“Golden,” the whitewashing of a Department of Justice crime spree
Ernie Souchak, Editor-in-Chief, Illinois PayToPlay & Hugo Floriani, Investigative Reporter
Chicago Tribune reporters Jeff Coen and John Chase wrote a 486-pages book that packs tedious and mundane details about former Illinois Governor Rod Blagojevich’s life, from birth to prison, around one key chapter that documents the role of former U.S. Attorney Patrick Fitzgerald in leaking information about his investigation of the ex-governor known nationwide as “Blago”.
The whitewash begins on the second page of the foreword entitled “Authors’ Note”: “We quote heavily from the recordings that federal agents made on phones used by the governor and others. All of those quotes come from transcripts of those phone conversations or the recordings themselves. We are grateful to those who provided case material that was outside of the public record.” (For ease of reading, we will italicize all quotations from the book.)
Those persons “who provided case material that was outside of the public record” remain unidentified throughout the book. But it soon becomes clear where they worked.
In an article written by Ernie Souchak posted on this website last September 14, we noted how the judge’s protective order, covering the transcripts of Blago’s phone conversations, stipulated that nothing prohibited Blago and his lawyers from telling his version of those recorded conversations. Blago and his attorneys were, though, ordered not to disseminate the transcripts that the feds gave them. Only the feds had permission to do that.
So, apparently, Coen/Chase secured those transcripts and recordings mentioned in the “Authors’ Note” from the feds. Here’s a question: Why was the information given to them?
Hold that thought.
The problem for the book’s core narrative – the arrest, trial and conviction of Blago – unfolds in Chapter 14 (pp. 257-295) entitled “I’ve got this thing…”
Background
On October 16, 2011, we concluded a ten-article series concerning U.S. Attorney Patrick Fitzgerald, which first posted here in on September 19, 2011, with this summary:
“So, what are the facts and circumstances that we know that collectively tend to prove, or sustain by their consistency…the hypothesis that Patrick Fitzgerald is a politically-driven, not jurisprudence-driven, prosecutor whose image as an intrepid, unbiased crime fighter is a media-created fabrication?
Here are a few headlines from Parts 1-9:
Fitzgerald acknowledged that someone leaked information to the Chicago Tribune, via a reporter for the Chicago Tribune, while the reporter, John Chase, sat mute in the front row of the news conference where the arrest of Blago was described as an effort to stop a crime spree. (Chase has told a source known to this writer that he would not identify who leaked him the information on First Amendment grounds.)
In fact, (1) Blago’s crime spree had, with Fitzgerald’s knowledge, been going on for several years. (2) Chase has not been called to account for tipping off Blago that his conversations were being recorded by the feds. (3) Eric Holder’s Department of Selective Justice has taken no steps – like that taken by Fitzgerald when he jailed Judith Miller of the New York Times in the Valerie Plame Case – to force Chase to reveal the source of the leak. And, (4) Fitz’s demeanor in discussing the leak in a press conference can be accurately described as disinterested.
The urgency to arrest Blago was manufactured out of whole cloth. The leak had to originate out of the DoJ. And, the closest outlet for the DoJ to the Chicago Tribune is Fitzgerald’s office. You connect the dots.
In retrospect, we know now that Richard Armitage was the confessed leaker in the Valerie Plame Case. We also know that Fitzgerald knew of Armitage’s confession before undertaking a long and costly investigation that convicted a key staff member of Vice President Cheney of a crime not connected to the Plame leak. And, that this media event, upon which the foundation of the Untouchable myth was built by the main stream media, was politically-driven.
The Plame “investigation” boiled down to a surrogate WWF-like wrestling match between two Big Beltway Boys: Armitage representing Powell – Libby for Cheney. With Fitzgerald as the biased referee. And, it will be so chronicled by unbiased historians in the future.
The arrest of Blago was timed, not to stop a crime spree, or the selling of a Senate seat – since the latter notion is built on the myth that, once Blago got paid for appointing someone, the act was immediate and irrevocable. The arrest was timed to save Congressmen Jesse Jackson, Jr., from criminal prosecution for bribing a governor in order to receive a Senate appointment. Connect the dots. It was about saving J.J., Junior.”
Chapter 14 – The Whitewash
The narrative here is significant, not just for what it reveals, but more for what it conceals.
The authors do not reveal the source for the information that Chase telephonically conveyed to Blago’s Spokesman, Lucio Guerrero, at approximately 10:30 p.m., Friday, December 4, 2008, namely, that the feds were listening in on Blago’s phone conversations.
Consequently, this question remains unanswered: Who leaked the information that Blago’s phone conversations were being wiretapped by the feds to the Tribune and Chase? Plus, why was that revelation leaked to the paper?
Then, why did Fitzgerald show no interest in tracking down the leaker?
We’re no closer today to answers to those questions after the 486 pages of whitewash.
Now, for the information in Chapter 14 that substantiates our October 2011 summary above:
Page 264: “Again, prosecutors noted the gravity of what Blagojevich had said. They were aware of the Balanoff meeting but had not recorded it.” (Tom Balanoff is president of the Service Employees International Union, Illinois Council, and the Vice President of its International Executive Board.)
How did the Coen/Chase know this information unless someone in the U.S. Attorney’s office gave them a blow-by-blow description of the investigation? Of course that’s what happened. The authors were scripted by the feds.
Page 267: “At the FBI’s listening room, there continued to be a mixture of thrilled disbelief and newfound resolve at what was being caught on the recordings. Agents believed they were capturing the sitting governor in incriminating conversations, and they played the calls for supervisors.
At one point, the FBI’s national director, Robert Mueller, was in town for a Chicago event. Having heard about the success of the Blagojevich operation, Mueller wanted to hear some of the recordings for himself. He stopped at the FBI’s Chicago headquarters on Roosevelt Road on the West Side near Ogden Avenue and took a seat in Rob Grant’s office. Agents had put together a disc of some of their favorite snippets for Mueller to hear.
Who was the guy dropping the F-Bombs? Mueller asked.
Well, that was the governor of Illinois, agents explained.
“You’ve got to be kidding me,” Mueller said, shaking his head, clearly pleased with how investigators were doing.”
This sounds like the testimony of an eyewitness to the event, given all the illustrative details. That eyewitness would be an employee of the FBI, or, someone from Fitzgerald’s office involved in the USAO’s investigation of Blago. This information clearly didn’t come from an audio tape or transcript of one of Blago’s intercepted calls, or from the building’s janitor.
It comes from a source intimately involved in the investigation.
Page 281: This portion of Chapter 14 explains the nature of the alleged urgency that caused the USAO to arrest Blago to, as Fitzgerald later claimed, stop an on-going crime spree.
“Fitzgerald had grown concerned that they had a sitting governor who had yet to make an appointment after working for weeks to see what he could get for himself in a deal for the Senate seat. They could let things go a little further, but it was starting to get risky that Blagojevichwould actually make a choice. Schar [Reid Schar, an Assistant U.S. Attorney, NDIL] said it would be derelict of those in the room to allow Blagojevich to make a decision. Everyone in the meeting believed the process had been corrupted, no matter how Blagojevich finally acted. To do something before he made a pick and out the investigation would at least make that corruption known, and the political could react to any pick by the governor.
In the end, there was agreement. Very soon, they would act, and likely on the morning of December 9, a Tuesday, the day before Blagojevich’s birthday and after a possible meeting the governor had been talking about with Jesse Jackson, Jr.”
What does “at least make that corruption known” mean? The USAO had been investigating Blago for years, and had compiled a substantial amount of evidence of corruption. At least, the goal should have been to arrest Blago when he accepted a bribe, and, also, arrest whoever paidthe bribe.
The real “risk” in letting Blago close a deal with the briber(s) negotiating with him on behalf of Jesse Jackson, Jr., was that they, too, would be implicated in a crime along with Blago. Whatever happened to the notion of intent to commit a crime? Blago went to jail – the briber(s) skated. That was the goal.
Pages 286-288: “’Jackson was the ‘uber African American,’ Blagojevich reminded Harris. He would consider what it would mean in black politics and how it would strengthen him, Blagojevich said, and don’t forget, third parties had offered him $1.5 million in fund-raising help.” (p. 286)
“’There’s tangible, concrete, tangible stuff from [Jackson’s] supporters,’ Blagojevich said, as Yang [Fred Yang, a pollster hired by Blagojevich] pressed him for more detail. ‘Well like, you know. You know what I’m talking about,’ the governor finally told him. ‘Specific amounts and everything.’” (p. 287)
“When prosecutors heard Blagojevich make the ‘tangible’ remark, they believed the Jackson proposal was in fact the way the governor was going to go.” (p. 288)
So, according to Coen/Chase, the feds believed that Blago was about to do a deal that would yield him $1.5 million for appointing Jesse Jackson, Jr. as a U.S. Senator from Illinois. That means that Blago was arrested to stop the commission of a specific crime, rather than to stop a crime spree.
If the USAO would have waited, both the bribee and the briber would have been caught and prosecuted. But the trap was sprung prematurely – for a reason.
Robert Blagojevich had a meeting scheduled with Jackson's money man Raghuveer Nayak on Friday, December 5. After learning from Chase, on the evening of December 4, that his conversations were being intercepted by the feds, Blago instructed his brother Robert to cancel that meeting.
The Duck Rule
If it looks like a duck; waddles like a duck; and quacks like a duck – face it, it’s a duck.
As we wrote back in October 2011: “The arrest was timed to save Congressmen Jesse Jackson, Jr. from criminal prosecution for bribing a governor in order to receive a Senate appointment. Connect the dots. It was about saving J.J., Junior.”
Remember that Jackson was the ’08 Co-chair of Obama’s Presidential Campaign Committee.
Conclusion
The book entitled Golden, written by two Chicago Tribune reporters who were granted special access to information coming from inside the investigation, is a 486-page apologia in defense of an improbable explanation behind the timing of the arrest of former Illinois Governor Rod Blagojevich.
It is a duck.
Was there a quid pro quo deal here? Did the USAO inside-leaker(s) say, “Guys, we’ll give you exclusive access to all this information, and in exchange you tell the story the way we want it told. We gotta deal?”
Don’t forget that Roland Burris, the man Blago appointed to the U.S. Senate, was the 60th vote in favor of ObamaCare. Had Blago, and those bribing him, both been arrested after the money was exchanged, would there have even been a second Senator from Illinois in the U.S. Senate when the ObamaCare vote was taken?
What does George Weaver know about 400k Tony Rezko paid to Obama ?
Ernie Souchak, Editor-in-Chief, Illinois PayToPlay
Tony Rezko's partner Daniel T Frawley shared this letter he wrote to his attorney with Robert Cooley. In this letter Mr. Frawley claims his ex-attorney George Weaver can confirm that he (Frawley) provided cash for Tony Rezko to payoff Barack Obama ! Patrick Fitzgerald's replacement will need to take a look at this.
Perhaps Congressman Joe Walsh will also take notice ? (Special Counsel?)
As for the Chicago SunTimes and the Chicago Tribune, maybe if we hold our breath ?
---------- Forwarded message ----------
From: Dan Frawley <Address withheld>
Date: Mon, Jun 13, 2011 at 11:05 AM
Subject: Weaver
To: robert XXXXX <Robert Cooley's email address withheld>
Mark
Here is Weaver's real concern and this is fact not opinion.
Weaver told my sister Kathleen and I this story at his (Weaver's) office
Weaver then repeated the same story to Jeffrey Steinbach a couple of days
later when Weaver called Jeff before Weaver
met with USAO Caroline McNiven and FBI supervisor Pat Murphy.
Weaver then went in and told the same story to the USAO.
Weaver then called me immediately after leaving the USAO office. (Within 5
minutes via pay phone)
Jeff then confirmed to me what Weaver told the USAO after speaking with the
USAO.
Weaver's Explanation in first person:
I did not tell the USAA about the alleged payment from TR to BO because I
was afraid.
I was afraid that all of the news coverage would bring reporters to my door
and they would camp out there.
I was afraid I would be labeled a racist and Dan and Kathy you know I am not
political at all.
I was especially worried about the affect this would have on my son Michael.
I did this to Protect my family and myself from the publicity.
NOW here is the part that George lied to Jeff and the USAO to.
George told them (USA) & Jeff) that he George had a drink with me at the bar in George's office building. (121 N. La Salle St.)George said he told me then and there what Tony Rezko told George regarding BO and the alleged payoff. George Said that the reason for doing so was to hold this information out incase I did not get a good deal from the USAO then George could use this info as the last turn of the screw on TR and get me the best deal. George said that no one would believe me if I did not recall the story George’s way and that my sister and brother would also be indicted
George then went to Jeff and the USAO that story
I had already met with the USAO with Jeff and told the true story. I
originally went along with Weaver’s story because I was worried about my
brother and sister, but after about 10 days I went with Steinbach and
straightened out the misunderstandings. never knew whom TR gave the cash to
all I knew is Weaver Said the money went in cash in plastic grocery sacks to high elected
official. I always assumed it was Rod.
Jeff told me that the USAO knew Weaver lied to them and that USAO has
nothing but disgust and disdain for Weaver.
Jeff said the USAO could charge Weaver with Conspiracy, lying to the FBI and
obstruction of justice.
Of course we do not care about the criminal aspect but the civil
Government law enforcement people can testify to weaver' lying and
malpractice
Were we also have weaver is Weaver told his wife Janice and his mother in
law what happened with BO & TR
We can depose Weavers wife and mother in law.
Weaver was so worried abut involving his family this or the threat of it
along with the publicity is Weaver's Achilles heal.
Rezko’s partner testifies against the Feds?
Ernie Souchak, Editor-in-Chief, Illinois PayToPlay
For the moment, Illinois PayToPlay is going to let this provocative document created by Daniel T Frawley speak for itself.
But we do want to suggest that reporting on allegations of corruption, involving government officials tied to the Rezko investigation, does not fit the the current political agenda of the Chicago Sun Times or the Chicago Tribune.
Could that be because Chicago is a "Sanctuary City" for corrupt government officials?
For the lucky politicrooks allowed to set-up shop in Chicago, there's a blanket of protection provided in large part by the two major dailies. Who protects the honest citizen?
Perhaps in 7-8 years, when it's politicly expedient, the Chicago Sun-Times will be all over this Frawley story.
From:
Date: Thu, May 10, 2012 at 7:19 PM
Subject: Fwd: FYI
To: Ernie Souchak<address withheld>
Date: Wed, Jun 1, 2011 at 7:07 AM
Subject: Fwd: FYI
To: robert XXXXX <Bob Cooley's email address withheld>
1) The USAO told Tom Durkin during Tom’s meeting with Fitzgerald, Shapiro, Ridgeway and FBI agent Jay Hagstrom that I was considered a fully co-operating witness until 2008.
The USAO was told in 2008 that I tipped him (Rezko) off that I was recording Rezko and the USAO had co-oberating evidence and because of this declination was off the table.
Tom mentioned this to me in Tom’s email to me re: the meeting at 219 South Dearborn.
1) Tom called me and asked me about the incident and I had no recollection. I did not because it did not seem important at the time and I will explain later. I went and met with Sam Doerger as well as speaking to him on the phone about it. Sam suggested I ask Jay, I did.
2) I met with Jay at the FBI office in Lisle. Jay did not give me all the details but let me know almost 99% the incident happened before Jay was assigned to the case and it happened at Tony’s office in the Sears Tower on July 3rd the year Sam retired.
SEARS TOWER MEETING WITH TONY JULY 3rd
1) I met with Sam Doerger and Mary Beth King at a Chinese restaurant on Jackson Blvd. July Fourth. During that meeting Mary Beth and Sam informed me they wanted me to wear a wire and record Tony in his office on the 95th story of THE SEARS TOWER. I told the agents of a prior meeting at the Sears Tower. (I will explain later)
2) The USAO wanted me to walk through a metal detector with metal on, bad idea.
4) Agent King to said Sam that this operation had disaster written all over it. Sam agreed and thought we should not do the taping that day. The agents were under pressure to tape Tony by the USAO.
5) I told the agents there were at least 3 levels of security of the tower
A) No one was allowed in with out having a pass and checking in with the security desk. The desk called Tony’s office to confirm the visit, I also let the agents know most of the time Rezko sent someone down from Rezmar to escort me to the office.
B) The seconded line was a metal detector everybody had to pass through
C) The third line, which I did not have, enough information about was an automatic glass door entrance that set of a green light to allow the visitor to pass. I did not know how this glass door operated or what its function was. I suggested the agents let me go over to the SEARS TOWER let me observe the security and try later that week. I was told, “No”. I then said give me a ten minute head start and let me at least get a look at it and I would figure a way through the system for the recording device.
D) The agents settled on a plan to send Mary Beth King in ahead of me. Mary Beth would gain entrance by going up to a law firm at sears Tower and then meet me on another floor and hand me the devise.
E) Mary Beth was unsuccessful. The law firm would not allow her into the Tower. I entered the tower and received permission from security and Tony to enter the Rezmar 95th floor office. I saw Mary Beth in the vestibule of the building after I received permission to enter. I could tell Mary Beth looked disconcerted. I walked past Mary Beth and dropped my AMX card and handed it to her as if she had dropped it. Mary Beth told me she could not get up to the law offices but she would try another way and meet me on another floor.
F) I went to the scheduled meeting floor and waited for 15 minute, when Mary Beth did not appear I had to go to Tony’s office. I could not just have waited indefinitely; they were expecting me because security notified Rezmar that I was on my way
I AM 99% SURE THIS IS WHAT HAPPENED/I NEVER THUGHT ABOUT IT UNTIL TOM ASKED ME AFTER HIS MEETING WITH FITZGERALD BECAUSE EVERYTHING WENT WRONG AND THE AGENTS Were AGAINST THE MEETING FROM THE START AND I WAS NOT RECORDED
1) I met with Tony in his office, by this time the FBI had been called by the Chief of Security of the Sears Tower asking what was Agent Mary Beth King doing in the Sears Tower with Dan Frawley, the jig was up and the whole thing was an avoidable disaster caused by the USAO not the agents who wanted to wait. I had no device when I met with tony and for all I knew he was aware I was with the FBI & had a recorder. I SHOT THE BREEZE ABOUT NOTHING BECAUSE I DID NOT HAVE A RECORDING DEVICE.
2) Tony asked me to take out my cell phone and disassemble it, Tony was afraid it was a recording.
3) I think that is when I handed Tony a note saying I was wiring him, which I was not and then ate the note. I thought it would work to our advantage and Tony would trust me and be more forth coming in meetings when he thought he was not recorded. The plan worked. Tony met with me for another 2 years.
4) I left the Tower and met Sam and Mary Beth, who were waiting in my Tahoe. The agents were frantic. The agents received a call to go immediately upon my return to 55 West Monroe to meet with the USAU because the head of Sears Tower Security called the FBI and was livid about what was happening. The agents never asked me what had happened they were so distraught and worried: 1) That something had happened to me 2) the whole investigation was blown 3) I would never be able to record Rezko again. 4) I never mentioned what happened in Rezko’s office because of the need of the agents were in such a hurry to get to Monroe St. that I was never debriefed. I dropped them off and it never crossed my mind and I was not asked until Tom met with Shapiro
Had I not regained Tony’s confidence that day and continued meeting with him for an additional 2 years I would not have been able to get the following would never have come to fruition?
A) Buddy Wilkins and the second set of Papa John’s books the FBI had no idea about and then later had me obtain and the FBI copied.
I) Tony plead guilty to defrauding GE Credit because of this
II) Al Chaib plead guilty based on this evidence, until then Chaib had been non-co-operative and was changing defense lawyers regularly.
III) Jack Lavin (Now Pat Quinn’s Chief of Staff) moved a line item of $3 million dollars from Panda into Papa John’s Pizza in order for Tony to get the GE loan
III) Buddy Wilkins was being bribed by Joe Duffy to withhold information from Carolyn and the grand jury! Duffy bribing Wilkins is no exaggeration. Wilkins was offered immunity to testify and Murphy advised Wilkins to turn the immunity down I was living at Maureen’s house and Maureen heard the recorded conversations with Wilkins regarding the withholding information from the grand Jury. Jay Hagstrom was aghast and knew a former USAO was bribing a grand jury witness.
Gene Murphy was Buddy’s attorney, Rezko was paying Murphy. Murphy would brief Duffy and his partners about Wilkins meetings with the FMI and USAO. Murphy would give Rezko’s attorney’s information before it Murphy gave it to his client Wilkins; this was confirmed to Wilkins by Murphy’s legal secretary Diane.
V) USUA Carolyn McNiven used my information to have Murphy removed as Buddy’s attorney as a conflict of interest.
VI) Richard Friedman the bribery and co-operation replaced Murphy with Tony’s attorney’s continued until I got the information on tape that Carolyn wanted. !) The FBI arrested buddy in North Carolina. 2) Buddy was taken back into custody and returned to Chicago. 3) Buddy testified truthfully in front of a grand jury. 4) Buddy was not prosecuted.
1) Tony and his wife both left the USA. Tony’s wife left without the FBI knowing and they were very embarrassed about this. I knew because I had a contact at O’Hare who informed me. I am the one who let the USAU know Mrs. Rezko left the USAO to meet Tony.
2) I tracked Tony all over the world for the FBI for 4 months when they did not know where he was. I got info form my contact at Jordanian Airways and I knew the hotels where he stayed and I got to know the hotel staff that gave me all of Tony’s travel plans. I think I also played a role in talking tony into returning to the US.
3) Weaver asked Steve Blanc to handle negotiations of my repayment from Rezko with Rezko’s attorney, Steve thought this was Weaver’s role and not his, but Steve agreed to do so. We now know why Weaver asked Steve.
4) Steve and I were able to get from Tony’s attorney, Howard Adelman the routing of $3,500,000 in funds from a Syrian Bank to a Beruit Bank to a Belgium bank to a Toronto bank to Joe Duffy’s US Client account) (Rezko) bank. Jay Hagstrom told me it was almost impossible for the FBI to get this info in real time and if the USAU had not received the information before the money hit the client account there is nothing the government could do. The USAU used this info to revoke Rezko’s bail
5) I reached an agreement with Adelman for repayment of my loan from Tony Rezko. The USAO approved and Agent Hagstrom told me to go ahead and collect. I was on my way to pick-up 2 certified checks for $375,000 waiting for me at HOWARD ADELMAN’S LAW OFFICE, when I noticed a clause in the contract I thought would put me into a position of working with Tony’s attorney’s. I called my attorney’s and could not reach any of them. I called Jay who said I could collect my money. I called Carolyn. Carolyn was livid and accused me of working both sides of the deal, which was ridiculous. I had the OK, I caught the USAO and FBI error and brought it to their attention, so their case would not be compromised. I was broke the $375,000 would have made a huge difference in my life. As it turns out I should have just taken the money because now they indicted me over another one of their mistakes. THE ORGANIZATION THAT WANTS PEOPLE TO ACCEPT RESPONSIBILITY NEVER ACCEPTS ANY OF IT’S OWN
6) THE FIRST SEARS TOWER INCIDENT. I HAD A RECORDING DEVICE ON ME WHEN I MET TONY REZKO AND MIKE RUMAN AT THE REZMAR OFFICES ON ELSTON AVE. UNEXPECTEDLY, TONY AND MIKE AND I GOT IN MIKE’S CAR AND DROVE TO THE SEARS TOWER. I WAS WEARING A WIRE AND HAD TO WALK THROUGH A METAL DETECTOR! I EXCUSED MYSELF WENT TO THE MEN’S ROOM AND DUPMED THE WIRE. I WAS ABLE TO TALK TONY INTO NOT GOING THROUGH THE DETECTOR AND TO HAVE A CONVERSATION IN THE CORNER BAKERY RESTAURANT BECAUSE I WAS NOT FEELING WELL. WHILE TONY WAITED IN LINE TO GET US COFFE I WENT BACK TO THE JOHN, RETRIEVED THE WIRE FROM THE GARBAGE AND RECORDED US.
7) SAM DOERGER COMPLIMENTED ME ON MY FAST THINKING AND TOLD ME NOT TO SHORT SELL MY OWN IDEA’S AND USE MY HEAD.
8) AFTER THE 2ND SEARS TOWER INCIDENT SAM TOLD ME FROM THEN ON IF THERE WAS SOMETHING I DID NOT WANT TO DO, TO TELL HIM AND HE WOULD GO ALONG WITH IT.
9) I gave this accounting to Tom and Tom said it sounded like too much CLOAK AND DAGGER; well it is Cloak and Dagger
10) For this the USAU indicted me upon Tony’s word and co-oberating evidence, probable that lying bribing cocksucker Joe Duffy former USAO. The USAU indicts me on the word of a man who bribed one of their most important witnesses and they let Joe Duffy walk.
--
Please send all emails to this Gmail address.
Daniel T. Frawley details Rezko investigation: “I taped Buddy the night before his 2nd to last Federal Grand Jury appearance.”
Ernie Souchak, Editor-in-Chief, Illinois PayToPlay
DEVELOPING STORY:
Will the Chicago Sun-Times and the Chicago Tribune completely disregard their responsibilities and ignore this story ?
From: "Ernie Souchak" <email address withheld>
To: "John Barron" <[email protected]>, "Andrew Herrmann" <[email protected]>, "Gerould Kern" <[email protected]>
Cc: "Tim Novak" <[email protected]>, "Carol Marin" <[email protected]>, "Chris Fusco" <[email protected]>, "Dave McKinney" <[email protected]>, "John Chase" <[email protected]>, "Jeff Coen" <[email protected]>, "John Kass" <[email protected]>, "Eric Zorn" <[email protected]>
Sent: Sunday, May 6, 2012 9:00:49 PM
Subject: Fwd: Daniel T Frawley
Who wants to be a journalist ?
From: <withheld>
Date: Sun, May 6, 2012 at 1:46 PM
Subject: Daniel T Frawley
To: "Ernie Souchak"<email address withheld>
From: Dan Frawley <Dan Frawley's email address withheld>
Subject: Buddy Wilkins re;co-operation and immunity
To: robert XXXXX <Bob Cooley's email address withheld>
I. Tony Rezko’s Defense attorney’s
A) J. Duffy is a founding principal of Stetler & Duffy, Ltd. Mr. Duffy served in the United Joseph States Attorneys Office for the Northern District of Illinois from 1980-1989. As Assistant U.S. Attorney, he investigated and prosecuted complex financial crimes and public corruption cases. He was appointed Deputy Chief of the Criminal Division, Chief of the Criminal Division, and later First Assistant U.S. Attorney in the Northern District of Illinois.
B) William P. Ziegelmueller jointed the firm at its inception and is currently a member (partner) of Stetler, Duffy & Rotert, Ltd. Mr. Ziegelmueller focuses his practice on white-collar criminal defense and civil litigation, primarily in federal courts nationwide.
C) Gene Murphy was an Assistant State’s Attorney at the Cook County State’s Attorney’s Office For eight years. Gene prosecuted financial crime, fraud, and racketeering cases against corporate executives and business owners, union and government officials, and organized crime figures.
- Gene headed the litigation practice at two Chicago-area litigation boutiques, and in 2004 went to the Chicago office of Bryan Cave – one of the 35 largest law firms in the world – as a commercial litigation partner.
D) Richard Friedman Attorney-There are many Richard Friedman’s listed in the Chicago area as Attorney’s; this Richard Friedman is a friend of Gene Murphy.
E) James (Buddy) Wilkins Buddy; Wilkins was not represented by either Joe Duffy or William P. Ziegelmueller. Attorney Gene Murphy represented Buddy WILKIN’S. The following can all be confirmed by USAO recorded conversations both in person and over the phone Murphy withdrew from the case after the US Attorney’s office had Gene Murphy do so because of a conflict of interest. I do not know what the exact conflict was. I BELIEVE 100% IT WAS BECAUSE OF MY TAPE RECORDING BUDDY WILKINS DURING MY COOPERATION WITH THE USAO. Buddy Wilkins’s was offered immunity by the USAO and Buddy was counseled by Gene Murphy not to cooperate. Gene Murphy was reporting directly to Joe Duffy and Ziegelmueller giving Tony Rezko’s attorney’s chapter and verse of all of Buddy Wilkins’s meetings with the USAO and Wilkins’s testimony to the federal Grand Jury. I first found this out from Buddy before the USAO asked e to record Wilkins. Buddy told me that Gene Murphy’s legal assistant (Diana? no last name, but her identity can be established easily.) Buddy told me that Gene Murphy would call Duffy, Ziegelmueller and or Tony Rezko often before talking to Welkins’. Murphy would take direction from Duffy and his crew telling Murphy to tell Wilkins what to do and say to the USAO and the Federal Grand jury. Wilkins told me that Wilkins’ legal fees were paid by the Tony Rezko defense fund. Murphy withdrew as Buddy’s attorney under pressure from the USAO’s office.
F) Richard Friedman Attorney-There are many Richard Friedman’s listed in the Chicago area as Attorney’s; this Richard Friedman is a friend of Gene Murphy and was appointed by Murphy to represent Buddy Wilkins. Friedman continued co-operating with Duffy and crew. Friedman was never taped directly, but I had many taped recordings with Buddy Wilkins I which Wilkins mentions many conversations between Duffy, William P. Ziegelmueller and Richard Friedman. Friedman related to Buddy on more than one occasion that Duffy and Ziegelmueller had urged Tony Rezko to get a check to Buddy Wilkins. (Rezko owed Wilkins $25,000.) Rezko made the payments to Wilkins, usually before an appearance before the Federal Grand jury by Wilkins. I taped Buddy the night before his 2nd to last Federal Grand Jury appearance. Wilkins was flown to Chicago from North Carolina at government expense to testify before the grand jury the following morning. I picked Buddy up at O’Hare airport after meeting with FBI agents who gave me a recording advice and instructions. I received a call from the agents and the USAO’s office. The Government people were very discouraged, because the recorder malfunctioned and Wilkins stonewalled the Federal Grand Jury. I told them not to worry I could meet Buddy before he flew back to N. C. I spent hours recording Buddy and gave Buddy a ride to a friend of his house in the Southern Suburbs. The recording was very successful. Upon Buddy’s return to N.C. Buddy was taken into custody by the FBI and flown back to Chicago. Buddy finally told the truth to the Grand jury and received immunity or at least was never prosecuted and I can confirm that. The USAO asked me not to contact Buddy after that. I always felt good about this, because Buddy’s attorney’s represented Tony not Buddy (similar to what Weaver did to me) Buddy did not deserve to go to jail and had I not recorded buddy he would have followed advice from attorney’s who were supposed to represent him and did not.
II) I never taped Duffy, Ziegelmueller, Murphy or Friedman however Buddy mentioned them innumerable times.
A) The said incidents all happened.
B) Said incidents can be proven by government tapes and by witnesses both with the government and others outside the Employment of the Federal Government.
Jack Lavin testifies in a stealth law suit, along with other notables
Hugo Floriani, PayToPlay Investigative Reporter
Did you know that a federal civil law suit went to the jury today, April 17, after Governor Pat Quinn’s Chief-of-Staff, Jack Lavin, testified as a witness; Tony Rezko was deposed; and Daniel T. Frawley didn’t testify because his lawyer indicated that, if called, he would “take the 5th”? Here's Jack.
You probably didn’t know any of that, unless you hang around the court house for grins. And you certainly didn’t know it if you rely on the Chicago Tribune or the Chicago Sun Times to keep you informed. (Although today, the Times did report that some bald eagles are nesting in the south suburbs. Good to know stuff.)
The case, filed April 24, 2008, in the United States District Court for the Northern District of Illinois, Eastern Division, pits Semir D. Sirazi vs. Panda Express, Inc., Panda Restaurant Group, Inc. and the Citadel Panda Express, Inc.
(Illinois PayToPlay reported earlier on another law suit, filed just last January, pitting Semir Sirazi vs. Nadhmi Auchi. Tony Rezko plays a role in both cases.)
Here’s the “Nature of the Action” paragraph in the Sirazi vs. Panda Express case that’s now in the jury’s hands:
“1. This is an action by Sirazi against Panda Express for unjust enrichment, fraud, civil conspiracy, aiding and abetting a breach of fiduciary duty and for violations of the Illinois Uniform Fraudulent Transfer Act. From 1993 to 2006, Panda Express, Antoin (“Tony”) Rezko, and various Rezko-controlled companies owned and operated numerous Panda Express restaurants in 5 Midwestern states, the majority of which were in the Illinois/Chicagoland area. In June of 2006, knowing that Tony Rezko was under severe financial and legal distress, and desperate for funds, Panda Express (among other improper actions) bought out PE Chicago, LLC’s 50% interest in the Rezko-Citadel partnership – the entity that owned and operated the Panda Express restaurants – at a price many times less than the fair value of that interest. At the time of the purchase, Panda Express knew that Sirazi and others had significant ownership interests in PE Chicago. In fact, Sirazi, at the time of the purchase – through his interest in Rezko Enterprises, LLC – owned a significant majority of PE Chicago. Panda Express, however, fraudulently conspired with Rezko to acquire PE Chicago’s entire interest in the Rezko-Citadel partnership without Sirazi’s knowledge and at a price far less than the fair value of such interest. As a result of the improper actions of Panda Express, Sirazi has suffered losses in excess of $15 million.”
So, Sirazi asserts he was cheated big-time by Rezko and the Panda Express Chinese food chain, headquartered in Rosemead, California. The originating Pandas were “Andrew and Peggy Cherng and Andrew's father, Master Chef Ming Tsai Cherng, all of whom used to live in the Yangzhou region of China’s Jiangsu province. They started their first Panda Inn restaurant in 1973 in Pasadena, California.”
Here’s the real interesting part: Daniel T. Frawley, in a recently obtained email sent to a confidential source and forwarded to Illinois PayToPlay, claims that Governor Pat Quinn’s Chief-of-Staff, Jack Lavin, fraudulently cooked Rezko’s Papa John’s books by transferring $4,000,000 from Panda Express accounts into Tony’s pizza business. Here’s that email:
From: Dan Frawley <Address withheld>
Date: Thu, Jun 2, 2011 at 1:00 PM
Subject: I MET OBAMA'S AID AT THOMPSON PRISON WHERE BO WANTED TO SHIFT QUANTANIMO PRISONERS
To: robert XXXXX <Address withheld>
THOMSON PRISON, OBAMA, REZKO, JACK LAVIN & MOE CONTRACT
THOMSON PRISON IS THE FIRST SIGHT THE STATE OF ILLINOIS PROVIDED ME TO LOOK AT TO TRAIN THE IRAQI MOE CANDIDATES.
SEAMUS AHERN OF SENATOR OBAMA’S JOILIET ILLINOIS OFFICE WAS AT THOMSON. NEVER CALLED THE SENATOR’S OFFICE TO ARRANGE TO BE MET.
TONY REZKO CALLED JACK LAVIN REGARDING TRAINING THE IRAQI’S AT AN ILLINOIS GOVERNMENT SIGHT.
JACK LAVIN WAS THE CEO OF ONE OF TONY’S COMPANIES. JACK LAVIN MADE A JOURNALENTRY IN PANDA RESTARAUNTS FINANCIAL STATEMENT. JACK TOOK 4 MILLION DOLLARS OF PANDA’S PROFITS AND MADE A JOURNAL ENTRY INTO PAPA JOHN’S PIZZA PROFITS IN ORDER FOR TO OBTAIN A 10 MILLION LOAN FROM G.E. CREDIT.
ANDREW CHERNIG WAS A 50/50 PARTNER OF TONY’S IN PANDA. WHEN CHERNIG DISCOVERED THAT LAVIN AND REZKO DEFRAUDED HIM CHERNIG CAME INTO CHICAGO ON A FRIDAY AND EMPTIED THE PANDA OFFICE.
TONY AND LAVIN KEPT A DOUBLE SET OF BOOKS FOR PAPA JOHN’S. TOD SELACK THE ACCOUNTANT FOR RECKON AND LAVIN PREPARED THE DOUBLE SET OF BOOKS PER AL CHAIB AND REZKO’S ORDERS.
I HAVE SEEN BOTH SET OF BOOKS AND PROVIDED THE USAO’S OFFICE THE OPPORTUNITY TO COPY SAID BOOKS. THE ENTRY LAVIN MADE INTO THE PAPA JOHN BOOKS WAS KNOWN AS THE MIRACE ENTRY AROUND THE REZMAR OFFICE.
CHERNIG NEVER REPORTED THE FRAUD BECAUSE CHERNIG PARTICIPATED WITH AL CHAIB AND TONY IN STAFFING PANDA RESTAURANT WITH ILLEGAL CHINESE ALIENS CHERNIG HELPED SMUGGLE INTO THE UNITED STATES. CHERNIG WORKED THE CHINESE 80-100 HOUR PER WEEKAND PAID THEM FOR 40. TONY AND CHAIB HOUSED THE CHINESE IN THEIR BUILINGS IN OVER CROWDED CONDITIONS AND OVER CHARGED THE CHINESE FOR RENT.
Plenty to chew on there, such as…
- Was Rezko deposed about the allegation that he was a slum landlord for illegal Chinese immigrant workers employed by the Pandas?
- Was Lavin asked about the fraudulent bookkeeping allegation from Frawley?
- Is this why Frawley’s attorney announced that Frawley would “take the 5th” if called to testify?
- Peggy Cherng testified at the trial. Did she mention the use of illegal Chinese immigrants in Panda Express restaurants, as alleged by Frawley?
- How about Al Chaib – was he asked about any of this?
Now that they have this email, no doubt the intrepid investigative reporters at the Sun Times and the Trib will jump on this story.
Hey, we can dream can’t we?
Pat Quinn, destined to be third in the trifecta of jailed IL governors?
Martin Rivers, Introducing Illinois PayToPlay’s Springfield Correspondent
Is a third Illinois governor in- a-row destined for a trip up-the-river to the Big House? That’s Blago on the left, on a bad hair day. Ryan is on the right. Is Pat Quinn, in the middle, the next Illinois governor to do the federal perp walk?
Pat sure looks like “Larry” of “Three Stooges” fame, if he’d let his hair grow out some.
Why could he be next in the conga line of incarcerated Land of Lincoln chief executives?
Well, first of all, here’s what Pat once had to say about “Moe,” AKA Blago:
"He's always been a person who's honest and one of integrity...I have confidence the governor does the right thing all the time."
That’s evidence of complicity, or stupidity. And Pat’s not stupid.
Then there’s Quinn’s continuing attachment to Antoin Rezko through his current Chief-of-Staff, Jack Lavin. Quoting the Chicago Tribune, here’s what that extreme-conservative, Republican web site, the Huffington Post, wrote about Lavin:
“Lavin served as Blagojevich's director of the Department of Commerce and Economic Opportunity after [convicted fundraiser Tony] Rezko recommended him for the post. Lavin once worked as the chief financial officer for Rezko's food-related business, and took more than $12,000 in donations from Rezko's firm while considering a run for elected office in 2001.”
Back on October 11, 2011, Illinois PayToPlay suggested that the professional journalists in the Chicago media pose these questions to U.S. Attorney Patrick Fitzgerald:
“Is there any evidence to suggest that, while he was Rezko’s chief bean counter, Jack Lavin moved a $3,000,000 line item from the Panda Restaurant operated by Tony over into his Papa John’s Pizza books in order to help get a loan from GE Capital?
And then, as a follow-up:
Well, if you can’t answer that question, or won’t, then who kept Rezko’s second set of books for his Papa John’s Pizza store? And why have we never heard about that?”
Well, of course, that didn’t happen.
Illinois PayToPlay will soon be releasing information from a confidential informant, identified only as “CI2” (confidential informant #2) in the “Motion For Issuance Of An Arrest Warrant” for Rezko, filed on January 28, 2008 by Patrick Fitzgerald, that contains CI2’s allegation that Rezko’s CFO helped Tony R. cook the Papa John’s books in order to get that loan from G.E. Capital.
As the late Paul Harvey used to say – “Stand by…for more.”
Oh, and by the way, Fitz’s office has known of Lavin’s alleged involvement in the miracle bookkeeping incident for, at least, four years. And what have the feds done with that information?
Blago’s gone, but has anything really changed in the way the governor’s office down here in Springfield operates?