ILNews

Ethics commission fines, bans attorney from state employment

Back to TopCommentsE-mailPrintBookmark and Share

The Indiana State Ethics Commission has found a former general counsel and chief administrative law judge for the Indiana Utility Regulatory Commission violated the law when he participated in decisions involving his future employer, Duke, while still with the IURC.

The ethics commission released its findings in a report Thursday, outlining the charges against Scott Storms. The inspector general charged Storms with violating Indiana Code Section 4-2-6-9(a) when he participated as an ALJ in the Duke Edwardsport case while knowing he had a financial interest in the case because he was negotiating employment with Duke at that time. He was also charged with violating the law when he participated as an ALJ in the Duke Smart Grid case after he learned he would become an attorney at Duke. Duke had a financial interest in both the Edwardsport and Smart Grid cases.

Storms ruled on the Duke cases in July 2010, and he began working at Duke in late September 2010. He was fired in early November 2010. His salary at Duke was $42,000 more than what he earned with the IURC.

The ethics commission found he violated I.C. Section 4-2-6-9(a) by participating in the matters and by not notifying his appointing authority of a potential conflict of interest or seeking an advisory opinion from the commission after he began negotiations for the open position at Duke. Storms also failed to file a written description detailing the nature and circumstances of the matter and make full disclosure of any related financial interest in the matter.

The ethics commission imposed a $12,120 fine, which was three times the amount of benefit Storms obtained from the $4,040 salary increase he received during his employment at Duke. He must pay the fine in full to the commission within 60 days. He is also banned from future employment with the state.

Duke’s Indiana president, Mike Reed, a former executive director of IURC, was fired at the same time as Storms as a result of this matter. Gov. Mitch Daniels fired IURC Chairman David Lott Hardy in October 2010 for not having Storms step down from Duke cases after learning Storms applied for a job with the company. Reed sent numerous emails and communicated with Storms and Hardy regarding Storms’ prospective employment.

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Don't we have bigger issues to concern ourselves with?

  2. Anyone who takes the time to study disciplinary and bar admission cases in Indiana ... much of which is, as a matter of course and by intent, off the record, would have a very difficult time drawing lines that did not take into account things which are not supposed to matter, such as affiliations, associations, associates and the like. Justice Hoosier style is a far departure than what issues in most other parts of North America. (More like Central America, in fact.) See, e.g., http://www.theindianalawyer.com/indiana-attorney-illegally-practicing-in-florida-suspended-for-18-months/PARAMS/article/42200 When while the Indiana court system end the cruel practice of killing prophets of due process and those advocating for blind justice?

  3. Wouldn't this call for an investigation of Government corruption? Chief Justice Loretta Rush, wrote that the case warranted the high court’s review because the method the Indiana Court of Appeals used to reach its decision was “a significant departure from the law.” Specifically, David wrote that the appellate panel ruled after reweighing of the evidence, which is NOT permissible at the appellate level. **But yet, they look the other way while an innocent child was taken by a loving mother who did nothing wrong"

  4. Different rules for different folks....

  5. I would strongly suggest anyone seeking mediation check the experience of the mediator. There are retired judges who decide to become mediators. Their training and experience is in making rulings which is not the point of mediation.

ADVERTISEMENT