FBI Inquiry Turns to Sessions’ Phone Use

The Justice Department has taken the first step to seek appointment of an independent counsel to examine allegations that FBI Director William S. Sessions, his wife and a special assistant used government phones for personal purposes on “a massive scale,” government sources said Tuesday.

The allegations were sent to the department in early summer by an anonymous letter writer who claimed to be a former FBI agent. They are being investigated by the criminal division’s public integrity section, which handles the initial investigation of officials covered by the independent counsel law, as Sessions is.

A source familiar with the inquiry said that it has been determined that unauthorized calls, many to Texas, were made from Sessions’ office suite but that investigators are having difficulty sorting out who did the telephoning. Sessions, his wife, Alice, and his special assistant, Sarah Munford, all are from Texas and are the focus of the inquiry, the source said.

The public integrity unit also is looking into conflicting statements that Sessions gave to government authorities about his membership in a San Antonio country club, it was learned. When he came to Washington in 1987 as FBI director, Sessions applied for exemption from District of Columbia taxes, maintaining--as many political appointees do--that he would be here only for a temporary period. In doing so, he listed membership in the San Antonio club as evidence of his Texas roots.

But in a recent sworn statement to Justice Department attorneys, inquiring into whether he had improperly avoided local taxes, he said he was not a member of the club. That answer probably was correct, since membership in the country club is forfeited when a member leaves Texas.

The phone misuse charges and apparent conflicting statements are potentially more serious than the wide range of other allegations disclosed Monday. Among those charges are that Sessions permitted his wife and Munford to misuse powers. Those matters--more of which came to light Tuesday--are under scrutiny by the department’s internal watchdog unit, the Office of Professional Responsibility

In a statement Tuesday, Sessions acknowledged that the watchdog unit is looking into “allegations of potentially improper actions by me” and said he welcomed the inquiry and is confident of its outcome.

“Although I am unaware of the specific allegations, I do have in place procedures to ensure prior staff review and subsequent auditing of the types of my activities being reported in the media.”

“Should the inquiry indicate that a change of procedures is warranted to tighten up oversight of office procedures, I will take immediate action,” he said. Sessions made no reference to the public integrity inquiry and a bureau spokesman said: “We will have no official comment on that aspect of it.”

Sessions has retained a Washington attorney, James R. Phelps, a government source said.

The phone misuse and conflicting-statement allegations could trigger an independent counsel because Sessions is potentially directly involved in both matters and there are clear statutes outlawing the alleged conduct.

The other charges, if determined to be criminal, would not require an outside prosecutor because Sessions does not appear to be directly involved and Munford and Mrs. Sessions are not covered by the independent counsel provisions of the Ethics in Government Act.

Paul McNulty, chief spokesman for Atty. Gen. William P. Barr, and other officials--including career and political appointees--denied that there are any political overtones to the investigation. But it has surfaced against a backdrop of dissatisfaction with Sessions by high-level department officials who view him as ineffective. Sessions has completed about half of his 10-year term.

Rep. Don Edwards (D-San Jose), chairman of the House Judiciary subcommittee on civil and constitutional rights and a longtime Sessions’ supporter, said Tuesday that “the timing of this leak is very suspicious since the the FBI is investigating the Justice Department’s handling of the Iraqgate scandal.”

However, Edwards’ comments in an Associated Press interview did not note that the FBI inquiry into the Justice Department’s handling of the case, which involves bank loans to Iraq, was requested by Barr.

The investigation by the Office of Professional Responsibility also includes allegations disclosed Tuesday that Alice Sessions and Munford misused Sessions’ security detail and attempted to award an alarm system contract without bid to Munford’s husband, Don.

The government was paying for the system at Sessions’ home to ensure his security.

The allegations are contained in a document that author Ron Kessler submitted to the FBI on June 24 as he attempted to interview Sessions about the matters.

The Munfords have since separated, Kessler said.