Mitchell Wade
Encyclopedia
Mitchell J. Wade is an American defense contractor
implicated in the events
that led to the 2005 resignation of U.S. Representative
Randy "Duke" Cunningham.
Wade founded the defense contracting firm MZM Inc. (since renamed Athena Innovative Solutions Inc.), in 1993. On February 24, 2006, he pleaded guilty to paying then Rep. Randy "Duke" Cunningham (R. Calif.) more than $1 million in bribes in exchange for millions more in government contracts. Wade was one of four co-conspirators mentioned in Cunningham's plea agreement of November 28, 2005. In addition to Wade, the three other co-conspirators are: Brent R. Wilkes, founder of San Diego-based ADCS Inc.; New York businessman Thomas Kontogiannis; and John T. Michael, Kontogiannis' nephew. http://www.mercurynews.com/mld/mercurynews/news/local/states/california/northern_california/13946123.htm
. He married Christiane D. Shipley on June 6, 1999. Shipley graduated from Wake Forest University
in 1990. Wade has three children from a previous marriage, Matthew, Zachary and Morgan, and two with Shipley. The Wades used to live in Great Falls, Virginia
."One-time wunderkind could get 11-year term", The San Diego Union-Tribune, February 25, 2006, by Marcus Stern and Jerry Kammer
, then formed his own defense-contracting firm MZM, Inc., which was later embroiled in scandal. Wade named MZM after his children: Matthew, Zachary and Morgan.
Wade also served in the Naval Reserve
.
Later in June, it was further reported that the yacht
that Cunningham lived on while he was in Washington
was owned by Wade, and that Cunningham was paying only for maintenance, not rent. http://www.nctimes.com/articles/2005/06/16/news/top_stories/2005-6-16-22-58.txt The Federal Bureau of Investigation
launched an investigation regarding the real estate transaction. Cunningham's home, MZM's Corporate Offices and Wade's home were all simultaneously raided by a number of federal agencies with warrants on July 1, 2005. http://nctimes.com/articles/2005/07/02/news/top_stories/20_13_257_1_05.prt
The money and favors provided to Cunningham were in exchange for helping win Pentagon work. http://www.nctimes.com/articles/2006/02/24/news/top_stories/20_48_242_23_06.txt Government procurement records show that MZM, which Wade started in 1993, did not report any revenue from prime contract awards until 2003, http://www.washingtonpost.com/wp-dyn/content/article/2005/06/27/AR2005062701856.html but starting in May 2002 they were awarded contracts in the tens of millions of dollars which then grew to well over $150 million.http://www.usatoday.com/news/washington/2005-11-08-pentagon-spending_x.htm
"Prosecutors also laid out a second, separate conspiracy in which Wade was alleged to have paid bribes to a Defense Department official and other employees in return for their help in awarding contracts to his company. Wade pleaded guilty to this scheme as well. The Pentagon employees were not named in court filings." http://www.cnn.com/2006/POLITICS/02/24/congressman.bribery.ap/
The Washington Post reported: "The congressman identifiable as Goode received $46,000 in such disguised contributions in 2003 and 2005, the court papers said. That was part of about $90,000 Wade and his workers contributed to Goode. Wade then asked the member to request appropriations for an MZM facility in his district, the Wade papers said, and a Goode staff member confirmed to Wade that the bill would include $9 million in funding." http://www.washingtonpost.com/wp-dyn/content/article/2006/02/24/AR2006022401737.html
The paper also noted: "The member identifiable as Harris received $32,000 in illegal donations from Wade and his employees in 2004. Documents filed with Wade's plea say that he took Harris to dinner early last year, where they discussed the possibility of another fundraiser and the possibility of getting funding for a Navy counterintelligence program in the member's district. One source familiar with the inquiry said Harris made such a request for funding, but it was not granted." http://www.washingtonpost.com/wp-dyn/content/article/2006/02/24/AR2006022401737.html
Mitchell Wade also contributed to the following political persons:
RNC (Republican National Committee),
John F Kerry (D),
DNC Services Corporation (Democratic National Committee),
Robert L Barr Jr. (R) Georgia,
Elizabeth Dole (R) NC,
Larry Craig (R) ID,
Steve Chabot (R) OH,
Zach Wamp (R) Tenn,
Duncan Hunter (R) CA,
Devon Gerald Nunes (R) CA,
Jerry Lewis (R) CA,
Robert Ney (R) OH,
John William Warner (R) Virginia,
C. W. Bill Young (R) Florida,
National Republican Senatorial Committee,
John Davidson the IV Rockefeller (D) WV,
Richard G Renzi (R) Arizona,
Mario Diaz-Balart (R) Florida,
Floyd Davidson Spence (R) South Carolina,
John Murtha (D) PN
All the above are verifiable at fec.gov
Defense contractor
A defense contractor is a business organization or individual that provides products or services to a military department of a government. Products typically include military aircraft, ships, vehicles, weaponry, and electronic systems...
implicated in the events
Cunningham Scandal
The Cunningham scandal is a U.S. political scandal in which defense contractors paid bribes to members of Congress and officials in the U.S. Defense Department, in return for political favors in the form of federal contracts. Most notable amongst the recipients of the bribes was California...
that led to the 2005 resignation of U.S. Representative
United States House of Representatives
The United States House of Representatives is one of the two Houses of the United States Congress, the bicameral legislature which also includes the Senate.The composition and powers of the House are established in Article One of the Constitution...
Randy "Duke" Cunningham.
Wade founded the defense contracting firm MZM Inc. (since renamed Athena Innovative Solutions Inc.), in 1993. On February 24, 2006, he pleaded guilty to paying then Rep. Randy "Duke" Cunningham (R. Calif.) more than $1 million in bribes in exchange for millions more in government contracts. Wade was one of four co-conspirators mentioned in Cunningham's plea agreement of November 28, 2005. In addition to Wade, the three other co-conspirators are: Brent R. Wilkes, founder of San Diego-based ADCS Inc.; New York businessman Thomas Kontogiannis; and John T. Michael, Kontogiannis' nephew. http://www.mercurynews.com/mld/mercurynews/news/local/states/california/northern_california/13946123.htm
Personal life
Wade graduated from American UniversityAmerican University
American University is a private, Methodist, liberal arts, and research university in Washington, D.C. The university was chartered by an Act of Congress on December 5, 1892 as "The American University", which was approved by President Benjamin Harrison on February 24, 1893...
. He married Christiane D. Shipley on June 6, 1999. Shipley graduated from Wake Forest University
Wake Forest University
Wake Forest University is a private, coeducational university in the U.S. state of North Carolina, founded in 1834. The university received its name from its original location in Wake Forest, north of Raleigh, North Carolina, the state capital. The Reynolda Campus, the university's main campus, is...
in 1990. Wade has three children from a previous marriage, Matthew, Zachary and Morgan, and two with Shipley. The Wades used to live in Great Falls, Virginia
Great Falls, Virginia
Great Falls is a census-designated place in Fairfax County, Virginia, United States. The population was 15,427 at the 2010 census.Although primarily a bedroom community for Washington, D.C., one major attraction is Great Falls Park which overlooks the Great Falls of the Potomac River, for which...
."One-time wunderkind could get 11-year term", The San Diego Union-Tribune, February 25, 2006, by Marcus Stern and Jerry Kammer
Career
Initially he worked as a bureaucrat at The PentagonThe Pentagon
The Pentagon is the headquarters of the United States Department of Defense, located in Arlington County, Virginia. As a symbol of the U.S. military, "the Pentagon" is often used metonymically to refer to the Department of Defense rather than the building itself.Designed by the American architect...
, then formed his own defense-contracting firm MZM, Inc., which was later embroiled in scandal. Wade named MZM after his children: Matthew, Zachary and Morgan.
Wade also served in the Naval Reserve
United States Navy Reserve
The United States Navy Reserve, until 2005 known as the United States Naval Reserve, is the Reserve Component of the United States Navy...
.
Bribery scandal details
In June 2005, it was revealed that Wade had bought Cunningham's house in Del Mar, California for $1,675,000. A month later, Wade placed it back on the market where it remained unsold for eight months until the price was reduced to $975,000. Cunningham was a member of the Defense Appropriations Subcommittee and shortly after the purchase, Wade began to receive tens of millions of dollars worth of defense and intelligence contracts. http://www.signonsandiego.com/news/politics/20050612-9999-1n12windfall.htmlLater in June, it was further reported that the yacht
Yacht
A yacht is a recreational boat or ship. The term originated from the Dutch Jacht meaning "hunt". It was originally defined as a light fast sailing vessel used by the Dutch navy to pursue pirates and other transgressors around and into the shallow waters of the Low Countries...
that Cunningham lived on while he was in Washington
Washington, D.C.
Washington, D.C., formally the District of Columbia and commonly referred to as Washington, "the District", or simply D.C., is the capital of the United States. On July 16, 1790, the United States Congress approved the creation of a permanent national capital as permitted by the U.S. Constitution....
was owned by Wade, and that Cunningham was paying only for maintenance, not rent. http://www.nctimes.com/articles/2005/06/16/news/top_stories/2005-6-16-22-58.txt The Federal Bureau of Investigation
Federal Bureau of Investigation
The Federal Bureau of Investigation is an agency of the United States Department of Justice that serves as both a federal criminal investigative body and an internal intelligence agency . The FBI has investigative jurisdiction over violations of more than 200 categories of federal crime...
launched an investigation regarding the real estate transaction. Cunningham's home, MZM's Corporate Offices and Wade's home were all simultaneously raided by a number of federal agencies with warrants on July 1, 2005. http://nctimes.com/articles/2005/07/02/news/top_stories/20_13_257_1_05.prt
The money and favors provided to Cunningham were in exchange for helping win Pentagon work. http://www.nctimes.com/articles/2006/02/24/news/top_stories/20_48_242_23_06.txt Government procurement records show that MZM, which Wade started in 1993, did not report any revenue from prime contract awards until 2003, http://www.washingtonpost.com/wp-dyn/content/article/2005/06/27/AR2005062701856.html but starting in May 2002 they were awarded contracts in the tens of millions of dollars which then grew to well over $150 million.http://www.usatoday.com/news/washington/2005-11-08-pentagon-spending_x.htm
"Prosecutors also laid out a second, separate conspiracy in which Wade was alleged to have paid bribes to a Defense Department official and other employees in return for their help in awarding contracts to his company. Wade pleaded guilty to this scheme as well. The Pentagon employees were not named in court filings." http://www.cnn.com/2006/POLITICS/02/24/congressman.bribery.ap/
Other Members of Congress involved
Reuters reported
In violation of campaign-finance laws, Wade was found to have reimbursed employees at his company, MZM Inc., who made campaign contributions to two other members of Congress.
Campaign-finance records show that those lawmakers were Virginia Republican Rep. Virgil GoodeVirgil GoodeVirgil Hamlin Goode, Jr. , is an American politician, last serving as a Republican member of the United States House of Representatives. He represented the 5th congressional district of Virginia from 1997 to 2009...
and Florida Republican Rep. Katherine HarrisKatherine HarrisKatherine Harris is an American Republican politician, former Secretary of State of Florida, and former member of the United States House of Representatives. Harris won the 2002 election to represent Florida's 13th congressional district in the U.S. House of Representatives. She held that post...
. The charges indicate Wade did not inform either one that the contributions were unlawful.
A spokeswoman for Harris, who as Florida's secretary of state played a key role in the 2000 disputed presidential election between George W. BushGeorge W. BushGeorge Walker Bush is an American politician who served as the 43rd President of the United States, from 2001 to 2009. Before that, he was the 46th Governor of Texas, having served from 1995 to 2000....
and Al GoreAl GoreAlbert Arnold "Al" Gore, Jr. served as the 45th Vice President of the United States , under President Bill Clinton. He was the Democratic Party's nominee for President in the 2000 U.S. presidential election....
, said she had given the $52,000 she received from MZM employees to charity.
A spokesman for Goode was not immediately available for comment. According to the charges he received at least $46,000 in illegal contributions from MZM.
MZM operates several facilities in Goode's south-central Virginia district, including one that conducts background checks on foreign-owned defense contractors. http://www.washingtonpost.com/wp-dyn/content/article/2006/02/24/AR2006022401071.html
The Washington Post reported: "The congressman identifiable as Goode received $46,000 in such disguised contributions in 2003 and 2005, the court papers said. That was part of about $90,000 Wade and his workers contributed to Goode. Wade then asked the member to request appropriations for an MZM facility in his district, the Wade papers said, and a Goode staff member confirmed to Wade that the bill would include $9 million in funding." http://www.washingtonpost.com/wp-dyn/content/article/2006/02/24/AR2006022401737.html
The paper also noted: "The member identifiable as Harris received $32,000 in illegal donations from Wade and his employees in 2004. Documents filed with Wade's plea say that he took Harris to dinner early last year, where they discussed the possibility of another fundraiser and the possibility of getting funding for a Navy counterintelligence program in the member's district. One source familiar with the inquiry said Harris made such a request for funding, but it was not granted." http://www.washingtonpost.com/wp-dyn/content/article/2006/02/24/AR2006022401737.html
Mitchell Wade also contributed to the following political persons:
RNC (Republican National Committee),
John F Kerry (D),
DNC Services Corporation (Democratic National Committee),
Robert L Barr Jr. (R) Georgia,
Elizabeth Dole (R) NC,
Larry Craig (R) ID,
Steve Chabot (R) OH,
Zach Wamp (R) Tenn,
Duncan Hunter (R) CA,
Devon Gerald Nunes (R) CA,
Jerry Lewis (R) CA,
Robert Ney (R) OH,
John William Warner (R) Virginia,
C. W. Bill Young (R) Florida,
National Republican Senatorial Committee,
John Davidson the IV Rockefeller (D) WV,
Richard G Renzi (R) Arizona,
Mario Diaz-Balart (R) Florida,
Floyd Davidson Spence (R) South Carolina,
John Murtha (D) PN
All the above are verifiable at fec.gov
External links
- Mitchell Wade's Plea Agreement
- Pentagon Ends New Work On D.C. Firm's Contract: MZM to Name New CEO as Relationship With Congressman Is Under Investigation, by Renae Merle and R. Jeffrey Smith, Washington Post, June 28, 2005
- Secret military spending gets little oversight, by Matt Kelley and Jim Drinkard, USA TodayUSA TodayUSA Today is a national American daily newspaper published by the Gannett Company. It was founded by Al Neuharth. The newspaper vies with The Wall Street Journal for the position of having the widest circulation of any newspaper in the United States, something it previously held since 2003...
, November 9, 2005. - "Contractors Linked to Bribery Case Worked Together," by Charles Babcock, Washington Post, November 30, 2005.
- Contractor pleads guilty in Cunningham bribery scandal, by Finlay Lewis, San Diego Tribune, February 24, 2006.
- Defense contractor pleads guilty in congressman bribery scheme, by Mark Sherman, AP, Mercury News, February 24, 2006.
- Cunningham cohort Mitchell Wade enters guilty pleas by Mark Walker and William Finn Bennett, North County Times, February 24, 2006.
- Defense contractor: I paid $1 million in bribes, cnn.com, February 24, 2006.
- Mitchell Wade's campaign contribution report, NewsMeat.