FBI Probes Gingrich Campaign Dispute

WASHINGTON — The FBI has been called in to investigate an escalating dispute between House Speaker Newt Gingrich (R-Ga.) and a former volunteer worker that includes allegations of extortion, political spying and vandalism.

During the last two weeks, as Gingrich has waged a high-profile campaign in Washington to save his speakership and fight ethics charges, a strange sequence of events has been unfolding behind the scenes in rural Georgia that has revived a murky controversy from his political past.

It caused enough concern that Rep. John Linder (R-Ga.), the new chairman of the National Republican Congressional Campaign Committee and one of Gingrich’s staunchest defenders, interceded last weekend to look into the matter.

On Monday, the head of Gingrich’s district office in Marietta, Ga., filed an extortion complaint with the FBI, according to Gingrich spokeswoman Lauren Maddox. The complaint alleges that the former volunteer recently solicited money from a longtime Gingrich advisor in exchange for remaining silent about unproven claims of spying and other improper political activity during Gingrich’s 1990 campaign.

The volunteer, self-employed consultant Steve Lane, denied soliciting money from Gingrich’s office. He said that he spent seven hours last week detailing his allegations involving Gingrich to an FBI agent. In addition, the sheriff of Heard County, Ga., said he is investigating Lane’s claim that copies of documents and audio tapes were stolen from Lane’s property on Dec. 30--hours after Lane met with a Gingrich advisor and disclosed his allegations.

FBI officials in Atlanta and Washington said agency policy prevented them from discussing the case. “Regarding the Gingrich investigation, we’re not going to have any comment,” said spokesman Bill Carter.

The swirling charges and countercharges have produced an unusual sideshow at a time when Gingrich has been fighting in Congress for his political future.

Maddox protested The Times’ decision to publish this story, calling it “absolutely irresponsible journalism.”

Gingrich’s supporters said the dispute with Lane amounts to nothing more than a disgruntled “hippie” seeking to spread unproven contentions. “I consider the allegations made by Steve Lane to be utterly absurd,” said Nancy Desmond, Gingrich’s district director.

But Gingrich’s defenders took the matter seriously enough during the last two weeks to meet with Lane, follow up with telephone conversations, consult with Gingrich and then call on federal authorities for an investigation.

Lane ran his own small environmental group in Georgia and said he worked with Gingrich’s office on environmental issues in the late 1980s.

According to Gingrich’s supporters, Lane met with Mel Steely, Gingrich’s official biographer and a longtime advisor, on Dec. 29 and demanded money to help environmental groups, assistance for future environmental projects along the Chattahoochee River in Georgia, and recognition for previous work that he performed for Gingrich’s office. They said he threatened to air allegations against Gingrich’s office unless the demands were met.

Lane acknowledged making “requests” at the meeting but said he did not demand money. “I would never shake down a congressman. I would rather try to rob Ft. Knox,” he said in an interview.

Linder said he looked into the Lane matter and talked with Gingrich about it last weekend. “Newt said, ‘If he’s trying to blackmail us, call the FBI,’ ” Linder said.

Lane said the extortion complaint was part of an effort to silence him. Lane alleges that at the instruction of Gingrich’s congressional staff in 1990, he spied on local environmental groups and Democrats and presented Gingrich with a phony award to boost the lawmaker’s standing among environmentalists.

He said that the night after he talked with Steely about his allegations, a trailer on his property was broken into and copies of documents and tapes that purportedly support his allegations were stolen.

Heard County Sheriff Ross Henry said he visited Lane’s property this week and confirmed that “suspicious” activity appeared to have taken place. “I really don’t know what to make of it,” said Henry, who is investigating the incidents.