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Lawmaker wants Durham donations returned

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A Democratic lawmaker wants Indiana politicians and campaign organizations to return contributions they received from an Indianapolis businessman whose dealings are being investigated by the FBI.

State Rep. Ed DeLaney of Indianapolis said Thursday that contributions totaling more than $800,000 by Timothy Durham should be sent to a bankruptcy trustee for Ohio investment firm Fair Finance Co. Durham is a co-owner of the company, which was forced into bankruptcy earlier this year.

Trustee Brian Bash already has asked Indiana politicians and organizations to return the contributions. Most of the money went to Republicans, including $195,000 to Gov. Mitch Daniels, and at least $185,000 to the state Republican Party.

Durham gave the most money—$225,000—to his close friend Carl Brizzi, the Marion County prosecutor. Brizzi did not receive a letter from Bash when the state officials did because it took Bash's team longer to sift through local political fund-raising filings.

But the prosecutor's spokeswoman issued a statement Thursday saying that only $2,500 to $5,000 remains in campaign coffers. "If any of this money is linked to Fair Finance proceeds, it will be returned as requested by the trustee in Ohio," she said.

Bash has said that Durham owes Fair $54 million. He said the businessman spent some of the money on things like gambling, cars, artwork and political donations.

The FBI raided the offices of Fair Finance and Indianapolis-based Obsidian Enterprises in November. They were accused of being involved in a Ponzi scheme to defraud investors, but no criminal charges have resulted.

DeLaney said his request for the money to be returned was an "easier call" for a Democrat to make, since Republicans received most of the money.

"But on the ethical issue, it doesn't matter what party you belong," he said. "I just think it's better for both parties that the money go back."

Kelly Burgan and Joe Esmont, attorneys working for Bash, said Thursday that more than three politicians or organizations have responded to Bash's letters. But they cited confidentiality in declining to say who responded and what they said.

Asheesh Agarwal, an attorney who represents Daniels' Mitch for Governor campaign committee and his Aiming Higher political action committee, said he stood by a statement last week that the organizations do not intend to refund money already spent.

"Based on what we know now, it is not out of the question that some of the money could be returned, but we need to see more than a letter from an attorney," Agarwal said in the statement. "In fact, if a court finds wrongdoing, and these funds were the source, a refund of any remaining dollars would be appropriate."

Republican Attorney General Greg Zoeller, who received $11,000 in donations from Durham, said his campaign treasurer created a segregated account for the money.

"The reason I did this was to balance my respect for our legal system's presumption of innocence with concerns from my role protecting consumers that there may be future actions that might possibly involve restitution to investors," Zoeller said in an e-mail.

"I did receive a letter from the bankruptcy trustee but intend to continue to hold these funds until the U.S. Attorney's Office completes their investigation," Zoeller said.

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  • Brizzi should be charged for insider trading
    go to mycase.in.gov and type in carl brizzi. you'll see he was sued for not paying $135 kids gymnastics bills at the same time he suddenly had cash to buy no less than 150,000 shares of Cellstar right before Brightpoint bought them. It should be noted Durham allegedly flew in on his corporate jet and met with Robert Kaiser, Cellstar CEO at the time who then got a $3.5M change of control payment for doing the deal, left and came back like 32 days later to resume his job, and arranged the sale of Cellstar to Brightpoint. Like Tim didn't know any of this was going to happen.

    Allegedly Dan Laikin is claiming he had no outstanding loans to Fair Finance. If this is true his only defense was the money he took was his reward for telling Tim to trade in his brothers company. Does this stuff ever end? No. And why? Because these guys never get charged by the SEC. NEVER. Look at David Knall--a slap on the hand for insider trading even though it was allegedly his son that tipped him off and Dad took the fall. Nothing ever changes in Indiana when you are buddies with General Mitch Daniels who had insider trading issues of his own on IPL if folklore is to be believed.

    Crossroads of American should be renamed Crossroads of White Collar Crime.
  • Does TD do twiitter?
    Wonder if he does facebook or twiiter? The Jet Blue guy is blowing up on the internet? He is now on his 16th minute of fame.
  • Return?
    I thought that if the money was proven to be stolen, (which it has) that the parties would return it. Not with Carl Brizzi! He sure thinks he is clever with his responses. "Well gee I think I may have 3 to 5k left which I will return. But first I'll have to get check to make sure it was from Durham that one night we were at PTs. I'll get back to you!! I guess proof isn't enough now either!! Oh no!! Now we must wait for a court ruling! So what happens then Brizzi? Brizzi is the biggest political crook in Indy's history!!
  • Morally & Politically Bankrupt Politicians
    Great idea Mr. Delaney. That is truely the honorable and moral thing to do.

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  1. liek the rest of America

  2. These quaint,obsessed musings by the stalkers are certainly entertaining, but I'm trying to figure out what, if anything, all the yelping below has to do with Zak Brown.

  3. It's evident that Moffett was pushing the right buttons and corporate America is now trying to squash him. He just wanted to withdraw the free pilot services provided to the company by the pilots to try and put some pressure on a company that has not been interested in negotiating a contract in over 5 years. The company does not provide a contract because not having one has saved them a bundle of money. Shame on any Republic pilots not standing behind their union leader just because things are getting tough, can you not see such strategic moves by the company as putting the last union president in a corporate position and into THEIR pocket. Do you really believe the last union president is so appalled at the attempts by Moffett, do you not remember his oppositions to the company? We stood behind him. It has been proven over and over again for thousands of years without fail, a man cannot serve two masters. Anyone that believes people vote contrary to their paycheck and livelihood deserve to be taken advantage of, the recent statements by the former union president are laughable as he denounces the current union president from his new corporate position. Have you ever seen a drafted sports player score points for his previous team, it cannot be done, he is not on the pilots side anymore, he gets his money a different way now than you and I do, and he should not be allowed to remain on the seniority list. A drafted player brings strength, credibility, tactical knowledge, and a strategic advantage to his NEW team, he would not be drafted or paid were it otherwise. We are all forced to choose only one side to play for and support, not doing so has many references in life such as insider trading and shaving points, all illegal for good reason. This basic fact is why corporate moguls, scientist, and engineers all sign non-discloser agreements and non-compete clauses, as protection in case they are lured into switching sides as our former union president has done. No NFL coach ever drafted a player so that both teams could benefit and better understand each other, they are recruited to win the game against that former team, period. Likewise the company does not recruit the former union president by accident or mutual understanding, its strategy. Don't confuse playing the game with good sportsman-like conduct in support of common business and prosperity goals, with the requirement to only play for one side. Good men we all love and favor fall subject to this manipulation, often without their knowledge, and it is not a betrayal of their friendship to oppose them when they switch sides. If we did not love and trust them, they would not have been chosen and lured to the other side in the first place. The deception by the drafted player is not made at a conscious level, it's just human nature and it's all about money and power which corrupts our ability to be objective and loyal to two masters. This is why our court system created the defense attorney, and why our military created counter intelligence. Its strategy and its propaganda, and it works, and that's why the "powers to be" manipulate the chess pieces by sometimes changing their colors. Some players know they are being manipulated when their color is changed, but it brings them more money and power so they do not care. The rest have good intentions but do not even realize they are being manipulated. This tactic is also known by another name, Divide and Conquer. In battle sending an imperfect message with an imperfect team is obviously not ideal, but it's still being sent by YOUR team, your union leader, a leader that has common goals and common rewards with you, they are the best, because we have elected them to do a job for us. If you are not backing Moffett but believing the spin by those that have recently switched sides, you are taking food out of your own mouth. Showing unity and backing an imperfect situation still results in taking just as much ground, it's about unity and bargaining power. It's not necessary to wait around for that perfect attack because it will never come, the company will spin and attempt to destroy anyone that gets in their way. Ultimately it's not about any specific attack anyway, ASAP or whatever it makes no difference, it is and always has been only about power. If this company cared about safety it would not build pairings with 8 hour overnights, come on, are you that naive? Besides, do you really think Hoffa cares, no, he got a call from corporate America and was squeezed into denouncing Moffett. If he didn't they would spin the safety card against him and the Teamsters National with implication for truckers, future contracts, insurance rates etc...saying something like the Teamsters use safety as a bargaining chip, blah blah blah... Do you really think any pilot is going to do something unsafe for the contract, absolutely not, the only ones threatening safety here is the company with reduced rest, fatigue, and poverty. Do you not find it odd that Hoffa and the Teamsters are opposing a Teamster president publicly? Would the Teamsters National not normally support and work with one of their own? Why did they not sit down and help him strategize, correct any mistakes, and charge ahead? Would the Teamsters National not normally support and leverage a contract for all those pilots that have been paying Teamster dues, isn't that why we have all been paying Teamster dues in the first place? I sure haven't been paying dues so that the Teamsters National could come along and write this kind of an article undercutting our union leader and our unity. Whose side is the Teamsters National really on, it's obviously not the Republic pilots side.

  4. No matter what Moffatt does the company is going to spin it like he is the terrorist and brainwash people like you into believing it, wake up, back your players that are trying to change things for you and your livelihood. Where has Hoffa been for the last 6 years, except collecting our dues. Seriously, do you really think an FO going for upgrade, signed off by a checkairman ready for the upgrade, who then fails, is not even capable of returning as a First Officer.

  5. whoa!

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