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2 Utah ex-attorneys general charged with bribery

By WTOP Staff

MICHELLE L. PRICE
Associated Press

SALT LAKE CITY (AP) — As candidates for attorney general, Mark Shurtleff and John Swallow vowed to root out fraud and uphold the laws of Utah with the highest integrity. They served a combined 13 years as attorney general while holding significant political sway and ambitions for higher office.

On Tuesday, the disgraced former politicians were arrested on a range of bribery charges stemming from cozy relationships with several businessmen who plied them with gold coins, lavish trips, flights on private planes and trips aboard a luxury houseboat. They were also accused of trying to cover up the alleged schemes.

The Republicans each face 15 years in prison in a case that Gov. Gary Herbert, a fellow Republican, said “serves as a reminder that nobody is above the law and, if anything, public servants must be held to a higher standard.”

Shurtleff told reporters at a news conference that it was a “sobering experience” to be arrested, but he looked forward to defending himself through the legal process. He called it a politically motivated investigation by Salt Lake County District Attorney Sim Gill, a Democrat.

“I served that system for most of my professional career,” the 56-year-old said. “I have complete confidence that justice will be served.”

It was a stunning reversal for a pair who authorities say got entangled in the same type of fraud both of them vowed to fight as they easily won four straight attorney general races.

Despite its image as a wholesome place, Utah has long struggled with scammers who take advantage of unsuspecting residents and made the state a cradle for swindlers. It has been named one of the country’s five “Ponzi scheme hot spots” by the FBI.

During his 2012 campaign for attorney general, Swallow pledged several times to make white-collar crime a priority, including Twitter posts stating he would “fight against financial crime and those who abuse their positions of trust to commit fraud.”

After winning his third term in office in 2008, Shurtleff vowed to spend the next four years fighting fraud the same way he’s combatted methamphetamine lab operators.

“No plea bargains,” he said. “We didn’t give plea bargains to them, and we’re going to do the same with mortgage fraud, identity theft and white-collar crimes.”

Gill said the investigation is ongoing and additional charges will likely be filed against both men and others. He said the probe had nothing to do with politics.

It’s unclear if federal charges are being considered, though the FBI, which is assisting the probe, said it will continue to investigate a number of leads.

When Swallow, 51, walked out of jail Tuesday afternoon, he said he’d known for a few weeks that this was likely to happen.

“I absolutely maintain my innocence,” he said. “This finally gives us the opportunity to start to respond back.”

The arrests and allegations are a bombshell political scandal that brings back memories of the 2002 Winter Olympics in Salt Lake City, which were tarnished by a bribery scandal.

Court records show Swallow faces 13 charges, including felony bribery charges, while Shurtleff faces 10 counts that include bribery.

Gill said both men are accused of accepting at least $50,000 in cash or campaign contributions from people who faced or expected to face scrutiny from the attorney general’s office.

They used a luxury jet and personal property belonging to a businessman in trouble with regulators, and took a California vacation paid for by another businessman, authorities said. Swallow also used the businessman’s million-dollar houseboat on Lake Powell — a vessel so large it had a helipad — and accepted a dozen gold coins from a former employer. He later sold back the coins to the same person for more than they were worth, according to officials.

In the cover-up allegations, prosecutors say Swallow destroyed and falsified records. Swallow said any missing records were deleted unintentionally.

Swallow resigned in late 2013 after spending nearly 11 months dogged by the bribery and corruption allegations. He adamantly denied breaking any laws and said the toll of the scrutiny had become too much for him and his family.

The first allegations dropped less than a week after Swallow took the oath of office in January 2013.

In the months following, the accusations and investigations snowballed and led to probes by the U.S. Department of Justice, Utah elections officials and the state bar.

An investigation from Utah lawmakers concluded Swallow destroyed and fabricated records and hung a veritable “for sale” sign on the door of the attorney general’s office.

Shurtleff is Utah’s longest-serving attorney general. He left the office in early 2013 after a dozen years in office. Swallow served as chief deputy for Shurtleff from 2009 to early 2013 and was his hand-picked successor.

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Associated Press reporters Brady McCombs, Annie Knox and Rick Bowmer in Salt Lake City and Michelle Rindels in Las Vegas contributed to this report.

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Follow Michelle L. Price at https://twitter.com/michellelprice

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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