Smithsonian Chief Forced Out By Scandal

Jacqueline Trescott and James V. Grimaldi report on the end of Lawrence Small's tenure, in today's Washington Post:

Congressional criticism mounted after articles in The Washington Post detailed $2 million in housing and office expenditures by Small, as well as $90,000 in unauthorized expenses...

...Small's spending was the subject of intense public scrutiny after The Post published details last month of a confidential inspector general's report examining his $2 million in housing and office expenses over the past six years.

The Post reported in February that Small accumulated unauthorized expenses from 2000 to 2005, including charges for chartered jet travel, his wife's trip to Cambodia, hotel rooms, luxury car service, catered staff meals and expensive gifts, according to confidential findings by the Smithsonian inspector general.

Last week the Post reported that Small spent nearly $160,000 on the redecoration of his offices in the institution's main building on the Mall shortly after he took the helm. The expenses include $4,000 for two chairs from the English furniture maker George Smith, $13,000 for a custom-built conference table and $31,000 for Berkeley striped upholstery.

Small has also received $1.15 million in housing allowances over a six-year period in return for agreeing to use his 6,500-square-foot home in Woodley Park for Smithsonian functions. To justify those expenses, Small submitted receipts for $152,000 in utility bills, $273,000 in housekeeping services and $203,000 in maintenance charges, including $2,535 to clean a chandelier. The home-repair invoices show $12,000 for upkeep and service on his backyard swimming pool, including $4,000 to replace the lap pool's heater and water pump.

Controversy was a frequent feature of his tenure. In 2004, Small was convicted in federal court of purchasing the feathers of endangered birds. A Post investigation into animal care and deaths at the National Zoo brought reprimands from a leading science group and dismissal of the zoo director, who was handpicked by Small. Early in his tenure Small angered scientists over proposed changes in research across the institution. He eventually backed down.

Last year he upset historians and filmmakers seeking access to institution archives when he signed a semi-exclusive deal with Showtime to mine the Smithsonian's resources for a documentary film channel.

A native New Yorker and graduate of Brown University, Small had a 35-year career in banking and corporate management, including 27 years at Citicorp and eight years as president of Fannie Mae. A tall, imposing man who speaks fluent Spanish, Small is a passionate flamenco guitarist and avid collector of Latin American art.

Last year, a federal investigation into Fannie Mae's business practices found that Small was prominent among executives there who encouraged employees to hit profit targets so that managers, including himself, would receive larger annual bonuses. Regulators say Small advocated tactics that violated generally accepted accounting rules and misled investors.

Despite his troubles, Small never received any public admonishment from the Smithsonian board. Regents boosted his salary from $333,000 in 2000 to $884,733 in 2006. The Smithsonian is both a nonprofit organization under tax laws and a creation of Congress that receives federal appropriations -- last year it got $621 million.