From the SJ-R:
Fawell: Experts reviewed contracts
Testifies he doesn’t know if Ryan set them up for Warner
By MIKE RAMSEY
COPLEY NEWS SERVICE
Published Tuesday, October 18, 2005
CHICAGO - Lucrative secretary of state contracts for a mainframe computer
system and digital driver’s licenses were evaluated by top staff before
George Ryan approved them, the politician’s top aide in the 1990s testified
Monday.
Prosecution witness Scott Fawell said the task of picking vendors for the
jobs was delegated to department experts. He said he wasn’t aware of Ryan,
then secretary of state, steering the contracts to lobbyist Larry Warner, which
is a major accusation in Ryan’s conspiracy trial in U.S. District Court
in Chicago.
Fawell’s remarks came as Ryan defense lawyer Dan Webb cross-examined
the imprisoned racketeer for a third days.
Fawell, 48, has agreed to help prosecutors in a deal to help his fiancee, who
is indicted in unrelated cases. He was a chief of staff for Ryan and managed the
Kankakee Republican’s successful 1998 campaign for governor.
In a nearly $30 million contract to replace failing secretary of state computers,
prosecutors say Warner, a longtime Ryan friend and adviser, tried to shake down
technology vendor Honeywell Bull before he was hired by IBM, which eventually
clinched the deal.
Ryan’s information-services director, Frank Cavallaro, recommended
IBM after he reviewed bids from the two competitors, according to a May 1996 memo
that Webb reviewed with Fawell. IBM also got the nod from Andersen Consulting
and a separate advisory committee, the memo from Cavallaro to Ryan said.
Cavallaro wrote that Honeywell Bull would need a year to deliver the system parts,
while IBM could provide the components immediately. Fawell said Ryan later signed
the IBM contract by proxy, or “autopen,” and the computers apparently
worked fine.
“I never heard a complaint, so I figured no news was good news,”
Fawell said.
He said an advisory committee of secretary of state employees also studied proposals
for the digital conversion of Illinois driver’s licenses. For that project,
Fawell said, driver services director Mike Chamness and Cavallaro recommended
a firm called Viisage Technologies, which Warner also represented.
Fawell said he liked that the company used “facial recognition”
technology to prevent fraud, and he and Ryan OK’d the 1997 deal.
“When you signed off on this, did you feel good about this?”
Webb asked Fawell.
“Yeah, I’d say I did,” Fawell said.
Fawell said Ryan was not directly involved in another Warner-related transaction,
the relocation of secretary of state divisions from one Loop building to another.
Fawell said he knew Warner was “sponsor” of a site at 17 N. State
St., which was selected after procurement staff examined the property. Ryan’s
“autopen” signature finalized the 1991 lease, which was reviewed by
general counsel Roger Bickel and other officials, according to a copy shown to
jurors.
“Normally George Ryan would not even see the lease - is that correct?”
Webb asked.
“That’s correct - nor would I,” Fawell said.
Monday’s detail-oriented testimony about the contracts and lease proved
wearisome for some jurors. At least two were observed briefly nodding off in court,
prompting U.S District Judge Rebecca Pallmeyer to dismiss the panel about half
an hour early for the day. The trial of Ryan and co-defendant Warner began late
last month and is expected to last several more weeks.
Meanwhile, prosecutors backed off their request that Pallmeyer strike Fawell’s
earlier testimony about the 12 weeks he spent last year being shuffled from his
Yankton, S.D., prison camp to a brief Chicago court hearing and back. Ryan’s
attorneys say the unusually long journey, which included a layover at a maximum-security
prison in Terre Haute, Ind., influenced the once-defiant Fawell to cooperate with
the feds and turn on his former boss.
Pallmeyer already has told jurors that the U.S. Marshals Service handled
Fawell’s transportation, but prosecutors want an even stronger instruction
that they are not to blame. Defense lawyers and prosecutors said they would try
to hammer out the language together.
Ryan, 71, and Warner, 67, are charged in a 22-count indictment that alleges
that Ryan helped Warner and other insiders get state business in exchange for
cash, trips and other gifts. The corruption charges stem from Ryan’s 1991-99
tenure as secretary of state and his subsequent four-year term as governor.