AP: Ted Stevens secretly taped in call with Bill Allen

Two sources say the FBI was working with former VECO Chief Bill Allen when it secretly taped phone calls between Allen and Senator Ted Stevens. The sources spoke to The Associated Press on the condition of anonymity because the investigation continues. Allen agreed to the taping last year after authorities confronted him with evidence he had bribed Alaska lawmakers. He pleaded guilty to bribery and is a key witness against Alaska legislators. He also has told prosecutors he paid his employees to renovate the senator’s house in Girdwood. In July, FBI agents raided that house.

Stevens has denied any wrongdoing and said he paid every bill he received for the project. Spokesman Aaron Saunders declined to comment today. FBI spokesman Richard Kolko said the agency would not discuss any aspect of the ongoing investigation. Allen testified in federal court last week that he called several people at the FBI’s behest. They declined to say how many calls were recorded or what was said.

The Associated Press