Donald C. Smaltz, Independent Counsel In Re Espy, today made the following statement:
A three count criminal information has been filed against James H.
Lake alleging one felony charge of wire fraud in violation of Title 18, United States
Code, Sections 1343, 1346, and 2; one misdemeanor charge for an illegal corporate campaign
contribution in violation of Title 2, United States Code, Sections 441b(a) and
437g(d)(1)(A) (Federal Election Campaign Act "FECA") and Title 18, United States
Code, Section 2; and another misdemeanor charge for a campaign contribution in violation
of Title 2, United States Code, Sections 441f and 437g(d)(1)(A) and Title 18, United
States Code, Section 2. At the time material to the charges in the information, Mr. Lake
was a lobbyist representing organizations with business pending before the Department of
A conviction on the wire fraud count charged in the information is
punishable by a maximum term of imprisonment of up to 5 years, a fine of up to
$250,000.00, and a special assessment of $50.00. A conviction on each of the FECA counts
is punishable by imprisonment of up to one year, a fine of up to $100,000.00, and a
special assessment of $25.00.
The Independent Counsel's investigation is ongoing.