Appointment of House Manager, Watchdog OKd

Over angry Republican protests, the scandal-plagued House approved unprecedented changes in its internal management Thursday, even as a federal grand jury indicted a former House employee on charges of selling cocaine at the House post office.

By a vote of 269 to 81, a near-unanimous Democratic majority authorized the appointment of a professional manager to oversee many administrative services and an inspector general to watch for waste and fraud in financial matters.

Although the plan would give the House Republican leader veto power over the selection of specific officials, GOP lawmakers scathingly denounced it as “phony” and a “sham” in some of the most acrimonious debate in years. As a sign of protest, 64 Republicans abstained on the vote for final passage of the resolution.

Sixteen Republicans and one independent joined 252 Democrats to adopt the changes, with only three Democrats lining up with 78 Republicans against it.

Word of the grand jury indictment hit with explosive force during the House debate. The action suggests that the House post office not only was involved in embezzlement of congressional funds but was used by the former employee to distribute crack cocaine and other illegal drugs to co-workers.

Wendell Magruder was charged in Thursday’s indictment with conspiracy to obtain cocaine, crack cocaine and marijuana and with distributing cocaine “in exchange for money and favors.”

Magruder, who was indicted in February for allegedly embezzling $13,997 in cash from the House post office, could face sentences of as much as 36 years in prison and fines of up to $500,000 if convicted on all the other charges.

Although the allegations of drug use had been made by other employees, the indictment marked the first time drug charges have been formally filed in the expanding House post office investigation by the U.S. attorney’s office.

The indictment said that between December, 1988, and July, 1991, Magruder and other unnamed co-conspirators attempted to hide from auditors the fact that money and stamps allegedly embezzled by employees were missing from the post office.

The conspirators also were cited for possession of cocaine and crack, while Magruder, 32, was charged with an additional count of drug distribution, U.S. Atty. Jay. B. Stevens said.

House Majority Leader Richard A. Gephardt (D-Mo.) acknowledged that there were abuses and management inefficiencies in the House restaurant, banking and postal services, but he contended that the bipartisan appointments of an experienced executive and financial watchdog would bring improvements.

But Republicans scoffed at the notion. Rep. Steve Gunderson (R-Wis.) replied: “Simply creating a new level of patronage bureaucracy on top of the present patronage bureaucracy doesn’t seem to make sense.”

Alluding to the indictment announced Wednesday, Rep. Bob Livingston (R-La.) shouted: “It’s symptomatic of lousy administration in this House. . . . This bill is going to do no good and we’ll be facing another scandal in a few more years.”

The Republicans preferred an alternative plan offered by Minority Leader Robert H. Michel (R-Ill.) that would enhance Republican power in legislative matters and scrap several select committees, as well as make other changes. It was rejected on a 254-159 party-line vote.

In the wake of the scandals at the House bank and post office, the Democratic leadership created a 16-member bipartisan panel in hopes of reaching an accord with Republicans on reform proposals.

The panel broke up amid partisan bickering, and the Democrats decided to proceed with the managerial changes before House members leave Washington at the end of the week for an Easter recess.