FBI: Multiple Groups Involved in Ohio $60M Corruption Scheme

A lengthy FBI agent affidavit detailing a supposed $60 million corruption plan led by one of Ohio’s most powerful elected authorities offers painstaking detail about groups and people who played functions in costs mostly corporate money.

Just one of those groups is specifically named: Generation Now, a supposed slush fund managed by since-ousted Republican House Speaker Larry Householder and his closest political adviser, Jeffrey Longstreth.

Homeowner, Longstreth, 3 other people and Generation Now were prosecuted on federal racketeering charges last week, the very same day Householder’s House coworkers removed him as a speaker.

District attorneys declare almost all of the cash spent to get Homeowner elected speaker, press a $1 billion corporate bailout through the Legislature and money an unclean tricks project to kill an anti-bailout citizen referendum touched Generation Now in some way.

The $60 million originated from what the affidavit and indictment describe as “Company A,” an obvious reference to FirstEnergy Corp. and its different affiliates. But there are a number of other groups that played crucial functions that are not determined. Utilizing public records, media reports and hints in the affidavit, here are the names of the groups and a run-through of the functions they played:

GENERATION NOW

The affidavit and indictment detail how Householder and Longstreth utilized this dark money group as the primary avenue for $60 million in payments from FirstEnergy Corp. affiliates to return Householder to power, press a $1 billion bailout for two aging nuclear plants through the Legislature and keep an anti-bailout referendum off the Ohio tally.

Generation Now was integrated with Ohio on July 26, 2017, to “promote social welfare and financial development.” Incorporation documents were signed by D. Eric Lycan, a Lexington, Kentucky, attorney who served as counsel for U.S. Senate Majority Leader Mitch McConnell’s 2014 re-election campaign and was formerly counsel for the Kentucky Republican politician Celebration, leaving that position in April 2019.

Lycan did not return duplicated messages looking for remarks.

COMPANY A

Akron-based FirstEnergy Corp. has acknowledged it is Company A that is referenced throughout the affidavit and indictment. FirstEnergy officials have long been aggressive in distinguishing between the corporation and its affiliates, including one that ran two Ohio nuclear plants.

A FirstEnergy subsidiary called FirstEnergy Solutions Co. wired and wrote look for many of the money sent to Generation Now, according to the affidavit. FirstEnergy Service Co. supplies the corporation with “legal, monetary and other corporation support services.”

First Energy Corp. CEO and President Chuck Jones serve in the same management role for FirstEnergy Service Co.

FirstEnergy representative Jennifer Young said Wednesday that the corporation is “performing an extensive review of whatever pointed out in the affidavit to identify the facts.”

“We believe the truths will end up being clearer as the examination advances,” Young said.

PAC

This is the unnamed political action group that assisted Householder-supported Home prospects to win primaries in 2018 as part of the alleged plan to further his goals of being chosen Home speaker and getting the bailout legislation authorized.

By matching descriptions in the affidavit with public records and media reports, the unnamed group is Growth & & Opportunity PAC, included in July 2015 by Lycan. Determined as “the attorney” in the affidavit, Lycan served as treasurer for Generation Now, according to incorporation records, Growth & & Opportunity PAC and an associated coalition.

The PAC invested $1 million funneled from Generation Now to aid Householder-backed prospects throughout 2018 main and another $1 million Generation Now wired to another organization connected to Lycan to help Homeowner candidates in the April 2020 primaries, according to the affidavit.

UNION

Descriptions in the affidavit program this unnamed group is Union for Development & & Chance, which Lycan integrated with Delaware the day after he included the likewise named PAC in 2015.

Lycan is listed as treasurer, and the affidavit said he controlled its bank account, although a resume for Longstreth acquired by FBI agents states he oversaw the union’s political activities.

Previously this year, the coalition received $1 million from Generation Now that was passed on to Growth & & Chance PAC for House main races. According to the affidavit, the coalition was utilized to money PAC costs this year since of negative publicity surrounding Generation Now’s costs efforts and the hesitation by Householder’s prospects to be related to Generation Now.

DARK MONEY GROUP 1

A dark money group separate from Generation Now, he was an organization that was used by Householder’s “enterprise” to conceal money on media buys during the 2018 general election, according to the affidavit.

The group was included in Ohio on Sept. 21, 2018, which matches state records and reporting by The Columbus Dispatch as a for-profit business called Hardworking Ohioans Inc.

Dark Cash Group 1, The Dispatch, reported, was run by a Columbus lobbying firm and formed by two previous Ohio Home Republican politician senior staffers.

According to the affidavit, Dark Cash Group 1 received nearly $1.5 million, consisting of $670,000 from Generation Now, $500,000 from Business A and $300,000 from “other business interests.”

ENERGY PASS-THROUGH

This is a group explained in the affidavit as a not-for-profit included in Ohio on Feb. 8, 2017, two days after it was incorporated in Delaware. According to the affidavit, Its function was to funnel countless dollars from Business A to Generation Now in 2018 and 2019.

The Cincinnati Enquirer recognized the group two days after the release of the FBI affidavit as Partners for Development and reported that previous FirstEnergy lobbyist, Dan McCarthy, was the group’s president.

McCarthy stated he functioned as board president for Partners for Development up until he ended up being Republican Gov. Mike DeWine’s legal director in late 2018.

“Any insinuation I was involved in this revolting plan is without merit,” McCarthy informed the newspaper.