Former Speaker of the House Dennis Hastert pleaded not guilty Tuesday to breaking federal banking laws by hiding as much as $3.5 million from federal authorities. Hastert, a former high school teacher, allegedly gave the “hush money” to a former student, who agreed not to reveal that Hastert had sexually abused him.

The charges against Hastert include making withdrawals smaller than $10,000 with the explicit purpose of avoiding detection and then lying to federal investigators who questioned him about the money, saying he was keeping it for himself. “Each carries a penalty of as much as five years in prison and a $250,000 fine,” the New York Times reports.

His potential defenses, the Times adds, include claiming he didn’t understand that withdrawals over $10,000 had to be reported—a tough case to make when he allegedly made 106 large withdrawals just under the limit, totaling more than $900,000—and arguing that lying to the FBI didn’t actually impede their investigation.

Hastert is not charged with sexually abusing “Individual A,” who remains unnamed in the indictment, as the statute of limitations has likely run out. Hastert’s teaching career ended in 1981.

Since the hush money scandal first broke, the family of another alleged victim, Steve Reinboldt, has come forward to tell his story. Reinboldt died of AIDS in 1995, but his sister believes “Individual A” was aware of Reinboldt had been abused by Hastert.

The only public statements Hastert has made since the allegations against him were first reported last month came today in court: “Yes” and “yes, sir.”

He’s currently free on a $4,500 bond.

[Photo: AP Images]