Former VECO CEO Bill Allen was on the stand today in the trial of Alaska state Rep. Vic Kohring and testified that his own cousin attempted to blackmail him over VECO’s work on Sen. Ted Stevens’ Girdwood, Alaska home. The Alaska Daily News is covering the trial:

Kohring Lawyer John Henry Browne asked Veco founder Bill Allen about something that came up at the corruption trial last month of former state Rep. Pete Kott. It was regarding Allen’s nephew, Dave Anderson.

Anderson was blackmailing you and you threatened to kill him? Browne asked.

“I was not going to kill him, no,” Allen responded

But that’s the information the government had, wasn’t it? Browne asked.

Allen went back to a point he made a number of times during cross examination.

That’s just part of the story, Allen said. “You have to do the whole thing.”

Anyway, what was Anderson blackmailing him about? Browne asked.

“Ted Stevens’ house,” Allen anwered.

He was referring to a 2000 renovation that doubled the size of Stevens’ home in Girdwood. Allen testitied in the Kott trial that Veco employees worked on the renovation and he donated some materials.

Veco paid for that, correct? Browne asked Allen.

Allen said he didn’t know how much.

Browne asked him if part of his cooperation deal with the government was to help investigate Stevens and the money Veco gave for the Girdwood house?

Yes, Allen answered.

The case against Stevens continues to pile up in court records but he still sits on powerful committees with the full backing of his peers. Perhaps if he were to make a pit stop at the Minneapolis airport bathroom his stature in the Senate might change. For now though, a growing case of public corruption can be ignored.

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This morning a friend of mine, who is an Alaska resident, called me to ask if I could use the power of the Internet to find out if the state had released the total amount of money that he gets from the state oil dividend program, i.e.: free money for residents from oil revenues. This led me to the Anchorage Daily News Web site where the main story was, of course, the on-going investigation and court trials of Alaska politicians and oil company executives. If you’re looking for coverage of this massive statewide scandal, the ADN is the place to go. I was really impressed by the amount of multimedia they have on their site. From ADN, I’ve embedded below the testimony of VECO executive Bill Allen where he admits to using personal funds and VECO employees to work on Sen. Ted Stevens home remodeling project, a center piece to the investigation of the senior Senator from Alaska. Allen does not sound comfortable here.

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