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46A-PG-77123 Open Source Documents Mentioning Murtha

Type Serial Description ELECTRONIC PRINT ARTICLE FROM WALL INSERT STREET JOURNAL RE SEARCH EMAIL 41.

56MURTHA'S BIG-GAMELINK FEDERAL RAID ON PLANT HAS RESIDENTS N EWSPAPE 57 WORRIED AN ABC NEWS ARTICLE BY EMMA INSERT 61 SCHWARTZ AND JUSTIN ROOD FIRMS TIED TO MURTHA HAVE TROUBLED 4N EWSPAPE 92 PAST TWO FORMERor-we DEALERSTIED TO NEWSPAPE 100 MURTHA-BACKED FIRM KUCHERA HAUNTED BY '82DRUG NEWSPAPE 101 CONVICITON MURTHA'S TIESTO COMPANY OWNED BY NE92NSPAPE _1 02CONVICTED DRUGDEALER QUES CONTRACTOR TIED TO MURTHA PLEADS NE92NSPAPE 105 GUILTY

N EWSPAPE

MURTHA ALLY HELD BY FEDS IN KICKBACK EX-COLONELS SENTENCED IN MILITARY OTHER 115 CONTRACT CASE DEFENSE CONTRACTOR SUSPENDED OVER NEWSPAPE 119 KICKBACKS CONGRESSIONAL ETHICS OFFICE NEWSPAPE 121vRECOMMENDS NO SANCTIONS AGAINST FW: Searchesyesterday WallStreet Journal Page1 of 2

FW: Searches yesterday Wail Street Journal h Sent: Monday,January26,zoos zmzsm be |,7¢ Tm l

. -unrv~1u--<..r-4.-n-..-t-i-uq"; _ --.~_-1»" ._____.__.e=..*.,-.1 __._e.=--_;_ _+_.-.,q- >'__;- A 1 , This artide appeared inthe WSJ lat Friday, JanuaryZ3, 2009

Federal agentsraided two small Pennsylvaniadefense contractorsthat: were given millionsof dollars in federal funding byRep. JohnMurtha, chairmanof thedefense appropriationscommittee andone ofthe mod powerful men in Congress.

Kucheralndustriesand Kudrera DeienseSysternsshutdownfcrthedayaiiertheraid hyofcersfromthe Defense CriminalInvestigative Service,the FederalBureau oiInvestigation andan Internal Revenue Service crimind unit.

In a statzementThursday night,the PittsburghU.S. attomeyconnned that offices inWindber, Johnstownand Summerhiil wereraided as part of an ongoinginvestigation. A second federal ofllcial said that ties to lawmakers wouldbeexamined as partoftheprobe.

A spokesmanfor Mr.Murtha, MatthewMazonkey, said,"We know nothing more thanwhat we'veread in the press today,referring to an initial report on the Web site of the Tribune-Democatnewspaper inJohnstown. Messages iei'tlast night for Kucheraexecutives werentreturned. l I News, photosand backgroundon key players and issues In the Obama administration: rst 100daysfroml:heWSJ andacrossiheweb.

~ .I.na.i!9uratiQn The Economy

Foreign Affairs

Obama Photos| Inauguration.Photos

Pentagon auditorshave beenlooking atthe use of earmarks,which are special-interest spendingitems directed boa spedccompanyby membersofOongress.An Oct.30, 2007, page-onestaory inTheWaliStreetJoumal identied Rep. Murtha asthe largest eamrarkerin the House.

Meanwhile,a senior Democratic lawmakeris pushingback onthe Obamaadministration's choice for the No. 2 Pentagon officialbecause ofpotential conictsof interest and recentlobbying work for defense contractor Raleon Co.

The new resistance comesa day after PresidentBarack Obamaunveiled toughlobbying rulesto curtail sudr

https://www.324mail.com/owa/?ae=Item&t=IPM.Notc&id==RgAAAABIb%2bZ583cXQJ£..*4 7 l/26/2009 FW: Searchesyesterday Wall Street Journal Page 2 of 2

conicts.

William J.Lynn, the nominee tobecome deputysecretary ofdefense, isa fonner Pentagon ofcial and Senate staffer. He was a registered lobbyist from2003 throughJune 2008while workingas a senior executive in Raytheons Washingtonofce.

Michigan DemocraticSen. CarlLevin, chairmanof the Senate Armed Services Committee, whichmust approve Mr. Lynn'sappointment, said Thursday that heneeded moreinformation abouthow theadministration planned to deal with his Raytheonties in light of the new lobbying rules.

The issuecame up lastweek at Mr. Lynn's conrmationhearing. Atthe hearing,he said he would follow the highest ethicalstandards. Mr.Lynn, 55 years old, couldn'treached for be comment Thursday.

A White House ofcial said Thursdaythat the administration willprovide Sen.Levin withwhatever waiver language hemay need. Raytheon declined to comment.

Yoc/1/ J. Dreazen cantbuted to this article.

Write to John R. Wilke at [email protected],August Coleat august.cole_@dowj_g_nes.cpmand T.W. Farnam at [email protected]

n today

https://www.324mail.com/owa/?ae=Item&t=IPM.Note&id=RgAAAABIb%2bZ583cXQJf... 1/26/2009 Murtha's Bi g-Game Link - WashingtonPM-t. Investigations Page 1 of3 w0sI|irtgt0np0$t.com Sign in | Register Now Prim IlltmlllillltillilEdition isub»-the /_ 92' Ego . UEQ

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Murtha's Big-Game Link CAT §G_QRI.ES POSTED: 04:16 PM ET, 01/26/2009 by Derek Kravitz TAGS:Congress, FBI, conicts, ethics D Post Investigations In-depth investigative new: and multimedia from The A big-game ranch in western , Washington Post. where longtime Rep. John Nlurtha D-Pa.! - Special Report! threw a lavish $100_000 fundraiser last year, - The Blog is now at the center of a federal investigation. GIReporters Notebook Last week, federal agents raided a Kuchera An insider! guide to industries facility in Murtha's district along with investigative news: reporters offer insights on their stories. the homes ofthe electronic tim1's founders, Bill and Ronald Kuchera. Authorities declined to release details of the investigation. D "rm Daily Read A dailylook at investigative But unnamed sources told_ the Tribune Democrat in Johnstown, Pa., that news of note across the the federal investigation is focused on the use of corporate money for Web. "unapproved purposes. namely a 161-acre private ranch run by Bill Kuchera. D Top Picks A weekly review olthe best Customers at the LBK Game Ranch in Summerhill, Pa., located about 80 in-depth and investigative reports from across the miles east of , pay a fee to hunt big game on the site; records nation. show the ranch rakes in about $150,000 per year. Kuchera bought the property in May 2006 for roughly $800,000. E Hot Documents Court filings, letters, audits The ranch has been used in recent years to entertain clients and, last and other documents of year, Murtha used the site for a $100,000 "high-end" fundraiser, interest. according to the Tribune Democrat. B |:>.c.Region Federal Elections Commission records show that Kuchera Industries Post coverage of investigative news in employees and their families contributed more than $60,000 to Murtha Maryland, Virginia and the over the part three election cycles, and congressional lobbying disclosure Distnct. forms show $140,000 in payments since 2001 from Kuchera to Ervin Technical Associates, whose chairman is Murtha ally and former Rep. B Washington Watchdogs A periodic look into ofilclal Joseph llll. NlcDade R-Pa.!. Ads by Google government investigations. In a 2006 Post article, Kuchera himself called Murtha supportive of everything you can think of around here, from roads and sewers to B Helpl What ls RS3? Steven Bankler CPA CrFA Find out how to follow Post defense contractors. But without Jack Murtha, there'd still be a Kuchera. He was the sole forensic accountant for US Senate 92Nhitewater Committee httpI//voices.washingtonpost.com/washinetonoostinvestilzations/2009/O1/murthas bie-Qame linl<.html>wnr.< l/77/7000 Murtha's lSBIlI!#i9 TryBig-Game OurNew Search Link - Washington ii® @MnitiQaimll$l.comPoe investigations i- Web : Results by G0i;8lQ l Seamh com Page 2 of 3 RS5reader. 'i Murtha is well known as a champion of pork-barrel spending in his Investigation §oftware HOT. COMMENIS Demos & Case Studies. Web-Based. Customizable Investigation district, which is made up of once-impoverished fomier steel towns. In Software ./' It is unbelievable 2007,he snagged $162 million in federal earmarks, the most of any WWWlFlV9Sl.iQ8i920lISySlBl'Yi.COm thatthese people House member he was named "Porker of the Year" by the watchdog W ant Fge §|jan1Mongy1 would jeopardize group, Citizens Against Government Waste!. "As the top Democrat on Get up to $50,000 Free Grant Money with this Govemmerit Grant theircareers over pennies. the House military spending subcommittee, he often delivers Democratic Kit! They all either have personal FreeGrantsFast com wealth or have jobs that pay votes to Republican leaders in a tacit exchange for earmarks for himself very well. Maybe one could and his allies," The Times noted. sympathize with a small businessman or farmer who Murtha's use of earmarks has come under attack in the past. In 1998, he employees dozens of people Flue PQ5T ikygsllggl oils QN_: and has to cut corners helped start Concurrent Technologies, a tax-exempt charity that has wherever possible to stay grown into a contracting powerhouse despite its lackluster results. The n Facebcok i_l Scribd _ Twitter competitive, but how sorry Post's Robert O'Harrow found. Between 2003 and 2007, Concurrent Friend-teed nss G Goods Fielder can one feel for someone received $226 million in earmarks from Murtha and other lawmakers. with big bucks who pinches pennies from the pay of one Murtha and Kuchera met in 2001, when a Murtha aide approached the or twoindividuals: at most they are saving a few defense contracting rm about a non-prot being started for disabled thousand a year. Penny workers. Kuchera joined the board ofthe non-prot, began employing wise. pound loolish. more disabled workers and hired Ervin Technical Associates as his - Posted by csintala79, 'Nenny issue Still Vexes lobbying rm. Candidates Murtha spokesman Matthew Mazonkey told UPI that the 19-term congressman's ofce "has a working relationship with most companies in BECQTEQ§.I§. our district. As tar as this case is concerned, we have not been contacted Gelthner Moves on New by any of the agencies involved." TARP Rules, Rove Ordered to Testify, Kuchera industries received $8.2 million in eamiarks requested by Revisiting D.C. Lead Levels Murtha last year. Mystery Behind the 5100 Florida Mansion Comments ! El Savelshare + Video: Blagolevich impeachment Trial Begins By Derek Kravltzl January 26, 2009;4:16 PM ET Murtha's Big-Game Llnk Previous: Ex-Wall Street Boss Offers $1.2 Million Refund For Sprucing Up Ex-Wall Street Boss His Office | Next:Video: Blagolevich lmpeachmentTrlal Begins Offers $1.2 Million Refund For Sprucing Up His Office Comments Please email us to report offensive comments. BOB WQQILVVABQ

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Notable investigative © 2009 Company projects from other news outlets. Ads by Google On the Web D Top Picks ii Dirt C Reneqade' Trader reveals secrets of making money with http://voices.washingtonpost.com/washingtonpostinvestigations/2009/0l/murthas big-game link.html?wnrs... 1/27/2009 .5-

Federal I../L? /¢'Z£77'E' - I raid on 1-=--=--~ I I_.=m-nu/' 3/" 5 I plant has 5 / /5 L I residents 4-6i /

F Worried I %-4%»-7 ¢ Documents seized- I-= 47/23 from company in SomersetCounty By day-'s end, agents were By Dennis B. Roddy gone and in the ensuing days PittsburghPost-Gazette even, the local grapevine has been devoid of a plausible theory WINDBER, Pa. - Federal for what prompted theiraid. . ' agents swarmed over the _ Much of the speculation cen- Kuchera Defense Systems plant, ters on the c0mpanys multi- taking trucks full of documents, million dollar federal defense disks full of computer records contracts, among the hundreds and names of employees, then of millions steered into I-this vanished, leaving this town of region by its powerful congress- 4,000confused, wondering and man, John P."Murtha, a Demo- a bit fearful. crat from_ neighboring John-.. This may turn out to be stown. Kuchera began as a mod- nothing and it may turn out to est, computenbased business in be something, said J. Ted Hol- 1985 and has since grown mto a lern, one of the businessmen major contractor that does workTI I who count brothers William on -weapon -guidance - systems and Ronald Kuchera as civic .iI and recently developedla bomb- I b6 assets men who staked every- searching robot for the defense I lb"/C thing in 1985 to create a high-, . I department: j _ _ _I I tech business that has grown The Kucheras have been I I into Windbers secondlargest supporters 2 "of the "~ congress- I employer. "man, with the family donat- I I Be it something or nothing, ingl roughly-I '$24.~000. over the i I this Somerset County town wor- past ve ¥B?92l5: an amount not*1 ries about the damage. unusual for .a. defense contrac- i The Jan. 22 raid shut down tor; Mr. Murtha has received far the plant for a day. In a place more from firmssuch as Grum- that saw unemployment top- man and Johnstown-based Con- gftt ping 20 percent in the 1980s in current Technologies Corp. I. the regions last big recession, Mr. Murthas office said it has when the local steel and mining not been contacted by.,&nY,i1Wee- industries collapsed, there was tigatiye agencies and .fnoted..tha_t a collective sigh of relief when 36 of the t1rnis. 37 defense con- I Kuchera reopened for business tracts were won on open bids; I the following morning. These are two of the; best Windber and Somerset men"-If can think I of," "said. one County certainly doesn't want Kuchera manager who escorted to lose - what is it, 300 jobs? a reporter from the property. - said Dan Miller, a local car Neither -I of I the: 1broth- salesman. ers responded = toiuinterview Agents from the FBI, IRS and requests, I .I, the Defense Criminal Investiga- I SEE KIKIIEIA. PAP-F R-'7 tive Service, rushed the plant I on the edge of this former coal I 7:15 ETJE 5 QI trg=H -I: town as Kuchera's 300 employ- I I ees showed up for work on a I 4 QHDVV |..i:.. UTE. L!-E <_: _.Zr7WBl'§ D»-H..- ._ Thursday morning. Agents also J - _---~ _¢...... I..._>-»; searched the brothers homes as I TUW ~'-Ti? __ ""*i.-v .-I-._..xI._..'JI- - 74 I- ;l'I92~ I - __ L=- 1-.:m-92n:iI=:._._. well as the LBK Ranch, a private ._... ¢Anl| F " '*._:-: hunting preserve owned by Wil7 i .: ...._ ___ liam Kuchera in Croyle, about -_..'UV__ ; I11: _-,- ;._..''_".__._. -. ._..I.'»'_"I'.._.. .__ .__>L TT;='=_-~; --_.... 20 milesaway from the plant. _ -_.I.-. - v1-: - -~ ----»w-- -~_.. _-___._,D__ii. __...___ __"92¢'_ _ r "" /uff 4.4261-Z7"Z M11: l yiawnzz. I l luuuu::LC.'a:u-:9 ==Z'=I"' . /- 3/- of L 5-/> 4-2, l ll-.: fills: /46 2- &

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Ucluna u. l9292.J924924]. vun at.--.92.92~ LBK Ranch. aprivate hunting preserve owned by William Kuchera in CroyleTownship, about 20 miles away from the Kuchera Defense Systems plant at Windber. Defense contractorraided by federal agents

Kl.I¢llIIl, FROM PAGE B-l glimpse they had of the home That'sfishy the part of it all.T heyput those William Kuchera remodeled The Kucheras, who both and expanded on the site of the reside just over the border in signs up.Thosesigns saygovernment test ranch was an aerial shot taken adjoining Cambria County, by a television news helicopter have helped spur local busi- facility." the day of the raid. nesses large and small. Mimos Norman Long, whoruns a farm equipment The LBK Ranch was the restaurant regularly sees a repair shop down the road from LBK scene of a political fundraiser ilow of Kuchera employees on for Mr. Murtha in August. lunch break. Dennis McGlynn, an attor- Likewise, Bob Rovder, a ney for the Kucheras, said the | deliveryman for a Chinese While Kuchera Industries fence dotted with signs read- brothers are unaware of any l restaurant in neighboring and related Kuchera Defense ing No Trespassing U.S. discrepancies in their books Richland, said the plant is a Systems were well-known to Govt. Test Facility." and had no idea what the I regular stop for him on Tues- the locals, the LBK Ranch, Neighbors were at a loss to authorities are looking for. days. named for Bill Kuchera and explain those signs. Kuchera Defense Systems "It houses a lot of jobs, he his wife, Lena, in Cambria Thats the fishy part of it Inc. and Kuchera Industries said. "It was good for $40, $50 County came as a surprise to all. They put those signs up. Inc. would like to assure its i in food orders. I can't thinkof many. Those signs say government employees, customers and the i anything bigger in Windber." "I didn'tknow about it until test facility," said Norman community that they are fully In fact, the local hospital, I read about it in the paper," Long, who runs a farm equip- operating and are fulfilling once a tiny affair that verged said Mr. Hollern. I had no ment repair shop down the all of their contractual obliga- on extinction, has become a knowledge something like road from LBK. tions." Mr. McGlynn said in a center for research as well as that existed." Mr. Long said he used to statement released after the the Joyce Murtha Breast Care The ranch originally was hunt on the same tract when raids. in addition, the compa- Center, a federal - set up on 161 acres of wood- it was owned by John Costello, nies will continue to cooperate backed facility named for the land as a profit-making game a local businessman who sold with the government. congressrnarfs wife. The med- preserve where well-heeled it to William Kuchera several ical complex employs roughly visitors could pay to hunt and years ago for about $800,000. Dennis B. Roddy can be 450 people, according to Mr. shoot trophy game. Both Norman Long and reached at 412-263-1965 ordr0d- Hollern. lt is ringed by a high, green his son, Ray, said the first dy@p0st-gazettacom. l l £2115 57:25G i;3I- .1"-"___" "" /92 - :-i'.UV92'u'iz..Ti: THE FIFE IZTRED:'_:r:::: 27:: > b6 - mow .;. » 1'1zn Y fr? '.~.=2-|:-9292-:>:e_--;- b7C P_..-Hui §,f -: .._.. ___ tr: The SIOC Sentinel Page 25 of 38

FBI Raided Lobbying Firm Connected To Murtha Feds NarrowingIn On Companies WithTies To Congressman

ABC News By Emma Schwartz andJustin Rood February 9,2009 WASHINGTON, DC -- The Q1 raided the ofces of a defense lobbyingrm with close ties to Democratic Rep.John Murtha Penn.!, sourcestell ABC News. The 1 searched theVirginia headquartersof the PMA Groupin November, according tothe sources, who spokeon thecondition ofanonymity. PMAwas fotmdedby formerMurtha aidePaul Magliochetti and specializesin winningearmarked taxpayerftmds forits clients.Good governmentgroups havelong criticized Murthascozy relationshipwith a handful of lobbyists anddefense rms,ties thatsee millions of dollars in governmentspending goout from Murthas ofce, and hundredsof thousandsin campaign donations comein. Murtha has saidhis earmarkinghas helpedrevive his economically depressed district. PMA is the second companywith closeties to Murtha to be raidedby federalagents recently. In January,agents fromthe Fl], the IRS and theDefense CriminalInvestigative Servicesearched the ofce of Kuchera Industriesand KucheraDefense Systems,as well as thehomes ofthe fu'ms'founders. The companiesreportedly havereceived over$100 million in earmarks, thanks toMurtha's efforts. Investigators havenot commentedon their interest inthe companies,and noofcial has suggested Murtha wasinvolved in any suspectedwrongdoing bythe companies.While it is unclearwhether Murtha is a target of the investigations, theheightened scrutinyof someof his closest donorsand allies signals thatthe Fedsmay beinching closerto the 35-year-member ofCongress, whochairs thepowerful Defense Appropriationssubcormnittee. "TheF_Bl isshowing alot of interestin" a lot of peoplearound Murtha, saidKeith Ashdown of Taxpayersfor CommonSense. "If I was in Mur1ha'scamp, I would not be sleeping at night." A spokespersonfor PMA Group, PatrickDorton, conrmedthe raid in a statement Monday aftemoon. "Government representativesdid cometo the PMA ofces. They requesteda number of different kinds of information," Dorton said. "The rm is cooperating withtheir requests."Asked if Murtha had been contacted bythe LEI or if he believed he wasthe targetof an investigation, spokesmanMatthew Mazonkey said"no andno," adding,"I'm going not to waste mytime with sensationalized journalism." The PMA Group And Murtha The PMA Group hasbeneted mightily from itsties to Murtha. In 2008, it brought in $13.8 million in revenue representingdozens ofdefense companiesand contractors,many of which havedonated heavily to Murtha. The veteranPennsylvania Democrathas helpedthe rm secure millionsin federal earmark dollars. Indeed,in 2008, PMA clients won $299million in earmarks, accordingto gures compiled by Taxpayers forCommon Sense.While the nn represents somedefense giantslike LockheedMartin and General Dynamics,a large portion of their businesscomes from small defense rms headquarteredin and aroundMu1tha's district.In addition to Magliochetti,at leastone otherformer Murtha aide, Julie Giardina, also works at PMA. The watchdoggroup Citizensfor Responsibilityand Ethicsin Washingtonhas calledMurtha oneof the most corruptmembers ofCongress, fortaking hundredsof thousandsof dollars in contributionsfrom companies andwriting them millions of dollars inearmarks. Murthahas declinedto commenton the designation. Soonafter theraid on PMA's ofces,the rm's other seniormembers begantalking to founder Magliochettiabout anarrangement thatwould includehim leavingthe rm, according tothe National Journal. Asked with these discussions were related to the raid, Dorton declined to comment. Murthais no stranger tocontroversy. In the late1970s, hewas targetedin the "" scandal,a three-year E1sting inwhich agentsposed asrepresentatives an of Arabsheik and offered suitcasesof

http://sioc.fbinet.ibi/documents/Intra11eU Information/Sentinel/2009/February/0.htm 2/11 0/2009 The SIOC Sentinel Page 26 of 38 I cash tolawmakers forfavors. According to reportsat thetime, Murthadeclined theundercover agents cash offer,but suggestedthe "sheik" nd a way to invest themoney in his homedistrict.

httn://sioc.Jinet.fbi/documents/lntranet/Information/Sentinel/2009/Februarv/10.htmV 2/10/2009 Firms Tied to Murtha Have Troubled Past - washingtonpostcom Page 1of 3

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Firms Tied to Murtha Have Troubled Past I Companies Under Investigation Have Gotten Millionsin Earmarks By Gm! Q l n",-1 amzice ,,-,6; v Washington Post Stafl Writers 5|-IDESHOW P'°"'° N9 Friday. June 5,2009

CROYLE TOWNSHIP, Pa. -- Inside the LBK Ranch, a private game preserve on a scenic hilltop here, guests mingle at a stone lodge after hunting deer and wild boar. Signs posted at intervals along the fence wam: "No Trespassing: U,S Govt. Testing Facility."

Defense rm owner Bill Kuchera and his wife, Lena, the owners of the l6l-acre property, live in an upscale log home within the pI¬S6I'VC and Q0 I0 CXWIISIVC Cffon-5 A booth lor the Kuchera companies is pan olthe Showcase or to keep out Sn-angers There are no Commerce trade show in -lohnstown, Pa. Bill Kuchera is al the hr right. . . . . [By Gene J Pusliar - ! visible signs of govemment testing, but behind the 10-foot fence and 'roo|.aox electronic gate lies the answer to a politically sensitive question now under federal scrutiny: whether Kucheras [E] Rm" Prlnl E-mall companies padded their Pentagon billings and diverted Ylliool Bull taxpayer money to their own pet projects. COMMENT D - ln January, federal agents raided the ranch, along with . the homes of Bill Kuchera and his younger brother Ron Comments and the ofces of two Kuchera companies. Federal COMMENTS ARE CLOSED authorities are investigating tips from company insiders suggesting that taxpayers were billed improperly for WHO'S BLOGGING DIIIRIIG II; when Kuchera family expenses and ranch rcnovations, 1 Links to thll article according to sources familiar with the probc. Tens of millions of dollars in Defense Department contracts have owed to Kucheras companies Find Your Dream Job Nowl because of the local congressman, Democratic g John P. Murtha the chaimian of the House Appropriations defense subcommittee, The Navy recently suspended the company lkeywords I llocation from future contracts while the investigation proceeds. FIND JOBS I Jobs by Slmplyrllrod Murtha, who was celebrated at the LBK Ranch with a fundraiser held in his honor, last week sidestepped questions about $50 million in earmarked funds and contracts he has helped FEATURED ADVERTISER LINKS direct to Kuchera Defense Systems and Kuchera Industries Inc. since 200l. But newly Lawylr: Alhntos Lu no Cancer, Hydroiiyc ut, Raptlva obtained documents and interviews show that the current federal investigation is only the Mesothalloma Lawylr, Construction, Zlmmer Duran-i Hip latest chapter in the troubled history of the Kuchera brothers business ventures, save Up To 75% on Cruise: at Vacations To Go The Kucheras have acomplicated family history that involves drug-running and a farnily Get your complete cndlt history from all three major credit feud that le the brothers in control of the companies. Over time they became aluent and agonciel respected defense contractors in their home town near Johnstown, Pa. 3 Stocks to Help Rebuild Your Willlh-Cllcll Hril

Before Bill Kuchera produced electronics and robotic equipment for the Pentagon, he helped run thousands of pounds of marijuana and some cocaine from Miami to sell in Racine, Wis., according to criminal records and accounts ofothers involved in the drug operation. Bill Kuchera pleaded guilty to a single and lesser felony distribution charge in I982 after cooperating witnesses implicated other Kuchera family members in helping store drugs at the %A~/>4»-77/.23 /72 family home, Ron Kuchera and the boys parents were never prosecuted. b6 [:1 b7C

http://www.washingtonp0st.com/wp-dyn/content/article/2009/O6/O4/AR2009060404556.ht... 6/8/2009 Firms Tiedto Murtha Have 'l"'""hledPast washingtonp0st.c0m- Page 2of 3

Bill andRon Kucherasuncle, MichaelKuchera, thefounder ofthe originalKuchera Industrieslnc., told The WashingtonPost that his nephews trickedhim intoselling the businessto a shell corporation theysecretly controlled.

Dennis McGlynn,an attomeyfor theKuchera brothers,said hethought MichaelKuehera knew hewas sellingthe businessto his nephews, whom McGlynnsaid herepresented in the sale. I-Iesaid theKuchera companiesare appealingthe Navy'ssuspension andhe hasno evidence ofimproperbilling. Hedeclined to comment on otherquestions.

"ln defenseof Bill and Ron, these people have hired-topnotch engineers, computer techsand line people," McGlynn said. "Theyproduce excellentproducts. amI certainthat allof the general contractorswho useKDS will tell youthat theirwork isunparalleled.

Murtha, througha spokesman, declined to comment.

Known as"Billy" and "Ronnie" tofriends, theKucheras grewup inRacine buttried several timesto make a living in their family's Cambrianative County,Pa. Inthe mid-l970s,Bill Kuchera rana bar near Johnstown, and hisuncle Mikeran anelectronics supplystore.

After theI977 Johnstown flood. bothfamily enterpriseswere wipedout bythe town's economic downturn.The uncletried torebuild slowly.Bill andRon Kucheramoved backto Racine, whereBill sold reworks imported fromthe South.

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Understand moreabout... From OurPartners Firrna Tiedto Murtha Have Troubled Want MoreWomen Past; MortgagePioneerltccused ol in Science?Hire Fraud; BenlraShow PowenulHand More Female Defense contractorwith tiaa to Science Profs. Murtha auapended Unusual DonationsFrom Lobbying Googlrs Android Firm Operatlng System lan't for Juet Nonprot ConnectsMurtha, Phones Anymore Lobbyists There: GotTo Bea Better Way To McHugh'alnduetry Detenae Tiea Erotically AaphyaieteYouraell Z formerdrug dealerstied toMurtha- Why R88ll Still Such I PainIn the backed flrm RSS7 Rep. JohnMurtha DelendaEannarks A FewLaat BeautilulSentencea to Dlatnct;FBI Subpoena:Recorda From JohnUpdike ot Ally Justlce Departrnenlltlveetlgatea Llthwlek Amer||:a'aon Priaon Real Mountaintop TeehnologteaOver Problem Hint:Not Gimp] Murtha Earmarka torn Waiteand OtherGreat Con-upon probeheata up on Cultural PalateCleanaera Capitol Hill Why DoeeSotomayor $15,000Owe INSIDE WASHINGTON:Starting Overto HerDentin? ona helicopter Lu; byavg:-J

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make more if they teamed up to nin marijuana from Miami, according to court and criminal records.

Business was lucrative until Whorley and Bill Kuchera were arrested in I981, Wisconsin criminal records show. They were sentencedto several years in federal prison. Kuchera served I I months.

Afterhis release, Bill Kuchera struggled to run a small comer grocery in Racine. In I985, he asked his uncle Mike for ajob with Mm" '0 H K h _ ' h SM ' I;u¢h;=r1_1tlnfuS:£¢S,0rKlI;;vhicg1en LII e ec nic circu oar s. v e v us Br» ss I rm "He said. l want to make a fresh start, " Michael rootsox Kuchera said. "I-Ie was family, and I wanted to help. I Rum Pm, gm," made him my full partner; 50-50." The uncle put Bill in hm um y charge ofninning the plant. Ron joined them. comment Q I Also fresh out of prison, Whorley provided names of government contracting officials he leamed about from . Comment: | Vl|wA|lii fellow prisoners. Whorley said he invested $50,000 in comments ARE ctoseo KII for a share of the prots and steered the Kucherm to his contacts at the Census Bureau. where they won WHO'S aeoosnve pvvonld w spleen federal work. I Llnksto Ihll lrtlcle Qemattsnuluamsstu But Whorley continued selling drugs, eaming a I0-year prison sentence with his next federal LOS ANGELES. CA - CEDARSSINAI MEDICAL CENTER conviction. He later led a lawsuit claiming that Bill Kuchera cheated him out of his share of tn One lo |i:l the rm's prots. but it was unsuccessful. LOS ANGELES, CA - CEDARS-SINAI MEDICAL CENTER . D E I 5 . E For a long time. business hummed along. But new tensions arose within KII. Michael L05 ANGELES. CA - CEDARS-SINAI MEDICAL CENTER Kuchera said he grew upset when customers warned him that Bill had paid them cash "gis" ' h1:uum to retain their business. In I993, Michael Kuchcra said, Bill persuaded his uncle to sell the |.os ANGELES. ca - CEDARS-SINAI MEDICAL CENTER company to a local buyer Bill had found. Months later, Michael Kuchera said he discovered 'Lknnilaaizmaslss that he actually had signed over his company to art entity controlled by his nephews. He said |_os ANGELES. CA - CEDARS-SINAI MEDICAL esurran he consulted a lawyer, who told him there was little he could do. EEEALI-_-I.Q.B.S i """'""" By I994, the Kuchera brothers had moved their operations to Windber, Pa, Find Your Dream Job Nowl l l miles east of Johnstown. with hope of winning defense contracts that Murtha said he wartted to bring to the district. They partnered with Hughes Aircraft as part of a Defense i_k_eyw0[tls_ _ I llocation J Department mentor-protege program. Kuchera Defense Systems qualied as a small, F I ND.l O B S disadvantaged business, because it reported that at least 20 percent of its employees were disabled, meeting the govemment's standard. Raytheon became Kuchera Defense Systems Jobs by Simply!-tired mentor after it acquired Hughes, a partnership that Mut1ha's office said the lawmaker FEATURED ADVERTISER LINKS encouraged. Lawyer: Albeutol Lung C|nelr_ Hydroxycul, Rlptlvl "Without Raytheon and without Congressman Murtha, there would be no Kuchera Defense," MO8O92hl|I0lI92I Lawyer, Construction, Ztmrnlr Durom Hlp

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Bill Kucherasaid ina 2000interview. Save ToUp 15%On Cruisesat Vecatlone To Go Get yourcomplete credithistory fromallthree major credit Kuchera alsohired ahigh-powered agencies lobbying rm,Ervin Technical 3 Sleek!to HelpRebuild VourWealth-Click Herel Associates, whosechaimian is longtime Murtha friendand fonnercongressman Adaby Googie Joseph M.McDade R-Pa!.Kuchera employees andtheir spouseshave lML§D donated morethan $106,000to Murthas Startapplying money iortree1000': with Gnini Applieationel oi political actionand campaign uww U$AGvari!Aop.icatioi-ismlo committees. 290$ PostQiee J9}; Average startingpay S20per hour.Apply today.Cali 1-600-910- The rst mentorship contract-- $5 9941 million in 1994 -called forKDS and wwwposteibelteryexam com three othercompanies to produce missile andcommunication systems components forHughes. Workvolume greweach year.ln 2002,Raytheon gaveKuchera a mun S41 million,ve-year Navycontract toassemble surfacesearch radarsystems tospot ships, TheFederal Govemmeniis HinngiSearch Federal 50K A Slate Johe part ofa Murtha-supportedearmark. ln2006, Murthaannounced thatNorthrop Grumman, FederaiJebSearcn com Raytheon, CoherentSystems andthe Air Force wouldgive Kuchera ve contractsworth $7 million injust the rst year. Muchof thework wasnew tothe company.

"These contractsinvolve newprograms forKuchera, whichfurther diversiestheir work load acrossvarious programs,"Murtha saidin a statement.

Last year,Murtha announcedthat Raytheonsmissile divisionwould givethe companya $25.7 millioncontract tomanufacture telemetryunits foran air-to-airmissile and$1 million for additionalengineering anddesign work.Today, thecompany's long-tennmilitary contracts couldbe worth more than$100 millionover thenext decade.Defense investigators have askedRaytheon forKuchera invoices,according tosources. Raytheonspokesman Anne Marie Squeosaid in a statementthat Raytheonis complying with all its requirementsunder federal contractingregulations.

Last year,acting ontips frompeople withinformation aboutcompany operations, investigators beganscnitinizing Kuchera'sbillingand whether fe deralfunds hadbeen used improperly, includingfor renovationsand laptops.The investigatorsalso arelooking into invoices submittedby corporations run byKuchera familymembers andfriends, onesource said.

in theraid ofthe ranch,federal investigatorsconscated nineguns, Bill Kui:heras riesand shotguns. Whilethe DefenseDepartment hadsigned olfon the executive controllingtens of millions ofdollars indefense work,his felonyconviction madeit illegalfor himto possessa firearm.

On arecent visit,two scowlingemployees on an all-terrain vehiclezoomed outto the property perimeterto monitorreporters whostood outsidethe ranchfence toget a look inside."

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walhingtonpoitcorn The web First Lady Michelle Obarna Replaces Chiet or Start Jackie Norris With Susan Sher FirmsTied to Murtlia Have Troubled Past; ...toMurtha Have Troubled Past ii Delense Iirm Justice Department Asks Court lo Free Alaska owner Bill Kuchara has won... Lawmakers Convicted of Corruotion 2 days agoi washrnglonpostcorn Ethnicity and Gender Play Prominent Roles in Sotomayofs Speeches Defense contractor with ties to Murtm aus... Grassley Accuses Library Ofciale oi Interfering Vlth ..do1lare in congressional earmarlu Irom Rep. John Murtha has been blocked... Investigations May 29,2009 I wesltrngtonpostoom .>i_i,- I ts .53: Unusual Donations From Lobbying Firm diseonvv I1 Derriocrat. "No one is suggesting that Jacli Murtfia is involved, has... February 14, 2009 | vvashingtonpost com Moat Viewed Politics Articles A SlowBum Becomes a Raging Fire Nonprot Connects Nlurtha, Lobbyists Bipartisan WMD Panel Criticizes Obania Plan To ..iavorwith hirn. But Muhe has his delenders. FundFlu VGCCJNO "Jack Murttie is... T1 December 25 20% I www vvsshinolonoost com L" Kennedy Details Vision for Health Care More about: John P. Mui-the Illaytheon Kennedy Readies Health-Cara Bill powmcq by ii Tap J6 Politics Articles 1 Most Popular on WiIIIIlI920IIPOSI.COI

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BY RANDY GRIFFITH an issue for the Windber company's RGRlFF|[email protected] government work. r A 27-year-old drug conviction has Twenty-seven years ago, William 1 come back to haunt a local business- Kuchera. spentnine months in prison I man and U.S. Rep. John Murtha. for dealing in marijuana, Johnstown But William Kuchera saysthe histo- attorney Dennis M. McGlynn said in a ry should have noaffect on Kuchera statement. The judge who sentenced ~ Defense Systemswork for the federal him obviously hoped Mr. Kuchera r - government. would learn a lesson from this experi- Court records show Kuchera was ence and'wouldthereafter become a convicted of marijuana distribution in law-abiding and productive citizen. 1982 in Wisconsin. Mr. Kuchera has exceededany rea- has no access to information that in February. Whor- While several national media organi- sonable expectations the judge could requires a clearance, McGlynnsaid. leys claims were- have had." zations have questioned whether the Kuchera Defense Systems is not "denied in their Kuchera has never had a Defense government checkedout Kuchera's precluded from participating in work background, his attorney says it is not entirety" following Department security clearance, and which would require a security clear- binding arbitration ance based on Mr. Kucheras lack of hearings in federal clearance," McGlynnsaid. court. y Kucheras past surfaced, in part, McGlyrin's state-Kuchera because of a 2005 lawsuit by a convict- ment goes on to 92 ed cocaine dealer who claimed he was outline the success of KucheraS busi- p an early partner of Kuchera. ness, noting Kuchera Industries recog- ,°~ Peter Vi/horleyclaimed he is entitled nition as a leader in hiring disabled 5. to a portion of Kucheras earnings workers, making up about 20 percent Xi? :»?3 ':_'~Ibecause he invested about $70,000 in of its work force. -. . B. _ the companysstartup in 1985. As The Tribune-Democrat reported Please see KUCI-ll-IRA, A2 92"- .I-1". '-4 - ..<>-1". s . 31. . e I D ,9a f- g"

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i Murtha tiesquestioned By PETE YOST . Associated Press Writer A ' .I"f whether the government eve; , lnal-canI l WASHINGTON Rep. Iohn checked intothe backgroundof Duct 05/0G/L60? Murtha steered millions of dol- William Kuchera,of Windber,a ldilin lars in defense work to a cam- constituent whohas beend0ing paign donorand thePentagon govemment workfor 20years. b6 went alongwith it, even though The recordspoint tothe politi- ll: two. convicteddrug dealers had cal perilof Murtha,DIohnstovim, b7C been deeply involved with the and othermembers Congressof directing federalfunds toparticu- FAG - D0 0 company. lar contractors, an oft-Criticized Cluu-|.cu::v¢ut¢¢A error;worms, lnt. process knownas eannarking Recordsled inU.S. Districtthat has directed hundredsof bil- Clnaiuuenz v - Court in Pittsburgh startingin lions ofdollars inthe federal Si-ibnlmug One; 2005 raise questions about Cw: '-.nuedon Page4

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Continued fromPage 1 budget to favored contractors and programs over the past two nine months in prison and 1980s and Murtha became the -$50,000'om*l/92ll1orley.~yvas- a l since that time has built two chairman ofthe House"Appro-personal loan that ihelpedé-for decades. highly successfuland reputable priations defense subcommit- my living e1_tp.enses,~-it helped companies with enviable teein1989. . ] - with . marl - . nfI§l.§I.1d$;aPl¢htll?1¢r5el35¥"h?dtbf>n lion in federal contracts in this er for alleged fraud," including William Kuchera "conded to decade alone. multiple incidents" of incor- me that he had just spent time involved,indrug i:lealings,'__. at .~ According to the court rect charges, along with allega- in prison and hewaslooking for In. iethe statement Friday, records, William Kuchera was tions of defective pricing and a fresh start," Michael Kuchera Kucherafs .lawy_eripointed ~-to convicted of marijuana distri- ethical violations. Kuchera is said in an afdavit led in fed- ndings. by the federal court-in bution in 1982 inwisconsin. appealing thesuspension. eral court in 2005. I I the; lawsuit rejecting Whorley's In addition, a man who de- In 2007 and 2008, Murtha Afterl agreed to go into busi- claims in.their: entirety. scribes himself as an early part- sponsored $14.7 million in de- ness with my nephew,he intro- The court split the costs ofthe ner in Kucheras businessin the fense earmarks for Kuchera De- duced Peter Whorley to me," case, ordering Whorley to pay 1980s is a convicted cocaine Michael Kucheras afdavit _one+third and the Kuchera de- l fense Systems. 92dealer who has served two Before 2007,Congress didnot states. One day shortly after I fendants to,pay two-thirds. . l terms in prison, according to disclose the identities of ear- had met Mr. Whorley, Bill told - William-Kuchera has -built l the records. mark sponsors,so it is impossi- me that Peter hadagreed toin- two highly successfulrand -rep- The man, Peter Whorley,sued ble to say how much in ear- vest in the business." utable companieswith enviable the Kuchera companies and marked funds Murtha directed Under questioningin the la'w-records. of quality, first,-rate I/Villiam Kuchera for a share of to the Kuchera family business. suit, Whorley said that he had work, said Kuchera attorney the money the companies have In one early link to Murtha, invested $50,000 in. the Dennis McGly'nn.-._ i > collected in federal contracts. Kuchera made a $1,000 cam- Kucheras' business.new Before In doing so, hehas alsocreat- Whorley lost the case when it paign contribution to the con- that, Whorleysaid, hehad been ed 360 new jobs in the John- went to arbitration. gressman inMarch 1992. in prison for drug trafficking. stown" area.He should be ap- On Friday, Kucheras lawyer Kuchera and his uncle started Answering questions in the law- plauded for his accomplis~h'- said that his client had served doing business in the mid- suit, William Kuchera said that ments and not denigrated for a crime he committed -almost three decadesago." , v gilariiclerelaipad is 10; /shew l lhal thiscase hasgained publicnotoriety: ' lfay- has bean released conizéming thiscase; 1 I

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IDefense contractortiedto Martha, 927-/949 P leadsswlw " ttakinkikbo g kcks ac /5I ' By Dennis B.Roddy of CoherentSystems Interna- Pittsburgh Post-Gazette}. . tional-, is now expectedtocoop- erate _in a wider case involving A former defense contractor a-former Force, contr_act with ties to~U.S. Rep; JohnP. supervisor accused-of hiding l his financial ties to a Florida Murtha entereda pleaof guilty in a Florida courtroomyester- engineering firm that did mil- day to =accepting $200,000 in" lions ofdollars in defense work. kickbackstfrom a Pennsylvama He entered guilty pleas f0-1W0 subcontractor" in. 8 C858 that separate criminal complaints: reachesfrom Pensacolabeaches charges ledin Pittsburgh for to Some1set~County's-hills. Richard lanieri, former CEO SEE Mlllllll, PAGE B-2 l _ ...... _-_ _

'MllI'l'l'll,PAGE B-l~"T.-'-_ .Ki'n FROM1 Windber as well ,as t he 5 homesof Ronald; andWilliam t acceptingContractor kickbacks,anda lon- Kuchera, brothers-fwho own l ger list of aoousations in Florida . the companyi-The. raid was that he defraudedthe Air Force . par-t3off a'probe into"allega- House Appropriationsdefense > in a $6 million contract. P i . . ' tions"of;overbil1ingand fraud subcommittee, Mr. -Murtha While prosecutors did "not on -defense contracts, andthe wields broad tpowers to allo- ll outline full details of the agree.- Navyearlier this year sus- cate billionsof defense dol- ment, what they described. as -pended the Kucheras from lars. . kickbacks matched two con? fur,-ther defensecontracts: 'MatthewiMazonkey, spokes- l "suiting agreements Mr. Ianieri p . Among defense -outlays man for Mr. Murtha, yesterday had with Kuchera Industries; being scrutinized by pros- said the congressman hadno I a defense contractor based in ecutorsl was an $8 million control over the contractors. W :3; dmww

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Federal prosecutors. tiled corruption charges yesterday against a onetime" defense con- fT3§Ct0T'Wh to.t'h21S. both U.S.- ties Repi John Murtha and a subur- i ban'J0hnst0vmdefense contrac- I tor currently under criminal investigation» - ' '- - Richard S;_ Ianieri,former presidentland" CEO -oi Coherent Systems InternationalCorp; was accused of accepting $200,000 in ? kickbacks.-Hecharged is through : a criminal ~int6rn1atio'nis and expectedplead to' V r Nodate hasyet beenset. _ a According to the court ling 92 entered yesterday. Mr. Ianieriis accused ofi takingrthe kickbacks from a date unknown through- Janu'ary,2006anofcer while for Coherent, whichwas a prime con- tractor for-the . The information charges that Mr.-Ian- ieri solicited and acceptedkick- backs fromj'Kfa subcontractorof the UnitedS_tates'.=j I The governmentalleges that Mr. Ianieri took -checksas kick- backs - one for $102,832.29 and another for$9_7,01'53.56 which F . .. were providedfor thep1up0se A of improperlylvobtaining and W

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__ -7:111:- -- _ :..__._ %!v-7 ___..._... LMIA .-._. Hv _ _ ...__._4_ i_.__i._iii_i._MUIIIIA, FROM - PAGEA-1' rewarding favorable treat- ment in connection with 'Ks subcontract relatingto agov- ernment prime contract." <1! 3 The information does not At the same time, ne has identify been roundly criticized by l In April 2006, Mr. Murtha. some Republican House col- D,-Johnstown, touteda rela- leagues, aswell as various tionship between Coherent reform groups, for his prac- and Kuchera Defense Sys- tice of directing billions in e/4/+-P6--77: tems. Coherent, of Doyle- defense contracts to compa- L/wt/05"' 77 stown, Bucks County, work- nies that set up shop in his 1 ing with Kuchera Defense district. Systems in Windber, Som- Since2003, Mr. lanieri and erset County, had obtained colleagues at Coherent have more than $30 million in 14 directed atotalof $72,950in political donationsto a num- i prime contractsfor high-tech tools forthe military. , ' ber of congressmen, both A news release from the Democrats andRepublicans, congressman announced with ties to the defense indus- that the two were working try. Twenty percent of that l virtually as one comparw." Coherent, employees amount $14,000 -- was designed, developed and given either to Mr. Murthas tested the products, while re-election campaigns or to Kuchera didthe manufactur- his political action commit- 1116 tee. in.August 2007, Coherent When Coherent entered becameasubsidiary of Argon into the defense market in ST for approximately $20 mil- 2006, the company hired KSA lion, including debt asswnp- Consulting, a Washington- tion. Mr. Ianieri worked for basedrm that onceemployed Argon, based in Fairfax, Va., Mr. Murthas brother, Kit, as the vice president for busi- and which is headed by a ness developmentbut left the trio of partners that includes Carmen Scialabba, a onetime company late last summer. - I When contacted at his Murtha aide. V l home in Doylestown last Neither KSA, Kit Murtha night, Mr. ianieri referred nor Mr. Scialabba has been questions to his attorney. implicated in any wrongdo- who did not return a call ing in the ongoing probe. seeking comment. As a joint team of FBI and Yesterday's criminal IRS agents probes Kuchera, information marked the rst the federal Justice Depart- charges arising out of inves- ment is continuing a sepa- tigations into .companies rate investigation into the receiving defense earmarks defunct lobbying rm PMA. contracts targeted to spe- Created by Paul Mag1ioc- cic projects and rms, usu- chetti, a Pittsburgh native ally at the behest of powerful who worked as a staff mem- members of Congress. ber on the House Appropria- The charge comes six tions defense subcommittee, months after federal agents the rm became theforemost raided the offices of Kuchera lobbyist for defense dollars. Defense Systems and Federal agents searched Kuchera industries, a subur- PMA's officesin suburban ban Jolmstown technology Washington in November, rm. carting away records. At the time of the raid, fed- Since that time, one mem- eral agents also searched the ber. of the Appropriations homes of the company'stwo Committee. U.S. Rep. Pete owners,Ronald and William. Visclosky, D-ind, has been Kuchera. subpoenaed in connection Both firms have relied with that investigation. Mr. in the past on defense con- Viscloskys former chief of tracts directed through the staff was among a number office of Mr. Murtha, who of former congressional did not immediately respond employees who joined PMA to requestsfor commentlast in its heyday. msht " The congressmanhas not been officially named as a target ofthe ongoinginvesti- aation. x fcolpnelssentenced inmilitary contra ise Page I of 2 l THE BUSINESS ' INSIDER Ex-colonels sentenced in military contract case

Associated Press | Oct. 14, 2009, 8:00 AM | 2 | 5

By MELISSA NELSON, Associated Press Writer

PENSACOLA, Fla. AP! A federal judge sentenced two former Air Force colonels to prison on Tuesday for destroying documents, lying to a grand jury and other crimes related to a wider fraud scheme by contractors and defense lobbyists with ties to a powerful Pennsylvania congressman.

The men, both engineers graduates of the U.S. Air Force Academy, are among those accused by federal prosecutors who are looking into alleged wrongdoing by contractors with ties to Rep. John Murtha, D-Pa., chairman of the House Appropriations Subcommittee on Defense. '

Murtha has not been accused of criminal wrongdoing.

U.S. District Judge Lacey Collier sentenced Richard Schaller to 18 months in prison and ve years probation. Schaller was convicted of helping Mark O'Hair, a supervisor at the research lab at Eglin Air Force Base, steer contracts to Schallers defense contracting company.

O'Hair previouslypleaded guilty to federal charges of false statements and conict of interest. Collier sentenced O'Hairsix tomonths in prison and three years probation the strongest sentence he could give under the sentencing guidelines.

Also involved in the Eglin case is Richard lanieri, the former chief executive for a defense contractor.

lanieri set up a company in Murtha'scongressional district and worked closely with another defense contractor in Murtha's district,William Kuchera. Kuchera's companyhas received tens of millions of dollars in congressional appropriations that were directed to the rm by Murtha.

lanieri hired a lobbying rm that at the time employed Murtha's brother.After hiring the rm, lanieri's company, Coherent Systems International Corp., received a congressional appropriation of more than $8 million.

Around that time, Murtha announced in an April 2006 news release that Coherent and Kuchera Defense Systems were working "virtually as one company" on 14 contracts worth $30 million to develop high-tech military gear.

lanieri pleaded guilty July 20 to defrauding the Air Force and has been cooperating with federal prosecutors. His sentencing had been set for September, but was delayed indefinitely while he cooperates with the Justice Department in its ongoing probe.

On July29, lanieritestied atSchallers trial in federal courtin Pensacola,Fla., that lanieri hadtaken $200,000 in kickbacksfrom Kuchera'scompany, after providing the defense contractor with $650,000from the congressional appropriationof over $8 million. / _5~

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Ianieri testiedthat OHairapproved numerousinvoices dividingthe appropriationof over $8 millionamong lanieri's company andfour smallercompanies includingSchaller engineering.

On Tuesday, Collier denied a request by Schaller to leave prison to attend his daughter'sNovember wedding. Collier saidhe felt the retiredcolonel hadshown noremorse formanipulating theearmark system.

U.S. Attorney Stephen Pressier said Schaller'sconduct was a betrayal of his military service.

"lt is inconsistent withthe nobilitythat comesfrom beinga retired ofcers of the U.S.Air Force.You have somebody that in his mind thinks that they are above the law, he said.

But AlbertOram, Schaller'sattorney, saidhis clientand OHairwere tryingto help airmen andsoldiers onthe ground by working to obtain earmark funding for high-tech research that would save lives in lraq and . Oram saidit was something AirForce officialsencouraged.

Collier disagreed.

The evil of the earmark process is that l don'teven know how they come up with the money and the contractor that has the relationship with the congressman then gets the money," he said.

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Defense contractor suspended over kickbacks Thursday, January07,2010 By JoeMandak, TheAssociated Press PITTSBURGH -A defensecontractor withties toRep. JohnMurtha hasbeen suspendedagain from bidding ongovernment contracts, thistime for paying morethan $200,000 in kickbacksto anothercontractor turnedgovemment witness.

KucheraDefense Systems Inc., of Windber, was suspendedDec. 22for allegedlypaying off Richard Ianieri.Ianieri is - awaiting sentencingFeb. 23in U.S. District Courtin Pensacola,Fla., afterpleading guiltyin July to fraudstemming froma research contractat Eglin Air Force Base inFlorida.

Kuchera's attorney,Dennis McGlynn,said Kucherawas ghtingthe suspension andthat it is basedon informationthe Navy had in August -when the Navypreviously tookKuchera offthe ExcludedParties ListSystem, a black book ofcontractors suspended fromgovemment work.

Kuchera wasrst suspendedin April for overchargingthe Navyand otherethical violations,but McGlynnsaid thecompany resolved those problems to the Navy'ssatisfaction.

Navy spokesmanLt. Cmdr. Victor Chenconmied that,but saidthe newsuspension wasbased on separate circumstances: kickbacks Kucherapaid to Coherent SystemsInternational, a company co-foundedby Ianieri. - .

Kuchera Defense Systems and Coherent have been awardedmore than $50 million apiece in defense work in the last decade, according towww.fedspending.org, a Web site onfederal contracting. in July, Ianieri testied about getting the kickbacksto steer $650,000 worth of work to Kucherafrom an $8.2 million congressional earmark.Ianieri testied "there waspolitical andearmark pressure"to shift the money- thoughhe didn'tsay who applied such pressure. ianieri'shad rm gotten the earmarkafter hiringa lobbying rm that employed Murthasbrother. TheJohnstown Democrat's office refuses to say whether the congressman sponsoredthe earmark.

The criminalcharges againstIanieri wererst led in Pittsburgh, where theU.S. Attorney'sOfce has acknowledged an investigation stemming from a January raid of Kucheras ofces. _

Spokeswoman MargaretPhilbin saidtoday thatfederal prosecutorsin Pittsburghhad no comment on that investigation orthe latest suspension.

A spokesmanfor Murtha also declinedto comment.

"This is an issue between Kuchera Defense andthe U.S. Navy. It does not involve our ofce," Murtha spokesman Matthew Mazonkey said. _

Copyright 2010Associated Press.All rightsreserved. Thismaterial may not be published,broadcast, rewritten,or redistributed. -

"Money Q&A" and "CompanyTown" arefeatured exclusivelyat PG+, a members-onlyweb siteof the Pittsburgh Post-Gazette.Our i_ntroductionto PG+gives youall the details.

First publishedon January7, 2010at 2:35 pm

b6 ReaI - to - ts"Vii //7 bis http://wv92W.post-gazette.com/pg/10007/1026526-Z8.Stm E:-____T-Hi92 /Q/W Congressional EthicsOfce recommendsno sanctionsagainst Murtha Friday, December18, 2009 By Daniel Malloy, Pittsburgh Post-Gazette

WASHINGTON --The Ofce of CongressionalEthics hasclosed its corruption investigation into U.S. Rep. JohnMurtha and recommended no sanctions againstthe JohnstownDemocrat.

Mr. Murtha received a letter this month that the Ethics Ofce would not recommend furtherinvestigation by the HouseEthics Committee,according to a congressionalsource with knowledge of the investigation.The investigation had focusedon a relationship betweeenMr. Murtha and the lobbying rm PMA Group.

PMA was founded by Pittsburgh nativePaul Magliocchetti, a former appropriations committeestaffer and friend of Mr. Murtha. The rm closed this spring after federal agentssearched itsofces and Mr. Magliocchetti'shome to look for evidence thathe usedfriends andfamily to steer donationsto members of Congress,in violation of campaign nance laws.

Sources havetold the Post-Gazette thatfederal investigatorshave askedMr. Magliocchetti about Mr. Murtha.

Congressional probesfocused onpotential ties between federalearmarks and campaign donationsto membersof the defense appropriationssubcommittee, chaired by Mr. Murtha.

Created byCongress in2008, The Ofce of Congressional Ethicsis a group comprised of private citizensthat can look into alleged wrongdoingby members of Congress andmake recommendationsto the Ethics Committee.In this case,it recommendedthat therebe no further investigat

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