Posted on: Sunday, January 2, 2005
Campaign finance probe taints legacy
By Johnny Brannon
Advertiser Staff Writer
The unprecedented probe of illegal campaign donations that rocked Honolulu's political scene over the past three years helped dramatically alter the course of state history.
The ensuing scandal destroyed Mayor Jeremy Harris' campaign for governor, ripped the lid off a decades-old system of tainted donations that had mainly benefited Democrats, and helped pave the way for the election of Hawai'i's first Republican governor in 40 years.
Harris' political future began to crumble Jan. 15, 2002, when the state Campaign Spending Commission publicly requested that prosecutors investigate fund-raising by his campaign committee.
Harris' popularity took a nosedive and his run for governor collapsed less than six months later, leaving the Democratic Party scrambling to strengthen backup candidate Mazie Hirono, who lost to Republican Linda Lingle.
Harris was never directly implicated in the ongoing investigation, nor was anyone who ran his campaign or oversaw its money.
But the probe shined a white-hot floodlight on a widespread practice through which government contractors and associates circumvented state limits on political donations by funneling money through employees, friends and relatives.
Dozens of donors were fined after pleading guilty or no contest to criminal charges stemming from the investigation, and a few were sentenced to brief jail terms. Many also paid fines to settle civil investigations by the state.
Harris insists he knew nothing about the hundreds of illegal donations his campaign received. No evidence has emerged publicly to suggest otherwise.
"I don't think there was any way for our people to know that somebody was giving too much money through his brother-in-law from Waipahu," he said. "There was no way for us to know that there was anything wrong. If there was some way we could have known there was a problem, obviously we would never have accepted contributions in excess of what was allowed by law."
Campaign Spending Commission director Robert Watada said he found it "inconceivable" that Harris would not know of such a large amount of tainted money. He said investigators had documented more than $1 million in illegal contributions to Harris.
"I just don't believe a word that Mr. Harris says," Watada said.
Harris' political mentor and top campaign fund-raiser, attorney Peter Char, died in early 2003 with Harris by his bedside. Char, 59, had medical problems, but Harris said he believes stress from the investigation killed him.
Char had been subpoenaed to testify before a grand jury, and had said in an interview that publicity about the probe was damaging his law practice.
Char "was an attorney with absolutely unquestionable integrity," Harris said. "Peter Char was absolutely the most admirable, honest person that you could ever put into a position such as that."
Watada's investigators documented hundreds of illegal campaign donations that went to many other politicians, including Hirono and former Gov. Ben Cayetano. But criminal prosecution has focused almost exclusively on donations to Harris, whose campaign received the bulk of the money.
"I think it's largely been a political attack on me, and I don't think it's been a fair one," Harris said. "But I realize that politics is rough-and-tumble in Hawai'i, and cutthroat, and I understand that."
City Prosecutor Peter Carlisle declined to comment on details of the probe, but said it will continue. He has said in the past that the Harris donations drew so much scrutiny because the amount of money involved was so significant, and because the Campaign Spending Commission requested that prosecutors investigate Harris' fund-raising.
There's a long history of illegal campaign contributions in Honolulu, but strict attempts at law enforcement are more recent, Harris' supporters say.
"The sea was changing," said Harris campaign attorney Chris Parsons. "He was just there when it occurred."
Reach Johnny Brannon at 525-8070 or jbrannon@honoluluadvertiser.com.
