CESSPOOL Indictments Are REALLY Imminent, As Federal Grand Jury Subpoenas Leonard Lawson's Road Contracts.
You didn't think we'd forgotten about the CESSPOOL, did you?
Read more here, or the excerpts below:
Grand jury subpoenas road contracts
By John Cheves and Beth Musgrave
A federal grand jury hearing evidence about alleged bid rigging in the Kentucky Transportation Cabinet has subpoenaed 13 road contracts and related items from the cabinet, said cabinet spokesman Chuck Wolfe.
Prosecutors want the documents so they can prepare trial-ready courtroom exhibits, Wolfe said Wednesday. The subpoena was served last week, although the cabinet has willingly provided all information and records upon request, he said.
”It appears they're wanting to be meticulous about the paper trail as they gather evidence,“ Wolfe said.
According to a report by WHAS-TV in Louisville, seven of the 13 contracts in question went to companies related to Leonard Lawson, a politically influential contractor who is at the center of a related FBI investigation.
The grand jury is meeting in Lexington to investigate possible corruption in the contract-awards process at the cabinet.
An FBI search warrant affidavit filed in U.S. District Court in London recently alleged that Lawson bribed state highway engineer James Rummage during former Gov. Ernie Fletcher's administration to get confidential cost estimates of road projects.
The internal cabinet estimates could help a contractor maximize profits, especially if the contractor is the sole bidder. The cabinet typically rejects bids that are higher than 7 percent of its own estimate.
According to information obtained by the Herald-Leader through a public records request, bids by Lawson-related companies were exactly 7 percent higher than the cabinet's estimates on five different contracts in 2006 and 2007. Transportation records also show that Lawson's companies bid between 6 and 7 percent on 11 additional contracts.
Rummage sometimes gave the secret estimates to Lawson, but on other occasions he gave them to former Transportation Secretary Bill Nighbert, according to the affidavit. The affidavit also alleged that Lawson might have tried to repay Nighbert by funneling money through an Eastern Kentucky corporation.
No one has been charged.
Rummage is cooperating with prosecutors. An attorney for Nighbert has said his client has done nothing wrong. Lawson's lawyer has questioned why information about the investigation has been leaked to the public and stressed Lawson should be presumed innocent.
Editor's comment: Stay tuned for more developments.
Update: Below are the contracts that the Grand Jury has subpoenaed:
The following is a list of the contract records subpoenaed. Listed is the date bids were taken, the company that won the contract, the number of bidders, a project description, the winning bid, and how that bid varied from the estimated cost.
*Nov. 17, 2006; Central Rock Mineral and Nally & Gibson; one bidder; bridge on Interstate 75, Scott County; bid of $49,880,219.02 was 3.65 percent below estimated cost.
*Nov. 17, 2006; Faulkner Construction; seven bidders; Grade Lane bridge, Jefferson County; bid of $4,413,700 was 30.46 below estimated cost.
*Nov. 17, 2006: Hall Contracting; three bidders; construction on weight station, Kenton and Boone counties; bid of $1.6 million was 2.55 percent above estimated cost.
*Aug. 25, 2006; Kay & Kay Contracting; two bidders; I-75 bridge and asphalt rehabilitation, Laurel County; bid of $16,894,042.44 was 5.23 percent above estimated cost.
*July 21, 2006; Elmo Greer & Sons; one bidder; I-75 bridge and asphalt rehabilitation, Laurel County; bid of $10,863,119.73 was 6.85 percent above estimated cost.
*March 23, 2007; L-M Asphalt Partners; one bidder; I-75 asphalt rehabilitation, Fayette County; bid of $14,067,638.48 was 7.92 percent above estimated cost.
*March 23, 2007; Gaddie-Shamrock LLC; one bidder; resurfacing Columbia-Campbellsville Road, Adair County; bid of $2,910,926.58 was 5.58 percent above estimated cost.
*Dec. 15, 2006; Gaddie-Shamrock LLC; one bidder; asphalt rehabilitation, Cumberland Parkway, Adair County; bid of $3,772,804.34 was 5.78 percent above estimated cost.
*Dec. 15, 2006; Gaddie-Shamrock LLC; one bidder; asphalt rehabilitation, Cumberland Parkway, Adair and Russell counties; bid of $ $5,629,050.64 was 7.18 percent above estimated cost.
*Oct. 27, 2006; Gaddie-Shamrock LLC; one bidder; Cumberland Parkway asphalt pavement, Adair County; bid of $3,576,666.05 was 8.46 percent above estimated cost.
*July 21, 2006; L-M Asphalt Partners; one bidder; asphalt rehabilitation; I-75 in Fayette County; bid of $25,070,242.98 was 3.19 percent above estimated cost.
*June 23, 2006; Gaddie-Shamrock LLC; one bidder; resurfacing routes in Adair, Cumberland, Clinton and Russell counties; bid of $6,608,473.58 was 5.37 percent above estimated cost.
*Sept. 7, 2007; Bizzack Construction LLC; one bidder; rehabilitation of I-64 in Boyd County; bid of $18,453,552.91 was 3.33 percent above estimated cost
Read more here, or the excerpts below:
Grand jury subpoenas road contracts
By John Cheves and Beth Musgrave
A federal grand jury hearing evidence about alleged bid rigging in the Kentucky Transportation Cabinet has subpoenaed 13 road contracts and related items from the cabinet, said cabinet spokesman Chuck Wolfe.
Prosecutors want the documents so they can prepare trial-ready courtroom exhibits, Wolfe said Wednesday. The subpoena was served last week, although the cabinet has willingly provided all information and records upon request, he said.
”It appears they're wanting to be meticulous about the paper trail as they gather evidence,“ Wolfe said.
According to a report by WHAS-TV in Louisville, seven of the 13 contracts in question went to companies related to Leonard Lawson, a politically influential contractor who is at the center of a related FBI investigation.
The grand jury is meeting in Lexington to investigate possible corruption in the contract-awards process at the cabinet.
An FBI search warrant affidavit filed in U.S. District Court in London recently alleged that Lawson bribed state highway engineer James Rummage during former Gov. Ernie Fletcher's administration to get confidential cost estimates of road projects.
The internal cabinet estimates could help a contractor maximize profits, especially if the contractor is the sole bidder. The cabinet typically rejects bids that are higher than 7 percent of its own estimate.
According to information obtained by the Herald-Leader through a public records request, bids by Lawson-related companies were exactly 7 percent higher than the cabinet's estimates on five different contracts in 2006 and 2007. Transportation records also show that Lawson's companies bid between 6 and 7 percent on 11 additional contracts.
Rummage sometimes gave the secret estimates to Lawson, but on other occasions he gave them to former Transportation Secretary Bill Nighbert, according to the affidavit. The affidavit also alleged that Lawson might have tried to repay Nighbert by funneling money through an Eastern Kentucky corporation.
No one has been charged.
Rummage is cooperating with prosecutors. An attorney for Nighbert has said his client has done nothing wrong. Lawson's lawyer has questioned why information about the investigation has been leaked to the public and stressed Lawson should be presumed innocent.
Editor's comment: Stay tuned for more developments.
Update: Below are the contracts that the Grand Jury has subpoenaed:
The following is a list of the contract records subpoenaed. Listed is the date bids were taken, the company that won the contract, the number of bidders, a project description, the winning bid, and how that bid varied from the estimated cost.
*Nov. 17, 2006; Central Rock Mineral and Nally & Gibson; one bidder; bridge on Interstate 75, Scott County; bid of $49,880,219.02 was 3.65 percent below estimated cost.
*Nov. 17, 2006; Faulkner Construction; seven bidders; Grade Lane bridge, Jefferson County; bid of $4,413,700 was 30.46 below estimated cost.
*Nov. 17, 2006: Hall Contracting; three bidders; construction on weight station, Kenton and Boone counties; bid of $1.6 million was 2.55 percent above estimated cost.
*Aug. 25, 2006; Kay & Kay Contracting; two bidders; I-75 bridge and asphalt rehabilitation, Laurel County; bid of $16,894,042.44 was 5.23 percent above estimated cost.
*July 21, 2006; Elmo Greer & Sons; one bidder; I-75 bridge and asphalt rehabilitation, Laurel County; bid of $10,863,119.73 was 6.85 percent above estimated cost.
*March 23, 2007; L-M Asphalt Partners; one bidder; I-75 asphalt rehabilitation, Fayette County; bid of $14,067,638.48 was 7.92 percent above estimated cost.
*March 23, 2007; Gaddie-Shamrock LLC; one bidder; resurfacing Columbia-Campbellsville Road, Adair County; bid of $2,910,926.58 was 5.58 percent above estimated cost.
*Dec. 15, 2006; Gaddie-Shamrock LLC; one bidder; asphalt rehabilitation, Cumberland Parkway, Adair County; bid of $3,772,804.34 was 5.78 percent above estimated cost.
*Dec. 15, 2006; Gaddie-Shamrock LLC; one bidder; asphalt rehabilitation, Cumberland Parkway, Adair and Russell counties; bid of $ $5,629,050.64 was 7.18 percent above estimated cost.
*Oct. 27, 2006; Gaddie-Shamrock LLC; one bidder; Cumberland Parkway asphalt pavement, Adair County; bid of $3,576,666.05 was 8.46 percent above estimated cost.
*July 21, 2006; L-M Asphalt Partners; one bidder; asphalt rehabilitation; I-75 in Fayette County; bid of $25,070,242.98 was 3.19 percent above estimated cost.
*June 23, 2006; Gaddie-Shamrock LLC; one bidder; resurfacing routes in Adair, Cumberland, Clinton and Russell counties; bid of $6,608,473.58 was 5.37 percent above estimated cost.
*Sept. 7, 2007; Bizzack Construction LLC; one bidder; rehabilitation of I-64 in Boyd County; bid of $18,453,552.91 was 3.33 percent above estimated cost
Labels: Crime, Democracy for sale, Kentucky politics, Punishment
posted by KYJurisDoctor at 6:04 AM
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