MUSKOGEE, Okla. (AP) - Businessman Steve Phipps has told a federal grand jury that he could implicate at least 34 people in a political corruption scheme, The Oklahoman reported Sunday in a copyrighted story.
The newspaper cited a court document concerning the claim of Phipps, who is at the center of an FBI investigation.
The list became public during testimony last week in the corruption trial of former state Rep. Randall Erwin, which will resume on Monday as the jury continues its deliberations.
Phipps has acknowledged while on the witness stand that he committed between 300 and 400 felonies. But because he has been willing to name names and produce supporting documents, prosecutors offered him a deal in which he was charged with only one felony, conspiracy, and would face a prison term of no more than five years.
Phipps, who has testified at least three times to the grand jury and has been cooperative with the FBI, will receive his sentence when federal authorities deem his cooperation to be finished.
Phipps told federal jurors during Erwin's trial that in return for a $6,000 bribe he gave to the ex-legislator, Erwin earmarked $10,000 in state money to the Rural Development Foundation, a dummy entity set up by Phipps to cover a kickback system.
Erwin eventually steered $1.1 million in state money to Phipps' businesses.
Erwin, 57, faces a seven-count indictment alleging he took kickbacks from Phipps and disguised them as legitimate consulting fees.
Those whom Phipps has previously implicated during court testimony include Erwin, former state Reps. Mike Mass and Jerry Hefner, former state Sen. Gene Stipe and former state Auditor and Inspector Jeff McMahan and McMahan's wife, Lori.