You are hereMark Begich should be held accountable for cooking books
Mark Begich should be held accountable for cooking books
By Dan Fagan
Publisher
The Alaska Standard
Assemblyman Matt Claman has said he didn’t see anything to suggest that former Anchorage Mayor Mark Begich was hiding something.
Claman was responding to the city attorney’s report looking into whether Begich withheld key information from the Assembly before the body approved long-term union contracts.
Does this mean Claman voted to add $200 million to the city’s budget by approving contracts knowing full well we could not afford them?
Either Claman and his fellow Socialist Six members were grossly irresponsible with taxpayer money or Begich mislead them about the state of the city’s finances.
The recently released city attorney report clearly documents how Mr. Begich withheld important information. At least three members of the Socialist Six confirmed to me Begich withheld from them the e-mail from his CFO predicting huge deficits just before they voted for the contracts. But the newly released report shows the Begich deception went even farther.
The report shows Mr. Begich was so deceptive, even a member of his own staff rebelled.
A city employee described by the report as an assistant controller refused to reverse a journal entry designed to cosmetically improve the books. City Attorney Dennis Wheeler says the assistant controller told him she objected to reversing a journal entry because it would paint a false picture of city finances. The assistant controller insisted the administration go to the assembly for more money as required by law instead of cosmetically changing the books. She was overruled.
The reversal of the journal entry was crucial because it masked Begich’s dipping into the city’s savings account or fund balance as it is called, using 2009 money to pay for 2008 expenses. This of course presented a big problem for the 2009 budget. Assembly member Dan Coffey called the move a clear cooking of the books.
Keep in mind Begich has refused to be interviewed by the city attorney and only agreed to answer questions in writing. And yet astonishingly, Begich had the audacity to refuse to answer some of the key questions submitted.
The city attorney asks Begich the following,
“Did you speak to Weddleton (his former CFO) about the risk factors on or after December 9 and if so, when and what did you say?”
The city attorney wanted to know how Begich answered his CFO when she asked him if he wanted her to cosmetically change the books and what to do about a potential $100 million deficit. Begich refused to say how he responded.
He also asked Begich,
“Did you discuss the risk factors with any other MOA officials on or after December 9 and if so, with whom and when?”
Begich ignored the question again. Begich’s refusal to answer the questions at the heart of this scandal speaks volumes as to his intent to deceive.
Begich claims the Assembly was fully aware of the city’s financial woes. He points to an Oct. 17 workshop when he reviewed the city's financial status with the Assembly.
But the report, which goes into great detail of what was said at the workshop, concludes something different. It reads,
“While CFO Weddleton and Mayor Begich have recently repeatedly referred to the October 17 work session as a critical meeting at which the Assembly received the bad news about municipal finances listed in the risk factors spreadsheet, a close examination of that work session does not support their assertion. “
The report clearly shows on at least 9 different occasions between Sept 26th and Dec. 6th 2008, the Begich team had the opportunity to reveal the city’s financial woes to the Assembly but did not. The report thus concludes Begich violated the city charter.
You’ll remember the e-mail uncovered showing CFO Sharon Weddleton asking Begich whether he wants her to cosmetically change the books. The report concludes Begich took Weddleton up on her offer.
It states,
“Although Mayor Begich did not take all of CFO Weddleton’s suggestions, (hiring and spending freeze) there is one notable exception. It appears that Mayor Begich did endorse, or may have endorsed, CFO Weddleton’s idea to “cosmetically” adjust department budgets through a reversal regarding PERS.”
Keep in mind there are former Enron executives in jail today for cooking books. At the very least Mr. Begich should have to answer under oath for what he has done.
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I understand that it may be difficult or impossible to recall Begich, but you can join us at recallbegich.ning.com if you want to post ideas and sound off. This man needs to pay for what he's done as Mayor and what he's doing as Senator!
What will the Assembly do, or not do, with the Municipal Attorney's report?
Oh look,, Claman doesn't see anything wrong with Begich's conduct. What a (corrupt) loser.
SOMEONE HAS TO HANG FOR THIS BESIDES THE TAX PAYERS!
was charged with. Then look at the players, change the mames. If Bill Allen was the go between of the oil companys and the legislature, that would be begich going between the unions and the assembly. To assure the union contracts. Start from there. mark had to control the bad news of the budget, why? This bad news would also affect his run for the senate. He had to give up his honor/integerity to get what he wanted. I would like to know with this information, why woud this not open the door to examine the rest of his dealings in the city? Is the FBI controled by the democrats? What does it take for the FBI to move? At the least I would like to know the threasehold that makes the FBI investigate? Please as begich would request, explain in writting the threasehold to investigate. We are the public that you serve.
When can we kick this crook out of the Senate? Does any of this stuff satisfy the recall statute? Why is there no lynch mob after Begich like there was with Stevens when he was in trouble?
Senator St. Mark of Begich and his henchperson Sharon Weddleton took actions that benefitted the few at the expense of the majority. It is sad that Begich and Weddleton are so oblivious to the needs of most Anchorageites. This was not the first heartless grab by Begich. When he used AWWU to quietly take money away from working people to benefit his bullying cronies he did it without conscience. Does anyone remember who was in charge at AWWU at the time? Just think what he and his pals in the Democrat party will do when they control your healthcare. A million cosmetic frauds won't fix it then.
cash cow! Remember the park bond for the muldoon &debarr property for 15 million that failed. Did he not ignore the vote of the public? Are we not looking in this budget $20,000 a month in intrest for that park? Is that park legal? I don't remember a debate at the city to approve a 12 million dollar loan for that park? Is it legal for the city owned utility to loan money? Can I borrow from AWWU? Was this loan approved by RCA? What if the city deciedes to defalt on the loan with AWWU? In fact if AWWU , my utility, has that kind of money why did we not have a CUT in our utility bill. AWWU seems to have so much money they can donate to charities. I want to see us defalt on that bill and get a property tax cut...and I want to sell that land for even bigger property tax cut... and I want to see that property back on the tax roles for the biggest property tax cut So there...FBI where are you?