Finneran quits, will collect over $100,000

After resigning yesterday as president of the Massachusetts Biotechnology Council, former speaker of the Massachusetts House Thomas M. Finneran will collect $100,000 to $150,000 in severance pay, considerably less than the $400,000 remaining under his employment contract, according to a person who had been briefed on his talks with the council's board.

Finneran pleaded guilty to felony obstruction-of-justice charges in federal court on Friday. After negotiating a severance deal, the board unanimously accepted his resignation by conference call late last night.

His departure ends a two-year run as the state's top biotechnology lobbyist, a $416,000-per-year job he took after stepping down from the Legislature. During his tenure, much of which was served under indictment from a federal grand jury, he won plaudits from biotechnology executives and politicians for his effectiveness pressing the industry's case on Beacon Hill and in Washington.

In a statement jointly issued with the council, Finneran said that his job had brought him "immense personal and professional satisfaction."

"I want to thank the board and staff of MBC, and they should know that I will always be an advocate for their interests," he said.

Finneran's guilty plea stems from his time in the Legislature. In a 2003 lawsuit over a plan to redraw voting districts, he testified that he had never seen the plan before it was released publicly; in 2005 he was indicted on three counts of perjury and one of obstruction of justice for his testimony. On Friday he pleaded guilty to obstruction of justice in exchange for the perjury charges being dropped. He also paid a $25,000 fine.

Last night, after it became clear Finneran would not survive as president, elegiac statements poured in from local political figures, lauding Finneran for his years in the State House and for raising the profile of the state's biotechnology industry on Capitol Hill and Beacon Hill.

Representative Edward J. Markey , Democrat of Malden, said Finneran "deserves our thanks for his long history of outstanding service." Salvatore F. DiMasi , who succeeded Finneran as House speaker, called Finneran a "successful spokesman" and "very good friend." State Senate president Robert E. Travaglini issued a similar statement, and Romney administration business-development czar Ranch Kimball pointed to Finneran's help persuading a major drug maker to build a manufacturing plant in the state.

In an interview last night, Massachusetts Biotechnology Council board chairman Michael Webb called Finneran "a real superstar for our industry."

"He achieved more in two years than anyone in the industry thought was possible, and regretfully his personal situation changed dramatically last week," said Webb.

Asked about the severance agreement, Webb said, "We don't as a matter of policy discuss employees' compensation or employment agreements."

Finneran will remain involved with the board for a month to help the transition.

In his two years as president, Finneran used his State House connections to deliver for the specialized, cash-intensive biotechnology industry. He helped quash efforts in the State House to control pharmaceutical prices. His supporters also point to last summer's economic-stimulus bill, which included more than $70 million earmarked for biotechnology research and small high-technology businesses.

But Finneran, by far the highest-profile president in the council's 20-year history, also caused tensions in the organization's office. There has been significant staff turnover since he arrived.

Since his guilty plea, the council's 21-member board of directors has been conferring by phone and e-mail, and met officially in two conference calls Monday night and last night. Finneran's allies and former colleagues in the Legislature mounted a behind-the-scenes effort to shore up support, calling council members and arguing he should stay.

In the end, the board offered Finneran a severance deal between $100,000 and $150,000, according to the person who had been briefed on their talks. His contract, which runs through the end of this year, called for a salary of $416,000 plus bonus.

"It's not a lot for an executive generally, but it's generous for an executive leaving under these terms," said Linda Doyle , an executive-pay specialist with the law firm McDermott Will & Emery in Chicago, who was not involved in the negotiation.

After his guilty plea, Finneran could lose his $30,909 public pension, a decision now in the hands of the state retirement board. He could also be disbarred or have his law license suspended.

Finneran is also in talks with the radio station WRKO to host a talk show.

Stephen Heuser can be reached at sheuser@globe.com.