KANSAS CITY, KAN. ? The government Monday accused a former Westar Energy Inc. general counsel of failing to provide oversight of two former Westar executives on trial for federal fraud.

During cross-examination Monday of Richard Terrill, former general counsel of the Topeka-based company, Assistant U.S. Atty. Richard Hathaway tried to show Terrill failed to investigate the propriety of such things as relocation programs, split-dollar life insurance policies and an initiative to stop leaks that was sometimes called “Project X.”

Terrill was the second witness called by the defense in the fraud trial of David Wittig, former chief executive officer of Westar, and former executive vice president Douglas T. Lake.

Wittig and Lake are accused of looting Westar, the state’s largest electric utility. Each man faces 40 counts and at least 10 years in prison, if convicted.

During an aggressive cross-examination Monday, Hathaway repeatedly asked Terrill to keep his responses to “yes” or “no” answers. Hathaway pointed out that Terrill received a bill from an outside law firm for work on Project X, which he paid after talking to Lake.

“Didn’t you know this was all going on on your watch?” Hathaway asked.

Terrill said he asked Lake whether it was a proper bill and Lake said it was. Terrill also said that several projects at Westar had code names.

“I don’t believe it was on my watch,” Terrill said.

Hathaway also tried to show that Wittig turned a $1.8 million bonus he was due into a $3.4 million premium paid by Westar on a split-dollar insurance policy in 1998. The policy had a provision that allowed Wittig to sell death benefits back to the company for $2 million.

Paula Junghans, an attorney for Wittig, pointed out that the company would collect money from death benefits through the plan. If the company would have paid straight bonuses, it would have received nothing in return.

“By establishing a split-dollar plan, the company was not just throwing more money at executives,” Junghans said.

Testimony in the trial began Oct. 19. The trial is expected to last about 10 weeks.