WASHINGTON – Scott Walker is facing potentially embarrassing revelations from an agency once billed as the centerpiece of his plan as Wisconsin's governor to bring 250,000 jobs to the state.
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The Republican presidential candidate led the Wisconsin Economic Development Corporation until stepping down earlier this month after allegations about shoddy lending and favoritism at the agency. A review by The Associated Press found the agency gave $1.2 million to a company whose founder had been sued dozens of times by banks, state tax officials and even a jeweler. Four years later, the company is in a court-appointed receivership.
Former employees describe lax underwriting and a failure to keep track of basic documents at the agency. A Walker spokeswoman, Laurel Patrick, disputed that the agency went awry under Walker's watch.