http://www.bestoftheblogs.com/2003_02_05_bestof.html#90279110Wednesday, February 05, 2003
Chuck's Ball, Chuck's Game
Everybody loves a good conspiracy theory and the revelation that Nebraska Republican Senator Chuck Hagel once ran and is still a major stockholder in the company that owns the company that counted 85 percent of the votes cast in his very own 2002 and 1996 election races is a potential doozy. His 1996 victory, some will recall, was considered one of the biggest upsets of that election; he was the first Republican in 24 years to win a Nebraska senatorial campaign.
On January 29, The Hill reported that Hagel had reported a financial stake worth $1 million to $5 million in the McCarthy Group Inc., a private merchant banking company based in Omaha. But he did not report the company’s underlying assets, choosing instead to cite his holdings as an “excepted investment fund,” and therefore exempt from detailed disclosure rules. As The Hill suggests, that claim is false or, at least was, until the Senate Ethics Committee's new staff director Robert Walker met with Hagel’s staff and changed the rules after The Hill began snooping around.
A major asset of the McCarthy Group (not listed by Senator Hagel in his disclosures) is the nation's largest vote counting firm Election Systems & Software (ES&S)
. Hagel resigned as CEO of AIS in 1995 to run for the Senate. Following his election, he resigned as president of the parent company McCarthy & Company.
Today, the McCarthy Group is run by Michael McCarthy, who happens to be campaign treasurer for--you guessed it--Chuck Hagel. Hagel's financials list the McCarthy Group as an asset, with his investment valued at $1-$5 million.