Co-defendants in Perzel corruption case to plead guilty

HARRISBURG - Three of the 10 Republican defendants scheduled to stand trial next month in the state's sweeping Capitol corruption probe took plea deals for their cooperation in the case against other defendants, including former House Speaker John M. Perzel of Philadelphia.

The 10 were to stand trial together in a consolidated case in Dauphin County Court as part of a four-year-long investigation initiated by then Attorney General Tom Corbett that led to the downfall of Perzel, once one of the state's most powerful politicians.

Reached at his Northeast Philadelphia home Tuesday, Perzel told the Inquirer that his attorney instructed him not to comment. The lawyer, Brian J. McMonagle, did not return phone calls or e-mails seeking comment.

Earlier in the day, Perzel told the Philadelphia Daily News that he was not considering a deal in the case.

In November 2009 Corbett leveled numerous theft, criminal conspiracy and conflict of interest charges against Perzel and nine others in connection with a grand jury investigation into the misuse of public resources and employees for campaign purposes.

Prosecutors allege that Perzel was the architect of a House Republican scheme that spent $10 million taxpayer dollars on computer technology to influence elections. They also said that Perzel, in his quest to expand his power base, punished fellow Republicans who failed to vote his way on legislation by, among other things, targeting their constituents during campaigns with taxpayer-paid robo-calls.

On Tuesday the attorney general's office announced that three defendants will plead guilty: Samuel "Buzz" Stokes of Philadelphia, Perzel's brother-in-law and a former staff member; Paul Towhey, of Blue Bell, Perzel's former chief of staff, and Don McClintock of Voorhees, a former campaign aide.

Stokes and McClintock are to enter pleas on Wednesday before Dauphin County Court of Common Pleas Judge Richard Lewis, while Towhey will be in court Friday, said Nils Frederiksen, spokesman for Attorney General Linda Kelly.

Each of the three was charged in 2009 with at least two dozen counts of conflict of interest, theft and conspiracy.

Robert Donatoni, of West Chester, who is representing Stokes did not return a phone call seeking comment. He told the Associated Press his client would be pleading guilty to two charges but did not elaborate.

Perzel, who served 32 years in the House, including four as speaker, before losing reelection in 2010, faces 82 counts including theft, conspiracy, obstruction of justice, and conflict of interest.

Last week, state officials acknowledged that Perzel continued to collect an $85,000-a-year pension after receiving a lump sump payment of $203,000.

Gerald Grimaud, a former assistant attorney general, said Kelly's strategy is clearly to try to target Perzel. But it could backfire if the prosecution is not up front with the jury about the plea deal.

"The real question is that the defense counsel will have the opportunity for thorough cross-examination of witnesses," said Grimaud, who also practiced criminal law. "They could bring the whole thing to the attention of the jury could cause the jury to doubt the veracity of the witnesses."

Since being indicted, Perzel has maintained his innocence and has questioned the motives of Corbett, who was running for governor at the time.

On July 29, Judge Lewis rejected defense motions to dismiss the charges, clearing the last obstacle to a trial. Lewis had set a trial date of Sept. 12 (with jury selection to begin on Sept. 6), with projections the trial could last as long as six months.

Corbett's filed the first charges in his Capitol probe in 2008 against former House Democratic Whip Mike Veon and 11 other Democrats. The case was dubbed Bonusgate because it largely centered around allegations of payments of taxpayer-funded bonuses for campaign work.

Veon, of Beaver County, and one of his ex-aides, Brett Cott, are serving prison terms after being convicted of conspiracy, theft and conflict of interest.

In all, 15 Democrats, including current and former Democratic legislators and aides, also were charged. Seven of the aides took plea deals.

"The chips are falling the same way as they did in the Veon case with some of the lower level people taking pleas," said Terry Shaffer, research director for Democracy Rising, a good government group based near Harrisburg. "

Three Democrats are still awaiting trial on theft and corruption charges, including former Democratic leader Rep. Bill DeWeese of Greene County and former Rep. Stephen Stetler, who was serving as Gov. Ed Rendell's revenue secretary when he was charged in December 2009.

Shaffer says his group is expecting more charges to be filed because Corbett promised to examine activities of both Democratic and Republican caucuses in both the House and the Senate.

"We have had expectations that there would be more arrests," said Shaffer. "I don't think Governor Corbett can continue to say the investigation is ongoing unless new attorney general brings new indictments."