Report: Romney May Have Violated Massachusetts Ethics Laws Via a Company Linked to Paul Ryan's Broth

Source: Alternet


Report: Romney May Have Violated Massachusetts Ethics Laws Via a Company Linked to Paul Ryan's Brother
The Telegraph has a story that could prove to be a disqualifier for Romney-Ryan.
August 18, 2012 |



On Friday, the Telegraph reported that, as governor of Massachusetts, Mitt Romney may have violated state ethics laws when his administration maintained a “lucrative” contract with a company in which he had a financial stake.

The company, Imagitas, had been co-founded by a former executive at Bain and Co., with $5 million in backing from Bain Capital. Paul Ryan's brother, Toby, had also been a senior manager at Bain and Co., working in the same building as Romney, before leaving to become a vice president of Imagitas.

The contract was not awarded by Romney – Imagitas scored it just before he was elected. But according to Telegraph reporter Jon Swaine, “Massachusetts law requires that all state employees divest themselves of financial interests in private sector contracts with state agencies. At the time, failure to do so could have resulted in a $2,000... fine or a 2.5-year prison sentence.” He added that “the potential punishments are now stronger.”

According to the Telegraph, “New state employees were obliged to prevent conflicts of interest with existing contracts. The following year, [Romney] began declaring that his holdings were in a so-called "blind trust" controlled by his lawyer.”

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Read more: http://www.alternet.org/election-2012/report-romney-may-have-violated-massachusetts-ethics-laws-company-linked-paul-ryans