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Gov. Gibbons, a Friend To Defense Contractors and a Gentleman
Nevada Governor Jim Gibbons (R) has had a few brushes with the law recently over vacationing with defense contractors and grabbing a woman in a parking garage. Now that federal investigators are bearing down on him over an alleged cash-for-contracts scheme, Gibbons is likely to remain in the limelight.
Federal investigators are probing former Republican House member Gibbons’ involvement with the tiny Nevada software company eTreppid Technologies. Gibbons admits he opened doors for the company, which has secured millions of dollars in defense contracts. Gibbons has, in some instances, called gifts from eTreppid appropriate because of his longtime friendship with the company's owner Warren Trepp. Other times Gibbons has denied accepting lavish gifts. Gibbons and Trepp lived the high life together at least once on a Caribbean cruise, of which there are photos, but it's unclear who picked up the tab. At a minimum, Gibbons has accepted $100,000 in campaign contributions from Trepp, according to disclosure records.
Trepp’s company nabbed at least a few “black-budget” contracts, which are those kept off the publicly-available Congressional budget because of their sensitive nature. Gibbons may have helped the company secure a $100 million contract last year for work with the U.S. Special Operations Command in Tampa, Fla. eTreppid got another black-budget contract, for $3 million, to provide “target-recognition technology,” able to identify objects from streaming video. The technology would likely be beneficial in satellite surveillance.
The corruption allegations against Gibbons surfaced after a former eTreppid employee, Dennis Montgomery, sued the company saying they are wrongfully using software he created. Montgomery has given the press photos from the Caribbean cruise where, in one shot, Gibbons cradles two women and smiles along with the other nine around him. Gibbons’ wife was on the cruise, but it is unclear if she is one of the 11 women in the photo. Montgomery has said he saw his former boss give Gibbons $100,000 in cash and casino chips on the same trip.
This is not the first Nevada technology company owner Gibbons has both vacationed with in an exotic location and helped secure defense contracts for. In 2000, Gibbons went to Turkey with the owners of Sierra Nevada Corp., which has received hundreds of millions of dollars in government contracts.
Sierra Nevada makes software technology used for surveillance, air traffic control, sensors, and other military operations. In 2004, Gibbons’ worked on getting the company a $4 million no-bid contract to develop a helicopter landing system that functions well in desert conditions.
Gibbons maintains that he and his wife paid for their own accommodations and airfare when they went on the week-long trip with the company’s owners, Faith and Eren Ozmen.
Gibbons’ wife, Dawn Gibbons, is also connected to the technology company. Gibbons runs a PR firm, Politek Inc., which she created in 2003 after leaving the state legislature. Coincidentally, Sierra Nevada hired her firm for $35,000 the same year it received the helicopter contract.
Dawn Gibbons’ biggest client in 2004 was her husband's 2004 re-election campaign, which paid the firm more than $93,000. The year before, she received $18,000 from a nonprofit (Education First) that she and her husband created.
Besides dabbling in seemingly corrupt behavior, Gibbons has also been accused of even more lurid law breaking.
Last fall, then a gubernatorial candidate, Gibbons became the target of a police investigation when Chrissy Mazzeo, a waitress at a local restaurant, frantically called 911 saying he grabbed her and attempted to sexually assault her in a parking garage. Gibbons was never charged with a crime and Mazzeo says she was intimidated into keeping quiet.
Gibbons, who denies Mazzeo’s claims, said he walked the woman out of the restaurant, where they had met over drinks, and was close enough to catch her as she stumbled. He said he acted as "an officer and a gentleman."
Strangely, when security tapes surfaced two weeks after the incident, there was no footage of the two.
So, no, he didn’t assault her, he saved her from falling, but, besides, he wasn’t even there?
Who says chivalry is dead?
Comments (21)
marcus wrote on May 18, 2007 12:16 PM:Gibbons' latest job #s:
30% Poor
35% Only fair
35% Pretty Good
1% Excellent
13% Undecided
profmarcus wrote on May 18, 2007 12:21 PM:ah, MY gov... and, to think, he used to be MY congressman... too bad las vegas is the only spot of blue in an otherwise red state... maybe jim can make a dent in that...
http://takeitpersonally.blogspot.com/
Fozzetti wrote on May 18, 2007 12:28 PM:Don't forget the Amazing Disappearing (Illegal) Nanny!
Michele wrote on May 18, 2007 1:20 PM:This is the guy who claimed a "vast Left-wing smear campaign" was responsible for a negative article about his business dealings in the Wall Street Journal (and we all know how the WSJ caters to liberals). Delusional a little? Does he originally come from Roswell? Are aliens allowed to hold public office?
The guy's an embarrassment. Nevadan's--get him gone.
Mrs Panstreppon wrote on May 18, 2007 1:53 PM:"Gibbons runs a PR firm, Politek Inc.,..."
Politek, Inc. was registered with the Nevada SOS on 8/5/03 and dissolved on 8/1/05. Besides Dawn Gibbons, the other director was Elizabeth Marler of Reno.
To refer to Education First as only a non-profit is misleading. "The Education First Initiative, Inc." was registered with the Nevada SOS on 7/8/04 and was active as of 8/06.
The 2004 and 2005 Education First Initiative 990s are available online at the Foundation Center's 990 Finder (link below) - EIN# 200215267.
The ostensible mission of Education First, a 501(c)(4), is to obtain signatures for and educate the public about a ballot inititiative to 'require Nevada's government to fund education prior to other operating expenses.'
On the NV corporate registration, Jim Denton is listed as president and treasurer and Scott Craigie is a director and treasurer of Education First.
In the 2004 Education First 990, Dawn Gibbons is listed as president and Scott Craigie as director. The 2005 990 lists Jim Denton and Scott Craigie as officers.
The books are in care of Elizabeth Marler, CPA, at 6140 Plumas St, Reno. The accounting firm who prepared the 990s is Kafoury, Armstrong & Co at 6140 Plumas St so I am assuming that Ms. Marler works for Kafour, Armstrong.
I think there is an accounting error in the 2004 990 which may have resulted in certain contributions to go unreported as required by the IRS.
Total contributions reported in 2004 are $125,923 of which $19,337 is non-cash (I wonder who got the big $19k non-cash deduction?)
Total expenses in 2004 were $217,376.
The shortfall in cash was covered by an opening balance in cash of $100,434.
The problem is that 2004 was the first year that Education First was registered to operate so the $100,434 should have been reported as a contribution.
As can be seen on Schedule B of the 2004 Education First 990, it appears that Education First was required to report individual contributors by name for contributions $5k or greater:
Placer Dome
Denver Colorado
$5K
Howard Hughes Properties
Las Vegas NV
$5k
Fremont Trust
Reno NV
$5k
Republic Services
Las Vegas NV
$5k
Silverstate Leadership Fund
Reno NV
$5k
Venetian Casino Resorts LLC
Las Vegas NV
$10k
(Note that the $19k non-cash contribution is not listed.)
The question is whether the individual(s) who contributed $100k listed as an "opening balance" in the 2004 900 are included on Schedule B. If not, I think that is an error and possibly an intentional one.
According to Paul, Education First paid $18k to Politek in 2004. Education First's total consulting fees were $26k.
The biggest expense, $138k, went to National Voter Outreach. NVO is a Nevada company that, IIRC, also conducted a voter registration initiative for Tom Golisano's NYS governor campaign. I had some questions about the company which I don't remember off the top of my head.
2005 contributions dropped to $17k and the EducationFirstNevada.com website does not appear to be active although it is available in the internet archive.
How serious were the Gibbons about this ballot initiative? Was the effort to put the initiative on the ballot sincere or was this just campaign fluff to make Gibbons look good?
Allsburg wrote on May 18, 2007 2:31 PM:I WANT MORE PICTURES!
I hardly think these were the only two photos taken on this trip.
Ted Atkinson wrote on May 18, 2007 2:36 PM:Headline needs work. Implies that Gibbons is a friend to defense contractors and a friend to (wink wink) "a gentleman." Rowwr. You go, Gibby.
Steve5117 wrote on May 18, 2007 2:40 PM:Mrs. Panstreppon:
I wonder if the organizations and companies that spring up with ties to the GOP were provided with software designed for their endeavors or consulting services to set up their. It's not very hard to bury code that would send reports of their activity ($$$) to someone.
It not difficult to believe that Karl and Company would spy on his own people.
Praeminitus, Pramunitus
What?! wrote on May 18, 2007 2:42 PM:Forewarned, Forearmed
"Mrs Panstreppon" who are you? Nice!
CybScryb wrote on May 18, 2007 2:50 PM:Plumas, isnt' that Dawn's HQ address?
Marler was her partner in POLITEK, no?
$19,000 was casino chips?
I'd like to think we here in Nevada would be smart enough to recognize that when we send someone from Carson City to DC, it's generally to be rid of them. Electing a former inept congressman to be governor is just too much like cutting off one's nose to spite one's face.
But those of us in Clark County manage to split our vote just enough to let the rest of Nevada decide and now we're stuck with perhaps the stupidest excuse for a governor we've seen since some idiot down in Texas.
Oh...and the tapes that finally surfaced. They were from another parking garage. I'm sure there's a whole 'nother story in all that. Story being the security code for this post.
Jane wrote on May 18, 2007 3:13 PM:So did Education First get 138k worth of services from NVO or was this a way to make a disguised contribution to Golisano's registration campaign or some other campaign promoted through NVO?
Mrs Panstreppon wrote on May 18, 2007 4:24 PM:Jane, Golisano ran in 2002 and, as far as I know, has nothing to do with Education First.
I made a mistake in that contributions to Education First are not tax-deductible, according to the EducationFirstNevada.com website in the internet archive.
According to a version of the NVO website, DirectDemocracy.com, in the internet archive, the Education First was initiative was placed on the ballot but I don't know if it passed.
The archived version had a blurb about NVO not being the company involved in voter registraton fraud in Nevada:
"Attention!
Voter Registration Fraud Inquiry
10-13-04
Thank you for your inquiry regarding voter registration fraud.
National Voter Outreach is not the company referred to in news reports about voter registration fraud in Las Vegas. We did not conduct a voter registration drive in Nevada. The organization referred to in the article is Voter Outreach of America and we have no knowledge about them or their business practices.
We here at NVO are appalled by this activity and support the prosecution of this fraud to the fullest extent allowed by law.
Thank you for investigating the facts and allowing us to set the record straight.
Susan Johnson
President"
The current version of the NVO website is worth a visit. One of the articles on the website has to do with a complaint by NVO about being prevented from gathering signatures for a petition in St Louis in 5/06 (link below).
Anonymous wrote on May 18, 2007 5:01 PM:"I'd like to think we here in Nevada would be smart enough to recognize that when we send someone from Carson City to DC, it's generally to be rid of them."
That happens to be my long-held view as a lay political scientist: elect the most dangerous among us to the highest office befitting their degree of danger so one can better keep an eye on them -- and they are as far away as possible when their dangerousness becomes active.
But, no: I didn't vote for Bushit. I did see him coming, but realized one doesn't have a vote as concerns commissions to the more severe forms of incarceration. I suppose we should consider ourselves also protected by not being able to elect others to prison or straightjacket.
"Posted by: CybScryb
Date: May 18, 2007 02:50 PM"
SC = push. As in, push Bush into involuntary "office".
Steve5117 wrote on May 18, 2007 5:05 PM:Mrs. P ...Check out the web site design co. portfolio section.
“God is not unjust; he will not forget your work and the love you have shown him as you have helped his people and continue to help them.”
Hebrews 6:10
Their quote of the day almost sounds like a message to the faitful.
desmoulins wrote on May 18, 2007 5:16 PM:Dawn (his wife) is not in the photo.
Jane wrote on May 18, 2007 7:48 PM:I didn't mean to suggest that Golisano had anything to do with Education First. I was wondering whether payments by Education First to NVO were for work actually done on Education First's issues or whether the payments from Education were for an excessive amount to be applied to some other campaign by NVO. Golisano was used as an example because you stated he had had work done by NVO.
Since the Education First issue did reach the ballot it may have been on the up and up.
Mrs Panstreppon wrote on May 18, 2007 8:51 PM:After doing a little more digging, I wonder why The Education Intiative First, Inc. was formed.
According to the Las Vegas Review-Journal, the Nevada SOS announced on 6/23/04 that the total number of qualified signatures on the Education First petition was 64,193, thus meeting the minimum requirement of 51,337.
National Vote Outreach had collected all of the necessary signatures before The Education First Initiative, Inc. was registered as a non-profit corporation on 7/8/04. I doubt that NVO collected signatures without being paid at least some of its fee in advance. Where did the money come from?
The Education First Initiative, Inc. couldn't have had $100,434 in its bank account before 7/8/04 because it didn't exist until 7/8/04.
From what I have read, the Gibbons started the Education First petition drive in July 2003. If the Gibbons collected money on behalf of the Education First ballot initiative between 7/03 and 7/8/04, we don't know how much money was collected, how it was spent and what bank account the money was deposited in.
Somebody ought to ask the Gibbons about money contributed to support the Education First ballot initiative before 7/8/04 and how it was accounted for.
Steve5117 wrote on May 18, 2007 9:07 PM:Mrs Panstreppon,
I was speculating earlier about possible connection between different groups and possible software connection. I visited http://www.netcastersdesign.com/ and found that that had removed their client list, hmmm.
Well, between all the reading I've been doing and the effects of a touch of Mad Cow, I saw something somewhere and can't find it again.
The issue involved Rep Kevin McCarthy when he was a judge in 1997. Do you have any info on him from back then?
Ghost of Lefty wrote on May 18, 2007 11:18 PM:Gibbons is so damned dumb that he thinks Cock Robin is a felony. We have him shoved up our collective Nevada fundament courtesy of the Las Vegas REVIEW-JOURNAL and a few rich casino executives, anxious to keep the "cut" of their take that they pay to the state of Nevada at the lowest level of any state where gaming is lawful.
Even Bob Beers, who is only episodically dumber than a bag of hammers (as opposed to Gibbons, who is just f'ing stupid 24/7) could have done a better job of...well, ANYTHING than Governor Empty Flight Suit.
I have been calling Gibbons "Duke Cunningham Lite" since 2005. And I don't think the really smelly shit has yet met the fan blades.
cvlrjpsz jmsodza wrote on June 6, 2007 5:12 AM:xawpgdumh pduyvmxjg avludyc lorhucte pboq khcmaqivx rujqdko
cvlrjpsz jmsodza wrote on June 6, 2007 5:12 AM:xawpgdumh pduyvmxjg avludyc lorhucte pboq khcmaqivx rujqdko