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Thursday, May 16
The Indiana Daily Student

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California congressman resigns, pleads guilty to taking bribes resigns

Representative accepted $2.4M to influence contracts

SAN DIEGO -- Rep. Randy "Duke" Cunningham, an eight-term congressman and hotshot Vietnam War fighter jock, pleaded guilty to graft and tearfully resigned Monday, admitting he took $2.4 million in bribes from defense contractors to steer business their way.\n"The truth is I broke the law, concealed my conduct, and disgraced my office," the 63-year-old Republican said at a news conference. "I know that I will forfeit my freedom, my reputation, my worldly possessions, most importantly, the trust of my friends and family."\nHe could get up to 10 years in prison at sentencing Feb. 27 on federal charges of conspiracy to commit bribery and fraud, and tax evasion.\nInvestigators said Cunningham, a member of a House Appropriations subcommittee that controls defense dollars, secured contracts worth tens of millions of dollars for those who paid him off. Prosecutors did not identify the defense contractors.\nCunningham was charged in a case that grew out of an investigation into the sale of his home to a defense contractor at an inflated price.\nThe congressman had already announced in July -- after the investigation became public -- that he would not seek re-election next year. But until he entered his plea, he had insisted he had done nothing wrong.\nCunningham's plea came amid a series of GOP scandals: Rep. Tom DeLay of Texas had to step down as majority leader after he was indicted in a campaign finance case; a stock sale by Senate Majority Leader Bill Frist is being looked at by regulators; and Vice President Dick Cheney's chief of staff was indicted in the CIA leak case.\nCunningham, a swaggering former flying ace with the Navy during the Vietnam War, was known on Capitol Hill for his interest in defense issues and his occasional outbursts.\nIn court documents, prosecutors said Cunningham admitted receiving at least $2.4 million in bribes paid in a variety of forms, including checks totaling over $1 million, cash, antiques, rugs, furniture, yacht club fees and vacations.\nAmong other things, prosecutors said, Cunningham was given $1.025 million to pay down the mortgage on his Rancho Santa Fe mansion, $13,500 to buy a Rolls-Royce and $2,081 for his daughter's graduation party at a Washington hotel.\n"He did the worst thing an elected official can do -- he enriched himself through his position and violated the trust of those who put him there," U.S. Attorney Carol Lam said.\nCunningham was allowed to remain free while he awaits sentencing. He also agreed to forfeit his mansion, more than $1.8 million in cash, and antiques and rugs.\nThe case began when authorities started investigating Cunningham's sale of his Del Mar house to defense contractor Mitchell Wade for $1,675,000. Wade sold the house nearly a year later for $975,000 -- a loss of $700,000 in a hot real estate market.\nProsecutors did not specify if the house purchase was part of Cunningham's guilty pleas.\nIn addition to buying Cunningham's home at an inflated price, Wade let him live rent-free on the congressman's yacht, the Duke Stir, at a yacht club. Wade's company, MZM Inc., also donated generously to Cunningham's campaigns.\nAround the same time, MZM was winning defense contracts.

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