(FORTUNE Magazine) – Retired U.S. Navy Admiral Steven White took over the Tennessee Valley Authority's troubled nuclear program at an annual salary of $355,200, and government officials charged him with violating federal pay and conflict-of- interest rules (FORTUNE, October 27). After taking a leave of absence from the TVA for more than two months, White, 58, got a new contract and guidelines approved by the White House's Office of Government Ethics in January. The TVA can continue working with Stone & Webster Engineering Corp., White's former employer, to whom he had doled out $10 million in contracts, but he had to sever all financial ties with the company; others will supervise the Stone & Webster contracts. White's old salary, nearly five times the federally mandated ceiling of $72,500, remains intact. Says Patricia Schroeder, the Colorado Democrat who chairs the House Civil Service subcommittee: ''I'm no more comfortable having White making this outrageous salary than I was a year ago.''