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High Profile Court Cases July 26, 2020 4 mins read

Ohio Speaker Larry Householder charged in $60M bribery scheme

High Profile Court Cases ı By Jackie Allen

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householder

Larry Householder, Speaker of the Ohio House was arrested in bribery charges last Tuesday. Householder, along with four others are accused of perpetrating a $60 million bribery scheme involving taxpayer-funded nuclear power plant bailouts.

The complaint also names Jeffrey Longstreth, Householder's advisor, former Ohio Republican Party Chair Matthew Borges, Statehouse lobbyist Neil Clark, and Juan Cespedes, co-founder of The Oxley Group, a Columbus-based consulting firm.

All the defendants appeared in court. They weren’t required to enter a plea. The judge ordered Householder released on his own recognizance, though he is not allowed to apply for a passport or have contact with the other defendants. He must also limit his travel to the southern half of Ohio and remove all guns from his home.

The next hearing is scheduled for August 6.

A $60 million bribery scheme

After the arrests, U.S. Attorney David DeVillers released a statement describing the nuclear plant ploy as "likely the largest bribery scheme ever perpetrated against the state of Ohio."

Just hours before, the FBI had raided Speaker Householder’s farm. 

De Villers described the crimes as a connection to a taxpayer-funded bailout of Ohio's two nuclear power plants. The 82-page, FBI affidavit laid out the case in detail. 

Speaker Householder was the architect of House Bill 6 (HB 6), a law that passed in July 2019. The bill was widely criticized as the worst energy policy in the country. It gutted Ohio’s renewable and energy efficiency laws while bailing out several coal and nuclear plants. 

HB 6 is the bill federal officials allege Ohio House Speaker Larry Householder and associates were bribed with $60 million to pass and prevent a referendum to funnel state funds to two failing nuclear power plants managed by FirstEnergy.

Householder was a vocal advocate for the nuclear plants' financial rescue. The bill added a new fee to every electricity bill in the state and directed over $150 million a year through 2026 to the plants near Cleveland and Toledo.

In her book, Short-Circuiting Policy, Leah C. Stokes described the process that resulted in the bailout legislation where she recounted, “By July 2019, the legislative session was over and FirstEnergy had not secured its bailout. Householder kept working, calling his colleagues back to the chamber with little notice. With narrow margins, he delivered the votes, and that same day Gov. Mike DeWine signed the FirstEnergy bailout into law.”

“At the time, many wondered: Why the urgency, Mr. Speaker? Did you really have to call all the legislators back from their vacations to pass this coal bailout? It appears the FBI was wondering the same thing.” 

Calls for Speaker Householder to resign, HB 6 repeal efforts

After Householder's arrest, Ohio Gov. Mike DeWine called for him to resign. 

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Jackie Allen
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Jackie Allen

Jackie is a freelance journalist and technology geek. She worked as a telecom project director for AT&T and BellSouth. Before joining the USA Herald she has written books, articles, blogs and whitepapers. Her clients include Samsung and other technology companies.

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