Click here to subscribe today or Login.
By STEVE MOCARSKY smocarsky@leader.net
Monday, March 03, 2003 Page: 3A
Editor’s Note: The following story originally ran in Sunday’s Hazleton
edition. Hazleton Councilwoman Evelyn Graham says a tip about illegal
campaign contributions one of her family’s companies made in the 1990s is an
attempt to hurt her re-election bid.
The Times Leader learned that Koro Aviation, a charter air service based at
the Hazleton Municipal Airport, was ordered in May by a U.S. District Court
judge to pay a $25,000 fine for making in-kind contributions to U.S. Sen.
Arlen Specter’s presidential campaign in 1994 and 1995.
The contributions were reduced rates for charter air service, according to
the Federal Election Commission Record.
The “Arlen Specter ’96” committee used Koro for campaign-related flights
between November 1994 and November 1995. Under commission regulations, a
committee must pay the usual fare.
The committee paid $233,768 less than it would have if it paid Koro’s usual
rate, according to the FEC.
According to court papers filed with the U.S. District Court for the Middle
District of Pennsylvania, Specter, R-Philadelphia, made at least 88 flights
between airports nationwide during the campaign from which he eventually
withdrew.
Graham said she was unaware of the fine and referred questions about Koro
to her son Russell Graham.
“When my husband died, his children, Bradley and Russell, inherited Koro
Aviation,” Graham said.
Russell Graham provided this statement:
“Mrs. Graham was not involved in any way with Koro’s decision to provide
air charter services to Sen. Specter’s presidential campaign and she had no
involvement whatsoever with setting the terms of the services.
“Shame on those who wish to mislead the public by suggesting that she was
somehow involved. Because the lawsuit to my knowledge is still pending, I’m
not prepared to make any further public statement at this time.
Although Graham said she “has nothing to do with” Koro, she is listed as
the company treasurer with the state Department of State’s Corporation Bureau.
Russell Graham is listed as chief executive officer and Bradley Graham as
treasurer.
Russell Graham said he’s actually president of the company, not chief
executive officer. He said his mother was not treasurer when the fine was
levied against Koro.
A spokesman for the bureau said the most recent information the department
received from Koro was in March 2000, and that information lists the company’s
officers as stated above.
According to court papers, Specter began using the Graham aircraft for
official and campaign-related flights when it was owned by KAMA Plastics Co.
of Hazleton. In 1990, KAMA sold its manufacturing operations and converted its
fleet for public use, renaming itself Koro Aviation.
A Specter aide on Wednesday said he would try to get a response about
Specter’s use of Koro, but did not return a call before deadline.
Evelyn Graham said she believes Specter used KAMA and Koro because, “it was
very convenient for him to have an airplane in Northeastern Pennsylvania when
he covers a lot of territory.”
Graham said Specter might have chosen Koro for travel because he and her
late husband, Seymour, “were very close.”
Evelyn Graham’s connections to operations at the Hazleton Municipal Airport
have been a political thorn in her side for years. Graham served a term on
council from 1992 through 1995 and again from 2000 to present.
She suffered criticism during her first term on council because her son
Russell’s company Kago Corp. received an exclusive, extended fixed-base
operator contract at the airport during the administration of former Mayor
John Quigley, a close political ally.
Quigley and Graham have always denied the allegation the contract was a
political favor.
Hazleton city solicitor Conrad Falvello said the city-owned airport must
have a contract with a fixed-based operator to maintain its certification with
the Federal Aviation Administration.
A fixed-based operator is allowed to sell aviation fuel at the airport, but
is also responsible for overhead. Falvello said the designation is “not a
money- maker.”
The Grahams have supported candidates from the Republican and Democrat
parties. In 1994, they supported one of their employees Susan Parrick.
Parrick ran an unsuccessful campaign for state representative against Todd
Eachus, who still holds the seat.
A former spokeswoman for Sen. Rick Santorum, R-Pittsburgh, Parrick said she
was a “public relations person” for Koro and “did press and marketing and
handled various public relations functions.
“My job responsibilities at Koro had absolutely nothing to do with
arranging flights,” Parrick said.
Parrick said she worked for Koro until January 1995, when she began working
for Santorum.
Steve Mocarsky, a Times Leader staff writer, may be reached at 459-2005.