Dems question suspect?s political donations

Published August 13, 2007 4:00am ET



Maryland Democrats are questioning tens of thousands of dollars donated to Republican candidates by Maryland businessman Alan Fabian, who was indicted last week in a $32 million fraud case.

Fabian, who served as former Lt. Gov. Michael Steele?s finance director during his 2006 bid for U.S. Senate, has donated more than $44,000 to the state?s Republican Central Committee and various GOP candidates since 2001, the year federal prosecutors say he began one of the largest fraud schemes in Maryland history.

“I think it?s incumbent for anyone who he contributed to should return the money because it could turn out to be tainted, dirty stolen, money,” said David Paulson, spokesman for the state?s Democratic Party. “Everyone is innocent until proven guilty, but if it turns out that money belongs to somebody else, it seems there should be a lot of Republicans writing many checks very soon.”

Between 2001 and 2004, Fabian gave Steele and former Gov. Robert Ehrlich two donations each of $4,000, the maximum amount allowed for an individual contribution.

Ehrlich was unaware of the investigation when he accepted the contribution, said Henry Fawell, Ehrlich?s former spokesman and a consultant for a law firm where Ehrlich works.

The firm represents the Centre for Technology and Management, a company Fabian founded with allegedly fraudulent funds. Through that company, Fabian recently opened a free computer center for residents in the Druid Hill neighborhood.

Fabian, 43, also donated $25,000 to Barbara Bush’s Foundation for Family and $65,000 to New Jersey?s Cambridge School for children with learning

disabilities, Fawell said.

“Alan is about empowering individuals in tough situations to better their lives,” Fawell said.

Steele did not return telephone calls seeking comment.

Prosecutors said Fabian, a certified public accountant, created two companies to purportedly purchase $32 million in computer hardware and software for other businesses. But Fabian?s companies never purchased the equipment or bought much less expensive equipment, according to the indictment.

Fabian’s defense attorney, David Irwin, said he hopes the indictment won?t jeopardize his good deeds.

“You?ve got one document [the indictment] that makes him out to be a bad guy and the rest of his life is full of philanthropy,” Irwin said.

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