- Republican former Indiana Congressman Sean Everhart has agreed to plead guilty to a federal charge of conspiracy to commit honest services fraud.
- Everhart, 57, is accused of accepting promises of employment from gaming company Spectacle Entertainment in exchange for promoting policies favorable to the company.
- Republican state House Speaker Todd Huston said of the scandal: “All such conduct goes against our core values and everything this Congress stands for and strives to protect.” He emphasized the importance of the legislature’s reputation as a “trusted, reliable and transparent institution.” The Hoosiers are solely responsible for that. ”
A former Indiana lawmaker has agreed to plead guilty to federal charges alleging he accepted promises of lucrative employment from a gaming company while in public office, federal prosecutors announced Friday.
Shawn Everhart, 57, agreed to plead guilty to honest services fraud conspiracy, according to court documents filed Thursday. This violation carries a maximum sentence of five years in prison, followed by three years of supervised release and a $250,000 fine.
Everhart’s attorney declined to comment when reached by phone Friday. No plea hearing had been scheduled for Everhart as of Friday afternoon, according to court records.
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The former Republican state representative represented central Indiana’s 57th Congressional District for 16 years before retiring in November 2022.
Prosecutors say he is accused of accepting compensation and promises of future employment in exchange for favorable behavior at general meetings.
In late 2018, a company called Spectacle Entertainment purchased two casinos and their associated state licenses on the shores of Lake Michigan in Gary, Indiana, with plans to move to downtown Gary and Vigo County in western Indiana, according to court documents. I was looking for it.
The U.S. Attorney’s Office said in a press release that the purchase and move of the casino requires approval from Congress and the governor. Multiple phone numbers listed online for Spectacle have been disconnected as of Friday.
The relocation bill was introduced and considered by the House Public Policy Committee, which oversees casinos and gaming in Indiana, in 2019, and included a proposed “relocation fee.” Eberhart was a member of the House Public Policy Committee, according to the documents.
Former Indiana Rep. Sean Eberhart (R), left, and Democrat Charlie Brown (left) speak during Congress at the Indiana State Capitol on February 24, 2010 in Indianapolis. (AP Photo/Daron Cummings, File)
According to authorities, Mr. Eberhart used his position to secure terms favorable to Spectacle, including successful approval of the transfer, reduction of the transfer fee from $100 million to $20 million, and enactment of tax breaks favorable to Spectacle. He said he voted for the bill to be passed.
In return, Everhart accepted the promise of future employment at Spectacle, which included at least $350,000 a year in compensation, authorities allege.
Everhart texted about efforts to secure favorable legislation for the company, saying it would “make things right” for Spectacle’s founder, identified only in court documents as “Individual A.” The U.S. Attorney’s Office did not immediately respond to questions about whether Person A is also being investigated or whether charges will be filed.
Other evidence obtained by investigators includes phone records, digital images of documents, “secret recordings of conversations with Eberhart,” audio and video recordings, and “statements and actions made in the Indiana State House,” according to court documents. and other records.”
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Republican House Speaker Todd Huston said in a statement provided to The Associated Press that he was “beyond disappointed and extremely frustrated” by reports of Everhart’s alleged conduct.
“All such actions reflect our core values and everything our Congress stands for and strives to protect: a trusted, reliable and transparent organization accountable only to Hoosiers.” It goes against our institutions,” Houston said.
Spectacle has been hounded by federal investigations before. In 2022, longtime casino operator John Keeler was found guilty along with former Indiana Sen. Brent Walz of illegally funneling gambling funds into his unsuccessful 2016 bid for Congress. I received it.
Keeler, who served as a Republican congressman for 16 years in the 1980s and 1990s, was sentenced to two months in federal prison and a $55,000 fine. Spectacle, founded by a group led by Keeler and another longtime casino executive, was stripped of its ownership of two casino projects by the Indiana Gaming Commission following the 2020 indictment of Keeler and Walz. .
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Walz, a Republican from Greenwood, was sentenced to 10 months in federal prison for aiding and abetting the dissemination of approximately $40,000 in illegal contributions to his campaign and making false statements to the FBI.
