Over the past months, we've been profiling the 22 most corrupt members of Congress named in the 2007 edition of report, Beyond DeLay. Alaska has become ground zero for public corruption investigations. In fact, we named the entire congressional delegation to our report on the most corrupt members of Congress. We spend a lot of time in this blog discussing Senator Ted Stevens and Rep. Don Young. Today, the spotlight shines on their colleague, Senator Lisa Murkowski:

Sen. Lisa Murkowski (R-AK) is a first-term senator representing Alaska. Sen. Murkowski’s ethics violations stem from her purchase of land in Alaska for a price below market value, her acceptance of a mortgage on terms not available to the general public and her failure to accurately disclose the transaction in her 2006 financial disclosure report.

Kenai River Property Purchase

In December 2006, Sen. Murkowski and her husband paid $179,400 for a 1.2 acre vacant lot on the banks of the Kenai River in Alaska from long-time friend and campaign contributor Bob Penney. Three days after the purchase, the Kenai Peninsula Borough Assessing Department valued the land at $214,900, 20% over what Sen. Murkowski paid for the land. According to numerous real estate sources in the area, the Kenai lots actually sell for significantly higher than the Borough assessed price because they are located on a world-famous fishing river. Mr. Penney, the seller of the property, has been questioned in connection with a criminal investigation into real estate transactions involving Alaska Senator Ted Stevens. Mr. Penney, though a real-estate developer who has testified regarding the economic impact of fishing upon the Kenai River property values, claims that he was unaware that the Borough assessed value of Sen. Murkowski’s land had increased since 2005, when it was valued at $120,000.

By purchasing the land at a price below the property’s real value, Sen. Murkowski accepted an improper gift from Mr. Penny in violation of the Senate gift rule.

Mortgage for Purchase of Kenai River Property

Sen. Murkowski financed the purchase of the property with a loan for 80% of the purchase price from First Bank in Ketchikan. Sen. Murkowski once sat on the board of directors of First Bank, her sister is a shareholder and member of the bank’s board of directors, her father previously sat on the board of directors and her grandfather was president of the bank. Financial records show the maturity date for Sen. Murkowski’s loan as 2046, making it a thirty-nine year term. First Bank, however, told an Alaskan media outlet that the standard loans for undeveloped property such as Sen. Murkowski’s have a maximum seven-year maturity. On her 2006 financial disclosure form, Sen. Murkowski reported the term as 15 years.

By accepting a loan on terms not generally available to the general public, Sen. Murkowski accepted an improper gift in violation of the Senate gift rule.