George Washington University law professor John F. Banzhaf III teaches a “unique world-famous course—”Legal Activism”—where students learn to become public interest lawyers by bringing their own legal actions.” He’s been doing some version of this course since the 1970’s, and there is now a long list of victories.
He and his students are widely known for bringing hundreds of innovative public interest legal actions including one of the leading Supreme Court environmental law suits, forcing the Cosmos Club to admit women, persuading the FTC to require “corrective advertising,” preventing dry cleaners from charging women more than men to launder their shirts, suing Spiro T. Agnew to recover the bribes he received, safety standards for school buses, clearer warnings on birth control pills, smoke detectors in airplane lavatories, auto bumper standards, new police procedures for dealing with wife beaters, the end to a scheme to defraud veterans, greater roles for blacks on television, clearer labeling of foods, and many other victories.
The Spiro Agnew case was launched in 1976. On April 28, 1981, the New York Times reported on their victory.
A Maryland judge ruled today that, despite his years of denials, Spiro T. Agnew took thousands of dollars in bribes from contractors while he was Governor of Maryland and Vice President.
The judge then ordered Mr. Agnew to repay the state $147,500 in kickbacks, with interest of $101,235, for a total of $248,735, money that Judge Bruce C. Williams of the Anne Arundel County Circuit Court held ”belongs to the people of Maryland.”
Agnew appealed the case twice, both times unsuccessfully, and in 1983 he wrote a check for $268,482 to Maryland State Treasurer William S. James.
In truth, Agnew’s corruption scheme predated his term as the governor of Maryland. It began after his 1962 election as the executive of Baltimore County. Unfortunately for Agnew, the corruption in Baltimore County continued unabated and spurred a 1973 investigation by U.S. Attorney for the District of Maryland George Beall. Mr. Beall quickly uncovered evidence of Agnew’s crimes.
What happened next should look pretty familiar and be of great interest to people who are wondering what’s next for President Trump.
Much like how Trump’s attorney Michael Cohen became a cooperating witness after his offices were raided, the government secured the cooperation of a witness who was eager to provide evidence against Agnew.
Agnew had not been county executive since December 1966, and any misdeeds done then would be past the statute of limitations. As part of the investigation, Lester Matz’s engineering firm was served with a subpoena for documents, and through his counsel he sought immunity in exchange for cooperation in the investigation. Matz had been kicking back to Agnew five percent of the value of contracts received through his influence, first county contracts during his term in Towson, and subsequently state contracts while Agnew was governor.
When Agnew got wind of the fact that a U.S. Attorney was poking around in his past, he attempted to use the Attorney General to cover his tracks and sought assurance that he was not personally under investigation.
In February 1973, Agnew heard of the investigation and had Attorney General Richard Kleindienst contact Beall. The vice president’s personal attorney, George White, visited Beall, who stated that Agnew was not under investigation, and that prosecutors would do their best to protect Agnew’s name.
However, there were documents that verified Agnew’s corruption and the witness was willing to testify that he had continued making payments to Agnew even after he assumed the vice-presidency. He also said he could provide proof of this.
In June, Matz’s attorney disclosed to Beall that his client could show that Agnew not only had been corrupt, but that payments to him had continued into his vice presidency. These later payments would not be barred by the statute of limitations; Agnew could be prosecuted. On July 3, Beall informed the new Attorney General, Elliot Richardson, and at the end of the month Nixon, through his chief of staff, Alexander Haig, was informed. Agnew had already met with both Nixon and Haig to assert his innocence.
As with Michael Flynn, Agnew had not been honest when confronted by the president’s chief of staff and before long the word came down that he was actually a target of the investigation.
On August 1, Beall sent a letter to Agnew’s attorney, formally advising that the vice president was under investigation for tax fraud and corruption. Matz was prepared to testify that he had met with Agnew at the White House and given him $10,000 in cash. Another witness, Jerome B. Wolff, head of Maryland’s road commission, had extensive documentation that detailed, as Beall put it, “every corrupt payment he participated in with then-Governor Agnew”.
With his denials no longer operative, Agnew at first attempted to stick to his guns and attacked the investigation.
Richardson, whom Nixon had ordered to take personal responsibility for the investigation, met with Agnew and his attorneys on August 6 to outline the case, but Agnew denied culpability, saying the selection of Matz’s firm had been routine, and the money campaign contributions. The story broke in The Wall Street Journal later that day. Agnew publicly proclaimed his innocence and on August 8 held a press conference at which he called the stories “damned lies”.
His next gambit was an effort to use his office as a shield from prosecution while accusing the Department of Justice of acting improperly by engaging in leaks. He also held his own version of a MAGA rally in an effort to shore his support with the Republican base.
Under increasing pressure to resign, Agnew took the position that a sitting vice president could not be indicted and met with Speaker of the House Carl Albert on September 25, asking for an investigation. He cited as precedent an 1826 House investigation of Vice President John C. Calhoun, who was alleged to have taken improper payments while a cabinet member. Albert, second in line to the presidency under Agnew, responded that it would be improper for the House to act in a matter before the courts. Agnew also filed a motion to block any indictment on the grounds that he had been prejudiced by improper leaks from the Justice Department, and tried to rally public opinion, giving a speech before a friendly audience in Los Angeles asserting his innocence and attacking the prosecution.
Walter Dellinger served as head of the DOJ’s Office of Legal Counsel and as acting U.S. solicitor general during Bill Clinton’s administration. He points out in Monday’s Washington Post that Agnew had one genuinely powerful card to play.
President Richard M. Nixon’s Watergate scandal was simultaneously exploding, and Nixon seemed to be imploding. If Watergate took down the president, it was imperative that Agnew be out of the line of succession. The urgency of the situation, and the imperative to avoid having a corrupt felon take over the presidency, gave Agnew enormous bargaining power. And he used it.
As the likelihood that Nixon would be removed from office increased so, too, did the need to get Agnew out of the line of succession. Knowing this, Agnew was able to strike a shockingly lenient deal in which he would plead no contest to a single year of tax evasion, pay a $10,000 fine, and receive three years of unsupervised probation.
On October 9, 1973 Agnew informed Nixon that he would resign. The next day he appeared in federal court in Baltimore and entered his plea. It was his last day as the nation’s vice-president. Nixon followed him out the door ten months later.
In his post-political career Agnew began an international consultancy that in retrospect seems like a precursor of the work Roger Stone and Paul Manafort would begin in the mid-1980’s.
To earn his living, he founded a business consultancy, Pathlite Inc., which in the following years attracted a widespread international clientele. Describing his business methods, Agnew said: “I have one utility, and that’s the ability to penetrate to the top people.” One deal concerned a contract for the supply of uniforms to the Iraqi Army, involving negotiations with Saddam Hussein and Nicolae Ceauşescu of Romania.
For his part, Nixon continued to defend Agnew.
… Nixon claimed that he had had no direct role in the processes that had led to Agnew’s resignation and implied that his vice president had been hounded by the liberal media: “He made mistakes … but I do not think for one minute that Spiro Agnew consciously felt that he was violating the law”.
Perhaps history never repeats itself, but it certainly seems to rhyme, and we can see many parallels between Agnew’s case and the current investigations against President Trump. Wired magazine now numbers seventeen separate lines of inquiry that at least marginally implicate the president. And we are again discussing many of the same issues. Can the president be indicted while in office? How do we treat the statute of limitations on his crimes? Has the president committed tax fraud? Has he improperly received donations and other political favors in return for official acts and changes in U.S. policy? Did the president attempt to suborn obstruction of justice by improperly trying to influence high-ranking members of the Department of Justice?
Other methods are recognizable, too. At first, the president tried to hide behind the fact that he wasn’t’ officially considered a target of the investigation. Now Trump relentlessly attacks the investigators, accusing them of leaking and of bias. He holds rallies before his loyalists, decrying his treatment.
Perhaps the ultimate solution here will be similarly recognizable. Rather than engage in a prolonged impeachment process that will humiliate congressional Republicans and put them in an impossible position, they might convince Trump that he can face a less uncertain and perilous future by copping a lenient plea in return for stepping down.
If Trump does not win reelection, he will discover that the statute of limitations has not run out on many of his crimes. Does he really want to deal with that prospect?
I suspect that the best solution for all involved here will involve a voluntary end to his presidency. He still has that bargaining power today, but it may vanish once Robert Mueller divulges what he’s learned.
In a few years, maybe Prof. Banzhaf’s students can get us some of the restitution we all deserve.
Trump’s ability to seek any kind of plea deal in any of the numerous pending outcomes diminishes by the day if not the hour. It is becoming a kind of exquisite kind of catch22 for him.
He’s not going to escape prosecution no matter what he does; his empire is clearly headed towards its next set of bankruptcies at the very least, his children are in harm’s way and he faces easily what can be life sentences.
Pence would have to issue rolling pardons to get him out of Mueller’s sights so Trump’s situation is probably 10x worse than Agnew’s but the framework does give an escape for Rep’s.
Who would be Trump’s Ford? And would Trump become, in his words, a ‘flipper’ himself to try and shift the blame or even give NY prosecutors the next ‘Don’?
Cutting a deal like Agnew did won’t do Trump any good, because the Feds cannot bargain away State prosecution in Federal Court. What you do not mention anywhere is that Agnew, when taking that 10,000 most likely broke Maryland law, and could be prosecuted for that. A Maryland contractor giving 10 grand to an ex-Maryland governor for a continuous bribery conspiracy? Even if the hand off took place in the WH, that sounds like a state crime to me.
Dollars to donuts Maryland chose not to prosecute because the graft was pervasive, and Agnew could have brought everyone in Maryland down.
Trump has no such protection. If he were to resign and get some sweet heart deal, he can be assured (and almost certainly has been assured) he is going to lose pretty much everything.
Trump Inc. was/is a criminal enterprise, and Mueller is showing that in his court filings. The new NY State Attorney just campaigned on gutting that business. It’s gone.
Trumps only hope is to ride it out.
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First, what really brought Agnew done was taking envelopes of cash while vice-president. Second, he was doling out federal highway money to state contractors as governor. His crimes as county executive were protected by the expiration of the statute of limitations, which is why he wasn’t seen initially as at risk from the investigation.
As for Trump, you may be right that he can’t rid himself of state prosecutions. Yet, the NY AG might agree to dial things back in return for a resignation. If I were her, I’d consider that a bargain.
Sorry, I am no wordsmith, and I should have been more clear.
Trump has more to lose than Agnew. Trump has a successful business, and he has wrapped his whole identity in that business. It has now become pretty obvious that that business is an ongoing criminal enterprise, involving money laundering, fraud, theft, and conspiracy with foreign entities to defraud the US. That business is under serious threat, what with every upper management person there, not named Trump, either under indictment or cooperating with investigations. It’s ability to be successful is not likely, considering that success was/is dependent on 1) Trumps name, and 1) being able to commit crimes.
Sure, Trump could cut a deal with the Feds, that if he resigns, he and his criminal kids can return to his company and continue on as before….continuing with his past behavior, but with all the benefits of every deal he secretly made as POTUS. So even with the resignation he comes out ahead.
What a shitty deal for America!
Yes, States Attorney James could `consider that a bargain’ and break all her campaign promises, and let Trump and his kids go on their merry way, continuing their criminal enterprise.
What a shitty deal for New York!
She should immediately be removed from office, and nobody should ever vote for her again.
Who’s being the cynic now? You or me?
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Trump’s corruption, and that of his children, is so pervasive, and the people of the nation are so sick to death of corruption, it’s hard for me to see how he cuts a deal that lets him off easy. Perhaps we’d initially see such a deal at the federal level but state prosecutions and tort lawsuits would keep nipping at him indefinitely.
I think we’re at an inflection point where the nation either becomes an autocracy or at least Trump himself pays a major price. Of course, barring unforeseeable social changes, the wealthy will continue to play by another set of rules than the rest of us. Those not stupid or mentally ill enough to raise their heads up by stepping into the public spotlight will continue to get away with everything and anything, just as Trump would have gotten away with murder had he not run for president.
I disagree with everybody who thinks Trump couldn’t land a sweet-heart deal if he wanted it. The DC establishment and the establishment media are ALWAYS looking to shield Republicans and conservatives from having to pay for their crimes and extremist policies.
They would immediately go into “it’s all in the past now, and we have to look forward” mode. Fox News would be screaming about how Trump was railroaded.
Trump would feel humiliated and defeated to accept a deal though. He would far rather die than be defeated. So, no, he won’t consider a deal, nor do his angry idiot base want him to do it.
I don’t see Lou Dobbs coming out in favor of such a plan, so since Trump gets his ideas from Fox and Lou Dobbs, there’s no chance he’ll do it.
I didn’t know any of this. Thanks.
Rachel Maddow has a podcast series out on the Agnew history that is well worth the time. And relevant now for all the obvious reasons.
I saw Agnew in a Singapore hotel lobby o/a 1983 when I was visiting from nearby Indonesia. He was easy to spot since he was a tall man and towered over the Singaporean businessmen he was apparently consorting with. I had always despised Agnew. Everyone knew he was a corrupt sleaze bag. I was sorely moved to go up and slug him but knew I would be arrested.
I do feel that regardless when Trump actually steps down either through a 2020 defeat or some sort of Nixon/Agnew resignation solution, Trump should be pursued for the enormous money laundering, wire fraud and other financial crimes that he oversaw whether by the SDNY, the NY AG or the civil suits that the GW Professor taught his students (and many kudos to him; he’s a hero).
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