A former Republican speaker of Ohio\u2019s House of Representatives\u2002was convicted by a federal jury Thursday on racketeering conspiracy charges in connection with a $60 million bribery scheme.
Former Speaker Larry Householder and former Ohio Republican Party Chair Mathew Borges, who was also convicted Thursday, could face up to 20 years in prison for orchestrating the scheme to accept bribes in exchange for ensuring the passage of a billion-dollar bailout for a nuclear energy company.
\u201cAs presented by the trial team, Larry Householder illegally sold the statehouse, and thus he ultimately betrayed the great people of Ohio he was elected to serve,\u201d said US Attorney Kenneth Parker.
Steven Bradley, an attorney for Householder, expressed disappointment with the verdict.
\u201cWe will take some time to discuss and evaluate our legal options moving forward and will most certainly pursue an appeal,\u201d he said. \u201cLarry is looking forward to going home and spending time with his family after what has been an exhausting seven week trial.\u201d
CNN reached out to an attorney for Borges for comment.
The release did not explicitly identify the nuclear energy company involved in the scheme but noted that utility company FirstEnergy Corp. previously agreed to pay a $230 million penalty for \u201cconspiring to bribe public officials and others\u201d as part of a deferred prosecution settlement.
Jennifer Young, a manager for external communications at FirstEnergy Corp., told CNN that \u201cwhile it would be inappropriate to comment on the verdict, FirstEnergy has taken decisive actions over the past several years to strengthen our leadership team and ensure a culture of strong ethics, integrity and accountability across the company.\u201d
Jeffrey Longstreth, Householder\u2019s longtime campaign and political strategist, and Juan Cespedes, a lobbyist, previously pleaded guilty to their roles in the racketeering conspiracy.
Following the news of Householder\u2019s conviction, Ohio\u2019s Attorney General Dave Yost announced Friday that the state had filed a request to resume its civil racketeering suit against FirstEnergy Corp., which had been paused during the criminal proceedings
\u201cOther wrongdoers in this scandal \u2013 especially and including the First Energy executives who funded the corrupt Householder Enterprise \u2013 cannot be permitted to escape scot-free,\u201d Yost said in a statement.
The convictions, along with FirstEnergy Corp.\u2019s deferred prosecution agreement and its settlement of multiple civil issues, justified lifting the stay, Yost argued in a filing in Franklin County\u2019s Court of Common Pleas.
\u201cCriminal justice has been had. Civil justice for the State of Ohio should commence,\u201d Yost said in the filing.
Bailout worth $1 billion
The scheme centered on House Bill 6, a $1 billion dollar bailout that saved two nuclear plants operated by FirstEnergy Corp.
In March 2017, FirstEnergy began making quarterly $250,000 payments to Householder\u2019s tax-exempt social welfare account named Generation Now, US attorneys in Ohio\u2019s southern district laid out in their case.
Householder\u2019s team then used that money to support HB 6\u2019s passage and stop a ballot effort to overturn the law, the implementation of which has since been blocked.
Millions of those dollars went to Householder\u2019s bid for speaker, to other state House candidates likely to support him and to his team\u2019s own pockets.
Householder spent over $500,000 of those funds to \u201cpay off his credit card balances, repair his Florida home and settle a business lawsuit,\u201d according to federal prosecutors.
Borges used about $366,000 for his own benefit and used another $15,000 to bribe an Ohio Republican operative for information on the number of signatures collected on the ballot referendum opposing HB 6, the news release said.
Householder and his associates were arrested and charged with racketeering conspiracy in July 2020.<\/p>\n\n\n\n