San Diego

The former president of a ship repair company pleaded guilty Friday to making illegal contributions to three congressional campaign committees, admitting to what prosecutors called “an elaborate scheme” to circumvent federal election law.

David L. Bain, former president of Pacific Ship Repair & Fabrication of San Diego, could be sentenced to up to five years in jail and given a $250,000 fine when he appears for sentencing Jan. 13 in connection with a charge that he conspired to hide illegal campaign contributions.

The charge is part of a 32-count federal indictment alleging that Bain, a prominent San Diego attorney and three-time campaign treasurer for Mayor Maureen O’Connor, and nine others embezzled $1.4 million from Pacific Ship’s employee profit-sharing plan; stole a $1-million overpayment by the Navy and violated income tax laws.

In May, Bain was acquitted of a separate charge of violating the federal Clean Air Act when his company removed asbestos from the Navy aircraft carrier Ranger. A company foreman was convicted of related charges, and the company also pleaded guilty.

According to a statement by Assistant U.S. Atty. Robert J. Lauchlan Jr., Bain recruited company employees to contribute to three campaign committees and to enlist others to do the same, assuring them reimbursement from MDS Unlimited, a company subcontractor.

These “conduits” were used to “launder dirty contributions,” including individual donations above the $2,000 limit for himself and others, Lauchlan said.

The illegal campaign contributions were made in late 1988 to the reelection committee of U.S. Rep. Les Aspin (D-Wis.); a committee to elect Rob Butterfield, unsuccessful Republican challenger that year to former U.S. Rep. Jim Bates; and to the Democratic Senatorial Campaign Committee, a national organization of the Democratic Party.

The campaign committees were described as “unknowing benefactors of the illegal contributions.”