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Jun.08, 2010

Lawmakers passed several bills diverting $900,000 from a special narcotics bureau fund in the closing days of the legislative session, including $90,000 now at the center of a political corruption investigation.

Rep. Randy Terrill, a target in the corruption probe, helped orchestrate plans to move wire transfer fee money to other public safety agencies, legislative records and Oklahoma Bureau of Narcotics and Dangerous Drugs Control e-mails show.

Terrill and others are under investigation in an alleged plot to give a Democratic lawmaker — state Sen. Debbe Leftwich — a new job at the medical examiner's office so a Republican could run for her seat.

Oklahoma County District Attorney David Prater is conducting the investigation. He has said he was told the $80,000- per-year job would have been paid for with money from a special fund for the narcotics bureau.

"The only thing that was ever said to me about what the money was being used for was, it was always ABLE's cars — ABLE commission cars — and that came from Randy (Terrill),” narcotics bureau Director Darrell Weaver said. ABLE is the Alcoholic Beverage Laws Enforcement Commission.

Weaver added: "They (legislators) told us there was going to be some money taken out. They said they had to shore up some holes with some agencies.”

He also said discussions typically centered on the amount of money needed, not its purpose.

Weaver on Friday, however, told The Oklahoman he thought the money intended for the medical examiner's office was going to be used to hire pathologists to do autopsies. He said Friday and Monday he didn't know the money was to be used for the office's new transition coordinator job.

State fees on cash wire transfers at places such as Western Union are put into the Drug Money Laundering and Wire Transmitter Revolving fund at Weaver's agency. The fees have raised about $5.7 million since they began last year, according to figures from the Oklahoma Tax Commission.

Weaver said the money has been used to pay for operations at the narcotics bureau, which typically only receives about 60 percent of funding it needs from the Legislature.

The fee was created because the narcotics bureau found drug dealers were increasingly using wire transfers for drug deals, Weaver said.

Terrill, chairman of the House appropriations subcommittee for public safety, helped create the wire transfer fee last year. The fees are assessed at more than 2,200 wire transmitters licensed by the state. Wire transfers at banks are not subject to the fees.

Fees are $5 for the first $500 transferred and 1 percent of any amount above that. Oklahoma residents can claim a refund on wire transfer fees on their income tax returns.

Prater has said that using wire transfer fee money to fund the new medical examiner's office job may have been done to circumvent a constitutional ban on lawmakers taking jobs funded by state-appropriated money within two years of leaving office.

Prater has said that in doing so lawmakers may have violated their oath to uphold the state constitution.

Democratic Gov. Brad Henry on Sunday vetoed a bill that transferred the wire transfer bill money to the medical examiner's office and another bill that created the transition coordinator position alleged to have been promised to a lawmaker.

Wrongdoing denied

Terrill, a Republican from Moore, has not returned numerous calls seeking comment. No one answered the door at his house Monday.

He denied wrongdoing on a radio program Monday morning.

Also targeted in Prater's investigation are Leftwich, D-Oklahoma City, who announced on the last day of the session she wouldn't seek re-election, and Rep. Mike Christian, R- Oklahoma City, who announced days later he would seek her seat.

Christian dropped those plans Sunday, saying he would instead focus his efforts on being re-elected to the House. He has denied wrongdoing.

Leftwich also has denied wrongdoing. A former U.S. attorney, Robert McCampbell, has been hired to defend her.

Terrill and Christian filed for re-election to their House seats on Monday, but neither appeared in person at the Capitol.

Legialators control fund

Susan Rogers, the narcotics bureau's general counsel, said Terrill never told her of plans to use the wire transfer fees for a new job at the medical examiner's office. She said lawmakers ultimately control the fund.

"In the end, they can take whatever they want,” Rogers said. "It's not really like it's our choice.”

In the closing days of this past legislative session, Terrill and other lawmakers arranged to take $900,000 from the fund to pay for operations at other public safety agencies, including $90,000 for the medical examiner's office. The movement of money from the wire transfer fee fund came in separate bills that have yet to be signed by Henry.

Other transfers include:

• $300,000 to the Council on Law Enforcement Education and Training.

• $200,000 to the state Fire Marshal.

• $160,000 to the Court of Criminal Appeals.

• $100,000 to the state Indigent Defense System.

• $50,000 to the Alcoholic Beverage Law Enforcement Commission.