
Update: Here is the “Statement of Facts” to which Jackson pled guilty. “Representative A” is Jefferson.
Another Update: And for a more readable summary of the charges, here’s the DoJ’s press release about the plea:
Vernon L. Jackson, 53, of Louisville, Kentucky, entered his plea earlier today in U.S. District Court in Alexandria, Virginia before the Honorable T.S. Ellis, III. Jackson faces up to 20 years in prison and a fine of up to $500,000, under the terms of the plea agreement. As part of his plea, Jackson has agreed to cooperate with law enforcement officials in an ongoing probe of public corruption related to telecommunications deals in Africa and elsewhere.
According to the criminal information, from 1998 through the present, Jackson has been the Chairman and CEO of iGate, Incorporated, a Kentucky firm focused on developing technology which is designed to transmit data, audio, and video communications over copper wire. In his plea today, Jackson admits that in approximately 2000, he was introduced to a member of the U.S. House of Representatives (Representative A), who was active in promoting U.S. trade and business in Africa. Representative A then provided official assistance to Jackson in persuading the U.S. Army to test iGate’s broadband two-way technology and other iGate products. Representative A’s official assistance led to the placement of iGate on the U.S. General Services Administration (GSA) schedule, making iGate products eligible for use in various federal contracts. Ultimately, iGate’s products were used by the U.S. Army at Fort Stewart, Georgia.
Jackson further admits that in early 2001, Representative A told him that Representative A would not continue to provide official assistance to Jackson’s company, iGate, unless Jackson agreed to pay a nominee company ostensibly maintained in the names of Representative A’s spouse and children. Jackson agreed and signed a consulting services agreement committing iGate to pay the nominee company various things of value, thereby concealing Jackson’s payments in exchange for Representative A’s performance of official acts in furtherance of iGate’s business in Africa and elsewhere, including, but not limited to: a) monthly payments of $7,500; b) a percentage of iGate’s gross sales; c) a percentage of capital investments raised for iGate; and d) options for iGate stock.
In his plea, Jackson admits that he caused over $400,000 to be paid to Representative A’s nominee company and that the consulting services agreement was designed to conceal the illegal nature of the payments demanded by Representative A. In return for the agreement to pay things of value, Representative A agreed to perform numerous official acts in furtherance of iGate’s business, including, but not limited to: efforts to influence high-ranking officials in Nigeria,
Ghana, Cameroon and elsewhere through official correspondence and in-person meetings; travel to those countries to facilitate these meetings; and meetings with personnel of the Export-Import Bank of the United States, the official export credit agency of the United States, in order to facilitate potential financing for iGate business deals in those countries.
