dallasnews.com All but one Texan in Congress received donations from Enron Some lawmakers giving cash to workers' fund; others keeping money
01/18/2002
By CHRISTOPHER LEEand FULVIO CATIVO / The Dallas Morning News
WASHINGTON – Enron has been a powerful source of political contributions in Texas, giving money to all but one member of the state's congressional delegation.
Now that the troubled energy company has filed for bankruptcy and its financial practices are under scrutiny, some Texas politicians are sending back money received from the company's political action committee or its employees
Sen. Kay Bailey Hutchison announced Thursday that she would steer $100,000 in campaign funds to assist Enron employees and retirees, many of whom saw their retirement accounts dwindle as the company's stock price nose-dived. Enron and its employees had given Ms. Hutchison $99,500 between 1993 and 2001, the most donated to a Texas lawmaker.
"I understand that many community service organizations in the Houston area are working to create a fund to help the victims of the Enron bankruptcy," the Republican said. "I am deeply concerned about the situation in which Enron employees and retirees have found themselves – especially regarding their pensions and other benefits."
At least eight of the 30 House members from Texas also say they plan to send all or part of their Enron money to employee-assistance funds. The only one who received no Enron money was Rep. Ruben Hinojosa, D-Mercedes.
Rep. Ken Bentsen, D-Houston, the largest recipient of Enron money in the House, said he would give $2,000 in recent contributions to help Enron employees.
"I don't see any reason to give it back to the company," said Mr. Bentsen, who is seeking his party's Senate nomination.
Texans aren't alone in trying to sever ties to Enron. Elected officials from across the country are deciding what to do with money they got from the Houston-based energy trader as its troubles mount and several congressional inquiries get under way.
Steven Weiss, a spokesman for the Center for Responsive Politics, a campaign finance watchdog group, said the Enron case proves that big corporate contributions can become a political liability.
"Members of Congress in tough races don't want their opponents to make it an issue," he said. "It's up to the elected official to convince the voters that their objectivity is firm."
Some politicians dismiss the notion that their objectivity might be questioned.
"So far all the decisions to return money have been from elected officials who are just reacting to publicity," said Rep. Henry Bonilla, R-San Antonio, who said he intends to keep the $7,250 in Enron money he was given since 1989.
House Majority Whip Tom DeLay, the No. 3, Republican in the House, intends to keep his Enron-related donations, too, his spokesman said
"As a congressman from the Houston area and a supporter of a strong energy policy, it's natural that he would have had their support in the past," said Jonathan Grella, the spokesman.
Enron has spread its political donations far and wide, giving more than $5.9 million to federal candidates and parties over the last 12 years, according to campaign finance records. President Bush was one of the company's top recipients.
But Texas lawmakers from both parties were also among Enron's chief beneficiaries. Enron and its employees gave $477,068 to current members of the Texas delegation between 1989 and 2001, records show.
Texans accounted for 14 of the top 25 recipients of Enron money in the House. And Ms. Hutchison and Sen. Phil Gramm, R-Texas, (whose wife, Wendy, is on Enron's board of directors) were the top recipients of Enron money in the Senate.
Mr. Gramm has been returning more than $275,000 in political contributions from all donors – not just Enron – because he isn't seeking re-election this year, said his spokesman, Larry Neal.
Whether Mr. Gramm would have returned the Enron money if he were running "is something we haven't addressed because it's irrelevant," Mr. Neal said.
Rep. Max Sandlin, D-Marshall, a member of the House Financial Services Committee, which will conduct an inquiry of its own, plans to send $3,000 to an Enron employees' fund, his spokeswoman said.
"He wants to ensure that there's no question of impropriety," said Danielle Allen, the spokeswoman. "He really believes that people need to be jailed for this. And he wants to be able to play a part in ensuring that the guilty parties are held accountable." |