WASHINGTON (AP) — Former House speaker Dennis Hastert looked for ways to increase his income around the time he is accused of paying someone to stay quiet about decades-old misconduct, according to a former business associate.
J. David John told The New York Times that he asked a financial adviser in 2010 how investments could be arranged to yield more cash and that he inquired on Hastert’s behalf, without identifying him. John said he doesn’t know whether the attempt to set up an annuity relates to the payoffs Hastert is accused of making.
Hastert is charged with evading bank regulations by withdrawing hundreds of thousands of dollars in smaller amounts and lying about why. The indictment says Hastert agreed in 2010 to pay $3.5 million to a person to compensate for and conceal past misconduct. He is scheduled to appear at his arraignment on the two charges in federal court in Chicago on Tuesday. If convicted, he could face a maximum five-year sentence and a $250,000 fine on each charge.
The Times posted emails and other documents showing efforts by Hastert to grow his slow-starting lobbying and consulting business after he left politics.
A collection of emails, many between John and a Hastert assistant, suggests the former Republican congressman’s schedule was picking up as he traveled to Singapore, Montreal and other sites of projects he was helping clients advance. Among them were efforts to move a golf tournament to the Middle East from the U.S., to bring Formula One racing to Chicago and to engage in a California land development.
In June 2010, John received an email from a financial adviser who was consulted about how to generate more cash for Hastert but given only limited details of the former congressman’s finances and nothing identifying him. Hastert had amassed wealth in real estate but those investments were largely tied up. “In general, he can probably get 4-6 percent in the annuity world,” the adviser told John. “This would provide him a steady stream of income and more than likely a guarantee that he would not run out of income in his lifetime.”
According to the indictment, however, Hastert was heavily tapping his income that summer, withdrawing $50,000 at a time and making secret payments every six weeks.
The Times obtained documents from a lawyer for John, who had a falling out with Hastert and has sued him.
A person familiar with the allegations told The Associated Press that the payments were intended to conceal claims that Hastert sexually molested someone decades ago. The person spoke to the AP on the condition of anonymity because the investigation is continuing.
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The price of hypocrisy can be exorbitant when the goal is to stay out of jail.
The hush-money payments were like a tax. The imposition of this “tax” caused Hastert to work even harder to maintain his “after-tax” level of income.
Clearly, we need to institute new taxes for his peers so that they boost their productive activity instead of lounging around waiting for their annuity checks.
Edit: TPM, what is going on with the avatars? Mine disappeared entirely, then was replaced by the generic letter, then I uploaded my old avatar again, then it was replaced by the “O” again, and now there is a blank space again.
Hastert’s no murderer at least, so he’s got that going for himself. He does obviously recognize the wrong in what he did or I’m pretty sure that he wouldn’t pay millions to try to hide it. I wonder if its the being gay part or the eye for children part or possibly the idea that he lured these kids in as coach and scout leader that shames him millions worth? He could also just be a freak that did freaky things.
There are victims A and B known so far and one of those encounters lasted at least 4 years. But Hastert was likely on the prowl for many more than that and has victimized many more than two.
Hastert is a reflection of the Republican Party’s values and twisted ethics, may they all burn for what they do.