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Safavian Indicted Again in Abramoff Investigation (Update2)

By Cary O'Reilly

Oct. 9 (Bloomberg) -- Former White House official David H. Safavian was indicted again on charges of obstruction and making false statements in an investigation into his dealings with ex- lobbyist Jack Abramoff.

In June, a U.S. appeals court overturned Safavian's June 2006 conviction on charges of lying and obstructing justice and ordered a new trial. The new indictment by a federal grand jury in Washington charges Safavian with one count of obstructing justice and four counts of making false statements to investigators and the U.S. Senate.

The corruption investigation centering on Abramoff, 49, led to guilty pleas by former U.S. Representative Robert Ney, an Ohio Republican, two of his staff members and two former Interior Department officials, among others. Safavian, 41, is charged with hiding his efforts to help Abramoff win government business while he was deputy chief of staff at the General Services Administration.

Safavian knowingly ``made material false, fictitious, and fraudulent statements'' during an official investigation by a U.S. Senate panel, according to the indictment.

He also obstructed an investigation into a golfing trip he and Abramoff took to Scotland with Ney, according to the indictment. Safavian faces a possible maximum punishment of five years in prison and a $250,000 fine for each of the five counts.

Barbara Van Gelder, the lawyer who represented Safavian in his earlier trial, didn't return a telephone call seeking comment.

Abramoff's Plea

Abramoff pleaded guilty in January 2006 to fraud, tax evasion and conspiracy to corrupt public officials and was sentenced to four years in prison on Sept. 4.

Safavian left the GSA after getting an appointment from President George W. Bush to the Office of Management and Budget. He served as the government's top procurement officer until September 2005, when he resigned several days before his arrest.

The U.S. Court of Appeals for the District of Columbia Circuit agreed with Safavian in June that he had no legal obligation to disclose information about his assistance to Abramoff when he sought a GSA ethics panel's opinion about an offer from Abramoff for a free ride on a jet. It overturned his conviction and set aside an 18-month prison sentence.

The case is U.S. v. Safavian, 05cr370, U.S. District Court for the District of Columbia.

To contact the reporter on this story: Cary O"Reilly in Washington at caryoreilly@bloomberg.net

Last Updated: October 9, 2008 17:37 EDT

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