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Thu May 27, 2004
Former Governor Siegelman Indicted
By Brett Tannehill, Alabama Public Radio
Birmingham, AL – A former Alabama Governor is among three people who face an 8-count federal indictment on charges of fraud and conspiracy. Prosecutors say Don Siegelman was part of a scheme to undermine the state's competitive bid process.
Former Alabama Governor Don Siegelman, his former chief of staff Paul Hamrick and Tuscaloosa physician Phillip Bobo face an 8-count indictment after being accused of undermining the state's bid process for Alabama's Maternity Care Program.
That program is a Medicaid service created to help poor pregnant women. Siegelman and Hamrick are accused of shuffling 550-thousand dollars in funding from the state's education budget to the state fire college, where Bobo held a state appointed position. Prosecutors say Bobo accessed the money, and used it to pay off a competitor also seeking contracts for the Maternity Care Program. The value of the contracts was around a hundred million dollars per year.
U.S. Attorney Alice Martin has asked the three men to surrender to authorities.