Thursday, October 11, 2007

Rudy's Dirty Money


Rudy's Dirty Money

Bracewell & Giuliani presents a host of potential sore spots, on the left and the right. Operatives from rival GOP campaigns were quick to exploit the fact that the firm represented Citgo, the state oil company of Venezuela, one of the current bĂȘtes noires of the right wing. Bracewell helped Rupert Murdoch's News Corp. block "indecency" laws on television, thwarting a pet issue of Christian conservatives. The firm provided counsel to the defense fund of disgraced former House majority leader Tom DeLay--at the same time that it was lobbying DeLay and Congress to grant immunity to the makers of the toxic gasoline additive MTBE, which faces hundreds of lawsuits for contaminating drinking water. Clients abroad have included repressive regimes such as Saudi Arabia and Kazakhstan (Bracewell has two offices representing American oil companies in Kazakhstan; Rudy's Bracewell supporters recently held a campaign fundraiser there). A few years ago its biggest client was Enron.

Giuliani has accepted more money from the energy industry--$477,208 through the first half of 2007--than any other presidential candidate. These ties likely won't hurt him with GOP primary voters, who welcomed Bush and Cheney with open arms. But it could arouse the suspicions of moderate and independent voters in a general election, many of whom don't look forward to the idea of Halliburton clones dictating policy in the next White House.

Texas Loves Rudy

After joining Bracewell, Giuliani became a frequent visitor to Texas. He's raised nearly $4 million in the state, more than any other Republican, and as of August recruited thirty-seven of George W. Bush's Pioneers and Rangers (those who raised at least $100,000 and $200,000, respectively, for the Bush campaigns), second only to John McCain. Rudy became acquainted with Texas politics when he launched his aborted senatorial run against Hillary Clinton in 2000. Roy Bailey, a Dallas insurance mogul and former finance chair of the Texas Republican Party, helped him raise money for that race. They struck up a close friendship, and after 9/11 Giuliani told The American Lawyer magazine he "turned over" his postmayoral planning to Bailey, who became managing director of Giuliani Partners. At the 2004 Republican National Convention in New York City, where Rudy's invocation of 9/11 took center stage, Bailey met Pat Oxford, managing partner of Bracewell & Patterson. Over coffee the next day, Bailey floated the idea of Giuliani joining Bracewell. They clicked, and soon the deal was done.

Oxford himself is a player in Texas Republican politics. He met George W. Bush in the 1970s, worked on his campaigns and became a Pioneer in 2000 for Bush/Cheney. Through Texas Senator Kay Bailey Hutchison, a law school classmate, Oxford met Karl Rove; they became "fast friends," Oxford told The American Lawyer. In 2000 Oxford formed the Mighty Texas Strike Force, dispatching volunteers from Texas to battleground states. During the 2000 recount in Florida, Oxford said he "ran Broward County" and managed the Bush/Cheney legal defense team, talking with Bush frequently in Texas. In 2004 his twenty-five-person "strike force" in Ohio became a source of contention when hotel workers in Columbus, according to a report compiled by the Democratic staff of the House Judiciary Committee, claimed that the strike team used "payphones to make intimidating calls to likely voters, targeting people recently in the prison system" and alleging that the FBI would send them back to jail if they voted. - ( complete article at link)