A criminal investigation into an alleged bribe to secure a bailout of troubled nuclear plants in Ohio is looking at the energy company that prosecutors say supplied some of the money and now owns the facilities, WSJ Pro Bankruptcy reported. Federal prosecutors have subpoenaed Energy Harbor Corp., asking executives to turn over documents and communications as part of an investigation into whether anyone associated with the company understood that payments made by it were part of an alleged pay-to-play arrangement, rather than a legal lobbying effort, the people said. Energy Harbor and its former parent company, Ohio utility FirstEnergy Corp., paid millions of dollars to an entity that former Ohio House Speaker Larry Householder allegedly used to fund support for the $1.5 billion bailout, which involves state subsidy payments to aid the nuclear plants, according to an FBI affidavit. FirstEnergy, which previously disclosed it had been subpoenaed, faces similar questions as Energy Harbor on what it knew about the money paid. Householder was charged with racketeering in July. The U.S. Attorney for the Southern District of Ohio accused him and four associates of taking $60 million in bribes between 2017 and 2020. Mr. Householder allegedly used the money to secure the bailout, fund his campaign for Ohio House speaker and quash an effort to repeal the law that included the subsidy, the affidavit said. Householder has pleaded not guilty. The nuclear plants are now owned by Energy Harbor, a former FirstEnergy subsidiary that was spun off and renamed after filing for bankruptcy protection in 2018. The company emerged from bankruptcy earlier this year with its assets partly subsidized by Ohio utility customers, who will annually contribute about $150 million to the company for seven years.
