Abramoff Sentenced in Business Fraud Case

MIAMI —  Former Washington lobbyist Jack Abramoff was sentenced Wednesday to five years and 10 months in federal prison for business fraud, but was allowed to remain free for three months so he could continue assisting in a wide-ranging probe of corruption and influence-peddling on Capitol Hill.

Abramoff and a former business partner, Adam R. Kidan, had pleaded guilty to conspiracy and wire fraud in their purchase of SunCruz Casinos gambling boats in 2000.

Both were given the minimum prison sentence recommended under federal guidelines -- 70 months -- by U.S. District Judge Paul C. Huck after a federal prosecutor told the judge he found the ex-associates remorseful and cooperative.

The two men were also ordered to make restitution of more than $21 million. They have admitted forging a wire transfer to make it appear they had committed some of their own money to the $147.5-million SunCruz purchase. Based on the forgery, lenders contributed $60 million in financing.

In a brief statement read in court, Abramoff apologized for what he called his “reckless” actions.

“This day is incredibly painful for my family, my friends and myself,” he said. “In the past two years, I’ve started the process of becoming a new man.”

Kidan told the judge he was “completely remorseful and apologetic” and that he wished he could turn back time.

Abramoff’s sentencing came as the Senate passed ethics reform legislation that would impose new rules for lawmakers’ ties to lobbyists. The measure was largely inspired by the scandal involving Abramoff, a onetime close associate of several Republican congressional leaders.

He pleaded guilty in a Washington federal court in January to corruption charges stemming from his activities as a lobbyist who once enjoyed easy access to Washington’s corridors of power.

Assistant U.S. Atty. Lawrence D. LaVecchio requested that Abramoff and Kidan be allowed to remain free for 180 days before serving their prison sentences, so they could continue helping prosecutors and the FBI in the Washington corruption probe, as well as a Florida investigation of the gangland-style slaying of SunCruz’s former owner, Konstantinos “Gus” Boulis.

Huck gave the government half the amount of time it sought.

“I think we can revisit this in 90 days,” said the judge, who kept the half-hour sentencing hearing moving briskly. Huck had turned down a government request that could have delayed sentencing until June.

The plea bargain that Abramoff struck with federal prosecutors in January committed him to “providing truthful and complete information and testimony, and producing documents, records and other evidence” at any trial or grand jury proceeding federal officials wanted him to attend. Under that deal, both he and Kidan could have been sentenced to more than seven years’ imprisonment.

In Washington, Abramoff has been cooperating with federal prosecutors in a corruption investigation that is focused on whether at least half a dozen members of Congress and several aides traded legislative action for lavish trips, gifts and campaign contributions orchestrated by Abramoff.

Before Wednesday’s sentencing hearing began, Abramoff sat silent at the defense table, his eyes closed. Afterward, outside the courthouse, he ignored reporters’ shouted questions, and wore a tan-colored baseball cap to cover his head in accordance with his Orthodox Jewish faith.

Last Thursday, a Florida circuit judge agreed to subpoena Abramoff and Kidan in the Feb. 6, 2001, slaying of Boulis, a self-made millionaire who was gunned down shortly after leaving his Fort Lauderdale office.

Lawyers for Kidan and Abramoff have said their clients had nothing to do with the murder, but state prosecutors haven’t ruled out Kidan as a suspect.

A Broward County grand jury has indicted three men for first-degree murder and conspiracy, including Anthony Moscatiello, who has admitted ties to the Gambino crime family and was connected to companies that were paid $145,000 in consulting fees by Kidan when he was in charge of SunCruz.