The Convict and the Congressman
How iGate's Technology Worked
The Banana War
Money, Guns, & God
Officially, Jefferson was just doing his job: helping a struggling black businessman. In reality, according to a federal indictment, Jefferson had been using his office for personal gain since at least the fall of 2000, when he allegedly started demanding payoffs from sugar and oil companies in return for his assistance in Africa. Jefferson allegedly presented iGate with a more elaborate proposal. On January 22, 2001, Jackson signed an agreement with a Louisiana consulting firm headed by Jefferson’s wife. It called for iGate to pay the firm $7,500 a month, as well as a percentage of revenues and 1 million shares of stock. Whether or not Jackson saw the contract as a bribe is unclear; Jefferson’s wife was an administrator at Southern University in Baton Rouge, and iGate was trying to market its technology to historically black colleges. But there is a moment of decision in every journey into criminality, and this was Vernon Jackson’s crucial choice.
The relationship paid dividends, as the promise of government contracts gave iGate credibility. In 2002, the company signed a manufacturing and distribution agreement with Siemens Building Technologies, a subsidiary of the German electronics conglomerate, for Siemens to build and market iGate’s equipment. Siemens commemorated the partnership by putting iGate’s logo on the back of a company-sponsored stock car, and both Jefferson and a top executive of the Siemens subsidiary spoke at iGate’s 2002 shareholders meeting.
In Washington, where lobbyists dole out thousands of dollars in campaign contributions just to secure perfunctory access to members of Congress, the attention Jefferson devoted to this one small company was extraordinary. The congressman introduced Jackson to influential colleagues from the House, raised money for iGate from his friends from New Orleans, even met job candidates over dinner. Those who did business with iGate now claim they perceived Jefferson’s open involvement in company affairs to be simple public service. But clearly, many people—including Jackson’s partners at Siemens—took note of the unusually close relationship and sought to put it to use. In a July 2003 meeting, Siemens executives discussed several pending iGate deals and noted that “legislation and political business-related activities” would be “headed up by Vernon.” Siemens also asked Jackson to secure several favors from his friend Jefferson. For instance, when Siemens was hoping to compete for big military contracts in Korea, Tony LeDinh, the Siemens subsidiary’s vice president for international affairs, wrote to Jackson asking for an introduction to “top brass.” “I am sure our ‘congressman’ can help,” LeDinh wrote. Jackson forwarded the email on to Jefferson, who arranged a meeting in his Capitol Hill office with the U.S. Army Corps of Engineers.
LeDinh declined to be interviewed for this story. Steve Kuehn, a Siemens spokesman, said the executive had a “cordial” relationship with both Jackson and the congressman, but downplayed the significance of the company’s deal with iGate, calling it a “straightforward business agreement, which fell apart.” Kuehn said LeDinh was never called to testify before the grand jury investigating iGate’s business dealings, and neither he nor Siemens are mentioned in the Jefferson indictment.
In July 2003, the Nigerian capital of Abuja played host to the Leon H. Sullivan Summit, a periodic gathering of African and African American political and business leaders. Representative William Jefferson addressed the gathering, sharing a stage with an important figure from the Nigerian government: Vice President Atiku Abubakar. In his speech, Abubakar told his audience the story of how his country—once known for coups and catastrophic corruption—had achieved (relative) democracy and stability. As the fifth-largest exporter of crude oil to the U.S., Nigeria was flush with riches.
“I am . . . inviting our American brothers and sisters to take advantage of the positive atmosphere in the country today,” the vice president told his audience.
At some point, amid the Americans in suits and the Nigerians in boubous mingling at the Abuja Hilton, with its hexagonal pool and thatch-roofed cabanas, Jefferson met with representatives of a Nigerian company called Netlink Digital Television. Nigeria has a population of more than 140 million people, many of whom live in cities and spend inordinate amounts of time in crowded, sweaty internet cafés. Netlink wanted to offer them digital television, phone, and internet service at home but faced the challenge of providing the necessary bandwidth, given Nigeria’s decrepit telecommunications infrastructure. Jefferson told the Nigerian businessmen about iGate.
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