Democrat criticizes Haslam over trust

NASHVILLE -- Entering the fray over Republican gubernatorial candidate Bill Haslam's holdings in Pilot Corp., Democrat Mike McWherter said Wednesday he has disclosed his own federal income tax returns and will move his business holdings into a blind trust if elected governor.

"I fully intend to put all of my assets into a blind trust once I'm elected," Mr. McWherter said at a Tennessee Chamber of Commerce candidates' forum.

He said he believes that being "open and transparent with the voters in Tennessee is a pact you make when you ask for their trust."

Knoxville Mayor Haslam has come under fire from other GOP candidates for refusing to disclose income from his family's Pilot Corp., which owns and operates Pilot Travel Centers.

Earlier this week, he said he wouldn't put his Pilot holdings into a blind trust, noting, "To what end? I could put it in a blind trust, but I would still know I owned it."

Shortly before Mr. McWherter made his remarks, Democratic Gov. Phil Bredesen, who is barred by law from seeking a third term, pooh-poohed any need for Mr. Haslam to place his Pilot holdings in a blind trust.

"In terms of the blind trust ... I actually think he's on pretty sound ground there because, I mean, you can put Pilot in all the blind trusts you want, but it's not going to be blind," said Gov. Bredesen, who has placed most of his own holdings in a blind trust. "It (Pilot) is owned by his family. He probably has to sign documents from time to time.

"I think in a way, the issue of blind trust and Pilot is kind of a fake issue," the governor said. "I don't know how you could put it in a blind trust as a reality."

As for Mr. Haslam's refusal to release his tax returns -- unlike all the other Republican and Democratic candidates -- Gov. Bredesen said, "I think everybody gets to make their own decision about that."

Before his appearance at the Tennessee Chamber of Commerce forum, Mr. McWherter's campaign issued a news release in which he said "voters are fed up with politicians who would try to use public office for personal gain."

The appearances at the Chamber candidates' forum by Mr. McWherter, who owns a beer distributorship, and fellow Democrat Kim McMillan were their first since state Senate Democratic Leader Jim Kyle of Memphis dropped out of the race last week.

Mr. Haslam and GOP candidates Shelby County District Attorney Bill Gibbons, Lt. Gov. Ron Ramsey and U.S. Rep. Zach Wamp, R-Tenn., appeared at the forum later Wednesday.