Each taped a promotional message for the now-bankrupt National School Fitness Foundation for its December 2002 fund-raising banquet at a Salt Lake City hotel. The plugs were later repackaged in a video reportedly sent to corporations asking for donations.
The video, a copy of which was obtained by The Salt Lake Tribune, was completed in spring 2004, after some 600 schools had purchased fitness equipment from the foundation under the premise they would be reimbursed and around the same time Minnesota launched an investigation into the foundation's finances. It includes comments from Utah Sen. Bob Bennett on the Senate's inattention to health-related issues as well as commendations from former Surgeon General David Satcher and Sen. Ted Stevens, R-Alaska.
The strongest endorsement comes from Sen. Orrin Hatch, R-Utah, who praised the foundation for teaching kids "how to strengthen their bodies, minds and souls so that they can continue to help America to be productive and the greatest nation in the world."
Environmental Protection Agency Director Mike Leavitt, governor of Utah at the time the video messages were taped, thanks the foundation "for the contribution you have made to our state and many others."
Hatch, Bennett and Leavitt said through spokespeople that they agreed to record "greetings" for the 2002 benefit because it was a Utah charity engaged in a worthy cause, and because they could not attend the event. All insist they did not authorize the foundation to use their remarks in a video or for fund raising, although none denied that the banquet itself was a moneymaker.
"He felt it was a worthy goal to promote fitness in our kids," said Hatch spokeswoman Heather Barney. "He's of course very disturbed they've had to file bankruptcy and schools are facing a challenge because of that."
None said he had made a mistake, nor did any condemn the foundation.
"He was asked to do it and he did it," said Natalie Gochnour, Leavitt's spokeswoman at the EPA and while he was governor. "He didn't know the details of how the program worked. Probably still doesn't to this day."
Stevens did not respond to requests for an interview. Satcher, who now heads the National Center for Primary Care at the Morehouse School of Medicine in Atlanta, was traveling and unavailable for comment. A school spokeswoman, Gayle Converse, had this to say: "Although he does not endorse any equipment or specific product, Dr. David Satcher is an advocate for good nutrition and physical activity."
So were the folks at the fitness foundation, only their "contribution" to Utah and other states included saddling them with unexpected debt for "free" fitness equipment.
Federal prosecutors in Minnesota say the American Fork-based foundation used false promises of reimbursement to con nearly 600 schools, including 130 in Utah, into buying exercise equipment, lesson plans and a computerized system to track student progress. Although the company claimed to be flush with federal grants and private contributions, it was using money from the sale of new fitness equipment to make monthly payments to the schools that already had signed up.
Former Chief Executive Cameron Lewis disputes the government's characterization that he was running a pyramid scheme. He points out that each school got first-rate equipment for its money; that schools, not the foundation, had to cover the loans; and that contracts clearly stated reimbursements were not guaranteed. And several school officials support his version, saying Minnesota investigators scared away donors.
But two of Lewis' colleagues pleaded guilty in July to knowingly defrauding the schools of millions of dollars. And, in bankruptcy filings, the foundation accused Lewis and his father, San Juan County Commissioner Ty Lewis, of looting the charity. Court papers allege the Lewises used NSFF money to fund Alaskan hunting trips, buy private planes and remodel their homes.
Cameron Lewis' attorney, Neal Kaplan, could not be reached for comment.
That the foundation flourished for as long as it did is a testament to the quality of the equipment itself and the political savvy of those selling it.
Lewis and his wife gave $93,000 to federal political campaigns in 2003 and 2004, making them the largest such donors in the state. The foundation spent plenty on state politics, too. At one point, Florida listed seven lobbyists working on behalf of the nonprofit.
To organize the December 2002 benefit, held at a Salt Lake City Marriott Hotel, foundation officials hired public relations consultant Amy Hansen, daughter-in-law of former GOP Congressman Jim Hansen and architect of Leavitt's fund-raising galas.
They also tapped the connections of Richard Allen, an author of LDS books who served as the foundation's executive director of curriculum, Amy Hansen said.
Together, the two got the attention of high-profile politicians interested in the foundation's cause, said Hansen.
It didn't hurt that Hatch was good friends with Ty Lewis.
"The concept this group came up with is so positive and so good for our kids," Hansen said. "I was thrilled that here we had a Utah company that was making good headway on an important issue."
About 400 to 500 people attended the banquet, according to Gil Howe, executive producer at Mindpix, the company that taped the promotional blurbs. Tables sold for $3,000 to $5,000 each and there was a silent auction, Howe said.
Awards were handed out to school administrators, kids, corporate sponsors and an assistant to Stevens who helped the foundation obtain federal grants.
The video was produced more than a year later and, Howe said, foundation officials assured him they obtained releases from Hatch and the others.
Mindpix made 200 copies that were "sent out to companies all over," Howe said, but not before foundation officials instructed him to cut out a segment from Wisconsin Gov. Jim Doyle announcing a three-year, $10 million partnership with NSFF to provide fitness programs in 100 schools.
Hansen, no doubt, wishes that were true of Utah's former governor as well. She says she never would have approached Leavitt if she had realized his message would be used as a fund-raising tool.
"I'm really disturbed to hear it was used out of context." Hansen said. "It makes me sick."
Attorney Brad Morris represented the foundation at the time the video was produced. He says he doesn't know if the foundation sought releases or if the videos were ever sent. "Someone may have gotten a little sloppy," he said. "But what did they think it would be used for? The foundation needed to raise money and these were promotional endorsements."


