At one point, Aitken alleged in court documents that Schroeder and Dornan's other attorneys falsified subpoenas to obtain records to which the Dornan campaign was not entitled. Dornan's legal team denied the charges, but a federal judge ordered that the records be returned sealed.
"It took 15 months and a great deal of effort to refute these charges" of voter fraud, Aitken said, adding that the Republican House eventually dismissed the charges. "Loretta was under a cloud all of that time."
Schroeder became state party chairman in 1997. But the socially conservative Republicans with whom he most closely identified had seen their power crest. Now it was starting to wane.
He was at the GOP's helm the following year when it suffered crushing losses to the Democrats. Republicans lost seats in the Legislature and their 16-year lock on the statehouse with Gray Davis' win over Republican Dan Lungren.
Schroeder had more luck on his home turf that year, helping to elect two of Orange County's most powerful politicians, Carona and Rackauckas.
Schroeder still serves as a political advisor to both men and has greatly expanded his influence in their offices, former allies and employees say. According to campaign finance reports, he is not paid by either man.
Shortly after taking office, Rackauckas hired Schroeder's then-fiance, Susan Kang, as a prosecutor. Rackauckas later selected Kang Schroeder, who by then had married Schroeder, to head up his media operation, a $127,000-a-year position she still holds.
The couple live in a $1.3-million Corona del Mar home, where they "eat, sleep and dream politics," associates say. Both are sports fanatics who try to attend every USC football game. He drives a black Hummer, and the couple eat in the best restaurants and order fine wines.
Kang Schroeder, 38, immigrated from South Korea as a child and graduated from Mission Viejo High School. She dabbled in journalism at USC before getting a law degree at the University of San Diego.
Associates say that she is just as passionate about politics as her husband, and that both are frequently seen at Republican Party events. She drives a black Porsche and has a ribald sense of humor, acquaintances say.
*
Friends and associates say Schroeder wields his political skills most effectively on the campaign trail. He is good at pulling people together and organizing the nuts and bolts of a race, several acquaintances say.
Even Hunt, Carona's challenger, said he admires the man's political chops. What he and others object to is what happens when someone bucks the system. "You can do what you want to manipulate the system," Hunt said. "But misuse of power can only go so far. And I think that's what we're seeing right now."
Wally Wade, a former prosecutor who twice challenged Rackauckas, knows what it's like to feel Schroeder's sting. He was demoted and ultimately transferred out of the district attorney's office after his unsuccessful runs.
Schroeder made sure that Wade knew who was responsible for his defeat, Wade said.
The morning after he lost to Rackauckas, a messenger delivered an envelope to Wade's home. The only thing in it was Michael Schroeder's business card, he said. "Nothing else," he said. "It was like something out of 'The Godfather.' "
*
catherine.saillant@latimes.com
