News-Record.com

The North Carolina Piedmont Triad's top go-to source for News
A service of the News & Record, Greensboro, North Carolina

Home

Off the Record

« Bench Barry Bonds | Main | Adding up Bill Gates' billions »

Everybody gets off scot-free, so far

Quite a few people must have let out a sigh of relief today at learning DA Doug Henderson won't bring charges related to Project Homestead.

Not that there wasn't wrongdoing that led to the misuse of up to $500,000 in public money.

In Henderson's statement, released today, he cited the death of Homestead founder, president and ceo Michael King, poor record-keeping and faulty memories of former employees and board members as impediments to the SBI investigation.

Those "faulty memories" also may have been affected by self-interest.

What about the role of Greensboro elected officials in keeping the money flowing to Project Homestead, even after City Hall employees raised warnings?

Henderson noted that "Rev. King was a politically persuasive man." I get the distinct impression that the report would show which City Council members were unduly persuaded. Fortunately for them, the report is not being made public. Henderson said it was not his job to pursue that.

"I'm not here to embarrass people or hold them accountable on ethical issues," he said.

The report could come out anyway. Councilman Tom Phillips will ask the council to seek its release.

In addition, there are interested parties that can make a strong case for access to the report, Henderson said. Those include the bankruptcy trustee and individuals who bought houses from PH for more than they should have paid.

Henderson calls the outcome unsatisfying, saying it leaves him feeling a little empty. Some questions will never be answered, he added. Some probably could be answered better, but witnesses offerred "different recollections" about various events.

In other words, everyone and anyone who had a hand in misusing public funds and giving homebuyers less than they paid for is getting away with it -- in legal terms. King, of course, is beyond the reach of the law anyway.

If the SBI report sees the light of day, however -- as it should -- there might be some sort of reckoning yet.

Comments (8)

To report abuse of the comment feature on this site, please use the feedback form at the bottom of any page.

Skeet Club Savage said:

I thought it was kind of funny that the Prosecutor was lamenting the poor record keeping as the reason they can't get enough evidence. NOTE TO ALL WHITE COLLAR CRIMINALS: In order to facilitate your future prosecution, please keep accurate and meticulous records of all your mis-appropriations, Thanks.

Doug said:

Exactly. And having a bad memory doesn't hurt, either.

Jon said:

King in his moment of anxiety, failed to take into effect the incompetency of the DA.

He was never gonna get charged.

According to DA Henderson, apparently all King had to do was say, "I don't recall" or comment, "What's an accounting record", and there would have been no evidence to convict him.

Who is minding the store?

King should have learned something from Earl Jone's failed nonprofit org. Provide no audit trail and you stay out of jail.

mrproduce said:

I would think that this would be the very thing that the N&R should be screaming for full disclosure on , after all is it not the public's right to know what happened to the money and who was involved in the wrong doing? Or does discovery of wrong doing only pertain to a white police chief?
Given the coverup so far on this mess odds are nothing more will be heard about it. Appears that nothing changes in G'boro.

Joe Guarino said:

Doug, if we are to take Henderson's comments at face value, then two conclusions are inevitable: that North Carolina is a backwoods state that does not have a legal structure to hold non-profit boards and employees, and the public officials that support them, accountable when public funds are misused; and that our city council was regularly giving the taxpayers' money to an organization that did not keep proper records.

Either of these two conclusions are worrisome.

It appears that there is no legal requirement to release the SBI report; but if it contained inadequate evidence to justify a prosecution, why did it take so long to review by two separate D.A.'s? I agree the report needs to be released.

Finally, I think the public needs to know about any discussions that may have taken place between Henderson and any individuals involved in directing the local political machine's endorsement.

Money was stolen from the poor.

Jon said:

Earl Jones and his organization couldn't provide documentation for hundreds of thousands of dollars that the State as well as local orgs provided to him.

Skip Alston runs through over 1.5 million dollars in a failed apt complex that's funded by our tax dollars.

Homestead plays loose with our dollars as well.

At least with Homestead whose activites appeared egregious, why didn't the DA utilize the services of a good forsenic accounting firm that specializes in detecting fraudulent activities?

why didn't the DA utilize the services of a good forsenic accounting firm that specializes in detecting fraudulent activities?* Jon

If the SBI report sees the light of day, however -- as it should -- there might be some sort of reckoning yet.* Doug

Must be election time again? It appears that the present DA has never heard of the Grand Jury process. You would be shocked to see how a Ham sandwich can remember where the Mayo Jar was store in the local frig at city hall. Demand a grand jury investigation Doug and watch folks and lawyer s run to new clients with the DA rushing to find the grand jury room before the primary date.

And the money just continues to flow from the tax payers pockets to these criminals pockets via our city and county officials. One fraudulent scheme after another, and nothing is done about it. And nothing will be done about it if this is the outcome of investigations by and for local officialdom as this one certainly appears to be. This is a report the N&R should go after and print verbatim with ALL the names that are surely named. The flimsy excuse of poor accounting methods and poor memories is pure gray/black smoke!

Due to recent automated spamming attacks on our blogs, we are temporarily requiring commenters to authenticate themselves via TypeKey® before posting comments to any News & Record blog in order to prevent denials of service. We sincerely apologize for the inconvenience.

Post a comment

Users who post comments to this blog tacitly agree to observe the News & Record Online Service Terms of Use and Content Submission Agreement. Comments which do not adhere to the terms of this agreement may be removed and the submitter may be banned from further participation. Please use the feedback form at the bottom of any page to report abuse of this feature.

ADVERTISEMENT
ADVERTISEMENT

Search

Search

Channels
Font Size
Tools
Question, Comment or Suggestion? Please contact us.

News & Record and NRinteractive

200 E. Market Street, Greensboro, NC 27401 (336) 373-7000 (800) 553-6880
1813 N. Main Street, High Point, NC 27262 (336) 883-4422
203 E. Harris Place, Eden, NC 27288 (336) 627-1781
4213 S. Church Street, Burlington, NC 27215 (336) 449-7064

Copyright (C) 2008 News & Record and Landmark Communications, Inc.