OCE Referral Regarding Rep. Alan Grayson
OCE Referral Regarding Rep. Alan Grayson Exhibits 1 of 3
OCE Referral Regarding Rep. Alan Grayson Exhibits 2 of 3
OCE Referral Regarding Rep. Alan Grayson Exhibits 3 of 3
On January 6, 2016, the Office of Congressional Ethics transmitted a referral to the Committee on Ethics of the United States House of Representatives regarding Rep. Alan Grayson.
Nature of Review
Representative Grayson operates a hedge fund and directed multiple law firms, all of which may have provided professional services involving a fiduciary relationship. If Representative Grayson received compensation from, or permitted the use of his name by, an entity that provides professional services involving a fiduciary relationship, during his congressional service, then he may have violated federal law, House rules, and standards of conduct.
Representative Grayson may have maintained a contingent fee interest in legal proceedings in which the United States government had a direct and substantial interest during his time in Congress. If Representative Grayson agreed to receive compensation, for representational services performed by others, while he was a Member of Congress, in proceedings involving the government, then he may have violated federal law.
Representative Grayson may have omitted required information from his annual financial disclosure statements related to reportable assets, income, agreements, and positions. If Representative Grayson did not include required information in his annual financial disclosure statements, then he may have violated federal law, House rules, and standards of conduct.
Representative Grayson’s congressional staffer may have used official resources, including staff time, to perform work for Representative Grayson’s hedge fund. If Representative Grayson’s staffer used official resources for unofficial purposes, then Representative Grayson may have violated federal law, House rules, and standards of conduct.
Representative Grayson served as a limited partner in three energy-sector limited partnerships that, through their subsidiaries, may have held contracts with the federal government during Representative Grayson’s congressional service. If Representative Grayson held or enjoyed contracts or agreements with the federal government, as a result of his limited partnership interests, while serving in Congress, then he may have violated federal law.
Representative Grayson may have participated in multiple press interviews that focused primarily on his Senate campaign, from his official office, and may have used campaign resources to facilitate these interviews. If Representative Grayson used official resources for campaign purposes, then he may have violated federal law, House rules, and standards of conduct.
OCE Recommendations
The Board recommended that the Committee further review the allegation that Representative Grayson may have permitted the use of his name and received compensation from entities providing professional services involving a fiduciary relationship, as there is substantial reason to believe that Representative Grayson improperly allowed the use of his name by four entities connected to Representative Grayson’s hedge fund and Grayson Consulting, Inc. of Virginia, and received compensation through management fees from the Grayson Fund Management Company, LLC.
The Board recommended that the Committee further review the allegation that Representative Grayson agreed to receive compensation for representational services rendered by another at a time when he was a Member of Congress in proceedings in which the United States had a direct and substantial interest, as there is substantial reason to believe that Representative Grayson improperly maintained a contingent fee interest in at least seven cases brought under the False Claims Act that were pending during Representative Grayson’s congressional service.
The Board recommended that the Committee further review the allegation that Representative Grayson did not report required information in his annual financial disclosure statements, as there is substantial reason to believe that Representative Grayson improperly omitted information related to his assets, unearned and earned income, reportable agreements and positions from his disclosure statements.
The Board recommended that the Committee further review the allegation that Representative Grayson may have permitted the use of official resources to support an outside business, as there is substantial reason to believe that Representative Grayson’s staffer improperly used official resources for unofficial purposes.
The Board recommended that the Committee further review the allegation that Representative Grayson held an agreement with the United States while serving in Congress, as there is substantial reason to believe that Representative Grayson improperly held agreements with the federal government while serving as a member of three limited partnerships.
The Board recommended that the Committee further review the allegation that Representative Grayson used official resources for campaign purposes, as there is substantial reason to believe that Representative Grayson improperly participated in campaign-focused interviews from his official office.
Committee Conclusion
On April 5, 2016, the Committee on Ethics released a statement indicating it would continue to gather information necessary to complete its review. The Committee published the OCE report and findings and announced the allegations would be further reviewed pursuant to Committee Rule 18(a).