Live Blog: Kwame Kilpatrick Trial Day 27 - FOX 35 News Orlando

Live Blog: Kwame Kilpatrick Trial Day 27

Updated:
  • Latest Development in the Kilpatrick Corruption TrialMore>>

  • Bobby Ferguson sentenced to 21 years in prison

    Bobby Ferguson sentenced to 21 years in prison

    Friday, October 11 2013 3:20 PM EDT2013-10-11 19:20:27 GMT
    Bobby Ferguson, a former city contractor and longtime friend of ex-Detroit Mayor Kwame Kilpatrick, has been sentenced to 21 years in federal prison for his role in a public corruption case.
    Bobby Ferguson, a former city contractor and longtime friend of ex-Detroit Mayor Kwame Kilpatrick, has been sentenced to 21 years in federal prison for his role in a public corruption case.
  • Kwame Kilpatrick sentenced to 28 years in prison

    Kwame Kilpatrick sentenced to 28 years in prison

    Thursday, October 10 2013 9:33 PM EDT2013-10-11 01:33:28 GMT
    A federal judge sentenced former Detroit Mayor Kwame Kilpatrick Thursday to 28 years in prison for his role in a public corruption scandal that cost the city millions and ended a career for the once promising politician.
    A federal judge sentenced former Detroit Mayor Kwame Kilpatrick Thursday to 28 years in prison for his role in a public corruption scandal that cost the city millions and ended a career for the once promising politician.
  • Judge: Ex-Mayor Kilpatrick must pay $4.7 million

    Judge: Ex-Mayor Kilpatrick must pay $4.7 million

    Tuesday, December 10 2013 8:04 PM EST2013-12-11 01:04:30 GMT
    A federal judge has granted prosecutors' request and has ordered imprisoned ex-Detroit Mayor Kwame Kilpatrick to pay $4.7 million in restitution.
    A federal judge has granted prosecutors' request and has ordered imprisoned ex-Detroit Mayor Kwame Kilpatrick to pay $4.7 million in restitution.
DETROIT (myFOXDetroit.com) -

And we're done for the day.  M.L. Elrick will have a complete wrap at 5 and 6 on Fox 2 News and his Daily Takeaway on MyFoxDetroit.com.   TAlk to you all again tomorrow.

1:01

EVvyn asks if he told It guy to delete all evidence that Patel had a relationship with company.  Rachmale says he never told anyone to eliminate evidence just to take his cell phone, turn off his email, says he never lied to anyone, that he gave everyone complete access to the records.  Admits he didn't offer Patel up to the FBI and Told the FBI it was because he didn't want his friend to get in trouble.

Little clarification, Patel worked in the City engineering department as a supervisor and Evelyn's claim is that Rachmale was paying him off, by funneling money to MRs. Patel, to approve the work Lakeshore was doing on asbestos removal projects.  Rachmale flatly denied all EVelyn's claims.

12:53

Evelyn asks if Rachmale told his IT guy to remove all Patel's email.  No.  Did Patel have a cell phone paid for by Lakeshore.  Yes. 

Asks if Patel had 2 ID cards.  Rachmale says he doesn't remember.

Evelyn is firing questions at Rachmale and asking if he lied to help Patel get his job back.  Rachmale says no. 

Rachmale says he got a letter from the city asking for clarification.  Rachmale says he never gave him the office or authorized a pass key.  Says the IT managers gave Patel a pass key to the building.  Says Patel was his friend and he'd help out when building alarms went off in the middle of the night.  Says they'd been friends from way before he started Lakeshore.

EVelyn again uses the work cover up and there's an immediate objection.  Judge Edmunds says questions from lawyers are not evidence only the answers.

12:47

Total contract value is $157,821,000 by 2007.  Rachmale says some of those contracts are still going on.  EVelyn asks if he's still making money off some of these contracts.  RAchmale says yes.

EVelyn asks if Lakeshore started out as an environmental company.  Yes.

Rachmale says primary business was asbestos removal.  Evelyn asks if one of his friends named Patel, was a supervisor and he was getting business with the city because of that relationship.  Asks if he was paying the guys wife when he was getting money from the city.  Rachmale says no.

EVelyn asks if the guy would leave his city job at 4pm and come to work for Lakeshore.  Rachmale says no, he was a friend and had access to the building.  Rachmale says he never worked for any of his companies.

Evelyn asks if it was just a coincidence that his wife was getting money when Patel was supervising work Lakeshore was doing.  RAchmale says it was just a coincidence.

Evelyn asks if Patel was suspended. asks if it was not true that Rachmale ordered a cover up.  Rachmale says no.

 

12:38

Evelyn now showing a letter from DWSD saying Lakeshore had a problem with 2 outfalls.  RAchmales says he still only remember one incident.  The letter had two contract numbers on it.

Evelyn now showing a defense generated timeline showing Lakeshore contracts with DWSD. Asbestos contract is first, change orders increased it$10 mill.  Next is a $24 mill increase, then a $42 mill increase.  the list starts in 2000.  sounds like a juror just asked Evelyn to zoom out and show more of the document.

EVelyn is running through all the contracts and the increases.  ASks if in 2000 Lakeshore had a lot of contracts.  Rachmale says no.

12:32

Evelyn starts to ask a question and the judge immediately reprimands him that it's improper.  EVelyn asks the judge if he can't ask a leading question to prompt his memory and the judge says no.

It looks like Evelyn is desperate to get a bunch of Lakeshores environmental records introduced and the judge has just shut him down every time.  Don't know what those would prove other than that Lakeshore had violations.  Maybe it would make the jury think less of Rachmale and his company but I don't see how it relates to paying Bobby.  Maybe Evelyn will finally get there.

12:28

BAck again.  The judge is telling Rachmale to take all the time he needs to look at these documents to see if they refresh his memory on other incidents.  Judges tells him Evelyn will ask one more time if he remembers any further incidents.  Rachmale is reading.

12:25

EVelyn asks if compliance is importance and were there a number of compliance problems.  Rachmale says he remembers one incident.  Says he doesn remember anything about repeated violations.

Says he remembers the Joseph Compau outfall problem but not the other Evelyn mentions.  Judge Edmunds says this improper questioning.  Evelyn asks if he can't ask about incidents Rachmale doesn't remember and the Judge says no you can't.  Move on.

And we're in another sidebar. 

12:22

Judge Edmunds tell RAchmale he's being shown documents to refresh his memories on whether there were any citations issued.  Rachmale says he remembers one issue where water on an outfall project was leaked into the Detroit River.  Rachmale says he doesn't remember a "number of times" as Evelyn put it, says he does remember one incident.

12:19

The sidebar is over.  Evelyn just walked over to show Chutkow a document.  He's back.  He asks if he can show the witness a document and the Judge says Nooo, there was an objection that I sustained, you may ask the line of questioning we talked about but that's it.

12:16

Wait, we're in a sidebar again.  Bobby just moved over to Evelyn's seat at the defense table so he could talk to Kwame.  This is kind of a long sidebar.

12:14

EVelyn asks if this is the contract the Rachmale said Ferguson didn't do any work on.  RAchmale says yes.

He's asking him now if Lakeshore was doing work all over the world by that time.  Rachmale says yes.

Evelyn is now looking for another document.  It seems like he's spent an awful lot of time looking for documents this morning, even with Rataj's help it has taken him a long time to get sorted out.

12:10

Evelyn establishes the date on that document as early 2006, now he's showing a letter from Lanzo Construction to Lakeshore from later that year.  Evelyn asks if a subcontractor can be on two contracts.  Rachmale says Lanzo was a sub on both.

12:07

The Judge just pointed out that Evelyn skipped a document number, says if he has a series of documents to introduce to just admit them all at once if the defense has no objections.

Not showing a change order.  ASks RAchmale if the contract grew quite a bit.  Rachmale says yes. Says part of the work was for Fox Creek.

Changing documents now to another start work letter.  This is the East Side Water project.

12:01

Jury is back.  Jim Thomas just asked to approach.  He's talking with Chutkow and the Judge.

12:00

still on break.  Kwame is not his usual perky self this morning.  He keeps looking at the clock and wiping brow.  He's been sitting with his head in his hands most of the morning.  Does not look well.  Bobby, on the other hand is actively helping his attorneys find documents and has been gesturing to certain ones.

Judge Edmunds just asked how low Evelyn expected to take and he answered probably the rest of the day.

11:51

Now looking at the contract for Cass Corridor number one.  Ferguson is the contractor.

It lists the streets that Ferguson's company is working on.  EVelyn is asking for a 5 minute break.

11:48

Evelyn now showing another email from Hossain to White about Fox Creek residential development authorizing Ferguson's company to start work.  Evelyn asks if Ferguson was assisting A&H.  RAchmale says no, some streets were being done by A&H and some were done by Ferguson.

Evelyn asks if Ferguson submitted the figures for the work or if A&H and Ferguson were together.  Rachmale says no.

EVelyn asks if Lakeshore was working with Ferguson on this project and Rachmale says yes. 

11:43

RAchmale says from 2002 to 2007 his company went from being a 15 million dollar company to $250 million dollar company.

Evelyn tried to pin him  down on Ferguson coming to the rescue because Lakeshore and A&H were new to the water main business then completely side tracked on the company worth.

Now he's back, asks RAchmalle if he could have called his own employees to help fix the emergency problem but just decided to ask Bobby.  Rachmale says yes.

11:37

Evelyn now showing another, similar, memo referring to "an emergency project."  RAchmales says emergency that needed to be handled right away.  Hossain is writing to White at Ferguson's company.  EVelyn asks if he remembers being copied on the memo.

The memo says Rachmale approved a $200,000 advance.

EVelyn asks if because it was an emergency and A&H couldn't do the work that RAchmale needed FErguson to work.  RAchmale says he's confused, he's not sure.

RAchmales says he's not sure because it was a big project and the can't say what the particular problem this payment was for.

EVelyn asks if he could lose a contract for flooding a neighborhood.  Yes.

EVlyn asks if Lakeshore was new to water main work.  Rachmale says they did other water main projects. 

11:30

Evelyn asks if there was an emergency that required Ferguson to step in for A&H.  Rachmale says he remembers the project but wasn't aware if it was an emergency or not.

EVelyn asks if he remembers that A&H installed a water main improperly, flooded the east side, and Ferguson stepped in.  Rachmale says he was not aware of any improper installation.  EVelyn asks if Johnny Hardiman told him it was improperly installed.  RAchmales says what he heard was that FErguson helped but he didn't hear anything about Ferguson completing the job because A&H was doing it wrong.

EVelyn keeps trying to get Rachmale to say it was an emergency, and Rachmale keeps saying not that he knew.  Evelyn also keeps asking if Ferguson was asked to complete the work.  RAchmale says the memo suggests that.  EVelyn asks if it's consistent with Ferguson doing additional work.  Rachmale says yes.

11:25

Evelyn is asking his partner Mike Rataj for another document.  Rataj is digging through is file, hand is to Evelyn.

This is a long way to go to prove that it was okay for Ferguson to be on competing bids.  If that's what Evelyn is doing.  I'm not sure.

Now Looking at an email from Hossain (the lakeshore employee who was the project manager) to Al White.  Rachmale says Al White is a Ferguson Employee.  It asks for Ferguson's Liability Insurance and subcontractor approval request.

11:19

EVelyn now showing cover page for one of the contracts.  A&H, McCormick, D'AGostini, and others are on the contract.  Asks if Subs are sometimes listed on competing bids.  RAchmales isn't sure.

Evelyn now showing a memo from Laura Watson to Mercado, Latimer, and others.  This is from IMG.  Rachmale says he's familiar with IMG.

the Memo says project is awarded and McCormick is on it.  Evelyn asks if McCormick is on both contracts.  This is a $13 million contract.

IT sound like Evelyn is trying to establish that a sub contractor can be on competing bids when the government was trying to show that Bobby was trying to hide his involvement on a Lakeshore bid because he was already on another one.

Now showing the other contract.  Rachmale agrees that McCormick is on both.

11:12

EVelyn now showing another negotiation recommendation memo.  This one says that 7 proposals were received, referring to the previous document, and says Detroit PRogram Management team was the highest scoring bidder.  Lakeshore scored second.  On the second page it shows Lakeshore being recommended for this contract.  Basically, this shows that the contracts were split up.

Evelyn now asks if RAchmale had a conversation with Hardiman or Ferguson saying Bobby's connections won both contracts and were taking both contracts.  Rachmale says no.

11:06

Rachmale is back in the witness box and Evelyn is still up.

Evelyn is introducing a new exhibit.  This is a letter from the City of Detroit to RAchmale from OCtober 16th, 2006.  It's another start work letter for various water system improvement. It assigns Gary Fujita and DWSD Deputy Director as the contact for Lakeshore.

EVelyna asks if this shows the procedure for starting work on contracts.  RAchmale says yes.

Evelyn now shows a memo from Darryl Latimer to Fujita and Mercado and asks if this is a step in the contract approval process.  Rachmale says yes.

it shows a list of the contractors that bid and the proposed cost from each.  Superior Engineering, Lakeshore, Jenkins Walbridge, Inland Waters Pollution controls and others are on the list.

EVelyn asks if Lakeshore scored third highest.  Rachmale says yes.

Looking at the second page now where it says Detroit Program Management Team and Xcel get the contract.  Looks like this is for that $10 million contract that was pulled

 

10:56

Court is back in session, Jury is filing in.

10:28

Evelyn now showing document announcing the first negotiating meeting for the outfalls contract.  Hardiman, Bobby, Rachmale, and others are on the list.  D"d'Allesandro is also on the list for Lanzo Construction.  EVelyn asks if they can take their  morning break now.  Judge says yes, We'll be back in 20.

10:25

Evelyn asks if this "is a start work letter."  Rachmale says yes.

10:23

Evelyn asks if Hossain did work for Hardiman's company.  Rachmale's says no he was a Lakeshore employee.

Evelyn asks if Lakeshore does mostly federal work.  Rachmale say yes.

Evelyn asks of Bobby ever asked about getting Federal work.  Rachmale says they had one or two conversations and that he advised him.

Evelyn now showing an email chain with a highlighted email from Ferguson's company that says "proponent needs to talk to you about project description."  Rachmale says Hardiman took care of that.

Now showing the letter awarding the Outfalls contract to Lakeshore in 2005.

EVelyn points out that City Council has to approve it before payments are made.  RAchmale says yes.

10:16

Evelyn now asking if Rachmale knows Jill McKenzie.  RAchmale says no.  Asks if he know Wodehouse, says yes.

Asks if Bobby's company did good work and would he use them again.  Rachmale says yes on certain things.

Asks if Bobby produced bonds.  RAchmale says no. Evelyn asks to approach. Shows him a document, asks again, and RAchmale says yes.  Says sometimes Lakeshore would help companies with bonding.

10:13

Evelyn asks if the payments to Bobby were going to be paid equally by the partners in the contract.  Rachmale says yes.

Evelyn asks if he told agents that Bobby did some work. RAchmale wants to look at this statement. SAys yes.

10:11

EVelyns asks if Bobby got paid for the work he gave up. RAchmales says yes. Evelyn asks if Bobby was paid to step out.  Yes.  Asks if he never told the city Bobby was being paid off to get out.  Rachmale says no.  Evelyn says Rachmale didn't tell the city about the pay off.  Rachmale says yes they did tell the city. 

EVelyn asks if it was D'Allisandro that first brought up the dispute.  Rachmale says it was  a dispute between two contractors.

EVelyn asks if what was important to him was the financial arrangement.  Rachmale says not jut the money but the documentation was important as well.

EVelyn asks about the payments from Sky Group. Asks about memo line on checks showing what the payments were for.  Rachmale agrees that he or his employees filled out the memo lines.

10:03

EVelyn asks if Rachmale had a lawyer present when he was questioned by agents and if he remembers a June 10th interview with agents.  Rachmale says yes.

Evelyn asks if RAchmakle told agents that it would be good to add Ferguson to his bids because Bobby was a prominent contractor in Detroit and that Bobby was Detroit based.  Yes.

EVelyna asks if there was a contract which Bobby was supposed to get 36 percent of one contract but got cut out of after negotiations with D'Allisandro.  Rachmale says they did expect to give Bobby the work and expected him to do the work but D'Allisandro and Bobby worked out a deal.

EVelyn asks if D'Alllisandro wanted to control the work.  Rachmale says yes.

EVelyn asks if he told agents Bobby was losing 10 million in work and was then paid 1 million in fees.  Rachmale says yes.

9:56

Bobby's attorney Gerald Evelyn up now.  Asks if Hardiman did most of the talking with Bobby.  RAchmale says yes.

ASks if he connected the lost contracts with Bobby all on his own, that it wasn't prompted by anything Bobby said.  Rachmale says yes.

Showing the email again this is to Colt Odeh and Belayet Hossain, from LaCresha Ware at Bobby's company.  Asks if the email is a request for a quote on a direct contract with his company.  (

9:51

Shea now asking about Rachmale's meeting with the FBI agents investigating the case.  Asks if he remembers describing what Lakeshore did when it got those contracts. Asks if he told the agents that it was Perry Metah who told him that Hardiman said they should talk to Bobby.  Rachmale says yes.

Shea reads from Grand Jury testimony, asks if the first time Rachmale told anyone that Bernard told him to talk to Bobby was during the trial.  Shea asks if it was actually Perry Metah who said talk to Bobby and not Bernard.  RAchmale says that was back in 2002 and that lots of calls were made. 

Shea is pointing out that RAchmale told agents it was Metah who suggested they call Bobby, then repeated that during the Grand Jury but didn't say it in court.  RAchmale says but Hardiman did tell him that Bernard told them to talk to Bobby.

Shea asks if it would surprise Rachmale to know that Hardiman testified it was it was Perry Metah who said talk to Bobby and not Bernard.  Rachmale says it wouldn't surprise him.  Kind of  surprises me because I don't remember Hardiman saying that.

Rachmale says everyone was telling them to talk to Bobby so  he couldn't remember who all he talked to when he related the events to agents and the Grand Jury.

9:41

Shea now asking about Rachmale's testimony that Bernard didn't provide any other services besides working on the pulled contracts.  Asks if Rachmale might not know about all the services Bernard provided.  Rachmale says he would know.

Shea asks if his  statement on direct examination is not accurate.  Rachmale says a report would have been generated.  Shea says, but Bernard was meeting with Hardiman, talking on the phone, that this constitutes work.  Rachmale says he would go along with that.

Shea asks if Rachmale's testified that Bernard told Hardiman to talk to Bobby.  asks if Bernard told Hardiman, and Hardiman told him.  RAchmale says yes.

9:36

Shea now showing the $2500 check to Bernard.  Asks if he gave Bernard the check during a meeting at Bernard's apartment.  Rachmale says it possible.

Shea now asking if he hired Bernard before the "$10 million, and $5 million" contracts were awarded, then pulled.  Rachmale says yes.  Says Bernard was hired well before the contract was pulled.

9:31

Bernard Kilpatrick's attorney John Shea now cross examining.  Asks if he had prior relationship with Bernard he was hired.  Rachmale says no, knew who he was but hadn't hired him until they had problems with the first two contracts they won but were subsequently pulled.

Shea now asking if Rachmale hired him for a specific contract.  Rachmale says no.  Shea asks if he wanted business with the county, the state, and the Federal Government.  Rachmale's says only for the state, County, and city relationships.

Shea asks if Bernard was hired for his general knowledge.  Rachmale says yes.

9:26

Chutkow now showing an email from LaCresha Ware at Bobby's company to Colt Odeh AND Belayet Hossain about one of the contracts.  Rachmale says he hasn't seen it.  Defense objects to next question because Rachmale hasn't seen this document before.

Chutkow now trying to find a way to ask the question that's allowable.  ASks if this contract was part of the work Lakeshore was doing.  Rachmale says this contract was expired but there was more work to be done.  It was a Ferguson Enterprise contract and Lakeshore was just administering the contract for the city.  Rachmale's says he didn't seek out more work from Ferguson and they finished the remaining work under another existing contract.

9:21

Chutkow asks if he wrote a letter on Kwame's behalf during the whistle blower trial.  RAchmale says yes.

Chutkow now asking about Rachmale's concern about upsetting Bobby.  Rachmale's says he was only concerned about upsetting Bobby and not any other contractors.

9:19

Rachmale says Bobby started calling more often for payments.  That the frequency of the calls increased with time.

Chutkow asks if he has anything personal against Mayor Kilpatrick.  Rachmale says no, he thought Kwame was a dynamic person and he could help the City.  Says he gave money to the Civic Fund and trusted it would be used for civic purposes.  Says in addition to support Kwame's run for Mayor he supported Carolyn Cheeks Kilpatrick's campaigns including donating office space.

9:15

The Judge greets the jury, asks if they had a nice holiday, then apologizes for what happened with the checks last week.  Says she's sorry for the holdup but doesn't know what caused the delay.

Chutkow now asking Rachmale about an invoice for $450,000.  Rachmale's says it was only part of a total payment of 1.2 million.  Says he never got a receipt for the remaining payments.

Chutkow asks if Bobby Ferguson ever explained his accounting for the payments.  Rachmale says no.

9:11

The Judge asks if the government will get its proofs in by the first or second week of January?  Calls for the jury.  Greets Mr. Rachmale and asks if he had a nice holiday.

9:09

Jennifer Blackwell is alerting the court to a problem with using agent summaries.  She says the defense is using the summaries to point out what they call inconsistent statements by the witnesses.  Her complaint is that the defense is reading the summaries into testimony as though they were the actual testimony of the witness.

Judge Edmunds says the defense cannot read in the summaries as though they are testimony but they can question the witness.  She says they can put up the summary but must make it clear it's the summary and not the actual testimony.

9:04

Court is in session and Judge Nancy Edmunds is going to hold a sidebar before the jury comes in.

8:58

Avinash Rachmale will take the stand again this morning.  The prosecution will pick up where they left off before the holiday.  When court was last in session Mark Chutkow was asking Rachmale about checks paid to Bobby Ferguson's company on an East Side sewer contract.  One of the more interesting things they came out in Rachmale's testimony was that Ferguson wasn't on the original bid proposal because he was already on a competing bid.

8:35

 Good morning from the Theodore Levin Federal Court House in brisk and bustling Downtown Detroit.

Ken Martinek is Senior Producer-Investigations for Fox 2 News.  You can contact him at ken.martinek@foxtv.com

Powered by WorldNow

35 Skyline Drive
Lake Mary, FL 32746

Phone: (407) 644-3535
News Tips: (866) 55-FOX35

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices