Allen: Veco did work, didn’t bill Stevens

Anchorage Daily News | October 1, 2008

By ERIKA BOLSTAD and RICHARD MAUER
Anchorage Daily News

(10/01/08 09:51:34)
WASHINGTON - Taking the stand for the second day, the former chief executive of the Alaska oil services company that renovated Sen. Ted Stevens’ home continued to testify about gifts and help he gave his longtime friend over the years.

Former Veco Corp. CEO Bill Allen, the star witness in the case against Stevens, was asked time and time again: Did Stevens pay for any of the work done by Veco? Did Stevens pay for the electrical work, the plumbing? Did he pay to move the generator? Did he pay for the lower level deck? How about the electrical tape system that melted ice off the roof?

“Who did that work?” asked prosecutor Joe Bottini.

“Veco electricians,” Allen said.

“Who paid for the materials?” Bottini asked.

“Veco,” Allen said.

Bottini asked whether Stevens ever sought a bill for the work that had been done in 2002. Allen hesitated for a few moments.

“I don’t think so,” he said slowly.

Stevens, 84, faces seven felony counts of making false statements on his financial disclosure forms. The Alaska Republican is accused of hiding more than $250,000 of gifts from Allen and others, chiefly home improvements that helped double his home in size.

Bottini asked Allen to read portions of a note Stevens sent him in October 2002, thanking Allen for his work on “the chalet.” In the note, Stevens told him not to be “P.O.’d,” but said that he needed to have a conversation with one of Stevens’ neighbors in Girdwood, Bob Persons, a close friend of both who helped oversee the renovation of the senator’s home.

“You owe me a bill,” the letter from Stevens said. “Remember Torricelli, my friend. Friendship is one thing, compliance with the ethics rules entirely different.”

Allen said he was unaware at the time what Stevens meant by “Torricelli.” But Stevens was apparently referring to former Sen. Robert Torricelli, D-N.J., who in 2002 was investigated by the Justice Department for accepting improper gifts from a donor. The investigation closed, but the Senate Ethics Committee reviewed the investigative files and issued a public letter of admonishment to Torricelli, who then abandoned a re-election bid and left the Senate.

Allen said he didn’t send Stevens a bill or invoice after the note, but as promised in the letter, he did have a conversation with Persons. Allen testified that Persons told him, “Don’t worry about getting a bill; Ted’s just covering his ass.”

Then, realizing the language might not be appropriate for the courtroom, Allen said, “Maybe I shouldn’t say that.”