Sneak peek of Fumo trial

A private eye hired by state Sen. Vince Fumo testified yesterday at a court hearing that he stopped doing sweeps for listening devices in Fumo's offices and his home because he was concerned he might be arrested for obstruction of justice.

The private investigator, Frank D. Wallace, made the disclosure during a hearing yesterday before U.S. Senior District Judge William H. Yohn Jr. to determine whether Fumo's lawyers, from the firm of Sprague & Sprague, should be booted over alleged conflicts.

Fumo's trial on corruption charges isn't supposed to start until February, but yesterday's hearing offered a rare preview of some of the government's evidence against Fumo.

In addition to Wallace's disclosure, there was also testimony alleging that Fumo tried to get Verizon of Pennsylvania to steer its legal business to the Sprague firm.

Fumo had intervened in a Verizon regulatory matter in 1999 and 2000. In 2001, after the state utility commission and Verizon reached a settlement, Verizon initially agreed to pay Sprague & Sprague $1 million a year for three years as part of its agreement with Fumo.

Verizon PA's then-chief executive, Daniel Whelan, and its general counsel later shot down the idea.

FBI special agent Vicki Humphreys read portions of Whelan's grand-jury testimony from November 2005 in which he said the Sprague firm wasn't the type of "general-purpose law firm" Verizon needed.

Fumo was indicted in February, charged with bilking the state Senate; a charity he founded, Citizens Alliance for Better Neighborhoods; and the Independence Seaport Museum out of $2.1 million for his personal and political benefit.

Fumo also is charged with trying to thwart the FBI probe by destroying e-mails and other electronic evidence.

Wallace testified that he had been asked by Charles Hoffman, Fumo's chief of staff in his Tasker Street office, to conduct sweeps for bugs but that he became skittish in 2006 when he learned that the FBI was investigating Fumo.

Wallace said that when he expressed concern to Hoffman that the sweeps might be illegal, Hoffman tried to reassure him, telling him that Fumo had checked with his lawyer, Richard A. Sprague, and that Sprague said there was nothing improper about the bugging sweeps.

Wallace said he told Hoffman, "Fine, if Mr. Sprague wants to put it in writing for me, I'll do it."

But Wallace told Assistant U.S. Attorney John Pease he decided to stop conducting the bugging sweeps.

"I had been given advice by my attorney it could violate the law and I could be arrested for obstruction of justice," he said.

Sprague said after yesterday's hearing there was nothing improper about trying to determine whether the feds had planted bugs in Fumo's office or home.

"There is nothing unlawful with anybody checking to see whether Uncle Sam or anybody has put a bug or wiretap in your home or office," Sprague said. "Nothing was said about if you find something, you should take it out."

The feds contend that three of the firm's lawyers - Richard Sprague, Geoffrey Johnson and Mark Sheppard - should be kicked off the case over alleged conflicts.

Prosecutors contend that the lawyers have represented both Fumo and the entities he is alleged to have bilked.

The feds say the Sprague lawyers are so "entangled" with these organizations' affairs and their simultaneous representation of Fumo that they even plan to call some of the Sprague lawyers as witnesses at trial.

Sprague contends that they represented the entities on matters separate from the investigation of Fumo, and, in any case, none of the alleged victims in the case has legally opposed Sprague's representating Fumo.

The hearing is scheduled to resume today. *