Former Chairman of the Arizona Corporation Commission Gary Pierce and water company owner George Johnson were indicted in federal court on charges of bribery, conspiracy and fraud. The charges filed in U.S. District Court on Tuesday said Pierce approved higher rates for Johnson Utilities in the East Valley and Pinal County in exchange for $31,000, which the company funneled to his wife.Also named in the eight-count indictment were Sherry Pierce and lobbyist Jim Norton, who the indictment said "agreed to act as a conduit" between Johnson and Gary Pierce.The indictment also describes a plan for Pierce to buy a $350,000 land parcel with funds that actually were coming from Johnson, though the indictment does not indicate that transaction was completed.Pierce voted in 2011 to allow a rate increase for Johnson Utilities that the staff at the Corporation Commission opposed, and he voted in 2013 for a controversial change that allowed the utility to raise customer rates to pay the personal income tax of the company owners. Both hikes were approved by majority votes of the commission.Other water companies subsequently filed for similar increases allowing the collection of their owners' income taxes through utility rates. Norton, a managing partner at Axiom Public Affairs, wields considerable influence at the state Capitol, where he lobbies for business interests. He also has a strong personal relationship with Gov. Doug Ducey, whom he has known since college.