SBI misconduct may not be limited to crime lab

The ongoing revelations of the N.C. State Bureau of Investigations' questionable (and possibly criminal) conduct should come as no surprise to Mooresville.

As an area that has been rocked by one scandal after another, prompting the SBI to visit several times in the past eight years – then in most cases waiting, to no avail, for the results – the Town of Mooresville is no stranger to the SBI sweeping cases under the rug.

Attorney General Roy Cooper recently ordered an independent review of the SBI's crime lab. The results, released late last week, were damning, revealing that the SBI “withheld or distorted evidence in more than 200 cases at the expense of potentially innocent men and women” (http://%28http//www.newsobserver.com/2010/08/19/635632/scathing-sbi-audit-says-230-cases.html#ixzz0x52LRIZc%29.).

Countless lives have clearly been sabotaged by the very “investigators” who are supposed to be protecting the public's interest. Of the cases that must now be reviewed, three of the defendants have already been executed. Five have died in prison. And 80 are still serving sentences – four of whom are on death row.

On the other hand, it's only natural to speculate that despite botched evidence and investigations, prosecutors perhaps tried and convicted the true criminal. But because of the crime lab's questionable lab practices, those cases now have a real chance of being appealed and overturned, potentially leading to the early release of violent criminals back into society.

After all is said and done, the taxpayers will pay a hefty price. And the cost is sure to be enormous.

But with the exposure of the SBI's misconduct, we have identified only a symptom of the real disease plaguing the bureau and thus our state: the absence of open, honest, accountable practices within the agency and our government itself.

The SBI blood analysts, arguably, are not incompetent. They didn't withhold information, or fall down on their duties, because they are stupid. At least we should hope not. The only way those agents were able to get away with their misconduct is because someone else has allowed, or endorsed, it to happen.

The SBI serves under a director – until recently, Robin Pendergraft. That director is appointed by the Attorney General, an elected position. What's more, the SBI crime lab – as indicated by the Raleigh News & Observer – is charged with using science to prove cases built by district attorneys, also elected positions.

In this sort of arrangement, if one person – just one – is corrupt, or chooses to turn a blind-eye to corruption, the entire judicial system crumbles, and the people left to suffer are the very ones the system was created to protect and serve. Essentially, people’s freedom – their lives – are caught in the crosshairs of law enforcement and politics. And it appears as though the SBI has somehow been ordained to decide if a person is worthy of their freedom. And only after that determination is made will the agents use “science” to fit it.

Even in the midst of public humiliation, politics and favoritism are apparently still at work among the bureau's ranks. Even while the attorney general, Roy Cooper, removed Pendergraft from her position as SBI director – moving her to another unit with no change in pay – he praised her work as the bureau's director, saying, as reported by the News & Observer: “'I think Robin has done an excellent job at the SBI.'”

The problem is clearly deep-rooted in the political structure. And perhaps the most unsettling question is this: if it has been this easy for SBI agents to botch life-and-death cases, just how easy has it been for them to ignore cases of public corruption?

In Mooresville, we're in a unique position – perhaps more so than any other city in North Carolina – to help shed some light on that.

A brief review:

• In 2002, the SBI was called in to Mooresville after a private citizen, earlier in 2001, brought to light financial inconsistencies at the Mooresville Public Library. Town officials allowed the town librarian to resign and she later pleaded guilty to felony embezzlement. Though the SBI was supposedly called in to review the matter, the public, seven years later, has not been informed of the review's outcome.
• Three years later, in 2005, the SBI was called in after yet another private citizen conducted his own well-documented financial investigation of the Mooresville Golf Course which revealed a substantial loss of inventory, and perhaps cash, from the golf course pro shop. The citizens' efforts prompted town officials to call for an outside audit of the golf course, which showed thousands of dollars in merchandise missing from the pro shop. The SBI was called in to investigate, but five years later, the public has not been informed of the outcome of that investigation, either.
• In 2008, the SBI was called in to investigate former Mooresville Police Chief John Crone's Cops for Kids program. Once again, private citizens conducted their own investigation of the program and uncovered, among other questionable items, a receipt for a deposit of $361 in “loose change” from the evidence room into the Cops for Kids account. One month later, the town fired the police chief and called in the SBI. But it took two years – and a new Iredell County District Attorney – before the public would hear anything about that investigation. Crone has been indicted and his next court appearance is scheduled for Nov. 8. Town commissioners, from the beginning, expressed skepticism about involving the SBI, citing their lack of confidence in the agency conducting a thorough, timely review. And in fact, when the initial SBI report was complete, town officials said the bureau indicated in its report that it had nothing on which to follow up. At the same time, however, Sarah Kirkman – who was elected Iredell's new district attorney at the same time the Cops for Kids story was breaking – told the Report in February that while she had received a copy of the SBI's report, she still had questions for the investigating agent. Only after that were charges produced by the SBI's “investigation.”

Interestingly, however, when Crone himself called the SBI to Mooresville in November 2002 to investigate $4 of missing money from the police department's evidence room, the SBI moved quickly. The Mooresville Tribune first reported on Nov. 6, 2002 that Crone had called in the SBI. Within seven months, the SBI had investigated the matter, a grand jury had indicted the former evidence-room custodian, and the custodian had pleaded guilty to embezzlement. It took seven months, start to finish, for the case to be opened and closed when the police chief called in the SBI. But when the town called the bureau in to investigate that same police chief for misappropriating $361 of money from the evidence-room – as opposed to the custodian's $4 - it took two years and a new DA for the SBI to produce results.

Such inconsistencies beg the question: Is it less about what you know, and more about who you know, when dealing with the SBI? Does the SBI use selective leniency and favoritism depending on a person's political influence and/or his or her perceived community status?

Unfortunately, we may never know the answers to those questions.

But thanks to the tireless efforts of a few dogged reporters in Raleigh, what we do know is that the SBI has at least been consistent the past decade. Whether “investigating” violent criminals or public corruption, the agency has demonstrated – consistently – laziness, incompetence, neglect or, worse yet, corruption … and perhaps a combination of them all.

Unfortunately, long before the Raleigh News & Observer began asking questions – and long before Cooper ordered an audit of the SBI crime lab – the people of Mooresville had learned to distrust the SBI, an agency they used to rely on as being legitimate, credible and trustworthy.

While people in this community worked courageously and tirelessly to uncover and expose corruption, the SBI repeatedly dragged its feet and used its authority to employ delay tactics and provide loopholes for those who enjoyed membership in the dwindling political patronage system of Mooresville.

The SBI’s stubborn refusal to do its job in Mooresville led to a community unnecessarily divided and polarized. The intangible harm that resulted from this monumental failure will be difficult, if not impossible, to measure.

While these new revelations about the SBI confirm the long-standing suspicions held by many in Mooresville, this is nothing to celebrate. The truth has now been exposed that the largest investigative agency in this state has dropped the ball on some 200 criminal cases. What remains unknown is how many public-corruption cases the agency has approached and treated with the same careless and reckless attitude.

Former top cop turns himself in; released on bond

Former Mooresville Police Chief John Crone turned himself in earlier today to the Iredell County jail and has since been released on a $5,000 secured bond.

Crone was indicted last month by a state grand jury (http://thegattonreport.blogspot.com/2010/05/crone-indicted.html). He is charged with two counts of embezzlement by a public official and one count of obstructing justice.

More details as they become available...

Crone indicted

Former Mooresville Police Chief John Crone has been indicted by a state grand jury, the Report has learned from a number of sources this week.

The charges are unknown at this time because the indictment was apparently ordered sealed. That means the charges will not be public record until the indictment is served.

Nearly two years have passed since questions were first posted here about Crone’s Cops for Kids organization (http://thegattonreport.blogspot.com/2008/06/what-is-cops-for-kids.html). Within a week after the Report and The Mooresville Tribune exposed questions about, and discrepancies in, the Cops for Kids financial records – including a $361 deposit of “loose change from the evidence room” into the Cops for Kids account – the Town of Mooresville asked the DA's Office to bring in the SBI to investigate. And within the month, Crone was suspended, then fired.

Three months ago, District Attorney Sarah Kirkman confirmed that the SBI’s probe was complete but said she still had questions for the investigating agent (http://thegattonreport.blogspot.com/2010/02/sbis-cops-for-kids-probe-complete-da.html).

It’s clear those questions have been answered.

What is not as clear is why the indictment issued early this week was sealed, and why it apparently hasn’t yet been served. Current and former members of the law-enforcement community indicated to the Report this week that it’s common practice for the judicial system to allow current/former government officials – and even some private citizens – to turn themselves in, as opposed to being shamed by an official serving of an indictment.

The Iredell County Sheriff’s Office will reportedly be responsible for serving the indictment.

We’ll keep you posted as more information becomes available.

SBI's Cops for Kids probe complete - DA says she still has questions

The State Bureau of Investigation has completed its probe into former Mooresville police chief John Crone's Cops for Kids program. But Iredell County's District Attorney says she still has questions for the SBI.

"I finally received the official SBI report in January and still have questions for the investigating agent," said District Attorney Sarah Kirkman, responding to Gatton Report questions from home, less than a week after giving birth to a daughter.

Kirkman said she will not turn over the SBI results to the Town of Mooresville. "However," she said, "if they want to see the report, they can go through legal counsel with the SBI.

"As for turning over the results to the public," Kirkman added, "I will not do that, as it is still a pending investigation at this time."

Even government grows tired of waiting on government

It's been nearly a year since Mooresville fired its police chief, John Crone, and called in the SBI to investigate his Cops for Kids program.

This week, Town Manager Steve Husemann – who was hired after the Cops for Kids scandal broke last July – promoted Carl Robbins to chief of police. Robbins has served as interim chief since Crone was fired in August.

But while one chapter of the story is now closed, the end is still nowhere in sight.

“We have not received results nor a time table from (the) SBI,” Husemann said this week, responding to Report questions. “The timing of (Robbins’ promotion) has nothing to do with (the) SBI.”

Shortly after Husemann came on board as Mooresville’s town manager in September, he indicated that he wanted to wait for the completion of the SBI investigation before hiring Crone's replacement.

He said this week, however, "I have changed my mind since last December because of the amount of time it is taking for the SBI to conduct its investigation.

"I admitted last December that awaiting the SBI report was somewhat of an excuse to give me time to get a better knowledge of (the Mooresville Police Department), its personnel and issues," he added. "I’ve had nine months now to observe Carl Robbins and the department. I saw no further need, nor advantage in awaiting an SBI report.

"It is time to move forward now and give Chief Robbins full support to manage the department."

It seems Husemann has caught on to what many of us have known for years: waiting on tangible results from the SBI, at least in Mooresville, is like waiting on the Great Pumpkin.

Still, when asked this week if the town would release to the public the results of the forensic audits into Cops for Kids – which were funded by taxpayer dollars and have been concluded for some time – Husemann responded: “This will continue to await the SBI.”

And when asked if the town has reimbursed the federal government for the asset-forfeiture funds that were spent inappropriately by the former police chief and his Cops for Kids program (see http://thegattonreport.blogspot.com/2009/01/feds-to-town-pay-up.html) – and if so, out of what fund the town paid the reimbursement – Husemann responded: “There appears to be a wrong impression about what this is all about.”

While the U.S. Department of Justice “directed the town to reimburse the federal drug funds used for (the) Cops for Kids program,” he said, “this does not require that a check be written and sent to Washington.”

Instead, "It merely requires a re-appropriation to replace drug fund moneys used for Cops for Kids with general fund money while the drug fund money is applied to a clearly permitted use," Husemann said. “Staff will ask that this be done with late FY2009 budget adjustments."

Feds to Town: Pay up.

The U.S. Department of Justice has told the Town of Mooresville and its police department to repay $4,862 in asset forfeiture funds that former Police Chief John Crone used to pay airfare costs for a Mayor’s Youth Council trip to New York City.

Also, the town received the results of its outside forensic audits into Crone's Cops for Kids program today - more than six months after commissioners ordered the probes. The audit results will not be released until the State Bureau of Investigation has reviewed them and determined that their release will not compromise the state's ongoing criminal investigation.

In an e-mail to commissioners today, Town Manager Steve Husemann said that the town recently received a letter from the Department of Justice, "asking the town and MPD ... to reimburse (the local asset forfeiture) account and provide (the Deparment of Justice) with confirmation of said repayment.

"This really does not have a financial impact on the town," Husemann said. "Drug Forfeiture funds can be used only for certain purposes, and we will pick a clearly eligible purpose to fund with this money."

Husemann also said that the town has requested that Crone write a check for the entire amount from the Cops for Kids bank account.

For the complete story on Crone's use of the federal money, click here: http://thegattonreport.blogspot.com/2008/09/former-police-chief-violated-federal.html

Husemann, in today's e-mail, said that town staff "had been waiting to announce the Department of Justice request with the results of the accounting study." However, he said, "we just received the accounting study today."

Husemann said he decided to release the information about the federal request when the Mooresville Tribune asked for an update on the Cops for Kids situation. "I don't want to withhold any information," said Husemann, adding, however, that "we do not plan to release the accounting study until the SBI determines that it has no relevance to their investigation and until (Town Attorney) Steve Gambill determines that any personnel information is redacted."

Continued Husemann: "We have no desire to hold up the release any longer than we have to. I have not yet seen the accounting report and have made this decision without knowing the content."

Cops for Kids audit report expected soon

The Cops for Kids’ audits could be complete and presented to Mooresville commissioners as early as Jan. 2.

“I have been in contact with (accountants) Greer & Walker and Tom Himes regarding the financial audits,” Finance Director Maia Setzer said late last week, adding that “they are working together to compile one report rather than submitting separate documents.”

She said she expects to receive that report “in time to be discussed or presented at the Jan. 2 agenda briefing.” However, she added, “I really do not want to ‘promise’ that as I still have a fair amount of work to complete once I receive that report.”

Five months have passed since the Town of Mooresville launched several investigations into former police chief John Crone’s Cops for Kids program. One month after calling for the probes, the town fired Crone.

Setzer said that the “secondary review” of the police department evidence room is about half complete and that she hoped to spend “a great deal of time” in the evidence room this week “to complete the review of records.”

Maj. Carl Robbins, who has been acting chief of police since Crone was fired, said that one of the police department’s two evidence custodians recently attended 16 hours of training through a certification program sponsored by the International Association for Property and Evidence. “During the two days,” Robbins said, “she was instructed on proper packaging protocol for evidence and the most efficient use of limited space in property and evidence facilities.”

Robbins said that the police department’s two evidence custodians will soon begin transferring evidence and property to another secured room in the police department. Once the evidence room is cleaned out, the department’s new safe – which will include an electronic data trail and security camera – will be installed, he said.

“After all preparations are in place, the evidence and property will be documented and returned to its original room,” Robbins added. “Any missing or improperly documented evidence will be duly noted.”

Robbins said that the SBI – which is also investigating the Cops for Kids program – was “contacted and briefed on (the police department’s) immediate plans for the evidence and property transfer,” and that the agent in charge “saw no negative impact on his ongoing investigation.”

Town Manager Steve Husemann said he is waiting for the SBI report before hiring Crone’s replacement. “Awaiting the SBI report is somewhat of an excuse, but there is some logic to it,” he said. “If I felt we had a bad situation, I would proceed before that report is completed, but the fact is that I think Major Robbins in doing a good job as interim, and that gives me the luxury of not being in a rush to fill the position. This gives me an opportunity to get a better knowledge of (the Mooresville Police Department), its personnel and issues.

“While I don’t really expect the SBI report to have any impact on how we proceed,” Husemann said, “there is no apparent harm in awaiting the report."

Cops for Kids: No New News

It's been almost four months since various investigations were launched into former police chief John Crone's Cops for Kids program. But as of yesterday, there’s “no new news” on any of them.

The N.C. Secretary of State’s Office said on July 8 that it was investigating an inquiry into Cops for Kids’ “charitable solicitation license.” (See http://thegattonreport.blogspot.com/2008/07/nc-secretary-of-state-investigating.html)

According to the Secretary of State’s website, any corporation or entity that solicits charitable contributions must apply for and obtain a license every year. Some organizations are exempt from the license, but it is unclear if Cops for Kids met the exemption requirements.

This week, George Jeter, director of communications with the Secretary of State’s Office, said, “So far, I don’t have anything.”

When asked how long it typically takes for the state to determine if an organization possessed a charitable solicitation license, or if it was exempt from the requirement, Jeter said: “I don’t know what they’re waiting to see. That’s not up to me to say.”

And it appears there’s at least a chance that the public may never know the results of the state’s probe. Sometimes the state just “keeps a watch on it,” said Jeter. And in those cases, “We don’t ever really say, ‘We’re done with that.’”

Meanwhile, Town Attorney Steve Gambill said there’s “nothing new regarding the internal employee investigation” being led by former FBI agent Ken Andrews.

Last month, town staff said that the N.C. State Bureau of Investigation had asked Andrews to stop his interviews of certain people so that the SBI could interview them. Gambill said yesterday that “Mr. Andrews has not resumed his interviews” but that he “will do so once he receives approval from the SBI.”

Gambill said that he has not received any updates from the SBI regarding its investigation into Cops for Kids.

The town’s director of administration and finance, Maia Setzer, said that she had spoken briefly with the SBI agent yesterday but that he “did not indicate what he was working on or a timetable.”

Setzer said the second accounting firm, which the town hired to corroborate the findings of the first forensic audit of Cops for Kids’ financial records, has started its work. But she said she has not been given a timeline on how long it might take for the firm to complete the audit.

Town Manager Steve Husemann said this week that he’s in no hurry to hire a replacement for Crone, who the town fired in August. “I’ve had some conversations about the position, but that is about the extent of it,” said Husemann.

He explained: “I think that Major (Carl) Robbins is doing a good job in an interim capacity, so I (have) not made filling the position a high priority.”

Husemann, who began work here on Sept. 2, added: “As I have more time to observe the department, the community and the personnel involved, it will help me make a better decision about both the process that we need to follow and the person to be selected.”

Crone has filed a grievance over his firing with the Town of Mooresville. But the details are not public record, per state statutes protecting confidential personnel information.

You're invited ...

Have a question you’d like to ask Mooresville's town board? Here’s your chance:

"Citizens for Responsible Government" has invited Mooresville commissioners to join area residents in a “Town Hall meeting” on Wednesday, Oct. 15, from 6-8:30 p.m. in the youth services room of the Mooresville Public Library.

Local pastor Larry Green -- founder of Citizens for Responsible Government -- organized the Town Hall meeting and plans to moderate the event. In addition to general topics "related to the welfare and leadership of our town," Green said, specific topics up for discussion will include Cops for Kids; the town’s hiring of engineering firm CH2M Hill for the expansion of the Rocky River Wastewater Treatment Plant; the town’s purchase of the bankrupt Adelphia cable system (MI-Connection) and a potential recall option.

Of Mooresville’s six commissioners, three have responded to Green’s invitation. Commissioners Chris Carney and Miles Atkins said they plan to attend, while Commissioner Mitch Abraham said he has a conflict that night with another previously scheduled meeting. Additionally, Abraham said he has “church committments (sic) on Wednesday evenings.”

However, he told Green: “If I am able to move the other meeting, I will notify you of my intentions.”

Referencing the open meetings law, Abraham said, “I will also yield to the other commissioners for the reason that if 3 or more of us are gathered at the same place for purposes other than social, it may be considered an official meeting and I believe that may involve town staff be involved for record keeping purposes.” Abraham referred Green to Town Attorney Steve Gambill for a “ruling.”

Carney, responding to Green’s invitation, wrote: “I will be happy to attend and look forward to answering questions from the citizens of Mooresville.

“Also,” Carney added, “I welcome the opportunity to explain any decisions I have made or my position on existing issues facing Mooresville.”

If you have a question you'd like to ask, you can submit it in advance by contacting Green at 704-746-8674 or by e-mailing it to him at admin@cfrgm.org.

Event organizers will consolidate the questions into “thematic units,” said Green, “ to avoid repetition and to promote as much public involvement as possible.”

Green plans to follow a meeting agenda, which includes three-minute statements from each commissioner and a moderator-controlled Q&A session using your previously submitted questions. Commissioners, said Green, will have one minute to respond to each question. If time permits, Green said he will allow questions from the floor, with first priority given to those who did not previously submit questions. Those in attendance who did previously submit questions will be limited to one “open-floor” question, he said.

Green said a video of the Town Hall meeting – as well as the text of all responses – will be made available online at http://www.cfrgm.org/.

Crone's grievance and the town's personnel policy

The Town of Mooresville’s personnel policy allows for an employee to file a grievance within 14 calendar days of disciplinary action.

The Mooresville Tribune reported today that the town’s former police chief, John Crone, has filed a grievance with the Town of Mooresville over his firing on Aug. 7. (http://mooresvilletribune.com/servlet/Satellite?pagename=MOT/MGArticle/MOT_BasicArticle&c=MGArticle&cid=1173356123573)

Though some readers have expressed concerns since the news was posted earlier today – with many of them wondering why Crone apparently received 50 calendar days to file his grievance – the question that must first be answered is this: when did Crone first file the grievance?

Citing personnel statutes, Town Attorney Steve Gambill declined to say today, explaining: “My inclination is that such information is part of the grievance itself and by implication, part of the personnel file.

“I am trying to avoid the proverbial ‘splitting of hairs,’” Gambill added, “but I don’t know of any other way to interpret the personnel law statute (GS 160A-168) other than to lean this way.”

But what we do know is this: For the town to accept the grievance in accordance with its own personnel policy, Crone would have had to file his grievance with Assistant Town Manager Erskine Smith (who was interim town manager until Sept. 2) by Aug. 21.

Smith had 14 days to respond to the grievance. And apparently Crone was not satisfied with Smith’s response, so he appealed to Mooresville’s new town manager, Steve Husemann.

Gambill explains:

“Article X, Section 4 of the Personnel Policy sets out three steps in the grievance process:

“In Step 1,” Gambill said, “an employee has 14 days from the time of the employment action to file the grievance. The employee’s supervisor then has 14 days to respond after receiving the grievance.

“In Step 2,” Gambill continued, “if the grievance is not resolved to the employee’s satisfaction in Step 1, the employee may appeal to the next level supervisor within 14 days after receiving the response in Step 1. This supervisor then has 14 days to respond."

Finally, Gambill said, “In Step 3, if the grievance is not resolved to the satisfaction of the employee at the end of Step 2, the employee may appeal in writing within 14 days to the Town Manager or Assistant Town Manager, according to whom they report to.”

Gambill went on to put those steps into perspective concerning Crone: “He had 14 days after his termination to file a grievance to Mr. Smith who issued the termination. Mr. Smith then had 14 days after receiving it to respond.

“Mr. Crone then had 14 days after receipt of Mr. Smith’s response to appeal to the Town Manager,” Gambill said, adding, “The Town Manager then has 14 days to respond to Mr. Crone."

While Gambill did not say when Crone’s original grievance was filed, he did say that employees must “follow the steps outlined in the policy” and that “one step is completed before the next step is initiated.”

Former chief files grievance over firing

Click the link below to view the entire article from the Mooresville Tribune online ..

http://mooresvilletribune.com/servlet/Satellite?pagename=MOT/MGArticle/MOT_BasicArticle&c=MGArticle&cid=1173356123573

Commissioners left in the dark this time, too

No doubt, I have criticized Mooresville commissioners many times in the past for conducting the peoples’ business behind closed doors – for their seeming unwillingness to be open and honest with the public, their constituents, about issues of importance to us.

But maybe sometimes it isn’t because the commissioners refuse to be open and honest with us – maybe it’s because they themselves are left in the dark when town staff isn’t providing pertinent information to them.

At least one commissioner has had to repeatedly demand updates on the ongoing Cops for Kids investigations that the town launched in July. Despite that, as recently as last week, commissioners were caught off guard by a new development in the Cops for Kids investigations that, come to find out, isn’t really so new.

Two Town Hall finance administrators have been aware since July of the former police chief’s potential misuse of drug asset forfeiture funds, but they didn't see fit to inform commissioners about it until last week – and only after the Report visited Town Hall to retrieve documents related to the matter.

Town Finance Director Maia Setzer said today that she, along with Town Accountant Deborah Hockett and Acting Police Chief Carl Robbins, notified an SBI agent on July 31 about the issue.

Town Attorney Steve Gambill said the U.S. Attorney’s office was notified on Thursday, Sept. 18, about former police chief John Crone’s potential misappropriation of federal funds. “Other than what was in the press release,” Gambill said, “I am not at liberty to discuss it beyond that point. If there is a point when I can discuss this in more detail I will be glad to but I cannot do so at present.”

Commissioners Mitch Abraham said he first learned about the potential problem with the drug asset forfeiture accounts on Wednesday afternoon, Sept. 17, when Setzer sent the following e-mail to commissioners (click the document to enlarge):


“The last sentence,” said Abraham, “was when I first heard of any discrepancies or had any ideas of the drug asset forfeiture monies being involved in any of the investigations.

“Besides being told of the upcoming release to the media on this past Friday,” Abraham added, “I have not talked with any staff about these discrepancies.”

In an e-mail on Sept. 18, obtained by the Mooresville Tribune and the Report in a public-records request last week, Commissioner Miles Atkins asked Setzer when she first became aware of the discrepancies. He also asked “who else has known about this prior to the board being made aware of it” – and how long they have known.

Setzer responded: “I began comparing the spreadsheet to our financial system when I received a full copy from the police department on Monday and after Ms. Gatton asked where she could obtain information about the asset forfeiture accounts.

“I asked Deborah Hockett to help me with the comparison of the two files on Tuesday afternoon,” Setzer said. “I notified the town manager and town attorney of the discrepancies we were continuing to find on Wednesday.”

She told Atkins that “any employee can maintain any type of a spreadsheet. The fact that it is maintained does not make it factual or ‘official’. Departments have maintained their own financial information for years as they did not have access to our financial system until we began the implementation of Munis.”

Setzer did not answer Atkins’ question about who knew about the issue – and for how long – before the town board was informed.

Commissioners Frank Rader and Miles Atkins said they learned of the problem mid-week last week – “apparently right after you left (Setzer's) office with the records (on Wednesday),” said Atkins, responding to Report questions today.

Commissioners Mac Herring and Chris Carney were informed by Gambill about the matter late Tuesday night, Sept. 16.

Carney said he had “lengthy conversations with staff” on Wednesday and Thursday “trying to understand exactly what had happened and encouraging us (the town) to be completely honest with any misappropriations that had been found.”

Abraham and Herring commended Town Manager Steve Husemann – who began work here on Sept. 2 – for what Herring called his “proactive approach.”

“He was immediately forthcoming and made the appropriate request to the outside agencies who needed to be involved,” Herring said. “His press release indicates that a new era for a transparent and more openly honest municipal administration has finally arrived here in Mooresville.

“I believe this is the tone being set,” Herring added, “and as a result, many of the concerns and ‘hunker down’ mentality that has plagued us in the past will soon be greatly diminished. It is a new and exciting time for us here in Mooresville, and I am proud to be a part of it.”

Likewise, Abraham said: “Mr. Husemann’s comments in Friday’s media release give me great hope that we will use these negatives in the process to produce a positive result to better the system and make sure that this does not happen in the future in any of our departments.”

Abraham said he feels confident that with the town’s reporting of the potential misappropriations to the U.S. Attorney, “these documents will be well researched for any further misgivings and wrongdoings and then reported to us and the citizens of Mooresville.”

Abraham said the town must continue to look for the investigations to answer many of the unanswered questions. “These investigations must continue, no matter what length of time they take to be complete, so as to be complete and as thorough as possible.

“This does not mean I personally like the amount of time that it is taking,” Abraham said, adding however that he wants “all of the investigations to be vetted to the fullest!!”

When all the results are in, Abraham said, “I will push for any punishment to the letter of the law that is recommended by this investigation.”

When asked his reaction to the recent development in the Cops for Kids investigations, Rader responded: “Not reacting. This is labeled potential and report is in process.”

Carney, however, said: “My reaction was probably the same as the public’s: how could something like this happen?!

“I was very unhappy and further disappointed,” he said. “I asked for a meeting with Mrs. Setzer, Mr. Husemann, and Mr. Gambill to understand what possible laws had been broken and what public statements we were prepared to make.”

Carney said he hopes to “get a better understanding of who in administration knew what (and) when,” regarding the former police chief’s potential misuse of funds.

Both Carney and Atkins are looking beyond the Cops for Kids situation and into the future, attempting to find a way to prevent these kinds of situations from reoccurring.

Carney said he wants commissioners and town staff to “look into what opportunities we have to better implement checks and balances with department budgets.

“As you know,” he said, “the board approves an overall budget and then staff and administration are responsible for maintaining expenses within that budget.”

However, Carney asked: “What happens when a department head has authority to divert expenditures within their budget, or additional funding from outside sources?”

Carney said he believes “many, many meetings will take place in upcoming days and weeks to discuss these two questions!”

A clearly frustrated Atkins added: “Is this symptomatic of a much larger problem throughout the town?”

He said “past incidents involving questionable accounting practices” have made it “obvious” that the town doesn’t have “the oversight nor checks and balances in place.”

He said “the question that begs to be asked is: do we have the right people in the right positions to oversee and account for the financial integrity of the town?

“I would imagine at some point Mr. Husemann will be asking himself that same question,” Atkins said.

Former police chief violated federal regulations

Cops for Kids wasn’t the only fund that former Mooresville Police Chief John Crone mishandled.

In 2002, Crone violated federal guidelines when he used $4,862 in federal asset forfeiture funds to pay airfare costs for the Mayor’s Youth Council trip to New York City.

The federal asset forfeiture program is a nationwide cooperative effort among federal, state and local law enforcement agencies that share proceeds resulting from federal forfeitures of assets – such as money and property – used in crimes. The local agencies that are responsible for the seizure or forfeiture of property receive up to 80 percent of the proceeds, while the federal government keeps 20 percent.

But the money has strings attached in the form of guidelines for how it can be spent. In a 1994 U.S. Department of Justice memo titled “Equitable Transfers of Forfeited Monies or Properties,” Assistant Attorney General Walter Dellinger stated: “When the federal government makes an equitable transfer of forfeited monies or property to a state or local law enforcement agency, that transfer is more appropriately characterized as a conditional gift to the agency rather than as a formal contract between the federal government and the agency.

“If the state or local agency fails to use the transferred property for law enforcement purposes, the federal government may be able to pursue restitution of the property.”

Airline tickets for the 2002 Mayor’s Youth Council and chaperones – including then-Mayor Al Jones – would appear to be an impermissible use of shared assets under at least the following three sections:

(c) Payment of Non-Law Enforcement Expenses. Shared funds may be used to pay the expenses for drug testing of law enforcement personnel, but may not be used for the testing of all municipal employees. Shared funds may not be used for scholarships or financial aid, except for law enforcement personnel pursuing training that is necessary to the performance of their official duties.

(f) Non-Official Government use of Shared Assets. Any use that creates the appearance that shared funds are being used for political or personal purposes is not permitted. For example, the use of shared funds for a sheriff’s campaign paraphernalia is impermissible. The use of shared funds to settle a lawsuit is not a permissible use.

(h) Extravagant Expenditures. Receiving agencies should use federal sharing monies prudently and in such a manner as to avoid any appearance of extravagance, waste, or impropriety. The payment of personal credit card bills, the purchase of meals (except personal meals incurred during official law enforcement travel), alcoholic beverages and other such expenditures are impermissible.

For a complete look at the federal guidelines, provided by Town Hall, click on the documents below:



The federal government can grant permission on a case-by-case basis for local agencies to use the shared funds for purposes other than those listed as permissible. However, the Town of Mooresville provided no such documentation on Wednesday, when the Report obtained from Town Hall copies of Crone’s expenditures from the shared asset funds from 2002 through 2008.

Just about an hour ago, the Town of Mooresville released the following statement to the press:


After 2002, Crone did not use federal asset forfeiture money for the Mayor’s Youth Council trips; instead, he began in 2003 to use state drug tax money – formally called Unauthorized Substance Abuse Tax – in conjunction with Cops for Kids funds.

A cursory review of the state drug tax expenditures recorded by Crone shows that the former police chief used more than $25,000 from 2003 to 2008 to fund trips for the Mayor’s Youth Council, accompanied from time to time by the Police Explorers. Crone spent an additional $20,000 on the trips from his Cops for Kids fund, according to his own balance sheet.

Town Finance Director Maia Setzer said “discrepancies” exist between Crone’s expenditure sheet from the drug tax fund and the finance office’s audited ledgers.

The state drug tax fund has no restrictions on how local agencies can spend the money. However, the N.C. Attorney General has issued an opinion on the matter, which the Report is in the process of obtaining. As soon as we’ve been able to fully scrutinize the state drug-tax records – and compare them with Crone’s town purchasing-card statements, the town’s audited drug-tax ledgers and the Cops for Kids expenditures – we’ll let you know what we find.

Meanwhile, the town’s investigations into the Cops for Kids fund are ongoing.

Town Manager Steve Husemann told commissioners and town administrators in an e-mail this week that he, Setzer and Town Attorney Steve Gambill met on Wednesday “to review the status of the current investigations.”

“I am generally keeping out of that process,” Husemann said, “but I do want to address where we are going and how we can get there as soon as possible.”

He said the town needs to “put procedures in effect which will assure that similar events cannot happen in the future.”

Setzer also e-mailed commissioners an update on each investigation on Wednesday.

Internal investigation/SBI probe
The internal investigation being led by Ken Andrews of Special Investigative Services “is complete with documentation returned to the Town of Mooresville,” Setzer said.

The investigation, she added, “was not fully completed by Mr. Andrews as the N.C. State Bureau of Investigation asked Mr. Andrews to stop his interviews of certain people so that the Special Agent could interview them for his investigation.

“Once the Special Agent gives us permission to do so,” Setzer said, “Mr. Andrews may continue his interviews.”

Setzer said that the SBI’s Special Agent assigned to the Cops for Kids case “has not discussed his investigation with me.” She said, however, that she has a meeting scheduled with him today, Sept. 19, and “if there’s anything I can relay to you following that meeting, I will.”

Financial audits
Setzer also told commissioners that the first financial investigation, or audit, “is essentially as complete as it can be given the documents the town has received regarding the Cops for Kids bank records,” Setzer added. “The documentation of the investigation has been received and will be shared with the SBI and the secondary financial reviewers as appropriate.”

Setzer said that the town has remitted a contract to Greer and Walker, LLC and that “I have received word … that the firm expects to accept the engagement.

“When I receive final confirmation of that agreement and the firm begins work,” Setzer told commissioners, “I will let you know.”

Evidence room
The first review of the police department’s evidence room, directed by the SBI, is complete, Setzer said. “We have been asked by the SBI to conduct an additional audit which will be done under the direction of the SBI.”

Husemann added that the Mooresville Police Department has developed a “property (evidence) room physical layout plan.”

Under Setzer’s direction, Husemann said, “We plan to inventory and remove everything from the property room and place it in a sealed POD. We will then have shelving installed in the property room and return the evidence in an organized and recorded fashion.

“That which is no longer needed will be disposed of in accordance with state law,” Husemann continued. “We plan to order security doors for the property room which will record every time the door is opened and by whom. It will also be documented with video tape.”

He said that some of the items will require town board approval because of cost. “This may seem like overkill,” he said, “but it is probably the norm for the more professional departments.”

Husemann added that the town “will obviously coordinate this with the SBI, but we feel that this would not interfere with their investigation.” Also, he warned: “This will be a very lengthy process.”

The town manager also told commissioners that the finance department will work with the police department “to assure the proper recording of all revenues and expenditures related to the property room and the state and federal drug forfeiture accounts. This would also address the disposal of future property no longer needed for evidence.”

Finally, Husemann said he is interested in seeking accreditation of the Mooresville Police Department through CALEA (Commission on Accreditation for Law Enforcement Agencies, Inc.). “While this is an expensive and time consuming process, it would have avoided a lot of the problems that we are facing today,” Husemann said. “It would also help re-establish the credibility to the department.”

Second Cops for Kids accounting firm still not hired

The Town of Mooresville has still not hired its second accounting firm for the Cops for Kids audit. And as of Friday, the town employee who commissioners put in charge of the audit – Finance Director Maia Setzer – will be out of the office for another two weeks.

The Town of Mooresville announced the investigations into the police chief’s Cops for Kids fund on July 7. Almost three weeks later, on July 31, Setzer said Carolina Financial Investigations would be conducting the first financial investigation, but that the second firm – needed to corroborate the findings of the first firm – “has not been contracted as I have been out of the office this week.”

Six days later, on Wednesday, Aug. 6, the Report asked Setzer about background information on Carolina Financial Investigations, because the company cannot be found using a simple Internet search, and it is not registered with the N.C. Secretary of State. Setzer responded that same day: “I’m checking my email from home and do not have (Carolina Financial Investigation’s) file with me. I hope to be back in my office on Friday (Aug. 8). If I don't get back to the office then, I will not be back until Monday, Aug. 18. I will respond as soon as possible.”

On Tuesday, Sept. 2, Setzer told commissioners in their town board meeting: “I have been out of the office for 14 work days. I have not been able to get on top of this due to scheduling issues.”

On Wednesday, Sept. 3, the Report attempted again to obtain information from Setzer about Carolina Financial Investigations. Setzer responded five days later, on Monday, Sept. 8: “I’m sorry – I’ve been out of the office again and will be gone again (until Friday afternoon) (Aug. 12) in just a little bit.”

However, she said, “(Carolina Financial Investigations) was recommended by Mr. (Ken) Andrews (the town’s internal investigator for Cops for Kids) as one he had worked with before and who had experience with financial investigations. I don’t have a web site for the firm. We spoke by phone and in person prior to executing the letter of engagement.”

In an e-mail yesterday, Sept. 15, Setzer told the Report that after this Thursday, “I’m not back in my office until Sept 29….”

As for the Cops for Kids audit, Setzer said, “I have a draft report from the first investigation and have been trying to get through it. I have not gotten through it all yet. I don’t know if the second firm has received the revised letter from the Town or not…I’ve been out of my office and so has the partner I was working with at that firm…”

That firm is Greer & Walker, LLC. The town board, at its regular monthly meeting on Sept. 2, voted to modify the letter of engagement and present it to Greer & Walker one last time. If the firm did not agree to the terms in the letter, the board authorized Setzer to contact an alternate firm on Sept. 3. (See http://thegattonreport.blogspot.com/2008/09/cops-for-kids-second-accounting-firm.html)

When asked who has been heading up the town’s work on the audits while Setzer has been out of the office – or if the work has been put on hold each time she’s been out – Setzer responded: “We play voice mail tag when I’m out of the office. I don’t know that anything has been put ‘on hold.’”

Mayor Bill Thunberg, upon announcing the Cops for Kids investigations at the July 7 town board meeting, said that the board “is adamant that questions be answered and that this matter resolved in a timely fashion to preserve the public trust.” In an e-mail to the Mooresville Tribune the following day, Thunberg said that “the board has directed that Setzer take the steps outlined by the interim Town Manager to the Board last night in an expeditious manner.”

But more than two months later, the second accounting firm has not yet been hired. When asked yesterday if he considers this “expeditious” – and whether the audits and the public trust are a priority for the Town of Mooresville, as he suggested that they would be – Thunberg did not respond. Instead, he forwarded the questions to Town Attorney Steve Gambill.

“The Mayor forwarded your questions to me about the audit since I was asked by the Board to take questions about this matter,” Gambill stated in an e-mail to the Report and copied to Thunberg, Town Manager Steve Husemann, Setzer and town commissioners.

“The engagement letter has been finalized with Greer & Walker in Charlotte to perform this audit,” Gambill said, adding that he anticipates the letter being mailed out “within the next day or so.”

“From where I sit,” Gambill said, “whether something is expeditiously handled is something that can be subject to several factors. In this particular case, there was language in the agreement that I advised against and thus the back and forth between the accounting firm and the town to draft an agreement suitable to both parties. Unfortunately, such discussions take time but I believe we can now move forward with this firm.”

Commissioner Miles Atkins fired back an e-mail to Gambill, asking: “Am I understanding you to say that the letter has not gone out yet and we don't know if or when this firm will accept the town's terms for the engagement letter? Amazing!”

Atkins said he believes that “the spirit of our discussion on Sept. 2” and “the desire of most commissioners” was that “we would engage another firm in discussion on Sept. 3 so we had an alternative and a firm that may be more responsive and compatible to work with.”

Atkins went on to state that he does not understand the rationale “for not at least exploring another resource.” For the town “to use this as an excuse,” he added, “is lame at best.”

“All this does is gives the public the perception that we are holding up the process and quite frankly we are by pursuing this current course.”

Gambill responded: “My involvement has been only in drafting the agreement and I cannot speak to any issues other than the drafting of the agreement. I am sorry that I cannot supply such information but I have not been involved beyond the drafting of the agreement.”

Cops for Kids: second accounting firm has not been hired

Nearly two months after the Town of Mooresville ordered two audits of the Cops for Kids financial records, the second accounting firm has not been hired.

The town needs to hire a second firm to corroborate the findings of the first firm, Carolina Financial Investigations, which is in the process of reviewing the Cops for Kids financial documents.

The town has apparently been wrangling since July with a second company, Greer & Walker LLP, over language in a “letter of engagement,” which basically serves as a contract between the firm and the town. “We’ve been trying to obtain and negotiate a letter of engagement since mid-July,” Town Finance Director Maia Setzer told the town board in its regular monthly meeting last night.

Commissioner Chris Carney said if the letter doesn’t benefit the Town of Mooresville, “send it back, and politely tell them we’re going to move on about our business.”

Added Commissioner Miles Atkins: “We’re trying to give this firm business. If they’re taking this long at the beginning (of the process), what’s it going to be like to work with them?”

Setzer took partial responsibility for the delay. “I have been out of the office for 14 work days,” she said. “I have not been able to get on top of this due to scheduling issues.”

Setzer had told town commissioners previously that “the portions of the investigation requiring Town staff participation has been slowed … due to long-ago planned vacations.”

The town needs firms that specialize in "forensic accounting," Setzer said, adding that such firms are rare.

“Essentially, they’re looking for things that aren’t there,” Setzer said, including "transactions that have been hidden, if they’ve been hidden, or not properly documented."

She reminded commissioners that the Cops for Kids account “is not an account that the town has a right to see.”

Commissioners voted 5-1, with Commissioner Frank Rader dissenting, to modify the letter of engagement and present it to Greer & Walker one last time. If the firm did not agree to the terms in the letter, the board authorized Setzer to contact an alternate firm today.

Setzer said she already had another company in mind. “I can call the other company, but I wanted to get this one solved first,” she said.

It’s unclear what the cost to the town will be for the audits. Greer & Walker asked for a $10,000 retainer, but the town will apparently not know the final tally for the audits until the firms complete their work. “We just don’t know,” said Rader. “Once we start, we can’t stop.”

Carney said it’s a price worth paying. Though the town “will not be any financially better off at the end of this study,” he said, the town should not set limits on actions it takes “to restore public trust” … even though it might come “at a hefty, hefty price.”

Commissioner Mitch Abraham asked town staff to provide commissioners within the next few weeks with a list of “what’s been spent to keep the public up-to-date.” He said he would like for staff time to be included in the breakdown of expenses.

Rader faces questions for his role in police chief investigation

(To see the entire accompanying video, which includes seven short clips, visit: http://www.youtube.com/user/jagatton)

When relatively little information was available about Cops for Kids and the discrepancies in the organization’s financial records, Commissioner Frank Rader had no problem taking a stance on the issue – showing up at “roll-call meetings” at the police department to tell officers that the “only story making sense” was that of then-Police Chief John Crone, who had sole discretion over the Cops for Kids funds.

But now that more information has been made available – and now that the town has fired the police chief – Rader refuses to take a stance on the issue, citing ongoing investigations and “personnel policies” that supposedly prevent him from talking.

At his “ToM Discourse” meeting last night, Rader repeatedly contradicted himself and gave half-answers to pointed – and many times, confrontational – questions from the 20-some attendees.
Rader admitted that he attended the police department staff meetings and told officers that they could write letters of support for Crone – who was on paid suspension at the time and the subject of active personnel and criminal investigations – as long as they did so in their own time and using their own personal resources. Rader also admitted that he told officers that “the only story that was making sense” was Crone’s.

Rader said his visits to the police department were “in line with what I’ve done before.” He said he visits the police department on a “fairly routine” basis and has “cooked hot dogs” for police officers and oftentimes rides along with them on weekend nights.

Rader displayed for the attendees at Wednesday night’s meeting the anonymous letter that was mailed to John Crone before he was suspended – the same letter that Rader distributed to the media, shared with police officers, and has speculated as the cause for launching the media probe into the Cops for Kids records.

His display of the letter – and his coining of it as “vile” – kicked off 45 minutes of lively discussion at the meeting on Wednesday evening.

Rader said he shared the letter with officers during the roll-call meetings at the police department because the anonymous letter was “the first documentation anyone saw” about Cops for Kids.

But that is not true.

The Gatton Report posted its first entry on Cops for Kids on June 27 (http://thegattonreport.blogspot.com/2008/06/what-is-cops-for-kids.html). The first mention of the anonymous letter was more than a week later, on July 7, when Crone showed a copy of it on camera to a WSOC-TV reporter (http://www.wsoctv.com/news/16813270/detail.html). That very night, the town placed Crone on paid suspension.

Commissioners – including Rader – were unaware of the anonymous letter until that time; in fact, the town didn’t have a copy of the letter until after July 14.

Here’s how we know: After Crone mentioned the letter in television newscasts, the Report e-mailed Town Attorney Steve Gambill on July 10, asking for a copy of the letter, a public record. Gambill responded on July 11: “I do not have it nor have I seen it. I also do not know in what capacity (Crone) received it or where it was received.”

Responding to a second request for a copy of the letter, Gambill stated in a July 14 e-mail: “I have no details regarding the anonymous letter.”

It wasn’t until July 17 – almost three weeks after the Report’s first Cops for Kids entry … 13 days after the Report and Tribune published the first articles about Cops for Kids … and 10 days after Crone was placed on paid leave – that Gambill provided the letter to the Report. Therefore, he must have provided the letter to commissioners sometime between July 14 and July 17 – long after the Report and the Tribune had published their articles that detailed Cops for Kids’ financial discrepancies. Rader acknowledged on Wednesday that it was Gambill who provided the town board with a copy of the letter.

This proves the letter had nothing to do with the initiation of the Cops for Kids investigation by the media, the public or the town. But Rader continues to insist otherwise because he believes the “vile” letter, which is angry and accusatory and a bit over-the-top, casts all of Crone's critics as unhinged and ill-informed.

Rader was also dishonest in his responses to attendees who repeatedly asked the at-large commissioner if he had ever seen the May 2008 deposit slip showing money had been moved from the police department evidence room into the Cops for Kids account. “I’ve never seen it,” Rader said. “No means no. I have never seen the deposit slip.”

But that is not exactly true either. Commissioners, collectively, were shown the deposit slip on July 7.

Rader was asked during Wednesday’s meeting why he saw fit to distribute the anonymous letter … but didn’t see fit to circulate any of the evidence that points to wrongdoing on Crone’s part. Rader was asked if the anonymous letter “carries more weight” than the deposit slip, but Rader failed to answer, responding only with: “It’s under investigation.”

One resident, from the back of the room, quipped: “So is the police department, but you talked to them.”

Local attorney Cliff Homesley asked Rader if he considered that his actions – specifically, telling officers that they could write letters of support for Crone – was undermining the acting police chief, Carl Robbins, who had previously instructed his officers to stay out of the situation. Rader responded that he does not believe his actions undermined Robbins and his orders.

When asked by local pastor and community activist Larry Green: “who invited you to the police department to make the presentations?” Rader responded: “Me.” When asked what gave him the right or the authority to make those presentations, Rader pulled a town identification card from his pocket and said “this.”

He said the reason he took it upon himself to attend the roll-call meetings without the knowledge or consent of fellow commissioners or the police department is “because I’m a commissioner” and because “morale (at the police department) was pretty d-a-m-n low.”

But Michael Roessler, a former investigative reporter for the Mooresville Tribune, asked Rader exactly how passing around a “vile” letter to police officers was supposed to boost morale.

Rader didn’t offer a clear explanation.

Roessler asked if Rader would now disavow the statement he made to officers – that Crone’s story was the only one that made sense. But Rader wouldn’t answer that question, either, saying only that he had limited information at the time. Roessler asked: “Knowing now what you know now, do you stand by your statement?” But Rader still refused to answer, saying instead: “I’m not going to go there.”

Rader consistently hid behind “personnel” whenever he was asked tough questions – even when those questions were about policy and not personnel. He found it acceptable to address police officers about a pending personnel matter that was also an active criminal investigation. In fact, he said: “I see it as my job.” But when asked to address policy-specific concerns, such as to form an opinion on whether the assistant town manager position should be eliminated – or to provide an opinion about standards that the town manager should be given to determine when an employee should be terminated – Rader declined to comment, citing “personnel."

Roessler called Rader to task on that, saying: “You can’t hide behind personnel on one hand and use it as justification for your actions on the other.”

Rader “congratulated” Roessler, saying on more than one occasion: “You must have done well in Inference 101.”

But Roessler remained focused on the matter at hand, telling Rader: “You are talking out of both sides of your mouth.” Citing the commissioner’s “double-talk and nonsense,” Roessler said: “This is just unacceptable, sir.”

Rader admitted that he has not so much as asked Assistant/Interim Town Manager Erskine Smith about why he fired Crone. Instead, Rader insists that he has absolutely no curiosity about it … even though one short month ago, Crone’s version of the story was the only one that Rader found legitimate.

Rader also said that he believes that Smith – who has been serving as interim town manager since February – is not under the control or authority of the town board, thereby suggesting that Smith is absolutely immune from discipline from anyone until a new town manager is in place.

Green asked Rader about the proper procedure for citizens to file complaints against Erskine Smith for his role in the Cops for Kids fiasco – and how the citizens can demand Smith’s resignation. Rader told Green he could write a letter to commissioners. Green said he had already written a letter, and that “the response has been nothing.” Rader said no response “is another way of saying ‘no,’” but he told Green to feel free to write another letter.

Regarding the disciplining of the interim town manager, Rader said “that’s why we have town managers.” A citizen responded: “No. That’s why we have you.”

Rader said that as a commissioner, he deals with only two positions – the town manager and the town attorney. He continually said that “until the investigations are complete, I have no opinion.” At one point during the meeting, someone asked Rader what his standards are for employees, to which Rader responded: “I’m an elected official. I have no standards.”

A little commentary:

At the end of the day, the “ToM Discourse” was a demonstration of democracy at its finest – a spirited and robust debate between an elected official and his constituents, many of whom are dissatisfied with Rader’s performance and leadership – or lack thereof.

On the one hand, my hat is off to Rader for making himself available for such discourse. But on the other hand, the disingenuous nature of many of his responses left much to be desired.

Rader admitted to holding the meetings at the police department – which his critics rightfully find appalling. They criticize Rader for inappropriately injecting himself into a delicate process and potentially committing obstruction of justice by tainting the opinions of police officers, all of whom are potential witnesses in the matter.

Through his selective evasiveness – through his many contradictions – through his double-speak and half-answers – through his willingness to cite “personnel” to justify his actions, then hide behind “personnel” when the questions got tough – Rader demonstrated an abdication of his duties as a public official to answer questions from his constituents and thereby show them the respect they are owed.

Albeit, some people – including Rader – may claim that those in attendance last night were disrespectful themselves, simply because they firmly demanded answers from their elected official. At times, that meant that the attendees interrupted Rader. And occasionally, they raised their voices. If last night’s meeting had been a dinner party, then such behavior would rightfully be deemed rude. But it wasn’t a dinner party. It was democracy. It was an example of the people letting their elected official know that half-answers and nonsense from elected leaders are no longer acceptable to the citizens of Mooresville.

When those in power refuse to level with their constituents, then the constituents have every right to escalate and make demands and interrupt and raise their voices, individually or collectively.

To hide behind “decorum” – as Mayor Bill Thunberg attempted to do last month when trying to silence protestors who marched on Town Hall when they clapped and cheered for speakers who challenged the behavior and decisions of Crone, Smith and others – is the strategy of someone who fears the people … and for good reason.

A few questions for Commissioner Rader

In a couple hours, Commissioner Frank Rader plans to meet with a group of folks who are still scratching their heads over the at-large commissioner’s recent “presentations” to police officers amid several investigations into former Police Chief John Crone and his Cops for Kids program.

The meeting will be held tonight from 7-9 p.m. at the Mooresville Public Library.

Rader says he’ll allow each person one minute to ask a question – and he’ll require that the “questioner” provide a name and town of residence. He has said he wants “simple questions” for “simple answers.”

The following questions may be too complex for Rader – and they’d certainly take up more than one minute. But they are some of the questions that I hope people will ask the at-large commissioner … and I hope Rader will answer:

1. Did you address Mooresville police officers? When? Where? And why?
2. What did you say to the police officers? What information did you provide? What opinion did you provide about John Crone?
3. Why do you believe it is appropriate to address town employees amid multiple investigations of a suspended police chief?
4. You seem to suggest that absent criminal charges or conviction, town employees should not lose their jobs. Do you believe that a town employee should be eligible for termination only after they’ve been criminally charged and/or convicted? What about non-criminal conduct? Particularly for department heads, what is the standard for losing their job?
5. When is the first time you saw the deposit slip showing that money had been moved from the police department evidence room into Cops for Kids? How does that deposit slip qualify as “speculation”? Isn’t it evidence?
6. You and Mayor Bill Thunberg have repeatedly stated that you want to “wait for the facts” regarding Cops for Kids. Yet, the media and private citizens spent days pouring over the Cops for Kids records. While you were stating that you were content to wait on the facts, what steps were you taking to find the facts?
7. Along those same lines: Mooresville’s police chief has been fired and several investigations – including one led by the State Bureau of Investigation – have been called because of the financial problems that the media and citizen activists found while scrutinizing the Cops for Kids records. Yet, you take cute jabs at those citizens, calling them “investigattons” and “corruption folks.” Do you applaud them for their work? Do you believe they made a valuable contribution to our community, or are they just muckrakers? Why or why not? Do you believe it’s good for citizens to be involved in their government, or would you rather them sit down and shut up while you run the show your way?
8. Regarding the anonymous letter that was written to Crone: Why have you credited that letter with launching the Cops for Kids inquiry? The review of the Cops for Kids records uncovered significant mismanagement and possible criminal conduct. So, where does the anonymous letter fit in? In your mind, does it somehow explain away everything – or anything – that has been uncovered and exposed?
9. Why, in your “Rader At-Large” e-mails, did you include letters of support for Chief Crone but leave out letters that were critical of Crone or supported the investigations into his handling of Cops for Kids?
10. Have you ever requested anyone to give money to Cops for Kids? Have you ever accepted money for Cops for Kids and turned it over to anyone handling the Cops for Kids money?
11. In your “meetings” at the police department, you reportedly told officers that Crone’s story about Cops for Kids was the only one that “makes sense” to you. Do you still feel that way?

And while Commissioner Rader is on the record, perhaps he’d answer these questions:

12. Why does the Town of Mooresville use Windstream instead of MI-Connection for its Internet Service Provider?
13. The Mooresville Golf Course has been praised by the government for turning itself around and pulling itself out of the red. But if the town put groundskeeping back into the golf-course budget, what would be the net profit or loss at the golf course?

P.S. One of my readers just e-mailed this to me, asking me to send it out to those who are interested: http://www.rulesonline.com/

Rader to meet with "questioners" and "investigattons" this week

Commissioner Frank Rader plans to meet with “questioners” and “investigattons” this Wednesday, Aug. 27, from 7-9 p.m. at the Mooresville Public Library.

Rader is coining the meeting “ToM Discourse” and said in his Aug. 22 “Rader At-Large” e-mail that “the discourse is of idea and opinion” and was “born of statements and questions posed by a folk(s) who think I’ve done wrong.”

More specifically, Rader is referring to questions surrounding his recent visits to the Mooresville Police Department to speak with officers even while the town is investigating the former police chief, John Crone, and his Cops for Kids program.

Without the consent or knowledge of fellow commissioners, Rader made “presentations” during regular staff meetings at the police department while Crone was on paid suspension. Rader told officers that Crone’s version of events was the only one that was “making sense.” He also alluded to the officers that they could write letters of support for Crone, as long as the letters were written on personal time, using personal resources. Rader also read excerpts from an anonymous letter that was sent to Crone before the Cops for Kids story broke in the press – a letter that has mistakenly been credited for launching the media scrutiny of the Cops for Kids records. Rader reportedly characterized the letter as being “vile,” and he took it upon himself to also distribute that letter to members of the media.

But Rader conveniently didn’t see fit to distribute to the media or police officers any evidence of wrongdoing on Crone’s part – including a deposit slip showing that cash was moved from the police evidence room into the Cops for Kids fund. (For more information, visit http://thegattonreport.blogspot.com/2008/07/report-spanks-frank-rader-at-large.html and http://thegattonreport.blogspot.com/2008/07/free-speech-or-speech-under-duress.html.)

In fact, Rader has called that evidence “speculation” … even though it led to Crone’s firing. “This is part of speculation (my term) spoken, written and demonstrated by anonymous, though some public, voices,” Rader wrote in his Aug. 22 e-mail. But interestingly, Rader added: “Note: I do not read Web Logs = Blogs.”

He said among the “queries” and questions he expects at the meeting are these:

• "Commissioner Rader took it upon himself to penetrate the sanctity of the police department and inject himself into this personnel/criminal investigation by overtly trying to influence the rank and file police officers."
• ". . . would you find it appropriate for an elected official to attend and make presentations at several recent staff meetings of the police department and apparently share with officers the anonymous letter that was sent to Crone?"
• “Why did you speak with ToM Police about the Cops for Kids investigation and what did you say?”

Rader said he hopes that the meeting “if well attended, will become monthly or quarterly.” He said, “Over time, I hope it becomes a reasoned way to examine and discuss as much ToM information as legally and practically possible.”

Rader continued: “I cannot assure the questioners will attend, though the prime reason for the session is to address their questions and ask them mine.”

It is unclear, then, why Rader plans to start off with a budget discussion. But that’s what he says he’ll do: “I'll come with a prepared discussion of the ToM Budget (yawn) and lead with that, then field what question (sic) may come, subject to NC Statute restrictions (personnel and closed session),” he wrote.

It is also unclear what types of questions Rader plans to ask those in attendance.

Rader went on to say that “an invitation to a specific questioner to attend a ToM Chat has been turned down by a questioner, him or her insisting on email correspondence.” He also stated that “one of the potential questioners is in Time Out for using language not acceptable in Kindergarten and will not be entertained.

“To the extent the questioner insists on questioning,” Rader continued, “it will just consume time.”

While most of us have a very simple "rule" for our elected representatives – that they honestly answer questions and speak to us with respect and candor – Commissioner Rader has established some interesting “ground rules” for the “ToM Discourse” meeting. Here they are:

Rader Rule No. 1
"Questioners and Investigattons must identify themselves by name and town."

Rader Rule No. 2
"Questions are limited to one minute."

Rader Rule No. 3
Rader says that he “will answer all that can be, subject to NC law.”

It is unclear what Rader plans to do to “questioners” and “investigattons” who break his "rules," as he did not delineate consequences or punishment. It can be “speculated” that he’ll place them in Time Out with the other “questioner.”

Rader’s e-mail adds that “ticket (sic) for the event are available at 285-2727.” He did not provide an area code. Rader’s slapstick humor aside, tickets are obviously not needed for the meeting.