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Lettergate: Tulsa Mayor Terry Young's Forgery Scandal

11/29/2024

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  When a high official gets involved in wrongdoing, it's usually the cover up that gets him in big trouble.

 The Democrats were 'circling the wagons' when Finis Smith was convicted. They knew it could lead to election losses. When several Democrats wrote to the judge in the Finis Smith trial, they begged for leniency for Smith. That revelation jeopardized several Democrat elected officials.
  Well, evidently some operatives thought it would be good strategy to make the Republicans look like their prosecutions were politically motivated. So another Republican federal prosecutor was targeted for a Democrat dirty trick. A letter was forged with the signature of Federal Prosecutor, Layn Phillips. The Federal investigation traced the source of the letter to a typewriter in Democrat mayor Terry Young's office. Everyone denied involvement and nothing was ever proven.

 Tulsa World said;
One of the biggest stories of 1986 was the so-called "Lettergate" scandal, which toppled Mayor Young's administration. After various public officials, including Young, wrote letters urging leniency for the Smiths, two subsequent letters with then-U.S. Attorney Layn Phillips' named forged on them surfaced. The forgeries suggested Phillips would release names of Democratic officials who had written leniency letters in an effort to damage them politically.
  The forgeries were linked to a typewriter and letter found in Young's office. Young and his staff denied any involvement, and a federal grand jury and special prosecutor left the case unresolved. But the incident no doubt led to the defeat of Young by political newcomer Tom Quinn in a March primary. 

Water & Sewer Commissioner, Patty Eaten, then filed for mayor as an Independent and the left was officially split. 17 other independants also ran.  Political novice Dick Crawford was elected mayor in the general election, beating out 19 other candidates.
The Daily Oklahoman said:
TULSA Republican Dick Crawford won Tulsa's mayoral election Tuesday night, defeating independent candidate Patty Eaton and 18 other challengers.
With 180 of 188 precincts reporting, Crawford had 44,434 votes to Eaton's 32,986, in unofficial results. Crawford will take the mayor's oath May 6, replacing incumbent Terry Young.
Democratic nominee Tom Quinn received 10,589 votes. The 17 other candidates running for mayor polled about 4.5 percent of the vote.
Eaton conceded defeat as she addressed supporters at the Westin Hotel here. She said she had known from the start it was "risky business" to abandon her race for re-election as water and sewer commissioner to run for mayor.
"We had a lot of things going for us, but then we also had a lot of things going against us," Eaton said.

Years later, the Tulsa World wrote a decent summary...

The letter that changed an election

Somewhere in this city some sentimental fool has kept a T-shirt, now 16 years old, with "I Ran for Mayor of Tulsa" printed on the front.
If you can find it in the bowels of your closet you hold a souvenir from perhaps the wackiest city election season in Tulsa history.
The general election of 1986 -- an event held, quite aptly, on April Fools' Day -- was a testament to gonzo political pundit Hunter S. Thompson's axiom: "When the going gets tough, the weird turn pro."
Generally it is wise to let bygone elections be bygones and if ever there was a political season that deserved eighty-sixing in the memory it probably is the political season of '86. But with the 2002 city primary and general elections approaching, it's worth revisiting a moment in city history when voters were especially tuned into city elections.
It took the Tulsa County Election Board 88 hours to print a two-sided ballot for the general election that featured 20 candidates for mayor and 27 more candidates for five other city offices.
This year we will have a smaller pool of candidates upon whose messages we can focus. Sixteen years ago voters had trouble understanding messages because too many candidates were shouting them. Candidates of almost every age and from every walk of life had descended on the ballot like a swarm of locusts.
That year re-election for first-term Mayor Terry Young, a Democrat, had appeared to be a cakewalk. Then came "Lettergate," a bizarre scandal-ette that erupted a month before the primary. A mysterious letter, later proved to be forged, was given to the Tulsa Tribune by a Young political consultant.
The letter implied that then-U.S. Attorney Layn R. Phillips had played politics several weeks earlier when he released names of prominent Democrats who'd written letters to a federal judge urging leniency for ex-state Sen. Finis Smith and his wife, Doris. The Smiths had been convicted on several federal charges and were awaiting sentencing.
When the story broke, Phillips asked the FBI to investigate. The letter, carrying Phillips' forged signature, was traced to a typewriter in Young's offices. Young said he knew nothing about the origin of the letter. A federal grand jury investigated.
While no charges were ever filed, the leniency letter and the letterhead scandal cost Young the election. He lost the Democratic primary by 1,479 votes to political unknown Tom Quinn, owner of a sign company, who acknowledged that the primary was the first time he had ever voted in a city election. The Republican nomination went to another political novice, Dick Crawford.
At the time, the City Charter allowed Independent candidates to file up to 10 days before the general election. Eighteen Independents seized the opportunity to run for mayor and 18 Independents jumped into other city races.
Shortly before the election, then-Election Board Secretary Harmon Moore paused in his hand-wringing to observe: "We will conduct the election April 1. At this point I don't know how, but it will go on one way or the other."
Moore didn't sound at all convincing. He earlier had lamented that he did not know whether to expect 25,000 voters because of apathy and disgust over the political circus, or 150,000 voters because of high interest. (Voter turnout hit a record for a city election at 97,901).
On Election Day, voters were presented with a bewildering array of 47 candidates on the ballot. Included were two Kings, two Quinns, six high school seniors, "a Tom, a Dick but no Harry," (as noted in a Washington Post story about the fluky election) and a retiree calling himself the Candyman, who gave out sweets to anyone nice to him.
A candidate nicknamed "Night Train," also campaigned but never got to fulfill his promise of "restoring good, moral Christian ethics to City Hall."
Some candidates were serious contenders; others, obviously, were jokes waiting to be elected. A few entered races because Democratic and Republican nominees for office were perceived to be political flukes who were ill-prepared to run a large city with complex problems. The front-runner among the mayoral Independents was three-time Water and Sewer Commissioner Patty Eaton, a Democrat.
After the primary, Eaton abandoned her bid for a fourth term to that post, and threw her hat into the mayor's race. She lost the hat and the election by 12,265 votes to Crawford. Quinn ran a distant third. The six high school students received several thousand votes in a turnout that was so large many voters had to cast their ballots while standing on sidewalks outside the polls.
On Election Day, a clown in big shoes waddled the streets of downtown Tulsa wearing a placard that touted a candidate. Overhead, a plane swooped through the skies trailing another candidate's message. A car equipped with a public address system blared still more recommendations. A local radio personality attracted the attention of the New York Times by urging voters to elect him as a write-in candidate. And T-shirts were hawked, emblazoned with the message: "I Ran for Mayor."

Read the full story at the Tulsa World: http://www.tulsaworld.com/archives/how-bad-it-was/article_39df5cec-db61-5fff-b210-19f79aa13463.html 
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Senate Pro Temp Finis Smith Goes To Prison For Fraud

11/22/2024

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 Senate President, Finis Smith, of West Tulsa, was caught with an unreported foreign bank account which he's not reported on his taxes. He and his wife both were sentenced to prison. They owned a Tag Agency. He was disbarred from his law practice.

  The Tulsa World said;
1985
  Former Oklahoma Senate  president pro-tem Finis Smith, along with his wife Doris,  were convicted by a federal court jury here on felony counts  of mail and tax fraud, conspiracy and failure to disclose foreign bank accounts. Finis and Doris Smith, each got six years, and were sent to a federal prison in Texas.
The Daily Oklahoman put it this way..
A federal jury Thursday afternoon found former state Sen. Finis Smith and his wife, former Tulsa County automobile tag agent Doris Smith, guilty of 18 counts each of mail fraud, tax fraud, tax evasion and conspiracy.
The jury deliberated slightly less than eight hours, announcing at 12:35 p.m. that it had reached a verdict. The Smiths gazed stoically ahead as Presiding U.S. District Judge H. Dale Cook's clerk read the verdict on each count. As the verdict was announced, defense attorney Carl Hughes lowered his head to his arms on the table in front of him.
The jury found the Smiths guilty of conspiring to put three family members and a longtime friend in charge of four Tulsa County tag agencies after Doris Smith resigned in 1977 as county tag agent. The Smiths siphoned $68,000 from the four agencies in 1978 through office equipment lease-purchases with the four agents. The jury found that the Smiths illegally waited until filing their 1981 tax returns to report the income.
The jury found that the Smiths sent $50,000 of the lease-purchase proceeds to a bank in Tampico, Mexico, where they opened a series of savings and investment accounts. The couple conspired to hide the accounts' existence from the federal government, the jury ruled, and willfully failed to disclose their ownership of the accounts on their 1978 through 1982 tax returns. The Smiths claimed that the money belonged to a Mexican friend, even though the accounts were in their names.
The Smiths were found guilty of buying two obsolete check-proofing machines for $100, then donating them to the Tulsa County Area Vocational-Technical School and fraudulently claiming the machines were worth $34,000 on their 1979 tax returns.
The jury also found the Smiths guilty of mailing letters to the county assessor's office, falsely claiming that Doris Smith's Dorokee Co. had no taxable assets.
A Tulsa park had been named after Finis Smith.
It was promptly renamed The Challenger Seven park (after
the astronauts killed in a shuttle disaster around that time).
The Smiths served less than 1 year of their 6 year federal sentence.
 Finis Smith and his wife, former Tulsa tag agent Doris Smith, were released as scheduled Monday from the Federal Correctional Institute in Fort Worth, prison officials said.  The Smiths were convicted in November 1985 of mail fraud, tax evasion and failure to report a foreign bank account. They were sentenced to six years in prison.
Last March, U.S. District Judge H. Dale Cook granted the Smiths an indeterminate sentence. The U.S. Parole Commission announced in October that the Smiths would be paroled March 30.  Tulsa U.S. Attorney Layn Phillips agreed not to oppose the granting of an indeterminate sentence if the couple would promise not to appeal the conviction.
Federal court records show the Smiths paid more than $90,000 in fines and court costs in March 1986.
 In 1992, Finis Smith applied to be reinstated to the bar.
The couple could have faced up to 73 years in prison and $2.7 million in fines. After Smith's conviction, the state Supreme Court suspended Smith from practicing law for five years, effective March 1986.
His attorney, state Sen. Gene Stipe, D-McAlester, filed the petition for reinstatement. Smith, 65, told the court he now lives in a trailer in Tulsa. He and his wife's income has gone from $200,000 to nothing, he said.
 
"My abode was and is a travel trailer presently located

in Tulsa," 
Smith said in the affidavit attached to the petition. The statement said he has been a legal resident of Tulsa County for six years, although he has traveled to Texas, Arizona and Washington.
Finis Smith died in 2005. Doris died in 2013. 
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Speaker Dan Draper Convicted Of Election Fraud In 1983

11/15/2024

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  The Oklahoma Speaker, Dan Draper, was convicted in 1983 for election tampering. He was trying to help his father win a seat in the Oklahoma legislature.

  The Tulsa World reported;
1983
  Then-House Speaker Dan Draper's troubles began in 1983.  He and House Majority Floor Leader Joe Fitzgibbon initially  were convicted of mail fraud and conspiracy charges for  allegedly fixing absentee ballots to help Draper's father  in an unsuccessful race for a House seat. Draper and Fitzgibbon  later won new trials (in 1985), but a federal judge dismissed  the charges at the behest of U.S. Attorney Roger Hilfiger.  Muskogee Democrat Jim Barker became the new speaker thanks  to Draper's troubles.
 Draper was further convicted in 1984. the Tulsa World said;
  Dan Draper ended up in more trouble. He was arrested in February when a police officer found him slumped over the wheel of his car. He pleaded no contest to actual physical control while intoxicated, a charge later amended to a lesser offense after a year of probation. 
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The Oklahoma County Commissioner Scandal

11/8/2024

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Bill Price prosecuted most of the County Commissioners
  When Republican President, Ronald Reagan started appointing conservative federal prosecutors and judges, The Democrats who ran Oklahoma began to sweat. Eventually, the IRS notified the Justice Department about fake billing invoices to county commissioners. Bill Price was one such federal prosecutor. After he sent scores of county commissioners to jail, he ran for governor. Sadly he lost, due to more corruption in David Walter's campaign funding.
   Harry Holloway, of the Oklahoma Historical Society said;
 In 1980 a huge scandal erupted stemming from the conviction of some 220 county commissioners and suppliers. Their convictions rose from involvement in a scheme of kickbacks paid on orders for county road-building supplies such as timber and gravel. The scandal reached all across the state in roughly sixty counties large and small, urban and rural. It had been going on for as long as anyone could remember. Again, federal officials rooted out the corruption.
The Tulsa World said;
1981  Undoubtedly the year's biggest story also was a big one nationally: The far-reaching county commissioner scandal, essentially a kickback scheme among suppliers and commissioners, began to unfold. It was described as the largest case of public corruption in the nation. All but a handful of the state's 77 counties were involved. Commissioners resigned in 69 counties; 13 counties lost all their commissioners in the wake of the scandal, unearthed by federal investigators.  Over the next year, 240 commissioners, former commissioners and material suppliers would be implicated before the scandal drew to a close.
  Old-time politics in the Southern tradition reared its head in Oklahoma big time when dozens of "good ol' boy" county commissioners were convicted of taking kickbacks. The scandal played out in the early 1980s, serving as a textbook example for political scientists of what power and money can do to common folks elected to public office where they have access to taxpayers' money. "The funny thing is that the corruption was generally accepted," Gaddie said. It was common practice that commissioners received a 10 percent kickback from key vendors, but when the ante was upped to 15 percent or more, it was discovered. 
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Oklahoma Governor Goes To Prison

11/1/2024

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David Hall:
David Hall passed away this Spring. He has been living quietly since he left public life on his way to prison.
After the terrible governorships of the late 20s & early 30's, it wasn't  until the 1960s that major scandals again surfaced, and then they did so with a vengeance. Three justices of the Oklahoma Supreme Court were removed from office by impeachment or resignation arising from IRS investigations of reports that justices were taking kickbacks for favorable decisions. A powerful former speaker of the Oklahoma House of Representatives, who had been a dominant figure in state government, was convicted and sent to jail as a result of IRS investigations arising from charges that he failed to report income received in return for political favors. Then in 1975 a former governor, David Hall, was convicted, shortly after leaving office, of misusing his powers of office by trying to direct a state retirement fund to help a friend with a loan. Again, federal officials were the chief agents in cleaning up the corruption.
 Harry Holloway, of the Oklahoma Historical Society.
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    Corruption Chronicle

      A retelling of the dubious escapades our past state leaders have been exposed for their role in.

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