Kwame Kilpatrick Hit With 89 Page RICO Indictment

More bad news for former Detroit mayor Kwame Kilpatrick. The grand jury has returned an 89 page racketeering Indictment charging Kwame, his father, Bernard Kilpatrick and others with "13 alleged fraudulent schemes in the awarding of contracts in the city's Department of Water and Sewerage." The Indictment is the result of a six year investigation into Kwame's actions while serving as a Michigan legislator and later as Mayor of Detroit.

He resigned as mayor in 2008 after pleading guilty to obstruction of justice in state court. He's now in prison for violating probation in that case and is awaiting trial in federal court on tax and fraud charges related to how he spent money from a nonprofit fund.

Lawyers for both Kwame and his father promise a vigorous defense. And the FBI says the investigation is ongoing. ""It's not going to be done until we say it's done."

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    Detroit today (none / 0) (#1)
    by Abdul Abulbul Amir on Wed Dec 15, 2010 at 07:22:27 PM EST
    Chicago tomorrow.

    is mr. kilpatrick, all by himself, (none / 0) (#2)
    by cpinva on Wed Dec 15, 2010 at 09:35:57 PM EST
    attempting to outdo chicago, maryland and louisiana as the political corruption capitals of the united states?

    Couldn't happen (none / 0) (#3)
    by jbindc on Thu Dec 16, 2010 at 07:37:01 AM EST
    to a nicer person. Kilpatrick and his cronies share a large part of the blame for the financial mess the city is in - and now people are getting basic services cut off because the city can't afford them.

    It's like "Boardwalk Empire" except that real people have been affected by this nonsense.

    More here.

    The indictment is the culmination of a six-year investigation that traces its roots to a Free Press report from Kilpatrick's first run for mayor, in 2001. That story revealed that Kilpatrick wrote a letter endorsing a homeless shelter's bid for a multimillion-dollar county contract after his nonprofit civic fund received a $50,000 contribution from the shelter's owner.

    They abused the public's trust by helping themselves to loads of cash, yoga classes, rides in private jets, spa visits and college tuition for relatives -- all part of a scheme the feds dubbed the Kilpatrick Enterprise.

    Ex-Detroit Mayor Kwame Kilpatrick, his father and three associates were charged Wednesday in a 38-count federal indictment with shaking down city contractors to steer millions in public funds into their own wallets.

    Racketeering, bribery, extortion and fraud charges were levied against the former mayor; his father, Bernard Kilpatrick; previously indicted city contractor Bobby Ferguson; former top mayoral aide Derrick Miller, and former water department chief Victor Mercado in one of the largest public corruption investigations ever in the City of Detroit.

    "If you steal from taxpayers, you are going to be held accountable," U.S. Attorney Barbara McQuade said at a news conference after the indictment was handed up.


    Many of the accusations in the indictment were first revealed by the Free Press, including that Kilpatrick's wife, Carlita Kilpatrick, received personal income from a state grant intended to help children and seniors.

    It said Kwame Kilpatrick, 40, misused his authority as a state representative and then as Detroit mayor to commit extortion, bribery and fraud. He's also accused of defrauding donors to his Kilpatrick Civic Fund, Kilpatrick for Mayor committee and the Kilpatrick Inaugural Committee.

    The indictment said Ferguson, 41, of Detroit kicked back at least $424,000 in cash and other items to the ex-mayor. It said Kilpatrick used $595,000 in cash from the scheme to deposit into his bank account, pay credit card bills, buy clothes and repay loans.

    Bernard Kilpatrick, 69, of Detroit, who opened a government consulting firm when his son became mayor, is accused of depositing $603,000 in cash into his personal bank accounts. He was charged with filing false tax returns for calendar years 2004, 2005 and 2007.

    so when can we expect indictments (none / 0) (#4)
    by cpinva on Thu Dec 16, 2010 at 03:30:29 PM EST
    for bush and cheney, for stealing billions of dollars from the taxpayers?

    Talk to the US Attorney in Detroit (none / 0) (#5)
    by jbindc on Fri Dec 17, 2010 at 01:07:54 PM EST
    While she wasn't there for the entire 6 years of the investigation, it was a great team effort between the FBI, EPA Criminal Investigation Division and IRS Criminal Investigation Division.

    Maybe they can come up with something on Bush/Cheney.