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Lawmakers heavily invested in defense

(Agencies)
Updated: 2008-04-04 11:53

It is unclear how many members still hold these investments and exactly how much money has been made. Disclosure reports for 2007 aren't due until this May. Also, members are required to report only a general range of their holdings.

According to the report, presidential hopefuls Barack Obama and John McCain did not report any defense-related holdings on their filings; Hillary Rodham Clinton did note holdings in such companies as Honeywell, Boeing and Raytheon, but sold the stock in May 2007. All candidates three are members of the Senate.

Earning dividends from companies tied to the military "could be problematic" for lawmakers who oversee defense policy and budgeting, noted the center's Lindsay Renick Mayer. Avoiding every company with a military contract, however, would not be easy for an investor.

"So common are these companies, both as personal investments and as defense contractors, it would appear difficult to build a diverse blue-chip stock portfolio without at least some of them," Mayer wrote

Kerry, D-Mass., a member of the Senate Foreign Relations Committee, is identified as earning the most — at least $2.6 million between 2004 and 2006 from investments worth up to $38.2 million.

Spokesman David Wade said Kerry, who staunchly opposes the war in Iraq, is one of many beneficiaries of family trusts that he doesn't control. Wade also noted that Kerry does not sit on the Appropriations Committee, which has direct control of the defense budget.

"He has a 24-year Senate record of working and voting in the best interests of our men and women in the military, not of any defense contractors," Wade said.

Lieberman, I-Conn., chairman of the Senate Homeland Security and Governmental Affairs Committee and a member of the Armed Services Committee, held a considerably smaller share at $51,000. A spokesman said the senator, who supports continued operations in Iraq, is "careful to make his policy decisions based only on what is best for the country."

A spokesman for Blunt, R-Mo., a senior member of House GOP leadership who held at least $15,000 in Lockheed Martin stock in 2006, said the insinuation that lawmakers' votes might be affected by their portfolios is "offensive." Like Lieberman, Blunt has been a fierce supporter of the war.

"I don't pretend to speak for other offices, but I am fairly certain that no member would consider their personal finances when voting on issues as important as sending our men and women in uniform into harm's way," said Blunt spokesman Nick Simpson. The Lockheed Martin stock was given to Blunt's wife by her mother, he said.

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