0 the aid of scholarships. you know, by the time she was married, by the time she went to harvard and had a husband who was willing to help. >> that's jess mcin tosh, ben moore, and krystal ball, who can you can catch here on "the cycle." that is "all in" for this evening. "the rachel maddow show" starts now. good evening, rachel. >> good evening, chris. thanks, my friend. and thanks to you at home. when it rains, it pours. former governor bob mcdonnell of virginia and his wife, the first lady of virginia, maureen mcdonnell, have today been indicted by federal prosecutors on more than a dozen felony charges. if they are convicted of those charges and they face the maximum penalties allowed by law, they could be looking at decades in jail and fines of over $1 million. this is a story that we have been covering from the very beginning. our first coverage of this scandal was back in early april of last year. but, you know what, credit where credit is due. one of those key reporters is going to be here in just a moment to talk about this story. pots and pans that were taken out of the mansion kitchen by the first lady and given to the mcdonnell children. that motion from the chef's lawyers led ultimately to a freedom of information act request from "the washington post," and then further very specific details on things the first family took for themselves, either directly out of the governor's mansion or things they just bought for themselves on the mansion credit card. things like, say, hummus. hint of lime tortilla chips, toilet paper, body wash, deodorant, dry cleaning, shoe repair, a detox cleanse of some kind, nasal spray. something called sleep-inducing elixors. also dog vitamins. the dog, reportedly, is ginger. she's adorable. she's a sheltie/terrier mix and she needs vitamins. and the mcdonnell family, reportedly, had the taxpayers of virginia pay $9.49 in taxpayer money for the dog's vitamins. those revelations were embarrassing, and ultimately governor mcdonnell and his family repaid the state for the cost of the dog vitamins and some of the other stuff. but it turns out that that dispute with the chef and the improper spending that he narced them out for, that did not end up being the scandal. the scandal ended up being, specifically, about that check that the chef photo copied for the chicken dinner. and specifically the question of who that check came from. the chicken dinner was actually paid for by this guy, johnny williams, the ceo after virginia company called star scientific. star scientific is convinced that it has unlocked the health benefits of tobacco. they invented an anti-inflammatory tobacco-based pill called agnatabloc. they are based in virginia, the ceo is a well-connected rich guy also based in virginia, and the ceo apparently decided that they were the key to success of anatabloc and its active ingredients. the fact that they wanted those things for their own company and their own product, that's not criminal. it's not even irrational from the perspective of the tobacco pill company. but with the justice department now alleges in today's complaint, today 43-page, 14-count complaint. what the justice department alleges is criminal sb, is what happened between that ambitious company ceo and virginia governor bob mcdonnell. it wasn't just the $15,000 chicken dinner he paid for at the wedding. as documented in press reports over the last nine months and as alleged in the 43-page indictment today, the gifts and loans from johnny williams to governor bob mcdonnell and his family, between the time bob mcdonnell was inaugurated and last march, when it finally started to stop, when the mcdonnell family finally had to start answering questions from law enforcement, the list of stuff they took is just breathtaking. tens of thousands of dollars of free flights on the ceo's plane. that $15,000 catered chicken dinner at the governor's daughter's wedding. another $10,000 for the wedding of the governor's other daughter. did not belong, but where they played frequently and put it all on the tab of that company's ceo. a $6,500 rolex watch for governor mcdonnell, inscribed, quote, 71st governor of virginia. a $50,000 check made out to maureen mcdonnell, the first lady. another $70,000 in checks made out to a real estate company that bob mcdonnell operated with his sister. not to mention tens of thousands of dollars more in campaign contributions, mostly in the form of free private jet travel for the governor. and while that is quite an amazing array of things for the governor and his family to have taken while the governor was in office, that, itself, is not necessarily a crime. i mean, there may be reporting requirements with regard to some of those gifts. there may be tax implications and banking implications there. but the sheer fact of having taken that much loot from one guy while you were governor, in virginia, that wouldn't be the sort of thing that would necessarily get you indicted on its own. that's just the quid. what federal prosecutors are alleging is quid pro quo. what they can prove is the core allegation in this indictment, that exchange for the six-figure largess from the ceo of star scientific, governor mcdonnell and his wife, quote, participated in a scheme to use robert mcdonnell's official position as governor to enrich the defendants and their family members, by soliciting and obtaining payments, loans, and gifts of other family from that ceo and his company in exchange and performing official actions to legitimatize, promote, and obtain research studies for the ceo's products. so we know the pile of loot that went one way from the ceo and his family, we know what they got. this indictment today means that federal prosecutors think they can prove what went the other way. they think they can prove what the governor's office did for that company and that it was an exchange for that loot. there's a launch party for the company's magic tobacco pill that was hosted at the governor's mansion and attended by the governor and first lady. the first lady of virginia touting the magic tobacco pill at two events. it was a top-level meeting, set up by the governor's office between the company ceo and top virginia state health officials. no, make that two meetings set up by the governor and his wife with top virginia state health officials and this company that had given them so much. it's the governor smiling, holding up a bottle of that magic tobacco pill at a seminar set up in richmond to convince doctors to recommend that magic pill to their patients. and if you want to see just a snapshot of the timeline here, and what led to these charges, the indictment itself is an amazing thing. this is from the indictment. from july 28th, 2011, through july 31st, governor and mrs. mcdonnell and their family enjoyed a private vacation at the ulti-million dollar vacation home at smith mountain lake. maureen mcdonnell had previously called the ceo to ask whether his ferrari would be at the house for governor mcdonnell to use. the ceo arranged to have a star scientific employee transport the ferrari from richmond to smith mountain lake, so the defendants could use the ferrari during their vacation. then, check this out. on the last night of the vacation, at 7:47 p.m., sunday night, maureen mcdonnell e-mailed a picture to the ceo, showing her husband, governor bob mcdonnell, driving the ferrari. later that same night, 11:29 p.m., the governor himself sends an e-mail to the secretary of health for the state of virginia, saying, i would like you to have one of your deputies, in secretary felts' office, attend a briefing at the mansion, 10:00 a.m. tomorrow morning about this company, star scientific. the first lady will be there. that e-mail goes out at 11:29 p.m. sunday night after he spent the weekend driving this guy's ferrari around, while staying at guy's multimillion-dollar lake house. the next morning, 10:00 a.m., the briefing happens with the ferrari ceo there and the first lady there and the health secretary, indeed, sends his senior policy adviser. nice work, if you can get it, right? the ceo pitches the case for his pill, says he has discussed this with governor mcdonnell personally. he suggests having virginia state government employees use the drug as a control group in research studies. that same day, the ceo meets privately with the first lady. the first lady asks the ceo, hey, what brand of watch are you wearing? he says it's a rolex. she tells the ceo she would like to get one for governor mcdonnell, because he would like a rolex too. the ceo reportedly expresses concern about whether a senior government official like the governor of virginia would want to be seen wearing such an ostentatious luxury item, maureen mcdonnell told the ceo that she wanted him to buy a rolex for the governor. the ceo subsequently bought that rolex for the governor, and at the first lady's request, it was engraved, 71st governor of virginia. and that was, according to the indictment, all in one day's work. the indictment alleges that all of that, from the photo of him in the ferrari to here's what i want the inscription to be on the rolex, the indictment alleges that that all happened between sunday night, july 31st, and the next day, monday, august 1st. today, it was announced that the senator mike lee will get the tea party response this year to the state of the union address by president obama. we still don't know who's going to give the republican party response, but the tea party response will be by mike lee. for four straight years now, there have been separate republican party and tea party responses to the state of the union. and while that has been kind of a weird strategy for republicans overall, you know, the official republican party responses have gone pretty poorly on their own, even without the competition from their own side, with these tea party addresses. i mean, bobby jindal, forgive me, bombed in his response to the point where it's still being parodied. marco rubio and the big water reach, marco rubio also bombed in his state of the union response. mitch daniels looks like he just popped the top off his coffin long enough to let the bats fly out before he delivered his run for your lives state of the union message. the republican responses and the tea party responses in the state of the union have generally been terrible in the obama era. but not bob mcdonnell's. not when he did it. when bob mcdonnell did it, he nailed it. >> good evening. i'm bob mcdonnell. 11 days ago, i was honored to be sworn in as the 71st governor of virginia. >> 11 days in. bob mcdonnell seemed like a rising star for so many years, in part because he carried himself perfectly. he carried himself like a president. yeah, sure, maybe if you're paying attention, you'd know that he's a president who might force you to have a medically unnecessary vaginal ultrasound probe, but, still. "the washington post" reported in december that the u.s. attorney was ready to levy these charges against bob and maureen mcdonnell, while the governor was still in office in december, and that would have made him the first sitting virginia governor to be criminally indicted ever in the history of that state. federal justice department officials in washington reportedly intervened and told prosecutors to delay bringing those charges. delay the charges until after the gubernatorial transition had taken place in virginia, which it did, just 11 days ago. so 11 days after he was inaugurated, he gave the state of the union response and everybody said he was going to be the next republican process. 11 days after he left office, charges, $1 million in fines, possible, if he's convicted. today governor bob mcdonnell denied these charges vigorously. he said they were a manifestation of overreach by the federal government. >> good evening. i am here with my wife, maureen, and my daughter, kalen, and my son-in-law, chris, and i really appreciate this opportunity to address the people of virginia here tonight. i come before you this evening as someone who has been falsely and wrongfully accused and whose public service has been wrongfully attacked. i did nothing illegal for mr. williams in exchange for what i believe was his personal friendship and his generosity. i will use every available resource and advocate that i have for as long as it takes to fight and prevail against these false allegations and the unjust overreach of the federal government. there's no way for me to fully convey how much i appreciate the ongoing steadfast support and encouragement that i have received over the many months, including today, from family, from friends, and from people who i have worked with for 37 years in public life. so i thank them tonight, in giving me the support during the most difficult and unexpected ordeal of my life. my family and i are most grateful. >> if these charges are proven, governor bob mcdonnell is looking potentially at decades in prison and more than $1 million in fines. but, just one last note here on the perspective. bob mcdonnell was inaugurated governor of virginia four years ago this month. the two american governors who were first inaugurated four years ago this month, the only two governors who were first elected in that unusual off year election year in 2009, the two governors were bob mcdonnell of virginia and chris christie, the governor of new jersey. they were the only two this year, bumper crop. joining us now is rosalyn helterman. so you have been covering this intensively right from the very start. i have to ask you in trying to sum it up that way, if you hear anything that i've gotten wrong or if this sounds basically in keeping with your understanding. >> i think you've basically got it. >> okay, thanks. was there anything in the actual indictment that you were not expecting based on your reporting thus far? >> you know, i think the indictment added a lot of nuance and a lot of details to a tale that we have unfolded pretty thoroughly over the last few months. i think one thing that surprised me and maybe a lot of other people is just how strong the indictment is. we've heard from the governor, for many months now, that he did nothing illegal, as he said again today. and i think many people in virginia were expecteding if there was an indictment, it might feel like a slap on the wrist indictment. and that's not what we got. we saw 14 felony counts for both the governor and the first lady. as you say, they face decades in prison. this is a very strong indictment. >> state governors ending up in hot water is not terribly uncommon in our country, sadly. but it's very uncommon in virginia. this kind of thing is a first for virginia, which has really prided itself on relatively uncorrupt government and relatively scandal-free executive leadership. is that an important factor for this prosecution, for its political import, for its chances of success? >> you know, that's an interesting question. you're right. people refer to in virginia what they call the virginia way. it's a sort of sense that people go into elected office out of a gentlemanly sense of public service. and that people just don't do this kind of thing in virginia. it's not new jersey. it's not illinois. and they will be choosing jurors who likely have that impression of the state. and so, whether that means they're more likely to give the governor the benefit of the doubt, because they like him and they think of him in that way, or if that means that, you know, they're shocked by this, and more likely to hold them accountable. we'll just have to see. >> rosalind, can you tell prosecute indictment who has been cooperating with prosecutors in terms of them building this case? there's a few people who are referred to by their initials, johnny williams, the star scientific ceo is obviously one of them. are there other people who are referred to in this case, or who obliquely turn up that you can tell have been cooperating? >> it's pretty clear that the governor's staff has been interviewed. i don't know that they've been interviewed very happily, but some of them obviously offered some accounts that the government found useful. the same is true, i think, of staff to the first lady. i don't think it's quite fair to say that the indictment shows that they've turned on them or anything like that. but just that they offered sort of honest feelings about what occurred and the government might have found those answers useful. although it is interesting that the defense has already come out very strongly swinging and saying that not only are they going to question the credibility of mr. williams, which i think everyone was expecting, but also another witness, who's referred to only by her initials, the first lady's chief of staff. they're going to be questioning her credibility as well. >> wow. wow. amazing stuff. rosalind helderman, groundbreaking reporter on this story for "the washington post." you've been very much ahead of the pack, you and your colleagues at the pack all along covering this story. congratulations on having led on this story that now everybody else is catching up to. it's good to have you here. >> thank you, i appreciate it. >> thank you. all right, we've got lots more ahead, including another eventful day for the other republican governor elected in 2009, new jersey's chris christie. there's a lot to get to tonight. stay with us. with three types of good bacteria. i should probably take this. live the regular life. phillips'. 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