Jury Demands Records of Fees Paid Rep. Gray

PHILADELPHIA — A federal grand jury subpoenaed financial records from groups that paid speaking fees to assistant House Democratic leader William H. Gray III of Pennsylvania, it was reported Tuesday.

William Fitzpatrick, general counsel for the Securities Industry Assn. in New York, told the Philadelphia Inquirer that his group was told to produce the records of payments for speaking engagements involving Gray or his wife, Andrea, dating back to Jan. 1, 1984.

Fitzpatrick said Gray was paid $2,000 for a speech in March, 1988.

The Congressional Quarterly reported on Monday that nine organizations it had contacted also received subpoenas for records of money paid to the Grays.

Among the charities that were subpoened, said the Congressional Quarterly, were Bright Hope Baptist Church in Philadelphia, where Gray preaches, and Kids Inc., a Washington group that grants wishes to terminally ill children. Andrea Gray works for Kids Inc.

In Washington, a Justice Department spokesman refused to discuss the issue Tuesday when reporters asked if Gray was the target of a criminal investigation.

Gray collected more than $150,000 last year in speaking fees and donated all but $25,000 to charity, as required by the House rules on outside income, Congressional Quarterly said.

CBS News reported last year that the FBI was investigating Gray for alleged financial irregularities involving his office.

Atty. Gen. Dick Thornburgh said later that Gray had not been the target of the investigation.