Former Governor Bob McDonnell did not tell his senior staff of a $15,000 cash gift to his daughter and a $50,000 loan to his wife from former Star Scientific CEO Jonnie Williams, before they approved a luncheon for his company at the Governor’s mansion. The luncheon at the Executive Mansion was arranged so Williams could present money to state universities to kick-start clinical trials of Star Scientific’s new dietary supplement.
McDonnell says state law did not require him to disclose the two checks from Williams. Bob McDonnell testified the $15,000 check to cover catering at his daughter Cailin’s wedding, was a gift to her, despite the fact that he had intended to pay the bill. The $50,000 loan to Maureen McDonnell was intended to help the couple pay the mortgages on rental properties, but the former first lady used it instead to pay down their credit card debt and buy Star Scientific stock.