'I'll Sell My Soul to the Devil'
Corruption Scandals Involve Alaska's Biggest Political Names
By Karl Vick
Washington Post Staff Writer
Monday, November 12, 2007; Page A01
ANCHORAGE -- When the FBI came looking for corruption in Alaska politics, it found an excellent perch in Suite 604 of the Baranof Hotel in Juneau, the state capital. There, a profane septuagenarian named Bill Allen did business throughout a 2006 special session called to set taxes on the oil industry. With hundred-dollar bills in his front pocket for ease of access when lawmakers turned up with their hands out, the oil-services company executive turned in a bravura performance before the pinhole camera that federal agents installed opposite his favorite chair.
"Let me count first here," Allen said, shushing a former statehouse speaker as he counted out a bribe in video footage entered as evidence in the lawmaker's September trial, one of several crowding the docket of the federal court here.
Former state representative Tom Anderson was convicted in July of seven felonies including bribery, extortion, conspiracy and money laundering. (By Al Grillo -- Associated Press)
On another tape, Pete Kott, the former Republican speaker of the Alaska House of Representatives, crowed as he described beating back a tax bill opposed by oil companies. "I had to cheat, steal, beg, borrow and lie," Kott said. "Exxon's happy. BP's happy. I'll sell my soul to the devil."
"Well, that will stay in this room," one lobbyist said as a midnight session wound down.
It did not, of course. Since breaking into public view a year ago when federal agents raided lawmakers' offices and homes -- finding $32,200 neatly stacked in a closet of Kott's condo -- the federal probe has produced four indictments, three convictions, three guilty pleas and a rapt audience keen to see how high into Alaska's political hierarchy the rot reaches.
Officially, the scandal has remained confined to Juneau, where Alaska lawmakers had grown so accustomed to operating under the presumption of impropriety that several of them embroidered ball caps with the letters CBC, for "Corrupt Bastards Club." (An Anchorage coffeehouse now offers Corrupt Bastards Brew.) But with signs that the investigation is brushing against Alaska's lone congressman, Don Young (R), and its longtime and venerated senator Ted Stevens (R), residents of the Last Frontier are experiencing a rare spasm of soul-searching.