Fees Were Cloaked in Guam Lobbying Deal

In 2002 Abramoff was retained by the Guam Superior Court to help fight a judicial reform bill pending before Congress. It was an unusual arrangement for a public agency. No separate contract was authorized, and Abramoff's lobbying fees were disguised in a series of small checks funneled through a California lawyer under an existing contract, records and interviews show.

The middleman, Laguna Beach lawyer Howard Hills, said in an interview that he backed out of his role after processing 36 separate checks in $9,000 increments totaling $324,000.

The transactions now are under investigation by the Guam Public Auditor's office.

In May 2002, Superior Court administrators were trying to stop legislation that would give the Guam Supreme Court authority over the Superior Court.

The bill's supporters at the time, such as Guam's congressional delegate, Robert A. Underwood, said the measure was needed to prevent undue political influence on the judiciary and also to clarify the authority of the Supreme Court.

Foes, led by Superior Court Chief Justice Alberto C. Lamorena and court administrator Anthony Sanchez, objected to Congress interfering with a Guam domestic matter. But they received an unexpectedly hostile reception at a hearing in Washington on May 8, 2002.

According to Hills' account, the court officials, licking their wounds over lunch, decided to call in Abramoff, known for his political ties to Rep. Tom DeLay (R-Texas), who was the House whip at the time.

The California lawyer, a former Reagan administration official, was acting as a consultant to the Guam Superior Court. Hills said the Guam contingent walked a few blocks to Signatures, the Washington restaurant they knew was owned by Abramoff.

At an impromptu meeting, Abramoff said he could help, Hills said. The lobbyist also told the Guam officials that DeLay and House Republican leaders would find abhorrent any interference by Congress in a local court dispute.

Hills withdrew, he said, thinking his services no longer were required. Instead, Hills said, he soon found himself helping to conceal Abramoff's agreement with the Guam court.