A years-long FBI sting into potential corruption in Harrisburg netted an arrest of one lobbyist, but also skimmed across — without implicating — state Senate President Pro Tempore Joe Scarnati.
The FBI’s sting came to light earlier this year after an investigation by the “liberal Philadelphia newspaper” the Philadelphia Inquirer, Scarnati said.
Calling it an ill-fated election-year challenge, the Republican from Brockway said bringing up his tangential involvement in the six-year-old investigation now is just an attempt to attack his reputation.
“When you are a leader in the legislative body, you are a target,” Scarnati told The Era on Tuesday. “I’m proud of how I operate.
“I have strong ethical beliefs,” he said, growing heated. “I’ve handled everything as I believe I should have and my reputation is one of ethics. I demand to have a reputation of ethics.”
The Philadelphia paper reported on an elaborate FBI sting from 2009 to 2011 that included a fake recycling company hiring a power broker to spend lavishly on lobbyists and campaign contributions to push the company’s agenda in Harrisburg.
The lobbying firm of Long Nyquist was hired in June 2009 to advocate for the fake company. The firm is run by Michael S. Long and Todd R. Nyquist. And that particular firm had significant ties to Scarnati.
Long had been majority staff administrator to the president pro tempore of the state Senate, and helped current President Pro Tempore Scarnati organize his office. Nyquist was the long-time chief of staff, political advisor and, according to the firm’s website, “alter ego” of Scarnati.
The firm’s connections to the Republican from Brockway don’t stop there. Vice president of government relations for the firm is Megan Crompton, wife of Drew Crompton, Scarnati’s current chief of staff and counsel. Long’s wife Amy and Nyquist’s wife Noel are both with the firm as well. Also listed as an associate is Tim Nyquist, twin brother of Todd Nyquist, who also worked for Scarnati.
In June 2010, Scarnati received a $5,000 campaign contribution from an FBI agent posing as a top executive of the fake company. Long Nyquist’s political action committee gave $17,500 in April 2011.
In June 2010, legislation to help the fake company was drafted. The bill, which was never introduced in the House, passed unanimously through the Senate, co-sponsored by Scarnati. When the sting came to light, Scarnati said he had no knowledge of it, and said he would donate the $5,000 to charity. Long denied knowing the company was fake, or that the company was an FBI front.
“This was almost six years ago,” Scarnati said. “I have never been contacted by any law enforcement agency.”
Without going into detail, the senator said the Inquirer’s stories were not completely true. “There were a lot of inaccuracies in what they wrote.”
The one lobbyist arrested in the sting was John Estey, former aide to Gov. Ed Rendell. Estey pleaded guilty last month to a federal wire fraud charge for scamming the FBI out of $13,000 — money given to him by the fake company executive to pay out in exchange for influence in the state Legislature.
Numerous news sources indicate no one else has been charged or implicated in relation to the sting. No accusations of wrongdoing were made against Scarnati or against Long Nyquist.
“The story here is I passed the litmus test of the FBI,” Scarnati said. “I did. My staff did. My campaign did.
“I don’t know what my opponents want to hear,” he said.
In fact, he said, there’s nothing in his record in the Legislature that gives him pause ethically. Years ago, he accepted a trip from Consol Energy to see the Pittsburgh Steelers play in the Super Bowl. And he reported it as required.
At the time, Scarnati was a key player in the natural gas drilling debate in the state. Some called it a bribe. However, Scarnati repaid the cost of the gift.
“I have always followed the law and the ethics (requirements),” he said.
Scarnati said his opponents seem to be taking angry swipes at him, and added, “It’s disturbing to me that I have political opponents who raise questions of ethics.
“They can’t run against me on my record,” he said. “They’re not going to question my ethics. They’d better be careful.”