By John Stang
A leading Ohio politician on Thursday was sentenced to 20 years in Prison following a March conviction on a $60 million bribery scheme involving two financially struggling nuclear power plants.
Larry Householder, 64, the former speaker of the Ohio House of Representatives, got the maximum sentence from the U.S. District Court in Southern Ohio. He had asked for a sentence of fewer than two years. Former Ohio Republican Party chairman Mathew Borges, 50, also faces a sentence of up to 20 years in prison. Borges was scheduled to be sentenced Friday after deadline for RadWaste Monitor. A federal jury convicted both in March.
The lawmakers, the prosecution said, accepted bribes in exchange for passing legislation in 2019 that would have bailed out the financially struggling Davis-Besse Nuclear Power Station and Perry Nuclear Power Plant, largely at ratepayer expense. The plants were owned by a subsidiary of FirstEnergy, spun off in 2019, that became known as Energy Harbor after a 2018 bankruptcy restructuring. In March, Vistra, Irving, Texas, announced it would acquire the standalone Energy Harbor.
This week, Householder’s attorneys filed paperwork in U.S. District Court for the Southern District of Ohio that argued he should receive a sentence of 12 to 18 months. The filing did not mention Borges’ case. The arguments focused on claims of Householder’s good character, his age and similar sentences for politicians convicted of bribery.
“Mr. Householder’s involvement in his community benefits and can continue to benefit society in many immeasurable ways. The question before the Court is whether to sentence him to decades in federal prison—what will likely amount to a life sentence—or to impose a sentence that will allow Mr. Householder to see his wife of almost 40 years, his five children, and his (soon to be) two grandchildren again. … Mr. Householder has an exceptional record of public service, charity, community service, and other good works, which can be a significant factor at sentencing and should be a mitigating factor here, “ the filing said.
The defense argued that Householder did not receive a $60 million bribe. Instead, the defense document contended he personally received $400,000 in bribe money and another $500,000 in a loan for personal expenses.
In 2020, the FBI arrested Householder, three lobbyists and a former campaign chairman on money laundering charges. Householder and Borges fought the charges. Of the five, two — Juan Cespedes and Jeff Longstreth — pleaded guilty and testified against Householder and Borges. One lobbyist, Neil Clark, killed himself in early 2021.
The defense filing noted that Cespedes and Longstreth received six-month sentences in return for their guilty pleas and testimony against Householder and Borges.
As for FirstEnergy Corp., the company stipulated, as part of a settlement agreement with the Ohio and federal governments, that it paid $60 million to bribe Householder and the other four alleged participants in the scheme.
FirstEnergy agreed to pay a $230 million fine and to cooperate fully with the feds and state on all follow-up matters. The bulk of the bribes allegedly went through two intermediary non-profit organizations — Partners for Progress and Generation Now, both incorporated in Delaware.
