Former Speaker Gordon Fox charged in political corruption case

Gordon Fox stands outside federal court. Photo by Andrew Augustus WPRO News

By Kim Kalunian, Sam Wroblewski and the WPRO Newsroom

Former House Speaker Gordon Fox has been charged with wire fraud, bribery, and income tax violations. Fox pleaded guilty to the charges in federal court, and faces time in federal prison.

The charges come nearly a year after State Police and the FBI raided Fox’s home and State House office.

Court documents show Fox is accused of taking a $52,000 bribe from the owners of Shark Bar and Grille on Thayer Street in Providence as they sought to get their liquor license in 2008. At the time, Fox was the vice chairman of the Providence Board of Licenses. Fox is also accused of using $108,000 from his campaign account, the Friends of Fox fund, for personal expenses.

Documents obtained during last year’s raid on Fox’s home and office show he transferred funds from his campaign account to his personal account 28 times between February 7, 2008 and March 2014. The funds were used to pay Fox’s mortgage, car loans and credit card, which was used at places like Tiffany’s, Wal-Mart, and the Warwick Animal Hospital.

“Former Speaker Fox looted his campaign account repeatedly, over a number of years to pay for plainly personal expenses,” said US Attorney Peter Nerohna at a news conference Tuesday. “And his official, appointed position as a member of the Providence Board of Licenses, was for sale.”

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“His campaign filings were a fantasy,” continued Neronha. “At the conclusion of 2013, his filing claimed a balance in the Friends of Fox account of $212,000, while in truth the balance in the account was roughly $52,000 as reflected on the account’s actual bank statement.”

Nerohna said through the course of the investigation, the Shark Bar and Grille bribe was also discovered. A message was left with the owners of the Shark Bar for comment.

While the federal statute of limitations had run out on the bribery charge, the state’s statute has not, leaving the charge for Attorney General Peter Kilmartin to prosecute.

“Corruption in any form, but especially political corruption, will not be tolerated by the department of the Attorney General, nor the US Attorney’s office,” said Kilmartin, who served in the Rhode Island House of Representatives with Fox.

Vincent Lisi, the Special Agent in Charge of the FBI’s Boston Division, echoed Kilmartin’s sentiment.

“If you are a corrupt public official, just like the Attorney General said, the boys in the band are going to get back to together, and we’re going to come, and we’re going to get you and track you down, and we’re going to make sure you’re brought to justice,” he said.

Neronha said Rhode Island has a long history of political corruption. He said since he’s been US Attorney, in federal court alone, the state has convicted three town councilmen, a mayor, a state senator and the Deputy Speaker of the House on an assortment of corruption charges.

“As Rhode Islanders, we need to lose our political corruption amnesia,” Neronha said. “In general, I believe in rehabilitation and second chances, but I do not believe that those who have sworn to uphold the public trust and violated it…should ever be given that opportunity again.”

Hours Later, Mary Lisi accepted Fox’s guilty plea, but held his plea agreement for further review pending a hearing scheduled for June 11. The maximum sentence would mean 33 years in federal prison and $750,000 in fines; Fox’s plea agreement would cut down the time served to just three years.

Fox is free on personal recognizance.