Brown meets with lawyers over pay to play story
Deputy Premier Ewart Brown met with his lawyers on Friday over a story in this weekend?s Mid-Ocean News accusing him of participating in ?pay to play?.
However, the Mid-Ocean News stood firmly by the veracity of the story.
The story described a luncheon held in Washington in 2002 organised by Government?s pension fund consultant Tina Poitevien. Representatives of US-based investment managers who already manage a portion of Bermuda?s pension funds were invited to attend along with prospective managers and stockbrokers ? all for a price tag of $2,500.
The lunch was in honour of Dr. Brown, with cheques to be made payable to ?Dr. Ewart Brown (PLP)?. In the Mid-Ocean story Dr. Brown described the event as ?a fundraiser?.
However, Opposition Leader Grant Gibbons declared the luncheon ?a shocking example of pay to play?.
?Pay to play? is the practice whereby money managers make campaign contributions to officials or politicians who could later influence the awarding of contracts to manage public money. In 1999 the US Securities and Exchange Commission (SEC) reportedly proposed banning the practice but the proposal was not taken up.
On Friday, Dr. Brown told: ?I have met with my lawyers and they have suggested I make no public statement at the moment.?
He did confirm that the money was used for his personal election campaign for the 2003 General Election, and was not directed to PLP coffers.
PLP party spokesman Scott Simmons agreed, saying: ?The party is unaware of any proceeds from a fundraiser by the member for Warwick South Central reaching the PLP.
?An adopted candidate or MP representing a constituency has the right with his committee to organise any fundraiser and raise money for his own political campaign,? Mr. Simmons added.
?As a matter of fact, they are encouraged to do so, although the party reserves the right to assist them if necessary.?
