DRAFT June 2, 1989 Mr. Ed Gray P.O. Box 56000 w Dear Mr. Gray: Your letter to Senator McCain dated May 30, 1989, allegedly describes a April 2, 1987 meeting between you Senators McCain, Glenn, Cranston and myself. There is little relationship between the meeting you describe and the one we held. Your recollection of the meeting is so distorted as to bear no resemblance to fact. I do not plan to get into an item by item refutation of the charges in your letter. However, I clearly recall that our meeting focused primarily on your insistence that you knew nothing of Charlie Keating or Lincoln Savings and that you recommended we meet with your regulators from San Francisco. specifically urged us to meet with the San Francisco regulators and would not discuss any specifics of the case, pleading ignorance. Your new allegations of "a deal" are simply false. I an surprised and disappointed that a former high Administration official would stoop to this kind of duplicity. Sincerely, You DDC/I DENNIS DeCONCINI United States Senator Chris This is the draft Magnes have agreed upon. We will run it by Sennis when he calls in. -LAS SPECIAL COUNSEL M 84235 DECLARATION OF PETE WILSON I, PETE WILSON, hereby declare: 1. I am the Governor-elect of California. My business address is 720 Hart Senate Office Building, Washington, DC 20510. I have served as a United States Senator from California since 1983. From 1971 to 1983, I was Mayor of San Diego, California. Prior to 1971, I was a member of the California State Legislature. 2. A large proportion of the nation's thrift institutions is based in California. I have received campaign contributions SPECIAL COUNSEL I first became aware of the Keating-related contributions when a reporter informed me that he had determined that I had received contributions from individuals associated with Mr. Keating. This inquiry occurred at approximately the time that Mr. Keating made a public statement that he hoped that his campaign contributions had influenced the recipients of those contributions. Thereafter, I returned all of the contributions from Mr. Keating and individuals associated with him. 3. I have reviewed the agenda of Mr. Keating for November 21, 1985, which indicates that Mr. Keating scheduled a meeting with me for 2:30 p.m. on that date. I have no recollection of meeting or speaking with Mr. Keating on this date or at any other time. 4. Mr. Keating never asked me to intercede on behalf of Lincoln with the Federal Home Loan Bank Board ("FHLBB") on any matter relating to Lincoln. Lincoln did provide to my staff materials criticizing the FHLBB's direct investment rule and seeking its modification, but neither I nor any member of my staff took any action as a result. Furthermore, neither I nor any member of my staff ever contacted the FHLBB with regard to any other matter relating to Lincoln. 5. FHLBB Chairman Edwin Gray is someone I have known and respected for many years. I was aware that Chairman Gray was being criticized for his work during a difficult time and that he was making his best effort as FHLBB Chairman. Neither I nor my staff received any unusual complaints from California savings and loan institutions regarding the actions or policies of Chairman Gray or the FHLBB. In keeping with my general practice to carefully consider criticisms of federal agencies in order to determine if any action on my part should be taken, my staff and I gave deference to Chairman Gray's actions and those of the FHLBB. 6. I routinely refer constituent complaints about federal agencies to those agencies with a routine request that they consider the constituent's position. It is my policy not to write to a federal agency on behalf of a constituent advocating that the agency take a particular action without an investigation and consideration of the facts of the situation by my staff and, as appropriate, by me. After this review, I might write an agency and state that if the facts are as the constituent asserts, a particular action may well be appropriate. With regard to contacting state agencies, in my experience, it is not common for a Senator from one state to contact a state regulator from another state. 38-020 - 91 - 4 |