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News / Northwest

Ore. agency contracts probed; 3 put on leave

The Columbian
Published: August 24, 2010, 12:00am

PORTLAND, Ore. (AP) — The governor’s office says three Oregon Department of Energy managers have been put on leave while state and federal agencies investigate “contract irregularities.”

Stories in The Oregonian newspaper and Willamette Week based on unnamed sources say the contract involved a Bend company run by Cylvia (sihl-vee-uh) Hayes, girlfriend of Democratic governor candidate John Kitzhaber.

The anonymous sources have not described the possible wrongdoing or specified who’s under investigation.

Hayes said she’s done nothing wrong, and no investigators have contacted her. She says Kitzhaber once sat on the board of a nonprofit she ran, but he has not been involved in her business as a board member or investor and hasn’t helped it win contracts.

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