Wednesday, December 12, 2018

Cocktails & Popcorn: FBI Indictments Drop In Downtown Improvement Authority & Elected Officials Resign - In Talahassee, Not Detroit

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"That transposable model tastes just about right."
Gosh, Golly Geeze!

You guys keep pulling a fast on one me.

I thought this was about Detroit.

Nice trolling on the part of the U.S. Northern District of Florida leaky thing.

You know I just adore those transposble models.

Maybe the next city will be Detroit, if I am not tricked again.

Excellent use of mixed media in reporting.

FUN FACT! TALAHASSEE GOT TARP MONEY

As FBI indictments drop, Paige Carter-Smith resigns from Downtown Improvement Authority



Paige Carter-Smith is stepping down from her position as executive director of the Downtown Improvement Authority in light of a federal indictment naming her and her former boss and close friend, City Commissioner Scott Maddox.

At 7:45 a.m., Authority Board President Chris Dudley received a call from Carter-Smith asking if he'd read a Tallahassee Democrat online article stating she and Maddox had been indicted by a federal grand jury on public corruption charges. 
Both are facing 44 counts of racketeering, bank fraud, extortion, making false statements to financial institutions and other charges. 
Neither Carter-Smith nor Maddox has returned calls for comment. 
The latest:
Jeff Burlew and Jennifer Portman breakdown FBI warrant. The search warrant seeks to require computer giant Apple to disclose communications, government records, and other information from the Apple IDs and iCloud account of Scott Maddox.
They are in U.S. Marshals custody inside the federal courthouse, according to a source close to the case. Court documents indicate Maddox was arrested by federal agents Wednesday morning and Carter-Smith turned herself in.

Both are scheduled to make an initial appearance in federal magistrate court at 3 p.m. today.
"She was clear to me that she was going to resign from her position and focus on this,” Dudley said in a phone interview with the Democrat.

A resignation letter has not yet been submitted. However, Dudley said it is "imminent" and didn't believe the authority's top employee would be in the position within two weeks.

Dudley plans to consult City Attorney Cassandra Jackson on how to proceed and when to call a special meeting with the board to discuss Carter-Smith's resignation and a search for her successor.

Leon County Commissioner Mary Ann Lindley, who was appointed to the DIA board Monday and has yet to attend a meeting, learned about Carter-Smith's resignation from the Democrat.
"I believe in the rule of law. She hasn’t been found guilty," Lindley said. "If she made that decision, that only makes it easier on the board. Perception is important.”

Carter-Smith, 53, was hired June 1, 2016, after the departure of Jay Revell, who's now vice president of the Tallahassee Chamber of Commerce. She was chosen from among 25 applicants to manage the daily operations of the special taxing district.

The corruption scandal prompted some board members to call for the resignation of their embattled executive. She was hired earning a base salary of $65,000 and eligible for $2,500 bonuses for securing a set number of sponsorships for the Downtown GetDown and the Concert Series, according to her contract.

In February, Barney Bishop, a prominent lobbyist and founder of Citizens for Responsible Spending, urged board members to suspend Carter-Smith without pay. The board voted 4-3 to delay any action and cast a vote of confidence in her ability to carry out the duties.

For more than a decade, Carter-Smith has been active in Tallahassee's civic and political life. She played a role in carving out a vision for Cascades Park. Later, she served as co-chairwoman of the Knight Creative Communities Institute 2015 Catalyst Class — EnCompass Tallahassee. She has also served on a variety of boards such as the Leon County Tourist Development Council.

Scott Maddox and Paige Carter-Smith were indicted on a total of 44 charges. Dillon Thompson, Tallahassee Democrat
In 1997, Carter-Smith was chief of staff to then-Mayor Scott Maddox, one of Tallahassee's most prominent political players. Later the two longtime friends were involved in the firm, Governance Inc.

In February, the Democrat obtained federal court documents that offered a glimpse into the corruption probe involving Carter-Smith, Maddox, Governance Inc. and city vendors.

The FBI alleged Maddox sold Governance to Carter-Smith sometime between 2010 and 2012 but still maintained power in secret over the firm while making decisions on city policies related to select vendors. He launched the firm in 1999 while he was mayor.

Over a five-year stretch, Governance brought in nearly $400,000 in payments to Maddox or Maddox and his wife and nearly $200,000 more to his family members, according to court documents.






For two years, allegations of public corruption at City Hall have swirled, tarnishing the city's reputation and hamstringing the Downtown Improvement Authority's ability to secure sponsorship, said Dudley, a lobbyist with Southern Strategy Group.

Two days ago, the authority's board met and learned the agency brought in significantly less money this year. Several factors played a role, including weather, construction and competing events in other parts of town. However, Dudley said the federal investigation was chief among them, and added he was "disappointed by the performance of the DIA this year."

Dudley said he'd reached out to the city's accounting staff Tuesday for help understanding the budget format, which differs from the DIA's approach. He said 2018 was "a perfect storm with everything going on."

Contact TaMaryn Waters at tlwaters@tallahassee.com or follow @TaMarynWaters on Twitter. 
Carter-Smith and the DIA:

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