Wednesday, November 16, 2005

Culture of Corruption: Former Sen. Phil Gramm-R to Testify in Governor's Money Laundering Trial

CHICAGO (AP) -- Former Sen. Phil Gramm will be allowed to testify about money the Texas Republican's 1996 presidential campaign paid to former Gov. George Ryan's daughters, a federal judge ruled Tuesday.

U.S. District Judge Rebecca R. Pallmeyer turned down a last-minute plea from Ryan's lawyers to prevent Gramm from taking the witness stand Thursday at the former governor's corruption trial.

Ryan endorsed Gramm in March 1995, and prosecutors have alleged some $32,000 in consulting fees were then funneled to two Ryan staff members and the governor's daughters. The fees were allegedly laundered through a Republican management consulting company. The senator dropped his presidential bid in early 1996.

"It is a big deal if you stand up and endorse somebody and don't tell anybody that you're getting paid for it," said Prosecutor Patrick M. Collins.

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