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By Betty Freauf

May 25, 2004

My pastor gave a sermon recently titled, "Finishing Well" based on I Corinthians 9:24-27. The last few words of verse 27 speaks of becoming a castaway - a shipwrecked person. In the sermon he used Oregon's former Democrat Governor, Neil Goldschmidt, as an example, and as a warning to us that moral behavior and trust matters in our personal lives as well as our public lives.

Goldschmidt's 30-year secret has been finally exposed. As Portland Mayor he had an "affair" with his 14-year old babysitter. She said it lasted three years but he claims only nine months. How many people covered it up believing protecting a politician was more important than a teenager's life? And now the statute of limitations has run out and he'll not be prosecuted.

My dad used to say the bigger they are, the harder they fall and Neil Goldschmidt, Oregon's 33rd governor was a very big and powerful man, indeed, not only in politics but in the business world as well.

After graduating from high school, he became the student body president at the University of Oregon where he received his bachelor of arts degree in political science in 1963.

In 1964 he was an intern in the Washington, D.C. office of former U.S. Senator Maurine Neuberger of Oregon and a civil rights worker in Mississippi.

He married Margaret (Margie) Wood in 1965. Neil cited his divorce from Margie in 1990 as the reason he did not seek re-election as Oregon governor. They have two children embarrassed by their father's actions just as Chelsea Clinton must have been embarrassed by her father.

He earned a law degree from the University of California Boalt School of Law in 1967 and was a legal aid attorney in Portland from 1967 to 1969. He served as a city commissioner from 1971 to 1973.

In 1973 he became the youngest mayor of a major United States city at the age of 32. While he was serving as mayor, he was selected by President Jimmy Carter in 1979 to become U.S. Secretary of Transportation, a position he held through January 1981 which causes eye brows to be raised because the FBI is required to check out appointees to make sure they will not become an embarrassment to a sitting president. Rumors ran rampant through Oregon's Capitol while Goldschmidt was governor that he was a womanizer and obviously the very serious statutory rape never surfaced.

After declining to run for public office again, he became a high-powered lobbyist adept at negotiating deals between business and government. His former position as U.S. Secretary of Transportation under Carter no doubt helped him broker a deal to expand Portland's light-rail line to Portland International Airport at a time when funding was scarce.

He also served as vice president of NIKE, Inc. from March 1981 through December 1985 and was chairperson of the board of directors of NIKE, Canada during 1986.

He was selected as one of the 10 Outstanding Young men in the United States in 1972 by the National Jaycees and was selected as one of the 200 Faces of the Future by Time Magazine in 1974. He represented the United States as an alternate to the United Nations Economic Commission for Europe in 1976.

Since the 1960s sexual revolution, is it possible some of those 200 Faces of the Future by Time Magazine also have some deep, dark secrets?

Has anyone outside of Oregon seen this story about Goldschmidt's fall from grace in their papers? O'Reilly on Fox was ranting the week of May 11th about how lenient the judges are in child abuse cases so I sent him an e-mail about Goldschmidt. Will he follow up on it? Although he's paid the woman a few thousand bucks, Goldschmidt has destroyed a young girl's life but will go unpunished.

Do cover ups for these powerful men run rampant throughout the U.S. with the media possibly as an accomplice? A good reporter following Goldschmidt for a few days probably would have gotten a good story years ago.

John W, Allman and Michael Fecter in a May Tampa Tribune tells about ex-judge Donald Evans recounting his invitation to the "clique" which came less than a year after he became Hillsborough County judge.

Evans was essentially a rookie at the time he took the bench in 1982 and was stunned by the proposal that F. Dennis Alvares, the man who would eventually control the courthouse for 12 years as chief judge, was proposing. Alvarez told him about a small band of judges who gave one another a heads-up whenever friends were to come to court. Evans said he wanted no part of it. I have often heard how members of secret societies cover for one another. Could this have been the case here?

It seems the probe, being conducted by the FBI and Florida Department of Law Enforcement has been moving along two tracks. One involves allegations of past case-fixing at the courthouse by former judges and others. The other involves allegations of money laundering, loan-sharking, illegal gambling and prostitution and has touched on individuals in law enforcement and private business. And as usually happens, Alvarez and others have resigned while being investigated for noncriminal ethical issues and they probably used the familiar "family problems" or "ill health" as an excuse, as Goldschmidt did when his sexual abuse story began to be exposed, But in Florida, no one has been criminally charged in the corruption investigation thus far.

More than 20 years later Evans recounted the moment with clarity and conviction and says he realizes he was privy to "some conspiracy of sorts amongst a handful of judges."

Just prior to the sexual abuse story breaking, it was being exposed that Goldschmidt had earned almost $1 million as a lobbyist/consultant for the unconstitutional State Accident Insurance Fund (SAIF), a quasi-public agency created by the legislature to compete with the private sector on an uneven playing field.

He also had recently been appointed by his good friend, Democrat Governor Ted Kulongoski, who often consulted with Goldschmidt, to serve as chairman of the state higher-education board. Goldschmidt also served as chairman of a company formed to manage Portland General Electric once a Texas investor group buys the utility from bankrupt Enron. So you can see, Goldschmidt was well connected in more than one way.

He only served one term as governor but while in office was instrumental in aggressively promoting the environmental, homosexual and United Nation's Children agendas.

In September 1988 he signed an Executive Order (EO) giving homosexual special rights and calling those who opposed him "Zealots." A press release said, "This order recognizes the right of everyone to equal treatment under the law when private behavior does not affect the public." The ACLU later honored him for signing the E.O.

While promoting the Children's Agenda he proclaimed, "No state in the union has been able to write enough checks" to solve the problems facing children. Now we learn he wrote a few personal checks to the teenager he sexually abused 30 years ago. Media pundits praised Goldschmidt's concern for children as "heart warming" and he appointed his wife, Margie, to a child abuse commission.

It was also during Goldschmidt's term as governor that one of Oregon's most heinous crimes against a government official took place. Oregon's prison chief, Michael Francke, was stabbed to death one night in the parking lot of his office. Francke's sister, Anne, said she had reason to believe Michael was murdered to cover racketeering on the part of state officials in league with private parties. A man that had been involved in drugs was charged and is in prison but many, including Francke's relatives, believe he didn't commit the crime. His attorney's effort to use DNA to clear his client have been denied.

In a statement Goldschmidt made to The Oregonian newspaper regarding this encounter with the teenager, he said, among other things, "For almost thirty years, I have lived with enormous guilt and shame about this relationship...

"How can such behavior be erased when the damage to others and to myself lives on? I have sat in my place of worship each year at Yom Kippur, The Day of Atonement in my religious tradition, reading in silence, searching for personal peace. And I have found that the answer to that question is that it cannot be erased...

"With all sincerity, I pray that God will accept my contrition and protect my family from the pain that a life led poorly in part may bring to their homes. May a forgiving God mend my broken heart and those I have broken. And may Oregonians accept this apology even if they cannot forgive my actions."

Guilt-ridden Neil the lawyer has since been disbarred and can no longer practice law. Will Oregonians be as forgiving of Goldschmidt, the Sexual Child Predator, as many Americans forgave Bill Clinton?

For more information about alleged corruption in Oregon, please go to

� 2004 Betty Freauf - All Rights Reserved

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Betty is a former Oregon Republican Party activist having served as state party secretary, county chairman, 5th congressional vice chairman and then elected chairman, and a precinct worker for many years. Betty is a researcher, freelance journalist and a regular contributor to  New E-Mail:










"Goldschmidt's 30-year secret has been finally exposed. As Portland Mayor he had an "affair" with his 14-year old babysitter. She said it lasted three years but he claims only nine months. How many people covered it up believing protecting a politician was more important than a teenager's life?"