iGate owner testifies in D.C.

• By GERARD SHIELDS
• Advocate Washington bureau
• Published: Jun 18, 2009 - Page: 1A

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WASHINGTON — In the second day of testimony in the bribery trial of former U.S. Rep. William Jefferson, a Kentucky businessman told the jury Wednesday that he paid $330,000 to Jefferson’s wife even though she did no work.

Vernon Jackson, owner of the telecommunications firm iGate, said he routinely received invoices from Jefferson’s wife, Andrea, and her company, The ANJ Group. The payments were made periodically after iGate received money from an African business arrangement William Jefferson helped secure, Jackson said.

Jackson said he had no illusions about whose services he was buying.

“I was paying him to use his office on behalf of iGate,” Jackson testified, referring to the then-congressman.

One time, Jefferson himself handed Jackson an ANJ invoice for $200,000. On other invoices, Jefferson’s handwriting was on draft invoice documents, Jackson said.

Jefferson has pleaded innocent to 16 counts of public corruption including bribery, conspiracy, racketeering and money laundering. Prosecutors charge that Jefferson directed payments to family members in return for using his office to push business projects in Africa.

Jefferson’s attorney said he was acting as a private businessman in the projects.

Jackson operated a company that developed a process to transmit audio, video and data across telephone lines. Jefferson helped Jackson get a contract with a Nigerian company, NDTV.

During meetings with government officials, Jefferson noted that he was a U.S. congressman, Jackson said. Jefferson would start out meetings telling participants what committees he served on and that he was a member of the Africa Trade Caucus.

At no time did Jefferson tell the government officials that he was operating as a private businessman or that his wife stood to benefit from the partnership, Jackson said.

Jackson signed an agreement to pay The ANJ Group $7,500 a month and give the company 1 million shares of stock. After NDTV paid iGate $5 million, The ANJ Group, which also included Jefferson’s five daughters as owners, asked Jackson for 29 million shares more, giving the family 24 percent of iGate, he said.

ANJ never paid for any of the shares, Jackson said.

Jackson testified from the witness stand in a blue green prison jump suit. He has already pleaded guilty in the case to bribing an elected official. He is serving seven years.