Transcript of the Testimony of Brian W.

Head
Date: November 5, 2013 Volume: I Case: In Re: Joplin Critical Investigation

Printed On: November 13, 2013

Holliday Reporting Service, Inc. Phone: 417-358-4078 Fax: 417-451-1114 Email:daholliday@hotmail.com Internet:

Brian W. Head

In Re:

Joplin Critical Investigation

Page 1

IN RE:

JOPLIN CRITICAL INVESTIGATION

SWORN STATEMENT OF

BRIAN W. HEAD

Taken on Tuesday, November 5, 2013, from 1:52 p.m. to 3:10 p.m., at the law offices of Juddson H. McPherson, LLC, 626 S. Byers, in the City of Joplin, County of Jasper, State of Missouri, before SHARON K. ROGERS, C.C.R.650, a Certified Court Reporter and a Notary Public within and for the County of Jasper, and State of Missouri.

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Page 2

APPEARANCES

MR. THOMAS E. LORAINE Loraine & Associates, LLC 4075 Osage Beach Pkwy., Suite 300 Osage Beach, MO 65065

tellaw@loraineandassociates.com

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Page 3

S T I P U L A T I O N

IT IS HEREBY STIPULATED AND AGREED that this Sworn Statement may be taken by steno-mask type recording by SHARON K. ROGERS, a Certified Court Reporter, and afterwards reduced into typewriting. It is further stipulated that the signature of the witness is hereby waived, and that said Sworn Statement of said witness shall be of the same force and effect as though said witness had read and signed said Sworn Statement.

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Page 4 I N D E X Page/Line DIRECT EXAMINATION BY MR. LORAINE E X H I B I T S Exhibit #A. . . . Advice of Rights . . . . 6-25 . . . 5-4

Exhibit #1. . . . . . . . 8-23 Handwritten note Exhibit #2. . . . . . . . 11-23 Printout of Mr. Rohr's statement Exhibit #3. . . . . . . . 15-5 Press conference, Mr. Scearce Exhibit #4. . . . . . . . 22-6 9/26/13 transcript of meeting Exhibit #5. . . . . . . . 27-1 Packet of documents Exhibit #6. . . . . . . . 42-5 Property listing Exhibit #7. . . . . . . . 42-21 Statement by Mr. Robert Wood Exhibit #8. . . . . . . . 43-12 Voting record Exhibit #9. . . . . . . . 43-23 5/6/13 Council agenda Exhibit #10 . . . . . . . 44-9

4/26/13 memo Exhibit #11 . . . . . . . 48-23

Report on Connecticut property

Note:

Exhibits in separate binder

(sic) - typed as spoken (ph.) - phonetic

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Brian W. Head

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Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. Q. A. BRIAN W. HEAD Having been first duly sworn and examined, testified as follows: DIRECT EXAMINATION BY MR. LORAINE: Q. Sir, for the record would you state your name and your occupation? Brian Head. I'm the City Attorney for the

City of Joplin. Mr. Head, may I call you Brian? Yes, sir. Brian, I have been retained to conduct a Critical Investigation on two primary matters and one collateral matter, if you will, but I call them three issues. First we are looking

into I guess it's Mayor Pro Tem and Councilman Scearce involving the leasing of a building which involved a guy that eventually was making book, if you will, on illegal gambling activities and that individual's name I think was Lovett, so there's been some inquiries about how much Alderman or Councilman - what is it, Alderman? Councilman Scearce. Councilman Scearce might be involved in that. The second area that we'll be looking into

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Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. Q. A. A. Q. is the facts and circumstances surrounding some release of private information concerning Mr. Scearce's conduct, and that may involve City Manager Rohr. Is that a

correct statement, that's one of the things we're -Correct. And let's call the third one might be some involvement of Councilman Woolston and other people during the banking of real estate for the City's purchase of property in Joplin. Would that be a fair characterization? The City, more specifically though the Joplin Redevelopment Corporation. Which while it is

owned by the City it is a separate corporation, also. It would be a wholly owned city operative? Yes. All right, sir. So to the end of those three

goals I've been retained and I'm going to utilize as you know some of the powers given municipalities under New Jersey versus Garrity. Yes, sir. And I want to hand you what is Exhibit #A, You're aware of that?

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Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. which is a warning and advice form. Have you

read that prior to coming in here today, sir? Yes, sir. I've gone over that in detail with you, is that true? Yes. I'd like to read it nevertheless for the record. "I wish to advise you that you are

being questioned as part of an official investigation by the City of Joplin. will be asked questions related and specifically directed to the performance of your official duties of fitness for office. You are entitled to all the rights and privileges guaranteed by the laws of the Constitution of the State and the Constitution of the United States, including the right not to be compelled to incriminate yourself. I further wish to advise you that You

if you refuse to testify or to answer questions relating to the performance of your official duties, you will be subject to departmental charges, which could result in your dismissal from your official duties. you do answer, these statements may be used If

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Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. A. Q. A. Q. A. Q. A. Q. A. Q. against you in relation to subsequent departmental charges, but not in any subsequent criminal proceedings." read that and you understand that? Yes, sir. And as I understand it you're an attorney? Yes, sir. And you're licensed under the state law of Missouri? Yes, sir. And you have knowledge that you're coming forward in answering questions pursuant to this investigation? Yes, sir. Okay. I have asked you to provide for the You've

three areas that we've talked about some information prior to coming in here today and you've brought some documents with you. I

have not seen any of these documents before. Is that your knowledge, also? Yes, sir. And to that end you have brought me an exhibit marked Exhibit Number #1. explain to me what that is? That is a copy of a note that was provided to Can you

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Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. A. Q. A. Q. A. Q. Q. me by an employee of the City that was found in a hallway on the second floor of the City Hall that has information written on it relating to the FBI investigation that as I understand it was conducted into Mr. Scearce's activities. And this Exhibit Number #1 was provided to you by a City employee?

That's correct. Would that City employee be under your direct supervision in your position as attorney or general counsel to the City of Joplin? No, sir. Who did that employee work for? That employee worked for the City Manager. Can you disclose the name of that individual? A. I can.

Do you wish to do so at this time? I would prefer not to, however I can if required. If there is any need to go further with that I will do that. At a subsequent time if it

becomes necessary I will expect you to do that. Will you comply with that?

Yes, sir.

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Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. A. Q. A. Q. A. Q. A. Q. A. Q. A. Q. Q. Now do you recognize any of the hand printing on this Exhibit #1, or a copy of this Exhibit #1? Yes, sir, I do. And you have the original of this document that's been marked as Exhibit #1? I do. And you have it in your custody? Yes, sir. Has that been in your custody since the individual discovered it on the floor? Yes, it has. And that person gave it to you? Yes. And you've had it ever since? Yes. In your opinion whose printing and writing is on this page? The writing on this page I believe is very distinctive and is that of City Manager Mark Rohr. Now you're an attorney and you know there's people that can testify to other people's signature if they have sufficient basis. Do

you believe you have that basis to be able to

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Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. Q. A. Q. A. recognize the writing on this? I'm certainly not an expert in the field of handwriting analysis, however I've seen a great deal of Mr. Rohr's writing and it is very distinctive and I believe this is completely consistent with his handwriting. So you would be able to observe his writing over a period of time. have been? He started with the City nine years ago, so I've been City Attorney during that entire period. So you've been watching his characters as he places them on page and other documents for nine years? Yes. Have you discussed this particular Exhibit #1 with Mr. Rohr? I have not. So he may or may not know what this exhibit is about? He most likely does not. All right. Thank you. Exhibit #2 says How long would that

"Roper Honda, Team of the Week" on the top. What is this document?

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Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. A. A. Q. A. That is simply a printout that I pulled off of the Internet of Mr. Rohr's statement following a press conference that Mayor Pro Tem Scearce had indicating his belief that Mr. Rohr had released information improperly to news media regarding this gambling investigation. This is simply a copy that I

pulled off of Mr. Rohr's statement that was released to the news media. Let's go back to Exhibit #1. Can you read On the

I'm going to call it the four lines?

left side there appears to be four large categories and there are some notes on the right side of Exhibit #1. Could you tell me

what appears on the left side of this and then go to the portion on the right side? On the left side in the upper left-hand corner I believe it says "Carol Stark". And who is Carol Stark? Carol Stark is the Editor for the Joplin Globe. And what does that say next? Underneath that has the date of 8/12 of '13. Below that is the name "Lovett", and below that going across the bottom is "Limit FBI

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Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. Q. A. request to issues", and then there is something underneath that that I cannot make out. What does it say at the top on the right? It appears at the top right-hand corner there's something in quotations that says, "Address was," and then there's a word underneath that that I cannot make out. Below that is the word "Helpful". So you believe that there's some indication on this document that there was something concerning the FBI and this is in the City Manager's handwriting? Yes, below the word "Helpful" also in quotations is the phrase "Contributing to a continuing criminal enterprise", which struck me because as I understood it that is what Mr. Scearce was investigated for by the FBI. Do you have any personal knowledge of him being investigated by the FBI? The only knowledge that I have is a meeting that happened late winter, early spring last year with the Police Chief, myself, and Mr. Rohr where this was discussed briefly because Mr. Scearce believed at that time - he found

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Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. A. Q. A. Q. Q. A. Q. Q. A. out that previous Mayors had been briefed on this issue and was rather upset with the Chief and with the Manager for having provided that information. What previous Mayor would have been briefed? The first Mayor that would have been briefed would have been Mr. Gary Shaw, and then after that Mr. Mike Woolston would have been briefed, and then the current Mayor apparently as I understand it was briefed. And this concerns Councilman Scearce? Yes. Now Exhibit #2 is some kind of a statement that you took off the Internet that was made by whom? By Mr. Rohr. And that is the City Manager we're talking about his handwriting? Yes. It seems to corroborate that Exhibit #1 there's some interchange of information between the two documents? The -Is that a yes? Yes.

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Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. Q. A. Q. A. Q. Okay. -The only thing I would say further is that Exhibit #2 was in response to what is included in Exhibit #3, if that's helpful. Yes, it will be. And let's go to Exhibit #3. Do you have anything else you want to

What is Exhibit #3? Exhibit #3 is a copy of the statement that Mr. Scearce handed out to the news media when he had his press conference related to what he believed was this inappropriate release of information regarding the investigation. conducted a press conference. He

This is a copy

of what was handed out at that press conference, and Exhibit #2 was the statement that was released by Mr. Rohr in response. Can we indicate two pages on this document? Exhibit #3 does mention the word "Carol Stark" so it somehow makes reference to this Exhibit #1 note? That's correct. This Exhibit #3 seems to indicate that Mr. Scearce had seen this note? Correct. Do you have any knowledge of how he got a

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Page 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. A. Q. A. A. Q. A. Q. A. Q. copy of this note? I showed him a copy of the note. Did you give him a copy for his use? I don't recall. But you may have? I may have, but I don't recall. If you didn't there's a query as to how he would have obtained a copy. I showed him the copy. in it. I showed him what was

I don't recall giving him a copy, but

I may have. But he makes reference in this that he has a copy. Then I may have. Q. I just simply don't recall.

Wouldn't that be unusual for you to give him

a copy of a complaint about him, would you? I didn't feel that it was unusual because it appeared to me that this was about him and it was about the very thing that he had been complaining about. Somebody leaking some kind of information about it? About him. And the question, you have no knowledge as to what is in the FBI report or you've never

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Page 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. A. Q. seen a copy? No, sir. And nobody has explained what's in that report? The only brief explanation that I had as to what was known, and I don't even know if this is in the report, the only brief explanation that I had was from the Chief of Police during that meeting that I previously referenced with myself, Mr. Scearce, Mr. Rohr, and the Police Chief where there was a discussion about the fact that Mr. Scearce had been investigated for this. was very upset about it. Mr. Scearce

It was explained to

us at the time by the Chief that he had received special permission from the FBI in order to brief the City Manager so that the Manager could then brief the Mayor as to some potential ongoing nature. I didn't fully

understand the purpose of that. Did the Police Chief claim to have additional written information about this matter? I do not recall. I don't believe so.

Did the Police Chief tell you that he would disclose any of the information concerning

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Page 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. A. Q. A. A. Q. what his statements were about Mr. Scearce to you? Did he claim to have some other

information that he may retain or he had the right to retain? I don't remember him saying that. Is there certain police documents that the police won't show to City Managers or City Attorneys when they claim they have some kind of special privilege? I was made aware several months ago that the Police Department does now have the ability to lock certain records within their record keeping system electronically in order to prevent access by anyone other than certain authorized users. Who would be the authorized users according to the Police Chief? To the best of my knowledge the only one that I know of is the Police Chief, but there may be others. I just simply don't know of them.

Why did that matter come to your attention? That matter came to our attention during a separate issue involving Mr. Rohr. There was

an alleged domestic dispute at his home that the Council wished us to look into and to see

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Page 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. A. Q. A. Q. if there had been some pattern of conduct. My City Prosecutor has what I believe to be full access to those records and I asked the City Prosecutor to please do a record search for me because I did not feel it was appropriate to ask the police at that time to do the record search. She did the record

search, came up with a few things that were not really related, and those are the only records that then I reported to the Council having found. During the discussion that we

had at that time it was disclosed by the Police Chief that certain records could, in fact, be locked from view by anyone other than a slight few amongst the Police Department and I do not know who those are. And it would not include your City Prosecutor apparently? I do not know. If she was granted that

authority she didn't know it. Who is your City Prosecutor? Her name is Tricia Gould. Tricia who? Gould, G-O-U-L-D. I might want to take her statement. I think

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Page 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. A. Q. Q. A. I will want to. that in. I'll probably need to work

So if you would make her aware that So why did

I would like to speak with her.

the City want to look into the conduct of the City Manager, Mr. Rohr, about a domestic violence matter? Motives I am not entirely sure of. I know

that there have been a number of rumors over the years regarding ongoing conduct. know of any of them being true. I don't

I have never

been provided with any proof of any of them being true. I don't know if that was the

thinking of the Mayor or if there was some other motive. What Mayor was that that requested that information? I believe that was Melodee Colbert-Kean. As the City Attorney do you believe that was a proper area of inquiry from the Mayor? I think it is a proper area of inquiry if someone - taken to the extreme if someone believed that the Police Department was not adequately investigating some sort of domestic situation simply because it was a public official or a particular public

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Page 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. A. Q. official, I believe that's an entirely appropriate inquiry at that time, and I think the desire was to see if there was some pattern of conduct or some records beyond this one incident and I did not find any. You did not find any in response to this because you were told that the Police Department has the ability to lock certain areas? I was not ever told that they had locked in files that were pertinent to the investigation. Were you told that there were no files pertinent to the investigation by the Police Chief in that locked area? I made a request of the Police Department for all of the files that they had. They

provided me pretty much exactly what I had found previously. I did not ask them whether

that included locked files. Nevertheless as the attorney for the City you feel that if - let me ask you this question. If there were locked files on a public official that the Police Chief was not disclosing and the Mayor had requested it for

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Page 22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. A. A. Q. A. Q. whatever reason you believe that to be a proper area of inquiry? Yes. Thank you. I appreciate that information.

Now you also provided me with an Exhibit Number #4. It appears to be seven pages. Is

that your counting of that document, seven pages? Yes, sir, I believe so. The court reporter has marked seven. And can

you give me a thumbnail description of what Exhibit #4 consisting of seven pages is? This is an excerpt - okay, it's a transcript of a portion of a meeting held by the City Council, a budget work session meeting on I believe September the 26th of 2013. Yes, that's the date. At the conclusion of that meeting there was what I would consider to be substantial fireworks at the end of the meeting wherein Mr. Woolston asked for an investigation into Mr. Scearce. There were statements made by

Dr. Rosenberg about Mr. Woolston's activities as a realtor. There were just a number of

bombs thrown back and forth across the table.

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Page 23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. A. Q. Q. This I think was the genesis and the beginning of this investigative process. You believe this is what was the seed for eventually requesting the three areas of inquiry that we talked about earlier? Yes, sir. Now you said excerpt. Who made the

determination on these seven pages that this is the appropriate excerpt of that meeting where all this occurred? It came from the City Clerk. I simply asked

her for the tail end of the meeting where the discussion as to this investigation had occurred. that. She provided the transcript of

We can certainly provide a transcript The bulk of the

of the entire meeting.

meeting, however, was just budgetary items and didn't have anything to do with this investigation. So at my request concerning whatever information there was concerning the three areas of inquiry this was provided to me, is that correct? Yes, sir. And as you see it there are various initials

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Page 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. A. Q. A. in here. I'm just going to briefly run

through these, or maybe I'll let you run through them and give me who you understand MW, for example, is. is talking there. MW would designated Mike Woolston. designate Bill Scearce. Jack Golden. BS would Go down and tell me who

JG would designate

GS would designate Gary Shaw. MG would

Dr.R would be Dr. Rosenberg. designate Morris Glaze.

And then MCK would I believe

be Mayor Melodee Colbert-Kean. that's all.

Now those names that you related, they were all people that were properly in this budget session? Yes. They were members of the budget committee? The Council does not have a budget committee. They are members of the City Council, all of those individuals. Are there other members of the City Council that were not at this meeting? No, I believe everyone was there. So this is the City Council? Yes, I don't know if everyone spoke at this.

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Page 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. A. Q. A. Q. A. Q. A. Q. But these are the guys that did speak? Yes. As far as you know everyone was present? I believe so. So if I talk to the City Council about what happened at least everyone that was there, which we believe everybody, should say, hey, this kind of stuff happened? Yes. That's Exhibit #4, correct? Yes, sir. Exhibit #5, what is this, sir? This is a packet of documents, I cannot verify the authenticity or value of any of them, that were simply provided by Mr. Woolston that he had requested that it be provided to the investigator and I was simply delivering those to you. This appears to be a list comprised of 19 dates. What is that all about?

I believe that is a list -Closing dates? -- of closing dates on properties that he was involved with with Four State Homes or Charlie Kuehn that were going into the Land

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Page 26 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. Bank at the intersection, the northeast corner of 20th Street and Connecticut in Joplin. Why did he single out these 19 tracts? I would assume that he thought those were the relevant pieces because that was work that he had done with Charlie on behalf of Wallace-Bajjali that would ultimately end up in the redevelopment corporation. Would you tell me the relationship that these various names that you've just given me, tell me this is New Horizons Realty and it's Mike Woolston, broker. That's the card.

You will need to verify all this with Mr. Woolston, but my understanding Mr. Woolston has been a realtor in the community for quite some time, several years. He has for many A few

years worked for Pro 100 Realty.

months ago, and I don't know when this occurred, he went out on his own in some sort of partnership or corporate, I don't know what the structure is, with Charlie Kuehn, which I believe is the business that you noted as New Horizons Realty. I don't know

when that occurred with regard to these dates

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Page 27 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. A. Q. that are on Exhibit #5. the structure of that is. I don't know what He has never

provided that information to me. I've noted a name associated with Mr. Kuehn of Four State Homes. you're aware of? Yes, Mr. Kuehn is an owner, or maybe the owner, I'm not sure again of their structure, of a company called Four State Homes. I Is that another entity

believe there is also a company that may be involved in some of these transactions as a subsidiary that is Four States Commercial Real Estate possibly. I've had that name I do not

thrown at me a couple of times. know the accuracy of it.

And you don't know whether Woolston is involved in any of these other than New Horizons Realty? At the time I think a lot of these were done he was actually involved with Pro 100. And

then at some time later he left there and went to New Horizons Realty, but I don't know the structure. This Land Bank, all of these pieces of real estate that we have listed, 19 and I'm

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Page 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. assuming literally hundreds of others, have been placed into a 353 Corporation. a true statement? Yes, it's the Joplin Redevelopment Corporation, which is a Chapter 353 Corporation. Just for my knowledge what is a 353 Corporation? A 353 Corporation is a redevelopment corporation that allows a developer, generally they're utilized by developers, to purchase land and receive certain tax benefits for redeveloping the property. In Is that

this instance the 353 Corporation is a wholly owned - it is a separate corporation, but the City of Joplin owns all of its shares, appoints all of its directors, and does not directly control its activities, but does provide those appointments and it is an arm of the City for the redevelopment following the tornado. And who are the directors of the 353, if you know? Off the top of my head I'm not sure that I could name them all.

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Page 29 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. Q. A. How many are there? I believe there are seven. The current

Chairman is Gary Duncan, the immediate past chair is Ron Darby. And I can certainly

provide you a list of all the current members. The Treasurer presently is a lady

named Laura Delano and the Vice Chairman is Brian Shaw. Would you make a notation to yourself that I'd like you to get me something in writing that lists the present members and the past members during the period of complaint that we have? I assume back through the tornado Now at any time was

itself, I suppose.

Councilman Woolston involved in the directorship of the 353 Corporation? No. Was any other councilman on that corporation? A. There are no councilmen that sit as voting

members, however the Council has appointed a liaison from the Council to the Chapter 353 Corporation, and I believe in the relevant past it has been Dr. Rosenberg. Dr.

Rosenberg was diagnosed with cancer some months ago and underwent some treatment and

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Page 30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. A. Q. Q. during his absence Mr. Scearce was the recommended that attended those meetings. So Mr. Scearce would have been involved to the extent, he certainly has knowledge of what properties and who was involved in obtaining those properties for some substantial period of time? I would say so, yes. Isn't one of Mr. Scearce's complaints that Mr. Woolston is somehow improperly conducting business with the 353 Corporation? I think that is more Dr. Rosenberg's complaint you'll see in reading that excerpt from the meeting. The complaints have been

generally less about receiving any kind of funds improperly as to conduct, just simply acting inappropriately when negotiating to buy property that I have heard so far. As far as an auditor on the 353 Corporation does the City have an auditor? The City has auditors that come in and audit our books each year, but as far as an individual auditor whose sole purpose is that I can't say that we have one. Although, we

do have a finance director that watches these

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Page 31 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. Q. A. Q. A. Q. A. Q. A. Q. matters very, very closely and she has been extremely active with the Joplin Redevelopment Corporation as well. And what is her name? It's Leslie Haase, H-A-A-S-E. And she's a CPA of some sort? Yes, sir. And she does work full-time for the City? Yes, sir. Have you had any involvement with the 353 Corporation as City Attorney? Yes, sir. What is your involvement? I serve as general counsel for the 353 Corporation. We review the legal documents

that come through, real estate transactions. We review for the contracts and so on that come through for that, prepare resolutions, those kinds of things. Would every piece of property that's ever been acquired by the land holding company, I'll just call it the 353 Corporation, would they all have contracts? Yes, I believe so. And have you ever reviewed all those

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Page 32 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. A. Q. A. A. Q. contracts yourself? Yes. Have you reviewed the contracts for any percentage of increased revenue as the properties travel from one of the various entities landing up in the Land Bank Corporation? There were I'm sure realtor fees on some of them. I don't recall specifically of them,

but I'm sure there were realtor fees on some of them. I also know that as part of the

land banking activities Wallace-Bajjali, the City's master developer, is also paid a percentage in order to acquire the properties on behalf of the JRC to conduct those activities. What is that percentage, if you know? I believe it's 5.75 percent. So that would be like a real estate commission or something? Yes, it's their fee for going out and negotiating and trying to purchase those properties. Is there any other real estate fees paid in addition to that percentage that you've

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Page 33 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. Q. Q. A. Q. A. A. Q. A. referenced? I'm sure on some of these properties there were. Because they all haven't gone through Wallace-Bajjali? Most all of these have gone through Wallace-Bajjali. These 19 you're saying? Well, we purchased approximately I believe about 37 individual tracts. During this entire period? During the last year it's been about 37 tracts. And we just got started with the

Land Bank during that time period. So no real purchasing occurred prior to the last year, you're saying? Right. Were you involved in the management of the 353 Corporation throughout its existence as is relevant to this matter? Yes. Now who determined the method of purchasing the property? In what regard? Setting up the entire program with

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Page 34 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. A. Q. Q. A. Q. A. Q. A. Wallace-Bajjali. That was largely negotiated between the City Manager and the folks at Wallace-Bajjali, although once the basic structure was determined when we were given marching orders we did create a Land Bank agreement between the City, the Redevelopment Corporation, and Wallace-Bajjali. Would you mark down at some point in the future to provide me with a copy of the Land Bank agreement? Certainly. I assume your office prepared that? We did not prepare it. It was prepared

probably primarily from a law firm in St. Louis, Denton's, but we reviewed it and we negotiated several of the provisions. That would have been Wallace-Bajjali's attorney that prepared it? Yes. When you say the City Manager was involved in the formation of the methodology of purchase of land, was that to your exclusion? Not entirely. There were some meetings held

with experts in land banking that I was

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Page 35 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. Q. A. Q. Q. A. Q. involved in, but a lot of the structure was established prior to me being involved in it. But there were a couple of meetings that I sat in on talking about whether or not in Missouri a 353 Corporation could do this activity and some things like that. Did you find case law that indicated that you could? It seemed clear to me from the statute that we could. When you make reference to the 353 that would be 353 of the Missouri Right of Statute? Yes, sir. And I assume there's some subsection to that. A. Yes.

Seek or something like that? Yes. Do you have any knowledge as to why you were excluded from some of the meetings with the City Manager and Wallace-Bajjali? I don't. I would only be guessing.

I mean it seems to me that if you're creating this as an attorney you would be invited to that. I mean as an attorney I would feel Do you have a

that you should be there.

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Page 36 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. Q. A. similar opinion? I do. I tend to think there have been many

things that I should have been more involved in and invited into. In this instance I

think a lot of it has to do with just a difference in philosophy, that the Legal Department is there only to provide legal opinions when asked. Is that the philosophy of the governing body? A. No, I believe that's more the philosophy of

the Manager. Has that ever been brought to the attention of the governing body of the people that are elected? It has. And with what result? Ultimately after being excluded from meetings where a lot of this structure was being discussed with Wallace-Bajjali I had a conversation with the Mayor, Mayor Pro Tem, and possibly others. it's hard to remember. It's been long enough And the Manager was

given an ultimatum any time he was going to have a meeting with Wallace-Bajjali I was to be invited to those meetings.

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Page 37 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. A. A. A. Q. Q. A. Q. A. Q. Has that been done? Largely I believe so. But in the initial set-up stage it's my understanding that you were not included? That's true. Not to the degree that I feel I don't know that

like I should have been.

the 353 - in hindsight it feels to me like we created a whole lot more hoops for ourselves than we needed to when a lot of this could have been done directly by the City. Has the City Manager shared with you his reason why you were excluded? No. Has he attempted to explain the hoops that he did set up? No, the only time he and I ever had this discussion was during an argument and it was on something unrelated to this specifically, but I was told in no uncertain terms that I was already involved in too much. By whom? By Mr. Rohr. Well, Mr. Rohr would not be your boss. No, not at all. It's however difficult when

you don't know when or where the meetings are

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Page 38 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. A. A. Q. Q. to be present. Has the City Manager been reprimanded for excluding of Council any time in the past on this issue? No. I believe you stated earlier that he's been here nine years? I believe he started in 2004, in November of 2004. Does he have a legal background? Not that I'm aware of. Hasn't gone to law school or passed the bar? No. Who is looking after the ethical considerations of the matters if the lawyer wasn't? Did you have outside counsel?

To my knowledge there was no outside counsel. Once I became involved and began to try to do those things and watch for the ethics we had discussions with members of the JRC, we've had conflicts, we've had people recuse, and we've tried to stay on top of that since that point. I was involved once the JRC

became involved, but the decisions and the set-up leading us to that point I was very

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Page 39 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. openly not involved in. But once we began

working with the JRC to begin this process I have been fully involved since then. Are you normally copied in on meetings that the Director set up so you have the opportunity to advise the City Manager when you don't want to come as opposed to when he wants you there? I would say I am not advised of every meeting certainly. Don't you believe it's your charge and responsibility legally of overseeing what the city aldermen are doing in this community don't you believe you ought to have the opportunity to decline attendance as opposed to coming to meetings only when you're invited? Certainly. Now as far as City Council

meetings, the official meetings of the JRC, those I'm always there for those. don't miss. Those I

But it was the formational

meetings, the more informal meetings between staff that were somewhat problematic early on. At this point I believe I am more in the loop, although we still have projects that

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Page 40 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. A. Q. Q. come along that I haven't been briefed on. I guess I'm questioning who has the authority to exclude you. I would think that all

projects that are started within the city you ought to be given the opportunity to decide from a legal standpoint whether you should be at that meeting or whether it's not a legal concern to you. Correct. So if I'm thinking correctly as a lawyer I can't imagine going to a meeting officially that combines the City without any legal preview or review before it's too late. Sure, after something is done it's a little late to, you're reactive then, you're not proactive. And example at present the Manager apparently has been negotiating with a minor league baseball team to come to town. To the point

that we are ready to roll it out to the City Council as of next Monday I have never, not once, been briefed or had a conversation about anything about this minor league team. No idea what the contracts look like, no idea what the requirements for - I don't know. I

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Page 41 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. Q. A. Q. Q. A. A. Q. A. Q. haven't been brought into any of those conversations. Has the City Manager had meetings with their attorneys? I have no idea. I don't know what meetings

he's had with who. Have you made any complaint about that situation? I haven't yet because I just learned of it. Just learned of it. How long has that been going on? I couldn't tell you. But apparently we are

far enough along that we have a minor league team that we're ready to start consideration of and we're ready to roll it out to Council. As opposed to the Cardinals being in Springfield, perhaps some other team? Something like that, or probably something a little further down the minor league chain. Could be even the Cardinals, we don't know? I don't know. Is any of the board sitting on as special members of this? Of the Council? Yes.

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Page 42 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. Q. A. A. Q. A. A. Q. I don't know of any if there are. We're getting a little bit off center, but I think it's relevant to some of the areas that we're talking about here. this question. Let me ask you

Exhibit #6 is a pretty nicely Can you tell me is this

colored document.

something that Woolston gave you? Yes. Do you know what it's purported to be? I believe that it is the properties that he assisted with in the acquisition at 20th and Connecticut. Probably relates to Exhibit #5? I would say that the numbering probably coincides, although I can't testify as to the accuracy of any of it because I don't know. Well, it appears to be 19 tracts or pieces on both pages. That appears to be true. So

that's the best of your knowledge? Best of my knowledge. What is Exhibit #7? This is a statement from Robert Wood who was the President of Pro 100 that Mr. Woolston did not collect any real estate commission on any of the transactions at 20th and

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Page 43 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. A. Q. A. Q. Q. Q. A. Connecticut. They indicated one where he did

and gives a date and I'm not sure what the relevance of that is. Who is Robert Wood? I believe he's the President of Pro 100 Realty, which was Mr. Woolston's prior real estate company. The 1828 Connecticut would be one of these items listed on Exhibit #5 or #6, is that right? Yes, I believe so. Exhibit #8, what is this, sir? I don't know. Voting record of the City Council for the period of September 12th through September 13th. I don't know the relevance of that. just provided to me to give to you. Consists of pages 1 through 9, is that your understanding? Yes, sir. Again by Woolston. Exhibit Number #9. of bills. I'm going to hand you These appear to be a list It was

I assume it's in relation to Probably

Exhibit #8, but I don't know that.

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Page 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. A. Q. Q. A. a list of bills. This is a City Council agenda for July 1 of 2013 and he has highlighted certain of the bills, and again I don't know what the significance of those is. Again this has been provided by Councilman Woolston? Yes. Exhibit #10 is a memorandum from the City Attorney to Mayor Melodee Colbert-Kean from you, relationship between Council member Woolston, Charlie Kuehn, and Wallace-Bajjali. Can you explain what that was? Yes, sir, at a request from the Mayor to simply look into the basic ethical considerations and based upon the information I had at the time with Mr. Woolston being a member of Pro 100 and not accepting any kind of a commission on the properties it didn't appear to me that there was a violation of the basic ethics of the Council, which is Section 2-50 of our code. And then I also

made a statement that I did not know of any violations of the statute as well. That was based on the information you had.

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Page 45 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. A. Q. Q. A. Q. A. Did you know at the time that he did take at least one commission on 1825 Connecticut? He indicated that he did, however that was prior - as I understand it that was prior to the Land Bank agreement being placed, or prior to the master developer agreement being placed, and I don't recall which. It was

prior to the relationship between the City and Wallace-Bajjali. So that would not have gone through the Wallace-Bajjali? Well, he may have ended up with Wallace-Bajjali, but it was originally purchased by Mr. Kuehn. Now whether Mr.

Kuehn at that time was acting as an agent for Wallace-Bajjali I do not know. We know that a transaction that netted Woolston a commission of some sort on 1825 Connecticut and we know that Wallace-Bajjali later received a commission pursuant to their agreement? Yes. So we know there was at least two commissions on that piece of property? Yes.

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Page 46 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. Q. A. A. Q. Was there any knowledge that you have with this now that would cause you to change your opinion in Exhibit #10? Yes, because now as I understand it some time subsequent to the April 26th date Mr. Woolston, there apparently is some direct business relationship between he and Mr. Kuehn, which as I understand it didn't exist before other than Mr. Woolston as an independent realtor working under Pro 100 was assisting Mr. Kuehn to purchase properties on behalf of Wallace-Bajjali. Is Kuehn a real estate broker, also? I don't know whether he has a real estate license of any kind. But he works in some capacity with Wallace-Bajjali? Yes, he was an agent for Wallace-Bajjali to go purchase properties as I understand it for the purpose of not having the Wallace-Bajjali name or the City of Joplin attached to it so it could be purchased without the prices suddenly skyrocketing. So there at least is some knowledge that you have as we sit here today that would cause

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Page 47 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. Q. A. A. you to change your opinion that there was no conflict as shown on Exhibit #10? At the time this was written I don't know that there was any conflict. You're talking about Exhibit #10? Exhibit #10. I don't believe at the time

that Exhibit #10 was written that there was a conflict, however now if we were to go back and conduct the same activities with the set-up that we have now between Mr. Woolston and Charlie Kuehn I believe it would cause me to change my opinion. So would it be fair to say that perhaps a subsequent opinion ought to be issued on a follow-up of your memo that's marked here as Exhibit #10 pursuant to any information that you've gathered since that date? I've only gathered some anecdotal information. I probably do need to go do my

due diligence and request additional information from Mr. Woolston regarding his relationship at this point. Yes, I would say

a follow-up opinion is probably warranted. If you do that would you please give me benefit of any information you gather and any

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Page 48 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. Q. A. A. Q. opinions that you render? I will. Thank you, sir. Is it likely that matter is

timely to you in view of the fact that we're doing an investigation concerning some of this matter? It is timely except that there is no additional land banking to be done. are no additional funds to purchase additional land. Well, there will be, won't there, be additional funds? There may be coming in the future. If the There

stars align properly with the Missouri Development Finance Board and some other sources there may be additional land coming forward, or additional monies coming forward to purchase land, but as of right now there are no funds to purchase any. However, as a precautionary matter that opinion still would be relevant? Yes, I believe it would be. Thank you. Exhibit Number #11 appears to say

Full Display, 1 of 1, and it concerns County Jasper, commercial property. Would you tell

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Page 49 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. Q. A. A. Q. A. Q. A. me what you think that is? Well, this is a Beacon report. No, I'm

sorry, this is an MLS report, I believe, that shows the value of property on Connecticut. I don't know the relevance of it other than I think it may be an attempt to show the per acre or per square foot value of property in that area. Of course it's not an appraisal? No. And you don't have any insight or training on real estate acquisitions, do you? Other than just several years of practice of law. That's enough. But as far as actually any formal training, no, in real estate. You think you would be able to spot a price that would be greatly out of line on a contract? Yes, I believe I would be able to spot a price greatly out of line. And you haven't really seen anything like that so far? There have been some properties that were

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Page 50 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. A. Q. A. Q. Q. higher than maybe you would like them to be, however you're conducting a land banking activity where you are attempting to accumulate small tracts into a large tract, and as soon as people figure out that you're buying that residential property but it's not going to be used for residential all of a sudden it's going to get converted to commercial and they're going to want commercial value for it. And there may have

been a few that once you get near the end you may end up paying more for one just in order to finish it up. You're actually creating a different highest and best use and you would expect a value change? Yes, and we have seen some of that. Let's use the term gouging. any gouging? I don't believe so. I notice there was a Chamber of Commerce active down here that works for the City on some kind of lending, is that true? know of anything like that? I know the Chamber has certain programs that Do you You haven't seen

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Page 51 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. A. Q. A. Q. A. Q. Q. A. it utilizes to lend money to start up businesses and some things like that. Where does the Chamber get that money? I believe that those are all donations that they receive for those funds or they've received endowments for them. I'm kind of

speaking out of my realm of knowledge. Is there federal money involved in it? Not that I'm aware of. So these loans then are made out of the Chamber's money? Yes. Does the City fund the Chamber? The City does fund the Chamber. To what extent? I believe it's about $300,000.00 a year for operations. So to the extent that the City funds the Chamber is there any potential conflicts in your mind? There would be. For city officials? For city officials I think so. However, as

long as the funds are segregated and there's an independent body making the decisions I

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Page 52 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. A. Q. Q. have less concern about that. However, if

they were utilizing city funds it certainly would. And of course it always is the

appearance of an impropriety, too, regardless of whether there's actual city money flowing, you always have the appearance, which is often worse than the actual. And, in fact, lawyers have to be aware of that appearance very much and so do officials, don't they? Absolutely. Certainly.

Do we have any registered lobbyists to the best of your knowledge in this area out of the lobby registration statute of Missouri? Are you familiar with that? The only one that I know of is the lobbyist with the City who is in Jefferson City, a gentleman named Gary Burton. Burton Lessee that we utilize. It's a firm But as far as

anyone registered with the City to lobby the City I am not aware of any. Would Wallace-Bajjali and Charlie Kuehn be in a position to direct the City and in effect lobby City officials? Well, Wallace-Bajjali is a contractor hired

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Page 53 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. A. Q. A. Q. Q. A. Q. A. Q. by the City. They're under contract to do

certain activities with the City so I don't know that they would be directing the City to do anything. Charlie Kuehn I suppose as a

local developer certainly could lobby City officials potentially for a rezoning or anything of something like that. He is a local developer? Yes. And a broker? I don't know that. Have you ever talked with this fellow, the convicted bookie named Lovett? I have not. Do you know where he's located? I do not. Do you have any way of obtaining information where he is located? The only person that I know that may have that information is Mr. Scearce. I will probably talk with Mr. Scearce pretty soon, but if there's any way to start that process to see if I could talk to that fellow I would like you to at least look into it from a City Attorney's standpoint. I don't

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Page 54 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. A. Q. Q. A. Q. A. Q. A. A. know how successful you'll be with that. I've got a couple of other names here. Darby, who is Ron Darby? Ron Darby is the immediate past President of the Joplin Redevelopment Corporation. What's his normal business? He is retired at this point. I believe he Ron

was a buyer for Walmart for many years. And he's President of the 353 Corporation? He's the immediate past President. Who is Gary Duncan? Gary Duncan is the current President of the 353 Corporation. He was the President and

CEO of Freeman Health Systems for a number of years. Would either of those gentlemen have sat in with the City Administrator when he was forming the concept of how to buy these properties back? Mr. Darby may very well have. Mr. Duncan

wasn't involved at all with the 353 at that time. Before I came here I was making some phone calls. Stark. One phone call I made was to Carol You know who she is?

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Page 55 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. A. Q. Yes, sir. She would not talk with me. Do you have any

knowledge as to why she wouldn't meet with me? Do you have any speculation on that?

I don't know why she wouldn't meet with you at all. Her name has come up several times to me. I

know she's an editor of a newspaper, but her name has come up. Obviously it's on this

sheet of paper, Exhibit #1 I think it is that we've talked about. So have you ever talked

with her about any of this? I don't believe she and I have ever talked about this. I've been interviewed a few times over the years by Ms. Stark, but generally it's one of the other reporters that I deal with. Have you been able to glean any editorial bias on any of these issues on investigating from her over the past year just in looking at her columns and stuff? I would say that Ms. Stark has a very definite bias. And bias, maybe just opinion.

She, in fact, wrote an editorial where she called for Mr. Scearce's resignation.

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Page 56 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. A. Q. Q. A. Q. A. Q. A. Q. Oh. Fairly recently. Can I get a copy of that editorial? Sure. Do you recall what she said in that? I don't. But she won't talk to me so I can't really find out why she - but I guess I could read her column. Okay, if you could produce that

I would really appreciate that. I'll do my best. All right. City? Dave Wallace is one of the principals in Wallace-Bajjali and worked as the City's master developer and the company that is engaging in the land banking activities. As you've indicated you don't think they have any money left to buy anything now? Yeah, the funds that were available are pretty well dried out. Are they still on retainer with the City then or are they just in hold status, or are they discharging their responsibilities? No, they're still on with the City. There Dave Wallace is still on with the

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Page 57 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. A. Q. are two projects, I'll lump a couple of them together, but there are two projects that are ongoing. One of them is a senior

transitional living project that will occur at 26th and McClelland on the southwest corner. They are a developer in that. Then

they are also working with the City on a larger scale development of a potential grocery store and library theater development at 20th and Connecticut. Are you involved in any of that? Yes, very much so. And from the start? Yes. That's as it should be. Yes. Have you actually received any complaints concerning any citizens or has the hotline received any complaints from any citizens concerning any involvement mostly with the folks that sold or were threatened to condemn? We received a complaint from an ex-mayor of Joplin, many years ago ex-mayor named Cheryl Dandridge.

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Page 58 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. Q. A. Q. Q. A. Q. A. Q. A. Q. A. Q. A. Dandridge? Dandridge. Related to her

daughter/son-in-law, daughter-in-law/son, I forget which. What was the nature of that complaint? It had to do with Mr. Woolston's activities and the tactics that he was attempting to use to purchase property with. Would she be available for me? I'm sure she would. to talk with you. Oh, really? Certainly. Will you explain her name again? Cheryl, C-H-E-R-Y-L, Dandridge I believe is D-A-N-D-R-I-D-G-E. percent. Sounds pretty good. Former mayor? I'm not a hundred Could we possibly schedule her? In fact, she requested

She was a former mayor in the 80's. Last name has probably changed since the 80's, I'd guess here in Joplin? Maybe so, yes. What's the population presently of Joplin? Approximately 50,000. It may be a little bit

less than that following the tornado.

Holliday Reporting Service, Inc. 417-358-4078

Brian W. Head

In Re:

Joplin Critical Investigation

Page 59 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. A. A. Q. A. Q. A. Q. A. Q. Q. A. Q. Where does that put us, in front of Columbia or behind Columbia? Behind Columbia. We like to say that the

Jasper/Newton County metropolitan statistical area is the third largest in the state after Kansas City and St. Louis, however that's really only because Jefferson City and Columbia have separated theirs. Good point. Actually would be larger than

Springfield in that regard? Uh-huh. I noticed every fast food restaurant in the world. People here eat. You're married? I'm not. I'm single.

I'm under the impression that Bill Scearce has an attorney. Has that attorney voiced

any interest in talking with me at all? Not to me, no. Does Mr. Scearce know I want to talk with him? I believe he does, yes. Has he said anything about his attorney? No.

Holliday Reporting Service, Inc. 417-358-4078

Brian W. Head

In Re:

Joplin Critical Investigation

Page 60 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Q. Q. A. A. Q. A. Q. Q. And it's my understanding that Mr. Lovett actually did receive some time for bookmaking and it was federal at the time? That's my understanding. And he is now out of jail? That's my understanding. And he did of course rent from Councilman Scearce during that period of time? Yes, Mr. Scearce has made the statement though, also, that Mr. Lovett was not convicted or charged with any bookmaking activities - let me restate that. The

bookmaking activities that he was convicted of and charged with did not occur on Mr. Scearce's property. While he may have been

making book there he was not charged with any activities on that property. I've understood that Mr. Scearce says he did not know of the bookmaking activity when he rented the place to Mr. Lovett. true statement? He has said that, yes. And I also note that there was an article that says he recanted in part and said that at some point he was aware that there was Is that a

Holliday Reporting Service, Inc. 417-358-4078

Brian W. Head

In Re:

Joplin Critical Investigation

Page 61 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 (SWORN STATEMENT CONCLUDED) A. Q. A. Q. A. Q. A. Q. some activity going on. that? Yes. And that's in an article somewhere? It is. Could you get me a copy of that one? Sure. Sorry to put this burden on you, but you're the City Attorney and I think this is some interesting material. I believe I'm done. If Am I correct on

there's some other material that does arrive I would maybe ask you to perhaps sit in on that, but I essentially think with the additional materials you will be providing me with I think we're done. Okay. Thank you very much for your time.

Holliday Reporting Service, Inc. 417-358-4078

Brian W. Head

In Re:

Joplin Critical Investigation

Page 62

REPORTER'S CERTIFICATE

STATE OF MISSOURI ss. COUNTY OF JASPER I, SHARON K. ROGERS, Certified Court Reporter in the State of Missouri, do certify that pursuant to the foregoing Stipulation the witness came before me on the 5th day of November, was duly sworn by me, and was examined. That examination was then taken by me by steno-mask recording and afterwards transcribed; said Sworn Statement is subscribed by the witness as hereinbefore set out on the day in that behalf aforesaid and is herewith returned.

I further certify that I am not counsel, attorney, or relative of either party, or clerk, or stenographer of either party or of the attorney of either party, or otherwise interested in the event of this suit.

_________________________ SHARON K. ROGERS, CCR-650

Holliday Reporting Service, Inc. 417-358-4078

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