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Associate of DeLay in court on fraud
charges
MSNBC
Aug. 12, 2005
LOS ANGELES - Lobbyist Jack Abramoff appeared in federal court Friday on
charges of committing fraud while trying to buy a casino boat company — a
case that has attracted attention because of Abramoff's close ties to
House Majority Leader Tom DeLay.
The court appearance came a day after Abramoff was indicted in Florida. He
surrendered to the FBI later Thursday in Los Angeles.
When U.S. Magistrate Judge Paul Game asked Abramoff if he was aware of the
charges, the lobbyist replied, "Yes, sir.&rsquo
Game ordered Abramoff to give up his passport before allowing his release
ahead of his return to Florida next week. Abramoff later left the courthouse
and departed in a car without commenting to reporters.
He was told he could post $250,000 of a $2.25 million bond on Tuesday in
Florida only if federal prosecutors there determine that the money came from
legitimate sources, said U.S. attorney's spokesman Thom Mrozek. Family
members would be liable for the balance of the bond if Abramoff fails to appear
at any subsequent hearing.
A defense attorney said Abramoff was in contact with law enforcement
immediately after hearing about the charges.
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"He does look forward to returning to Miami, where he will vigorously
defend against the charges against him,' Anthony Pacheco said after the
court appearance.
The six-count federal indictment unsealed in Fort Lauderdale alleges that
Abramoff, 40, and a partner, Adam Kidan, 36, of New York, faked a $23 million
wire transfer to defraud two lenders out of some $60 million to finance the
$147 million purchase of SunCruz Casinos from Konstantinos "Gus'
Boulis in September 2000.
The deal ultimately collapsed and Boulis, 51, was killed five months later
in an apparent hit. The shooting is unsolved.
Abramoff's indictment alleges that he used SunCruz income to pay for
political fundraising activities. He has denied any wrongdoing concerning
SunCruz.
Abramoff is also under investigation for his lobbying activities on behalf
of Indian tribes and for his role in paying for overseas trips for DeLay. The
Texas Republican has denied knowing Abramoff paid the expenses.
Both Abramoff and Kidan, who has also denied doing anything wrong, could
face up to 30 years in prison and thousands of dollars in fines if convicted in
the Florida case.
© 2005 The Associated Press. All rights reserved. This material may not be
published, broadcast, rewritten or redistributed.
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