Sources are saying that Sarah Palin’s sudden resignation as Alaska Governor is actually damage control because a major embezzlement scandal is about to erupt involving construction projects in her home town of Wasilla, Alaska.

Multiple sources have been digging around in the wake of Sarah Palin’s cryptic resignation speech Friday and they’ve found that when Palin was Mayor of her home town of Wasilla, AK in 2002, she was influental in the construction of the Wasilla Sports Complex and hockey arena. First of all, the $12mil+ project ended up in the hands of contractors who were friends of friends of Palin. Secondly, at around the same time the sports complex was being built, so was Palin’s new house. What’s interesting about that is the house is constructed from the exact same materials the sports complex was built with. The windows in both structures are the same, the wood is the same, pretty well everything.

When the house was being built, Palin, being Mayor at the time, influenced the bylaw requiring building permits in the town so that now there is no official list of the contractors who worked on her house.

The information is coming from local Alaskans who have been watching Palin and collecting information for some time. The reason it hasn’t been made public yet is because they have been told by federal investigators to keep their mouths shut so a subsequent media frenzy doesn’t impede the investigation.

It is plausable that the suddenness of Palin’s resignation, which even members of her family didn’t know was going to happen, could be the reason for her rather strange resignation speech – she simply didn’t have time to construct an elaborate speech because she already knew this mess was about to go public in a big way.

Other blogs have already dubbed this as the “Iceberg Scandal” and “Iceberg Gate” but it’s safe to say that we’ll be getting some extremely controversial Sarah Palin news in the near future.