Former Democratic chairman pleads guilty in federal case

SOUTH BEND -- Former state Democratic Party Chairman Peter Manous pleaded guilty Tuesday to eight federal charges surrounding his role in a $10 million land deal involving a union pension trust fund.\nThe plea is part of an agreement that requires Manous to cooperate with the U.S. Attorney's Office and its investigation into the land deal.\nManous was indicted in September along with Kevin Pastrick, the son of longtime East Chicago Mayor Robert Pastrick, and Gerry Nannenga, executive treasurer-secretary of the Indiana Regional Council of Carpenters, Floor Coverers and Millwrights.\nThe indictment alleged Pastrick received a $600,000 commission from the sale and paid a $200,000 kickback to Manous, the union's attorney and agent, and another kickback to Nannenga.\nPastrick has pleaded innocent. Nannenga pleaded guilty last year to illegally accepting $45,000 from Manous and Pastrick to approve the investment of union money to buy 55 acres.\nA message seeking comment was left Tuesday at the Chicago office of Manous' attorney, Mark L. Rotert.\nManous, who resigned as the party's state chairman in February 2003 after 19 months in the post, pleaded guilty to one count of conspiracy, one count of influencing the operation of an employment payment plan, three counts of making payment to a union official to influence the operation of an employment payment plan and two counts of making false statements to federal investigators.\nUnder the plea agreement, the U.S. Attorney's Office agreed to recommend a lesser sentence for Manous as long as he cooperates with investigators and tells the truth.\nThe plea agreement says the sentence will be determined by federal sentencing guidelines but does not specify the length. The penalties to which Manous pleaded guilty range from three to 20 years in prison. Each count carries up to a $250,000 fine.\nManous waived his right to appeal the conviction or the sentence as part of the plea agreement.\nAccording to the indictment, the carpenters union's pension board voted to buy the land for $10 million despite a report that showed "the land was valued at far less than the purchase price"