Former Aide Waffles on Carpenter Role in Scheme

A former aide, testifying Wednesday in the corruption trial of former state Sen. Paul Carpenter, implicated Carpenter in a scheme to extort campaign contributions but then backed off his assertions that the senator was directly involved.

John Shahabian told a federal court jury that the Democratic lawmaker agreed to contact other state officials to promote dummy legislation planted by the FBI. In addition, Shahabian said, Carpenter insisted on taking all of the $20,000 offered by the bill’s sponsors to win Senate passage of the bill.

But under cross-examination, Shahabian admitted that he frequently acted on his own in dealing with the sponsor of the bill, undercover FBI agent John E. Brennan. Shahabian also conceded that in secretly tape-recorded conversations with the agent, he had often exaggerated Carpenter’s role in winning passage of the measure.

“On many occasions, you are suggesting that Paul Carpenter is doing a lot for the bill that you know he is not doing?” asked defense attorney Gerard J. Hinckley.

“Yes sir,” Shahabian replied.

The former aide’s testimony came as the prosecution neared completion of its case against Carpenter, who is charged with four counts of racketeering, extortion and conspiracy.

Shahabian is crucial to the government’s case because he often acted as an intermediary between Carpenter and the agent, who was participating in an elaborate sting investigation of corruption in the state Capitol. Shahabian himself was caught in the sting but, in exchange for his testimony, has received a guarantee that he will not be prosecuted. He is scheduled to continue his testimony under cross-examination today.

Under questioning by Assistant U.S. Atty. John Panneton, Shahabian testified that he told Carpenter about the legislation proposed by Brennan--who was posing as an Alabama businessman seeking a special tax break for his shrimp-importing business. Brennan, Shahabian said, was willing to pay $20,000 in contributions to a variety of senators to help win passage of the measure.

But to Shahabian’s surprise, Carpenter said he wanted all of the money to go to his own campaign fund, the former aide testified.

“He asked why any of it had to go to the others,” Shahabian told the jury. “I was surprised. I thought it was a lot of money to go to one campaign fund.”

Shahabian testified that he left the meeting with the understanding that the senator wanted him to continue helping Brennan with the legislation and to steer the campaign funds to Carpenter.

“I took away that impression,” Shahabian said. “I think he would have told me not to get involved if he had not wanted me to get involved.”

Carpenter, who was running a successful campaign that year for a seat on the State Board of Equalization from the Los Angeles area, eventually received the $20,000 from the bogus shrimp company.

But during cross-examination, Shahabian acknowledged that Carpenter never directly told him to aid the shrimp company bill in exchange for the contribution.

“Paul Carpenter didn’t tell you to go out and get a check cut for $10,000 (the first payment to Carpenter)?” Hinckley said.

“No sir,” Shahabian answered.

Carpenter’s defense has claimed that the senator knew all along that the bill was bogus and that he attempted to conduct his own “reverse sting” by accepting the money.

But Shahabian, undercutting that argument, testified that Carpenter never suggested that the bill could be part of a set-up. In fact, Shahabian said that when he once raised the possibility of a sting, Carpenter rejected the idea and directed him to continue working with the sponsors of the bill.

“I told him I was concerned about these people, that they did not seem real,” Shahabian said. “He said that he thought they were real. He indicated to me to go right ahead.”