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Grundy Pleads Guilty to Honest Services Wire Fraud

Breaking News - Original 06-04-2013 Hits:318 Chronicle Staff  - avatar Chronicle Staff

Grundy Pleads Guilty to Honest Services Wire Fraud

  Former Wayne County Assistant County Executive Michael Demetrus Grundy, of Detroit, Michigan, pleaded guilty today to conspiracy to commit honest services wire fraud in connection with his position as Executive Director of HealthChoice of Michigan, United States Attorney Barbara L. McQuade announced today.  Joining McQuade in the announcement were Special Agent in Charge Robert D. Foley, III, Federal Bureau of Investigation and Special Agent in Charge Erick Martinez, Internal Revenue Service, Criminal Investigation.    According to court records, on October 19, 2011, Grundy caused the accountant of HealthChoice to wire transfer $400,000.00 to a company called Medtrix, falsely representing that the payment was pursuant to a contract between HealthChoice and Medtrix executed on March 1, 2011 for Medtrix to develop and implement an electronic medical records (“EMR”) system for HealthChoice medical providers. However, the contract was actually not executed until October of 2011, and it was not approved by the HealthChoice Board of Trustees. Further, Medtrix never created or obtained any EMR programming, and an EMR system that was developed by another company was already being offered to HealthChoice networks and medical providers.    Co-conspirator Keith Griffin pleaded guilty on May 10, 2012 to the wire fraud scheme. He admitted that Grundy used his position as Executive Director of HealthChoice to authorize fraudulent payments to Medtrix and Advertise Me (also owned by Griffin), and that Griffin kicked back substantial portions of those payments to Grundy. In his plea agreement, Grundy admits that he was receiving kickbacks of funds that were supposed to be used for the benefit of the participants of HealthChoice insurance programs.    Grundy faces a maximum of twenty years in prison, a fine of up to $250,000, and forfeiture of the unlawful payments he received.  United States Attorney McQuade said, "The citizens of Wayne County deserve honest services from their public officials. It is particularly offensive...

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Former Highland Park Police Officer Pleads Guilty to Bribery and Extortion …

Breaking News - Original 05-23-2013 Hits:350 Cathy Nedd - avatar Cathy Nedd

Former Highland Park Police Officer Pleads Guilty to Bribery and Extortion Conspiracy

    A former Highland Park Police officer pleaded guilty today to conspiring with three other police officers to protect shipments of cocaine and to take bribes in return for not appearing in court as a witness, U.S. Attorney Barbara L. McQuade announced today.    McQuade was joined in the announcement by FBI Special Agent in Charge Robert D. Foley, III.    During a hearing before U.S. District Judge Avern Cohn, Anthony Bynum, 29, of Highland Park, Michigan, admitted that he and another Highland Park police officer accepted a $10,000 bribe from a man they had arrested on gun charges in return for agreeing not to appear as witnesses at the man’s November 7, 2012 criminal trial.    Bynum also admitted that in late 2012 and early 2013, he agreed with three other Highland Park police officers to take money in exchange for protecting shipments of cocaine. Bynum admitted that on November 15, 2012, he and another Highland Park police officer protected and delivered a shipment of what they believed were two kilograms of cocaine in exchange for $1,500 in cash. Bynum further admitted that on January 23, 2013, he protected two cars containing what he believed to be a total of four kilograms of cocaine. Bynum brought his police badge and gun to protect the shipments. Two other Highland Park police officers drove the cars containing what they believed to be cocaine. Later, Bynum accepted $1,500 in cash from an FBI informant for his work in delivering and protecting the drug shipment.   United States Attorney McQuade said, "Police officers who take bribes have no place in law enforcement. They will be prosecuted for violating their duties to serve the public.”   FBI Special Agent in Charge Foley stated, "Police officers who swear an oath to serve and protect must be held to the highest standards of ethics and integrity. The...

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UPDATE: Election commission decides to keep Duggan on the ballot

Breaking News - Original 05-23-2013 Hits:1705 AJ Williams, Chronicle Web Editor - avatar AJ Williams, Chronicle Web Editor

UPDATE: Election commission decides to keep Duggan on the ballot

Today the election commission decided to keep mayoral candidate, Mike Duggan on the ballot despite Tom Barrow's claim Duggan was ineligible to run for mayor. The commission concluded a candidate must be a qualified resident and registered voter in the city of Detroit one year prior to the filing deadline.  

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Mayor Bing Announces AAA Michigan Support for Fire Equipment

Breaking News - Original 05-16-2013 Hits:549 Cathy Nedd - avatar Cathy Nedd

Mayor Bing Announces AAA Michigan Support for Fire Equipment

    Detroit Mayor Dave Bing announced today that AAA Michigan will donate $23,500 to the Detroit Public Safety Foundation to pay for the inspection of 20 aerial ladders and 4,600 feet of ground ladders used by the Detroit Fire Department (DFD).  The gift is the latest in a recent series of recent corporate donations in support of the City of Detroit’s public safety operations.   “Once again, one of Detroit’s corporate citizens has come forward and generously shown its support for our public safety operations, our first responders and our citizens,” Mayor Bing said.  “The proper inspection of our fire department’s aerial ladders and ground ladders was a critical need that AAA Michigan has graciously met.  I appreciate the leadership and continued concern for public safety that AAA has demonstrated with this gift.” "Our history of supporting the community dates back nearly a century," said AAA Michigan President Steve Wagner.  "We are very pleased to present the Detroit Fire Department with this grant, which we know will help save lives."              The ladder inspections are required to keep DFD equipment in compliance with standards of the National Fire Protection Association (NFPA), an independent organization that establishes fire safety codes and regulations for various industries and the firefighting profession.  Detroit Fire Commissioner Donald Austin ordered last February that until a full inspection of the entire ladder fleet is completed, DFD will not engage in manned aerial ladder operations -- unless there is an immediate threat to life.  In cases where a manned ladder must be used, every effort will be made to properly support the ladder.  DFD continues to use unmanned aerial ladders as “water towers” to fight large fires. “We are grateful for AAA’s generous donation,” Commissioner Austin said.  “Aerial ladders can place firefighters 100 feet above ground, often with large amounts of water flowing under high pressure.  Because...

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EFM Report: Detroit Should Get Out of Power Supply Business

Breaking News - Original 05-13-2013 Hits:316 Cathy Nedd - avatar Cathy Nedd

EFM Report:  Detroit Should Get Out of Power Supply Business

  The current state of Detroit’s electricity grid is not only unreliable but a burden to the city and its residents and the maintenance of the public lighting system has cause the city to continue to operate at a loss, according to a new report emergency financial manager Kevyn Orr will release Monday to the public.   The report is coming 45 days after Gov. Rick Snyder named Orr, a Washington DC bankruptcy attorney emergency manager setting in motion the emergency wheels to get the city on the road to financial stability. According to the report the city estimates a $250 million to $500 million in capital improvements that would be needed to modernize Detroit’s public lighting system, funds that the city does not have and cannot generate at this time. “The Emergency Manager believes that it is in the best interest of the citizens of Detroit for the city to exit the power supply business. As of 2010, when the city ceased generating a portion of the electricity it sold, the grid has solely operated as a resale mechanism for its 200-­‐plus customers. The current state of the City's electricity grid has been characterized as unreliable, as well as a liability to the city and its citizens,” the report stated. “. Accordingly, the Emergency Manager seeks both to limit the city's exposure to the liabilities associated with an aging grid and provide a solution to ensure reliable power to the City of Detroit. For this reason, the city's electricity customers will be transitioned to a third party, and the grid will be closed down pursuant to a phased plan.” The Detroit Public Lighting (DPL) department serves over 200 commercial electric customers and about 88,00 streetlights.  The report cites the recently created Public Lighting Authority (PLA) as part of a comprehensive plan to overhaul the city’s...

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Detroit Emergency Manager Defends Use of Consultants in Financial Recovery

Breaking News - Original 05-13-2013 Hits:392 Cathy Nedd - avatar Cathy Nedd

Detroit Emergency Manager Defends Use of Consultants in Financial Recovery

  The criticism that the use of consultants getting paid over a million dollars per month to help craft a financial recovery map for Detroit is baseless according to emergency financial manager Kevyn Orr. Since December of last year, Detroit agreed to pay $14 million to nine different companies to provide financial and legal services in the city’s turnaround. In an exclusive interview with the Michigan Chronicle’s Bankole Thompson ahead of his Monday announcement of a financial operating plan, Orr vigorously defended the city's consultants saying it is disingenuous for some to be questioning use of consultants some of whom were here before his arrival. “I think part of it is Detroit’s been sort of removed from the world. First of all the amount of money that’s paid is actually small relative to other major cities. We shouldn’t be so provincial about the dollars,” Orr said. “We’ve gotten ourselves into a situation where the amount of debt given ordinary course- the way the city has been running- somebody’s got to come in here with a fresh perspective and say we can’t continue running in place, doing what we are doing that’s taken us to the edge of ruin.” Orr said if the city were to shut down today and no police or fire services in operation as well as the water department, the city could not pay of its debt in half a generation. He said the magnitude of work that has to b done in a city that has over 15 billion dollars of debt against a revenue stream of a billion dollars or less requires new fresh eyes. “Frankly in my opinion to have the consultants most of whom were here before I got here and to hear any criticism about consultants that have been here longer than a year helping the city is...

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Democrats Have a Lock on the Stupid Voters?

Chip Somodevilla/Getty Images

From Obama effigies and hate speech to coded racial commentary and flat-out lies, this campaign season has had no shortage of bizarre, infuriating and downright insane political moments. As the presidential election approaches, we're collecting them here for a special edition of our Crazy Talk series. We couldn't make this stuff up if we tried.

Tuesday, Oct. 30, 2:42 p.m. EDT: Democrats have a lock on the stupid votes? "We have to give it up. Democrats have a lock on the stupid voters. We are never going to get them. They have feeble-minded women. They apparently have 6-year-old kids who have been told Republicans are killing the polar bears," conservative author and political pundit Ann Coulter said recently on Hannity while discussing a supposed political ad of children singing, according to Real Clear Politics. Then, in response to a question from Sean Hannity about whether she thought President Barack Obama was on the defensive in battleground states, she said, "I'm worried the Democrats are going to steal Ohio. They've put all their eggs in that basket." Stunning allegation from a party whose presidential candidate in 2000, George W. Bush, narrowly lost the popular vote to Democrat Al Gore but defeated Gore in the Electoral College. In the highly contested election, Gore became the third presidential candidate to receive the largest share of the popular vote while losing the electoral vote.

Friday, Oct. 26, 8:24 a.m. EDT: Colin Powell likes Obama just because he's black? "When you take a look at Colin Powell, you have to wonder whether that's an endorsement based on issues or whether he's got a slightly different reason for preferring President Obama ... Well, I think when you have somebody of your own race that you're proud of being president of the United States, I applaud Colin for standing with him," top Romney adviser John Sununu said on Piers Morgan last night. Interestingly, Sununu's Twitter feed would suggest that he's the one preoccupied with the president's race (and not in a way that anyone would applaud).

Wednesday, Oct. 24, 11:26 a.m. EDT: Herman Cain: Chris Matthews playing race card: Mr. "I left the Democratic plantation a long time ago," former Republican presidential hopeful Herman Cain said on Fox News today about his disdain for what he sees as the liberal media's propensity for "playing the race card," Mediaite reports. In particular he criticized MSNBC's Chris Matthews, who has said that the right "hate[s] Obama" and that they "want him out of the White House more than they want to destroy al-Qaida. Their No. 1 enemy in the world right now, on the right, is their hatred, hatred for Obama. And we can go into that about the white working class in the South, and looking at these numbers we're getting the last couple days about racial hatred in many cases ... this isn't about being a better president; they want to get rid of this president."

Tuesday, Oct. 23, 2:27 p.m. EDT: Ann Coulter calls President Obama a "retard": Well, this would fall into the category of insults that are much more revealing about the speaker (or tweeter, as the case may be) than they are about the person targeted. On Twitter after the third and final presidential debate between Barack Obama and Mitt Romney, the conservative commentator told followers, "I highly approve of Romney's decision to be kind and gentle to the retard." The social backlash included "Are you out of your f--king mind?" (Anyone familiar with Coulter's increasingly outrageous commentary should be able to answer that one pretty easily.) Read more at the Huffington Post.

Monday, Oct. 22, 12: 11 p.m. EDT: Google reveals disturbing Obama-related search data: On Election Day in 2008, roughly 1 in 100 searches that included "Obama" also included "KKK" or "nig--r." "Michelle Obama ugly" receives three times as many searches as "Michelle Obama beautiful." And, not surprisingly, states in which Obama underperformed in 2008 were also the states that searched most often for "Obama Muslim." On a nonracial note, "Paul Ryan Shirtless" is nine times more popular a search than "Paul Ryan budget." Not exactly news that inspires confidence in the American electorate. Read more at Gawker.

Thursday, Oct. 18, 12:08 p.m. EDT: Farther from God now than during slavery? "We strayed away different times. Andrew Jackson's time was not a great time; different times slavery was a blot on our existence," Rep. Louie Gohmert (R-Texas) said this week, adding, "But the trouble is we have never as an entire nation overall been so far away from God’s teaching." Speaking on a conference call with far-right pastor Rick Scarborough, he warned that the much-worse-than slavery sins going on today could lead the nation "toward the end of [its] existence." Read more at the Huffington Post.

Wednesday, Oct. 17, 1:28 p.m. EDT: Geraldo to Obama: "Balls are a beautiful thing": Just when you thought Mitt Romney was a bit disrespectful to the office of the president in some of his snippier moments last night, there's this: Fox News reporter Geraldo Rivera praised Obama's more assertive performance at Tuesday night's town hall-style debate at Hofstra University with this tweet: "Congrats Mr. President balls are a beautiful thing," Mediaite reports.

Tuesday, Oct. 16, 12:11 p.m. EDT: White liberals threaten "black riots" when losing? On his show Monday night, Sean Hannity addressed the motivation of "those who say there will be riots if Romney wins." (No, we don't have any idea who is actually saying that.) "You know why this is happening?" Hannity asked. "Because his numbers with women are way up." Guest and election-season offensive gaffe machine Ann Coulter piped in with, "White liberals are always threatening black riots whenever they're about to lose an election," Mediaite reports. So the second presidential debate is on tonight, providing plenty of legitimate political material to discuss, but we're talking about imaginary "black riots." Sounds about right for these two.

Monday, Oct. 15, 4:55 p.m. EDT: GOP Pep Talk: "Send Obama back to Kenya": You always know things are getting intense politically when Republicans start reminding people of President Obama's ties to Africa (where he was not born, but if they haven't gotten that after four years, maybe it's a lost cause). Mediaite reports that at a Republican brunch event this morning that was attended by RNC Chairman Reince Priebus, the son of Wisconsin GOP Senate candidate Tommy Thompson told the audience, "We have the opportunity to send President Obama back to Chicago ... or Kenya." A woman in the audience added, "We are taking donations for that Kenya trip." Thompson's campaign has now issued a vague statement that says nothing about why the statement was inappropriate ("The Governor has addressed this with his son, just like any father would do. Jason Thompson said something he should not have, and he apologizes").

Friday, Oct. 12, 12:01 p.m. EDT: "Some girls rape easy" backlash continues: Wisconsin Freshman Rep. Roger Rivard lost Republican vice presidential candidate Paul Ryan's endorsement on Thursday after claiming that "some girls, they rape so easy," and then "clarifying" the remark, saying, "[My father] also told me one thing: 'If you do [have premarital sex], just remember, consensual sex can turn into rape in an awful hurry,' " the New York Daily News reports. Later, Rivard's camp issued another clarification, calling rape a "horrible act of violence." Sure took a long time to state the obvious.

Wednesday, Oct. 10, 3:31 p.m. EDT: Paul Ryan on inner-city character development:Republican vice presidential hopeful Paul Ryan, when asked whether this country has a gun problem, responded in a recent interview, "The best thing to help prevent violent crime in the inner cities is to bring opportunity in the inner cities. Is to help teach people good discipline, good character." We were with him right up to the "opportunity" bit.

First, it's curious that this conservative candidate would place the government in charge of what we can only imagine would be the pretty intrusive work of character development for would-be criminals. But AlterNet's Laura Gottesdiener captures the real issue with the statement, which was unfortunately even more problematic than the out-of-touch gaffes we've come to expect in the run-up to the election:

The idea feeds into the well-developed propaganda about the "culture of poverty," the idea, first pushed under Reagan, that the inferior ethics of the inner city is what keeps its residents impoverished.

This theory entirely disregards chronic unemployment, failing schools, institutional racism, political disenfranchisement and the dozens of other structural forces that create chaos and crime in swaths of the country that capitalism has effectively abandoned. To hear such a dangerously misinformed statement coming out of the mouth of a vice presidential candidate less than a month before the election is terrifying.

Wednesday, Oct. 10, 3 p.m. EDT: Obama-inspired chair lynching? An Austin, Texas, homeowner hung an empty folding chair from a tree branch in front of his house and later attached an American flag to it. NCB News reports that he told a political blogger who expressed concerns about the display, "You can take it and go straight to hell and take Obama with you." Meanwhile, in Virginia, an empty chair with a sign reading "Nobama" was strung from a tree in or near a park. The image of an empty chair has been linked to President Obama since Clint Eastwood used one to represent him at this year's Republican National Convention, but the symbol is now being used in ways that cross over from bizarre to disturbing.

 

 http://www.theroot.com/buzz/gop-pep-talk-send-obama-back-kenya

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