More political money returned to Oracle

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Another day, another donation returned in the ongoing Oracle California government row. This time the money’s coming right from the top as Governor Gray Davis returns a $25,000 donation from Oracle which was accepted while the state was finalising a $95 million contract that it now wants out of.

The governor said he has “great respect'' for Oracle but was returning the money because of ``recent developments.'' Those include the findings of an inquiry by the state auditors into the awarding of the contract which found that it was given without competitive tender. The auditors also accused Oracle negotiators of playing hardball.

Last week Arun Baheti, the head of California’s e-government operation, quit after it was revealed that he had accepted the Oracle donation for the governor's campaign in a Sacramento bar.

Governor Davis is not having a good time holding on to his donations: two weeks ago he had to sent back $10,000 to the owner of a California strip club!

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