Watchdog to probe Zinke over land deal in his hometown with oil exec

The Interior Department's inspector general (IG) is investigating reports of a financial partnership between Secretary Ryan ZinkeRyan Keith ZinkeOvernight Energy: Trump EPA finalizes air rule that critics say favors polluters | Zinke, in official and unofficial portraits, returns to Interior on horseback | Vilsack gets lukewarm response as Biden Agriculture pick from those seeking reformed USDA Zinke, in official and unofficial portraits, returns to Interior on horseback OVERNIGHT ENERGY: EPA proposes reapproving uses of pesticide linked to brain damage in children | Hispanic caucus unhappy with transition team treatment of Lujan Grisham | Schwarzenegger backs Nichols to lead EPA MORE and the head of a prominent oil services giant, it confirmed Wednesday.

The watchdog will look into reports, first broken by Politico in mid June, that Zinke and Halliburton Chairman David Lesar are tied to a commercial real estate development deal in Whitefish, Mont., Zinke's hometown.

The investigation comes at the behest of Democratic Reps. Raul Grijalva (Ariz.), Donald McEachinAston (Donale) Donald McEachinDemocrats to determine leaders after disappointing election Progressive group slams Biden White House pick over tie to fossil fuel industry OVERNIGHT ENERGY: Biden pledges carbon-free power by 2035 in T environment plan | Trump administration has been underestimating costs of carbon pollution, government watchdog finds | Trump to move forward with rollback of bedrock environmental law MORE (Va.) and Jared HuffmanJared William HuffmanBipartisan senators introduce tree conservation bill as climate solution Biden picks leave Democrats with slimmest House majority in modern history OVERNIGHT ENERGY: EPA declines to tighten key air pollution standards | Despite risks to polar bears, Trump pushes ahead with oil exploration in Arctic | Biden to champion climate action in 2021 MORE (Calif.), who jointly urged the IG to look into the matter following reports that Zinke and his family could financially benefit from the deal with the oil executive.

In their joint letter sent to the IG's office last Thursday, the members unearthed emails showing that Zinke met with Lesar and his son as well as Montana developer Casey Malmquist at his Interior offices on August 3, 2017.

The deal was approved by the Whitefish City Council in January 2018.

The letter asked the watchdog to investigate whether Zinke had illegally used his official resources at secretary for personal gain.

"Though he has claimed that he is no longer involved with the foundation, he continues to be involved with the fate of the foundation's land, which was originally donated more than a decade ago to be a veteran's peace park," the letter read.

The project, a large commercial development on a former industrial site, is largely backed by a group funded by Lesar, and a foundation established by Zinke called the Great Northern Veterans Peace Park Foundation donated a significant portion of land for the project.

While Zinke has stepped down as president and cut ties from the group since becoming Interior secretary, his wife now leads the organization and his daughter is on the board.

A letter provided to the Hill from a representative of the Great Northern Veterans Peace Park Foundation confirmed that Zinke resigned last year and says that the group's annual report "inadvertently" failed to remove him as director. 

Financial disclosure forms show that Lesar and his wife have had long political ties to the Zinkes. In 2014 they gave $10,400 to Zinke’s first congressional campaign, the maximum legal amount, Politico reported.

The proposed development will include a spa, retail shops and a brewery, according to plans obtained and confirmed through Whitefish city planner David Taylor to Politico. Whitefish is a town popular for its ski resort and its proximity to Glacier National Park.