Cunningham says he won't seek re-election

By: North County Times | Thursday, July 14, 2005 3:44 PM PDT ∞

Rep. Randy "Duke" Cunningham, R-Escondido, won't seek re-election next year, he announced Thursday, in the midst of a federal grand jury investigation into what some allege are inappropriate ties to a Washington defense contractor.

Cunningham said he can do his job and defend his honor... "but I don't think I can do either of these things effectively in the midst of a political campaign."

The announcement came less than two weeks after federal agents raided Cunningham's home, the contractor's Washington office and a boat Cunningham lived on in the capital.

"Regardless of what my critics may say, I did nothing wrong," Cunningham told the assembled audience on the campus of Cal State San Marcos.

Cunningham said he will sell his Rancho Santa Fe home, the initial subject of the growing controversy, and donate a portion of the proceeds to local charities.

Cunningham represents the 50th district, which stretches from Carlsbad east to Escondido and as far south as Miramar and portions of northern San Diego.

A federal grand jury is investigating Cunningham's sale of a Del Mar Heights home in 2003 to a defense contractor at what may have been an inflated $1.675 million price. Mitchell J. Wade, founder of defense firm MZM Inc., sold the home nearly a year later for $975,000, losing $700,000. Cunningham also lived on Wade's 42-foot yacht, the Duke Stir, docked in Washington, D.C.

Cunningham, an eight-term Republican representative, is a member of the House Appropriations Defense Subcommittee and the Permanent Select Committee on Intelligence.

Wade's company has seen a large spike in its government defense contracts in recent years, and critics have raised questions about whether Cunningham used his influence to steer contracts to MZM.

Cunningham's office was subpoenaed late last month by federal investigators seeking documents. Agents from the FBI, the Internal Revenue Service and the Defense Criminal Investigative Service, broke a lock on his Rancho Santa Fe home on July 1 and carried out loads of documents from the house.

Cardiff Democrat Francine Busby and Republican George Schwartzman have announced plans to run for Cunningham's position next year.

Statement by Randy "Duke" Cunningham

Ladies & Gentlemen,

I have devoted my adult life to public service - first as a pilot in the U.S. Navy and later a Member of Congress -- 36 years in all. I have been honored to serve my country in times of peace and times of war. But the time has come for me to conclude the public chapter of my life. After talking with my wife Nancy and our children, I have decided that I will not stand for reelection in 2006.

In the last month, serious allegations have been made about my conduct in office. I again want to assure my constituents that I have acted honorably in the performance of my duties in Congress. This truth will be evident in time. I have cooperated with the government's investigation and I am confident that I will be vindicated.

But I will not ignore the damage to my standing in this community that has followed from these false charges, and the daily repetition of those charges in the press. Nor will I ignore the harsh toll that these allegations have had on my family. My family, and particularly Nancy, are the strongest people I know. Nancy's steadfast support has permitted me to keep going these last few weeks. I could not have done it without her. But my attorneys tell me that the government's inquiry will not conclude in a matter of weeks or even a few months. As a result, there is every reason to believe that this investigation will extend into the political season. I do not believe that a political campaign in the midst of such an investigation is in the best interests of my family or my constituents. Such a campaign should be about the issues that matter to the daily lives of the people, not personal finances.

I have committed my entire public career to securing our national defense, improving our schools and increasing job opportunities for the people of San Diego County. You all know me, and you know that my instinct is to remain in the arena and fight for these causes. And I am grateful for the statements of support that I have received from office holders at every level, encouraging me to continue the fight. I can do my work in Washington and I can defend myself against these allegations, but I don't think I can do either of these things effectively in the midst of a political campaign. Quite simply, right now, I am not the strongest champion for these causes. There are others in my party who are similarly committed to this mission and I will step aside to permit them to carry the banner forward. I learned in Viet Nam that no one person is more important than the mission, and I do not intend to forget that lesson now.

I want to thank all of our friends in San Diego who have rallied to our side in these difficult days. You cannot know how critical your love and support has been to Nancy and me this last month. We will forever be in your debt.

I want to say a final word to those friends who have shared with me in recent weeks their heartfelt concerns about the allegations against me. I fully recognize that I showed poor judgment when I sold my home in Del Mar to a friend who did business with the government. I should have given more thought to how such a transaction might look to those who don't know me. I have spent an entire life building a reputation of integrity and honesty. It pains me beyond words that I have jeopardized your trust.

I cannot turn back the clock but I want each of you to know that I did not profit improperly from the sale of my home in Del Mar. I believe that the sale of our Del Mar home was at a reasonable price, and that the proceeds from that sale are rightfully ours. Nancy and I have worked hard all our lives to save enough money to purchase a nice home where we could live out our later years. We love the people of Rancho Santa Fe and they have been very gracious to us during this tumultuous month. But I simply do not want there to be any question in the minds of my friends and supporters about whether I improperly benefited from my work as their representative in Washington. To that end, Nancy and I have decided that we will sell our home in Rancho Santa Fe and that we will donate a portion of the proceeds of that sale to three San Diego charities with which we have been affiliated for years - Sister Claire's Home for Abused & Battered Women, Bishop McKinney's School for At Risk Children, and Father Joe Carroll's Homeless Shelter in downtown San Diego.

Nancy and I know that this gesture will not convince the skeptics of our good faith. My detractors have made up their minds, and this act will not reach them -- or in anyway end the government's investigation of me. We are making this gesture not for them, but for our friends and supporters who have been with us for many years. I want them to know - regardless of what my critics may say - that I did nothing wrong.

It is fitting that I should make this announcement here at Cal State San Marcos because I have watched with pride throughout my years in Congress as this University has grown and flourished. I am proud to have taken a leading role in securing the funding for the University to establish a nursing program as well as improvements to the library and campus police. This school is a daily reminder to me that public service is a noble calling and that we can make our community a better place to live when we work together. I have been honored to represent you the last fourteen years, and I will continue for the remainder of my term to fight for you in Washington. Thank You.

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