Edwards Scandal: Blogosphere Leads Investigation That MSM Neglects

August 20th, 2008 8:25 AM

As NewsBusters editor Matthew Sheffield recently wrote, the John Edwards scandal demonstrates why the public is moving to the Web for news. A big reason for the public relying more and more on the Web for news is that the blogosphere is willing to do the investigative footwork that the mainstream media often neglects. A perfect illustration of this are the revelations made today by the DBKP blog about the suspicious aircraft leasing arrangements made by John Edwards' moneyman, Fred Baron:

John Edwards and Fred Baron have had a close relationship over the last ten years. Both Edwards and Baron are successful trial attorneys and both shared the dream of seeing John Edwards elected President.

Both may, at some point, want to share some information on campaign travel billings.

A DBKP reader, known only as "Phil Ander", did some independent research into the Edwards' campaign's use of Baron's private jet and turned up some interesting information--and more questions. The research must have taken some time to compile--it took two of us some time just to confirm and follow its weaving, winding trail.

And that willingness to follow "its weaving, winding trail," is something the MSM often fails to do because of bias. The Edwards scandal is now something they hope just goes away so as not to interfere with Barack Obama's campaign and his upcoming coronation at the Democrat convention. So let us now look at the material that the DBKP blog dug up:

The information on the Internet does not jibe. There is probably a logical explanation but it is not apparent.

1. Reports filed by the Edwards campaign show many (apparently 128) payments for “airfare” to Frederick Baron (Federal Election Commission, fec.gov; opensecrets.org). There are more airfare payments to Frederick Baron than any other airfare payee.
2. There appears to be only one entry for airfare payment to Baron & Budd, of $2,517, according to the Open Secrets website.

3. Baron’s full name is Frederick Martin Baron. He lives in Dallas, TX (Wikipedia entry for Fred Baron, en.wikipedia.org/wiki/Fred_Baron; website for Baron’s charitable foundation, Baron & Blue Foundation, baronandbluefdn.org).

4. Baron’s Wikipedia page and many news items on the internet state the campaign paid Fred Baron $1.1 million (or other substantial figures, depending on the date reported) to rent his Hawker 800 private jet.

5. FAA records and other sites, such as aircraftdata.net, do not show any aircraft - - whether a Hawker 800 or other aircraft - - registered in the name of Fred or Frederick M. Baron. Two planes are registered to a Fred N. Baron in Garberville, CA. Neither is a Hawker 800. Fred N. Baron seems to be unconnected to Fred/Frederick M. Baron of Dallas, TX.

6 The Hawker 800, formerly manufactured by Raytheon, is now the BAE 125 Series 800, manufactured by British Aerospace and assembled by Hawker Beechcraft, according to the Wikipedia page, Hawker 800 ( en.wikipedia.org/wiki/Hawker_800). 7. A BAE 125 800, N-number 178AX, has been registered to Baron & Budd since January 2006, FAA online aircraft registration data shows.

8. Fred Baron and his wife, Lisa Blue, sometimes known as Lisa Baron, left Baron & Budd in 2002 and litigation ensued between the Barons and the firm. Neither Fred Baron nor Lisa Blue are listed as lawyers at Baron & Budd’s website, baronandbudd.com. It seems unlikely the firm’s BAE 125 a/k/a Hawker 800 is leased to or actually owned by the Barons.

Details, details, details. Details that for the most part that you won't see in the MSM that seems to just skim the surface of the John Edwards scandal and then hopes it disappears from public awareness. The DBKP blog concludes with a series of pertinent questions:
If there are no registration records for an aircraft in Fred Baron’s name, why is the campaign paying Frederick Baron for airfare?

If Fred Baron’s ownership is through a corporation, why were the payments listed repeatedly to him instead of the corporation?

Assuming there is error, and Fred Baron does, in fact, own a Hawker 800 (or BAE 125 800), why would he engage in the business of leasing it and receiving substantial income in his individual name rather than doing business through a corporation for liability and tax reasons? He is a lawyer and would know to consider a corporation for doing business. He set up a not-for-profit corporation for his charitable foundation, Baron & Blue, so it seems like he would also set up a corporate entity for his aircraft leasing business and require all payments to be made to it.

If a payment were made erroneously to the individual rather to the business once or twice, it could be a simple error, but it seems unusual that dozens of payments would be paid to Baron individually.

Would there not be a difference in accounting for income and being able to deduct expenses for an individual and a corporation?

Would it be possible, if payments were made to an individual for jet leasing, that excess funds could be paid without easy detection and then passed on to other parties?

On the other hand, it seems such an obvious mistake that surely there is some mistake by the campaign in reporting or by Edwards and Baron, both lawyers.
Did Fred Baron personally pay income on the $1.1 million jet lease payments?

Is it possible to obtain flight records to determine how payments were applied to flights?

Can the campaign provide a copy of the contract with Fred Baron for jet leasing and cancelled checks made in payment?

Is it possible to compare flight expense data of Edwards’ campaign with other candidates to see if the expenses are in the ballpark?

Does anyone have information on a Hawker 800 or other aircraft owned by Fred/Frederick M. Baron, including registration, N-number (the tail number?) and photos?
On a different topic, if Midline Groove was paid in excess of $114,000 for video production pursuant to a contract, did Midline Groove or the campaign pay Rielle Hunter’s hotel and meals expenses on the road?

Can the campaign provide a contract to make clear how those expenses were paid and to clear up other questions about the services provided?

These questions might be the starting point for the enterprising MSM reporter, when next Fred Baron or John Edwards surfaces to face the press.

Don't hold your breath waiting for "the enterprising MSM reporter" to ask these questions. And if they do, don't expect any credit to be given to the blogosphere in general nor the DBKP blog in particular for doing the investigative footwork the MSM should but won't do.