Argon Talks to Feds

Murtha-Tied Firm Queried on Florida Case

By Paul Singer
Roll Call Staff
May 14, 2009, 12 a.m.

The company hired the PMA Group as its lobbying firm in January 2007, and Argon paid PMA at least $360,000 for lobbying through March 2009, according to Senate records.

Argon has been a sponsor of Murtha’s charity for high school students called the Challenge Program, and the Pennsylvania Congressman has announced earmarks and contracts for the company worth millions of dollars.

Argon has also at various times had contracts with other lobbying firms with close ties to Murtha, including KSA Consulting, which formerly employed Murtha’s brother. KSA was the lobbying firm for Coherent, and Argon inherited that contract with the purchase.

In 2005, Argon bought Radix Technologies, another defense contractor represented by PMA, and took over the Radix political action committee. When Carruth moved over to Argon from Murtha’s office in 2008, she became the treasurer of the Radix PAC, which has since changed its name to the Argon ST PAC.

In the 2008 election cycle, the PAC made $55,600 in campaign donations, according to Federal Election Commission data. Of that total, Murtha received $23,000 for his campaign committee and his leadership PAC.

Apart from Argon’s cooperation with investigators, several companies with connections to Murtha are involved in federal investigations.

Last fall, FBI agents raided the offices of the PMA Group, reportedly as part of an investigation of questionable campaign contributions, and the firm closed its doors in March. PMA was run by a former Appropriations Committee staffer who was close to Murtha.

In January, federal agents raided a Pennsylvania company called Kuchera Defense Systems, which also received millions of dollars worth of earmarks from Murtha and which, according to a Murtha press release, essentially operated jointly with Coherent. Coherent was named in the Florida indictment but has not been charged with any wrongdoing.

To date, the only allegations made by the government are those laid out in the indictment against O’Hair, Schaller and Sumrall.


Timeline: Murtha, Argon, PMA and a Florida Court Case


Jan. 5, 2005
Richard Schaller incorporates Schaller Engineering in Florida.

Feb. 1, 2005
PMA Group registers to lobby for Schaller Engineering.

May 10, 2005
Tsunami relief act approved, including an $8.1 million for earmark for Coherent Systems’ “Ground Mobile Gateway System.”

Sept. 13, 2005
Argon ST announces the purchase of Radix Technologies Inc., a PMA client.

Oct. 1, 2005
Coherent receives an $8.15 million Air Force contract for Ground Mobile Gateway. The contract’s program manager is Mark O’Hair.

Dec. 20, 2005
Coherent pays Schaller Engineering $200,000 for a component of Ground Mobile Gateway, which the government alleges was never built.

Sept. 29, 2006
Congress passes Defense spending bill with a $1.4 million earmark from Rep. John Murtha (D-Pa.) for the Mobile Gateway.

Jan. 1, 2007
PMA Group registers to lobby for Argon.

July 17, 2007
The Argon PAC gives $8,000 to Murtha’s leadership PAC.

Aug. 16, 2007
Argon announces the purchase of the assets of Coherent.

Sept. 26, 2007
The Argon PAC donates $10,000 to the Murtha re-election campaign.

Jan. 31, 2008
Former Murtha staffer Gabrielle Carruth registers as in-house lobbyist for Argon.

Feb. 26, 2008
The Argon PAC donates $5,000 to Murtha’s leadership PAC.

April 14, 2008
Carruth registers with the Federal Election Commission as treasurer of the Argon PAC.

Feb. 5, 2009
Florida court unseals indictment alleging collusion between O’Hair and Richard Schaller.

March 6, 2009
Carruth terminates registration as Argon’s lobbyist.

March 31, 2009
PMA Group dissolves after an FBI raid of its offices.

April 2, 2009
Murtha requests an $8 million earmark for the Argon facility in Pennsylvania to “upgrade the current naval torpedo defense capabilities.”

April 17, 2009
Carruth registers as in-house lobbyist for Lockheed Martin.

Sources: Public records

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