WSJ: After Stalling, Lewis Probe Goes on

Whatever happened to the federal investigation of Rep. Jerry Lewis (R-CA)?

Finally, an answer. It’s been stalled, reports Scot Paltrow in The Wall Street Journal, due partly to the departure of top prosecutors from the office (including former U.S. Attorney for Los Angeles Debra Yang) and partly to budget shortages. Paltrow’s piece focuses mostly on those shortages in offices across the country, the often-forgotten backdrop to the U.S. attorney firings.

The last time we checked in on Lewis, prosecutors were focusing on his relationship with his lobbyist buddy Bill Lowery, whose firm’s bread-and-butter business was cashing in on its relationship to Lewis (it continues to do well). But Paltrow reports that prosecutors had also hit another vein:

From the Journal:

People with knowledge of the case said that by the time the investigation stalled in December 2006, it had branched out into other areas, including Mr. Lewis’s June 2003 role in passing legislation that helped giant hedge fund Cerberus Capital Management. People associated with Cerberus around the same time gave at least $140,000 to a political action committee controlled by Mr. Lewis. Cerberus officials didn’t respond to phone calls or emailed questions concerning the Lewis inquiry.

Money from the PAC was distributed to Republican congressional candidates facing difficult campaigns. The largesse was credited with gaining Mr. Lewis enough support from Republican House members to be chosen as appropriations committee chairman in January 2005. In addition, federal agents were looking into whether Mr. Lewis may have improperly paid for personal expenses with PAC funds.

The interim U.S. attorney in Los Angeles tapped a veteran prosecutor to get the investigation back on its feet earlier this summer, Paltrow reports.

Note: Lewis announced today that he’ll be seeking reelection for the 15th time next year.