San Diego – Rep. Randy “Duke” Cunningham, an eight- term congressman and former Vietnam War fighter-pilot ace, pleaded guilty to graft and tearfully resigned Monday, admitting he took $2.4 million in bribes, mostly from defense contractors to steer business their way.
“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.”
He 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.
Investigators said Cunningham, a member of a House Appropriations subcommittee that controls defense money, secured contracts worth tens of millions of dollars for those who paid him off.
Cunningham 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.
The 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.
Cunningham’s plea comes amid a series of GOP scandals: Rep. Tom DeLay of Texas stepped down as majority leader after he was indicted in a campaign finance case; regulators are looking at a stock sale by Senate Majority Leader Bill Frist; and Vice President Dick Cheney’s chief of staff was indicted in a CIA leak case.
Cunningham was known on Capitol Hill for his interest in defense issues and his occasional outbursts.
In court documents, prosecutors said Cunningham admitted receiving at least $2.4 million in bribes paid in a variety of forms, including checks totaling more than $1 million, cash, antiques, rugs, furniture, yacht club fees and vacations.
Among 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.
Cunningham 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.
The 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.
In addition to buying Cunningham’s home at an inflated price, Wade let him live rent-free on a yacht in Washington, D.C.
Wade’s company, MZM Inc., also donated generously to Cunningham’s campaigns.
Around the same time, MZM was winning defense contracts.
