Witness: Veon handed out bonuses even after election defeat
Written by Campaign News on February 02, 2010, 06:53 PM
HARRISBURG — Despite losing his re-election bid in November 2006, former House Democratic Whip Mike Veon continued to approve staff bonuses for campaign work before leaving office, the former top House Democratic staffer testified today.
Michael Manzo, ex-chief of staff for former House Minority Leader Bill DeWeese, said Veon approved the bonuses from 2004-06 and is convinced DeWeese knew about the program, though he testified he never had "explicitly" discussed it with DeWeese.

"I could always be much more direct with Mike," Manzo said. That stemmed, in part, from the fact DeWeese "was not a hands-on guy," Manzo testified.

Veon, 53, who represented his Beaver County district for 20 years, is accused of overseeing a secret $1.4 million bonus system paid for by taxpayers to motivate staffers to work on campaigns.

Three of Veon's former aides also are charged in the case being prosecuted by Attorney General Tom Corbett's office — Annamarie Peretta-Rosepink, 47, a former district office manager in Beaver Falls; Brett Cott, 37, a former policy aide in Harrisburg; and Stephen Keefer, 39, the ex-director of House Democrats' information technology department.

All are charged with multiple felonies of theft, conspiracy and conflict of interest.

Manzo, the prosecution's star witness, said he and former administrator Scott Brubaker recommended bonus amounts and got Veon's approval. Brubaker then informed DeWeese, Manzo said.

DeWeese, charged with crimes in a separate case, denies knowledge of bonuses for campaign work.

After Republican Jim Marshall defeated Veon in the general election, Veon approved bonuses for campaign work before leaving office Nov. 30, Manzo said.

"Mike set the amounts for his staff. It was my suggestion for everybody else," said Manzo, who struck a plea agreement and is cooperating with prosecutors.

Prosecutors reduced charges against Manzo and his wife Rachel, who also was charged and entered a guilty plea.

Commonwealth witnesses with plea agreements who will testify against the defendants are "liars" who are in a "cover your butt mode," said attorney Bryan Walk, who is representing Cott.

Prosecutors began presenting e-mails as evidence intended to show Veon approved the bonuses.

The defense is focused on showing DeWeese as the higher-ranking leader behind the bonuses.

The attorney for Peretta-Rosepink admitted that campaign activity occurred in Veon's Beaver Falls office but said his client had no authority to approve bonuses.

"I understand there was campaigning in the Beaver County office — I can't deny that," said Michael Palermo, a Carlisle attorney. "I assure you she didn't have the authority to award anybody a bonus."

Palermo said Peretta-Rosepink worked 60 to 80 hours a week. "Nobody is going to say the taxpayers of Pennsylvania didn't get 120 percent from Annamarie Peretta-Rosepink," Palermo said.

Walk said there are no e-mails showing Cott authorized bonuses.

"Politics, legislating and campaigning are like a big ball of yarn," Walk said.

Cott spearheaded an effort that knocked Green Party candidate Carl Romanelli off the ballot in the 2006 U.S. Senate race, an effort Democrats believed would help Sen. Robert Casey. Prosecutors say it was paid for with tax money.

"Brett did exactly what he was asked to do," Walk said.

"Tom Corbett has a stake in this case," Walk said, starting to refer to Corbett's bid for the Republican nomination for governor, before Judge Richard Lewis interrupted him.

"Let's move on," Lewis said.

"I don't need to tell you why they need a conviction," Walk said. "You know why."

Veon's lawyers have said the bonus investigation is politically motivated by Corbett's effort to increase his standing with voters. Corbett said the case is based on a state grand jury's recommendation.

Veon was one of 12 Democrats charged in July 2008. Seven pleaded guilty this month.

A jury last month acquitted former Rep. Sean Ramaley of Baden, accused of holding a "ghost job" in Veon's office.

In November, 10 Republicans, including former House Speaker John Perzel of Philadelphia, were charged with diverting $10 million in tax money for sophisticated computer systems to give the GOP an edge in elections. Perzel said he is innocent.

Read Full Article Here:
http://www.pittsburghlive.com/x/pittsburghtrib/news/regional/s_665223.html

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