News from the Lone Star State
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Parents arrested for serving alcohol at daughter's party
By STEVE STOLER / WFAA ABC 8
MCKINNEY, Texas - Parents who hosted a party for their teenaged daughter were arrested after officers said the birthday party off Timberbrook Trail in McKinney got out of hand.
"Officers found a number of teenagers that were intoxicated," said Capt. Randy Roland.
Police said when they arrived, more than 40 kids scattered in various directions.
Eddie and Michelle Morris, the parent's who owned the home where the party was held, admitted they supplied alcohol for their 18-year-old daughter's birthday party, police said.
"We've got inexperienced drivers mixing alcohol with their inexperienced driving and that leads to a disaster," Capt. Roland said.
Two teens that went to the party said that most of the kids that were at the party brought their own alcohol.
"They were just trying to have a good time, throw their daughter a party and they ended up getting busted," said R.J. Medrano, who attended the party. "Other kids brought their own alcohol and got them in trouble."
However, many neighbors were upset by the news.
"I just find that really kind of appalling because that is such a dangerous situation," said neighbor Joe Selinski. "It puts those parents, number one, accountable for those kids if anything should have happened."
"Somebody's got to say no, and in this case there was nobody to say no," Capt. Roland said.
By STEVE STOLER / WFAA ABC 8
MCKINNEY, Texas - Parents who hosted a party for their teenaged daughter were arrested after officers said the birthday party off Timberbrook Trail in McKinney got out of hand.
"Officers found a number of teenagers that were intoxicated," said Capt. Randy Roland.
Police said when they arrived, more than 40 kids scattered in various directions.
Eddie and Michelle Morris, the parent's who owned the home where the party was held, admitted they supplied alcohol for their 18-year-old daughter's birthday party, police said.
"We've got inexperienced drivers mixing alcohol with their inexperienced driving and that leads to a disaster," Capt. Roland said.
Two teens that went to the party said that most of the kids that were at the party brought their own alcohol.
"They were just trying to have a good time, throw their daughter a party and they ended up getting busted," said R.J. Medrano, who attended the party. "Other kids brought their own alcohol and got them in trouble."
However, many neighbors were upset by the news.
"I just find that really kind of appalling because that is such a dangerous situation," said neighbor Joe Selinski. "It puts those parents, number one, accountable for those kids if anything should have happened."
"Somebody's got to say no, and in this case there was nobody to say no," Capt. Roland said.
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Frisco schools may get $1.2B
Officials say huge bond plan needed to keep up with growth
By KAREN AYRES / The Dallas Morning News
FRISCO, Texas – Voters in this swiftly growing city could be asked to endorse a school bond package as large as $1.2 billion in May, an unprecedented amount for suburban taxpayers in Texas.
With an average of 20 new students arriving every school day, a district committee is considering proposals, stretching from $600 million to $1.2 billion, to finance a massive building program for families lured to this Collin County suburb.
The largest proposal is more than twice the size of the district's last record-breaking $478 million plan three years ago. It tops every plan ever put before voters in the biggest cities across Texas except for a $1.37 billion package approved in the Dallas school district in 2002, records show.
Dallas has roughly 1.2 million residents. Frisco, formerly a small farming community and now the fastest-growing district in the state, is home to slightly more than 80,000 people who would be asked to shoulder what could be several hundred dollars a year apiece in additional taxes.
School leaders in Frisco, accustomed to overwhelming support for bond packages, stress that the funds are needed to maintain small schools as the district triples in size to a projected 57,000 students in eight years.
Ideally, officials want middle schools smaller than 950 students and elementary schools below 750 students. All high schools are supposed to cap at between 1,600 and 1,800 students, which falls into the 4A sports classification.
Officials argue that small schools help students form ties and prevent kids from going unnoticed in the classroom.
"The primary factor is trying to keep the schools small enough so the kids can connect and be part of something," Superintendent Rick Reedy said.
In school leaders' minds, the only difference among the proposals is how many times they'll have to ask voters for more money.
"I don't think there is any question that, ultimately, we will need all of it," said Buddy Minett, the school board president. "It's just when."
The proposal comes at the same time the city is considering seeking voter approval on a $200 million bond package for streets, police and fire equipment, fresh court facilities and other capital projects.
The push for cash has grown over the past decade as outer-ring communities like Frisco have exploded with fresh housing stock and an appealing family-oriented lifestyle close to good schools.
Population boom
With just 1,800 students in 1993, the district first saw signs of growth in the mid-1990s. What started as a few hundred additional students a year quickly turned into a few thousand.
In January, the district welcomed its 20,000th student. Demographers, eyeing developable land and an abundance of preschool students, predict that the pace will only accelerate.
In the next five years, the Frisco school district expects to add nearly 19,000 kindergarten students – more than the total number of students in the entire district last year.
When the city reaches buildout, perhaps as early as 2013, demographers predict that about 57,000 students will be enrolled in the district. That's based on an overall Frisco population estimate of between 250,000 and 300,000.
So how do you find space for all these students? You build, officials said.
Since 1998, the district has opened 21 schools. Officials speculate that as many as 92 buildings will eventually be needed. Right now, the district has 26.
Officials first went out for a bond vote to address the population boom in 1998, garnering 95 percent of the vote. It was followed by another one in 2000, with another strong approval vote of 96 percent. Three years ago, the district set a state record for the largest suburban bond package at $478 million, with 89 percent voting yes.
District officials – who often speak in terms of student population rather than years – say the $478 million plan was designed to get to 36,000 students. That translates into 18 elementary schools, three middle schools and one high school.
New schools
So far, the district has opened only two elementary schools and one middle school with that money, but six schools are set to open in August and many more are in planning stages.
Richard Wilkinson, assistant superintendent for facilities and finance, says all but about $80 million from the 2003 plan will probably be tied up in contracts within the next six to eight months.
The trouble, he says, is that he needs more cash to start planning for other buildings. Depending on size, a school can take up to two years to create from sketches to the opening bell.
"I couldn't wait for two years to look at another bond program because I would get behind on planning for the next round of schools," said Mr. Wilkinson, who stresses that the committee has not decided on a proposal.
Schools don't come cheap. A high school currently runs about $50 million, a middle school about $20 million, and an elementary school about $11 million. Building costs have been increasing about 6 percent every year.
Cost to taxpayers
So how much will these schools cost individual taxpayers?
School leaders say they don't yet have the answers. When voters approved the $478 million plan in 2003, the district predicted it could cost up to $444 a year for a resident with property worth $199,000, the average at the time.
At this point, the tax rate has only increased 5 cents per $100 of assessed property value because all of the bonds have not been issued. The district's tax rate of $1.63, which includes the debt payments, is still smaller than the surrounding Plano, McKinney and Allen districts. As more people move into town, there will be more taxpayers to cover the bill.
Though the committee hasn't yet reviewed the tax bills associated with any of the three proposals under review, all of them would be significantly larger than the 2003 plan.
Roughly nine out of 10 voters have supported every bond proposal put before them in the past – largely because many of them flocked to Frisco for the small schools and good reputation. Frisco ISD was labeled a "recognized" district by the Texas Education Agency this year.
How to present it
Members of the bond committee and school board say they never take that support for granted. The question now comes down to whether voters would be more receptive to a big proposal all at once or several smaller requests.
"You always are worried about the sticker shock of any bond until you get that education out to the voters," said Jude Rogowski, a bond committee co-chairman.
Judy Good, an analyst with the Texas Bond Review Board, said the decision on the size and number of requests won't make or break the district's finances, noting that districts don't sell bonds until they actually need money for new buildings.
"If people see this huge dollar amount, maybe they're more apt to say no," Ms. Good said. "If they break it up, maybe they'll pass it. It's kind of a gamble, but financially I don't know that it would make a difference."
The City Council will receive information on its own $200 million bond proposal on Tuesday in advance of a potential May vote. Frisco City Manager George Purefoy said he doesn't anticipate that the school district's larger construction plans would interfere with the city's plans.
The school bond committee needs to pick a final proposal to put before the board by March in time for the board to call an election in May.
School board member Dan Mossakowski said the board would almost certainly accept the committee's recommendation to put before the voters.
"People come to Frisco because it's a great place to live," Mr. Mossakowski said. "They want to raise a family here. There are some costs associated with that, unfortunately."
Staff writer Bill Lodge contributed to this report.
Officials say huge bond plan needed to keep up with growth
By KAREN AYRES / The Dallas Morning News
FRISCO, Texas – Voters in this swiftly growing city could be asked to endorse a school bond package as large as $1.2 billion in May, an unprecedented amount for suburban taxpayers in Texas.
With an average of 20 new students arriving every school day, a district committee is considering proposals, stretching from $600 million to $1.2 billion, to finance a massive building program for families lured to this Collin County suburb.
The largest proposal is more than twice the size of the district's last record-breaking $478 million plan three years ago. It tops every plan ever put before voters in the biggest cities across Texas except for a $1.37 billion package approved in the Dallas school district in 2002, records show.
Dallas has roughly 1.2 million residents. Frisco, formerly a small farming community and now the fastest-growing district in the state, is home to slightly more than 80,000 people who would be asked to shoulder what could be several hundred dollars a year apiece in additional taxes.
School leaders in Frisco, accustomed to overwhelming support for bond packages, stress that the funds are needed to maintain small schools as the district triples in size to a projected 57,000 students in eight years.
Ideally, officials want middle schools smaller than 950 students and elementary schools below 750 students. All high schools are supposed to cap at between 1,600 and 1,800 students, which falls into the 4A sports classification.
Officials argue that small schools help students form ties and prevent kids from going unnoticed in the classroom.
"The primary factor is trying to keep the schools small enough so the kids can connect and be part of something," Superintendent Rick Reedy said.
In school leaders' minds, the only difference among the proposals is how many times they'll have to ask voters for more money.
"I don't think there is any question that, ultimately, we will need all of it," said Buddy Minett, the school board president. "It's just when."
The proposal comes at the same time the city is considering seeking voter approval on a $200 million bond package for streets, police and fire equipment, fresh court facilities and other capital projects.
The push for cash has grown over the past decade as outer-ring communities like Frisco have exploded with fresh housing stock and an appealing family-oriented lifestyle close to good schools.
Population boom
With just 1,800 students in 1993, the district first saw signs of growth in the mid-1990s. What started as a few hundred additional students a year quickly turned into a few thousand.
In January, the district welcomed its 20,000th student. Demographers, eyeing developable land and an abundance of preschool students, predict that the pace will only accelerate.
In the next five years, the Frisco school district expects to add nearly 19,000 kindergarten students – more than the total number of students in the entire district last year.
When the city reaches buildout, perhaps as early as 2013, demographers predict that about 57,000 students will be enrolled in the district. That's based on an overall Frisco population estimate of between 250,000 and 300,000.
So how do you find space for all these students? You build, officials said.
Since 1998, the district has opened 21 schools. Officials speculate that as many as 92 buildings will eventually be needed. Right now, the district has 26.
Officials first went out for a bond vote to address the population boom in 1998, garnering 95 percent of the vote. It was followed by another one in 2000, with another strong approval vote of 96 percent. Three years ago, the district set a state record for the largest suburban bond package at $478 million, with 89 percent voting yes.
District officials – who often speak in terms of student population rather than years – say the $478 million plan was designed to get to 36,000 students. That translates into 18 elementary schools, three middle schools and one high school.
New schools
So far, the district has opened only two elementary schools and one middle school with that money, but six schools are set to open in August and many more are in planning stages.
Richard Wilkinson, assistant superintendent for facilities and finance, says all but about $80 million from the 2003 plan will probably be tied up in contracts within the next six to eight months.
The trouble, he says, is that he needs more cash to start planning for other buildings. Depending on size, a school can take up to two years to create from sketches to the opening bell.
"I couldn't wait for two years to look at another bond program because I would get behind on planning for the next round of schools," said Mr. Wilkinson, who stresses that the committee has not decided on a proposal.
Schools don't come cheap. A high school currently runs about $50 million, a middle school about $20 million, and an elementary school about $11 million. Building costs have been increasing about 6 percent every year.
Cost to taxpayers
So how much will these schools cost individual taxpayers?
School leaders say they don't yet have the answers. When voters approved the $478 million plan in 2003, the district predicted it could cost up to $444 a year for a resident with property worth $199,000, the average at the time.
At this point, the tax rate has only increased 5 cents per $100 of assessed property value because all of the bonds have not been issued. The district's tax rate of $1.63, which includes the debt payments, is still smaller than the surrounding Plano, McKinney and Allen districts. As more people move into town, there will be more taxpayers to cover the bill.
Though the committee hasn't yet reviewed the tax bills associated with any of the three proposals under review, all of them would be significantly larger than the 2003 plan.
Roughly nine out of 10 voters have supported every bond proposal put before them in the past – largely because many of them flocked to Frisco for the small schools and good reputation. Frisco ISD was labeled a "recognized" district by the Texas Education Agency this year.
How to present it
Members of the bond committee and school board say they never take that support for granted. The question now comes down to whether voters would be more receptive to a big proposal all at once or several smaller requests.
"You always are worried about the sticker shock of any bond until you get that education out to the voters," said Jude Rogowski, a bond committee co-chairman.
Judy Good, an analyst with the Texas Bond Review Board, said the decision on the size and number of requests won't make or break the district's finances, noting that districts don't sell bonds until they actually need money for new buildings.
"If people see this huge dollar amount, maybe they're more apt to say no," Ms. Good said. "If they break it up, maybe they'll pass it. It's kind of a gamble, but financially I don't know that it would make a difference."
The City Council will receive information on its own $200 million bond proposal on Tuesday in advance of a potential May vote. Frisco City Manager George Purefoy said he doesn't anticipate that the school district's larger construction plans would interfere with the city's plans.
The school bond committee needs to pick a final proposal to put before the board by March in time for the board to call an election in May.
School board member Dan Mossakowski said the board would almost certainly accept the committee's recommendation to put before the voters.
"People come to Frisco because it's a great place to live," Mr. Mossakowski said. "They want to raise a family here. There are some costs associated with that, unfortunately."
Staff writer Bill Lodge contributed to this report.
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Dallas City Limits' fiscal data sought
Council split on viability of entertainment project, focuses on 'legal issues'
By DAVE LEVINTHAL / The Dallas Morning News
DALLAS, Texas - The backers of an expansive downtown entertainment complex proposal have two weeks to produce financial records and address unspecified "legal issues" before the Dallas City Council continues negotiations.
The decision by the council to wait for financial information came Wednesday after one of its longest closed-door meetings in years – almost four hours.
Council members, however, differed on whether the proposed $250 million concept is unraveling or remains on line for council approval in some fashion. And they differed on what tax incentives, if any, the city should offer development company Dallas City Limits, which is seeking public aid.
Had the council voted on the proposal Wednesday, it would not have passed, several members agreed.
"They still haven't shown us that they have money. We've never seen that they have the wherewithal to build it," Mayor Laura Miller said of Dallas City Limits, repeating her longtime criticism of the proposal. "For me, that's insurmountable."
Mayor Pro Tem Don Hill, listening nearby, interjected: "That is so inappropriate. They've invested – according to our staff – they've invested $10 million into this project already. That's ludicrous."
Dallas City Limits' financing "will be there," Mr. Hill said.
Ms. Miller fired back.
"I will always be against putting taxpayer money in projects where the person asking for the money has no money of their own," she said.
City Attorney Tom Perkins asked that council members not publicly discuss the "legal issues" that some council members say remain obstacles to the project's success.
The complicated project involves a three-way land swap that, if executed, ultimately would give the city control of a tract of nearly vacant land next to the Dallas Convention Center – land it hopes to sell to Dallas City Limits to develop into the entertainment complex.
Council member Mitchell Rasansky said one legal issue involves "covenants that are attached to Reunion" Arena, one of the pieces of the proposed land swap, but he would not discuss specifics. The city has previously entered into agreements governing the use of Reunion Arena, which is slated for demolition as part of the land swap.
Dallas City Limits executive Bill Beuck said Wednesday afternoon that he hadn't spoken with city officials, and as a result, did not want to comment on the council meeting.
"We clearly understand that transactions have to be good for all parties involved," Mr. Beuck said. "The city is working in good faith, as are we. We realize it's a complicated situation."
Mr. Beuck declined to discuss details of Dallas City Limits' financial situation, or why the group hasn't presented the city with the financial material it wants. The city has not, however, presented Dallas City Limits with its terms for the project, which would presumably reveal any tax incentives Dallas plans to offer.
A preliminary term sheet valued Dallas' tax incentive offering at $20 million.
Mr. Beuck said the city should invest in infrastructure in and around the proposed development site, including money to improve a parking garage, fix streets and build a connection system from the Dallas Convention Center to Dallas City Limits.
Mr. Rasansky said after the closed-door meeting that the city shouldn't swap land at all.
Officials closed the executive session to the public because they said they'd be discussing legal issues, a permissible reason under state open meeting laws.
"If they have the financial capability to do this, let them show us," Mr. Rasansky said. "Without it, as far as I'm concerned, the property will only increase in value, and this is not the time to sell."
Where to now?
"The general consensus is that we're going to keep working things through the economic development committee until it makes it, or it's dead," said council member Bill Blaydes, the committee's chairman. "It's still up in the air."
The proposed land swap works like this: Dallas would transfer its ownership of Reunion Arena to billionaire oilman Ray Hunt's Woodbine Development Corp., which has said it plans to demolish the facility to make way for an unspecified project.
Woodbine would give Dallas part of a little-used parking lot – known as Lot E – that the company owns near the struggling Dallas Convention Center, which the city also owns.
After coupling Lot E with land the city already owns, government officials would sell the property to Dallas City Limits for $30 million, according to preliminary terms.
As presented by its backers, Dallas City Limits would be a $250 million project, the centerpiece of which would be a 400,000-square-foot entertainment complex featuring shops, restaurants, nightclubs, a health club, a concert hall and an outdoor arena. Mr. Beuck said construction could begin as soon as spring, pending council approval.
A later project phase calls for an expansion south of Interstate 30 into the Cedars neighborhood along the Trinity River, which would feature an equestrian center, a horse-racing track with pari-mutuel wagering, a polo field, residential apartments and condominiums, and a 4,000-seat indoor arena, according to project plans.
Council split on viability of entertainment project, focuses on 'legal issues'
By DAVE LEVINTHAL / The Dallas Morning News
DALLAS, Texas - The backers of an expansive downtown entertainment complex proposal have two weeks to produce financial records and address unspecified "legal issues" before the Dallas City Council continues negotiations.
The decision by the council to wait for financial information came Wednesday after one of its longest closed-door meetings in years – almost four hours.
Council members, however, differed on whether the proposed $250 million concept is unraveling or remains on line for council approval in some fashion. And they differed on what tax incentives, if any, the city should offer development company Dallas City Limits, which is seeking public aid.
Had the council voted on the proposal Wednesday, it would not have passed, several members agreed.
"They still haven't shown us that they have money. We've never seen that they have the wherewithal to build it," Mayor Laura Miller said of Dallas City Limits, repeating her longtime criticism of the proposal. "For me, that's insurmountable."
Mayor Pro Tem Don Hill, listening nearby, interjected: "That is so inappropriate. They've invested – according to our staff – they've invested $10 million into this project already. That's ludicrous."
Dallas City Limits' financing "will be there," Mr. Hill said.
Ms. Miller fired back.
"I will always be against putting taxpayer money in projects where the person asking for the money has no money of their own," she said.
City Attorney Tom Perkins asked that council members not publicly discuss the "legal issues" that some council members say remain obstacles to the project's success.
The complicated project involves a three-way land swap that, if executed, ultimately would give the city control of a tract of nearly vacant land next to the Dallas Convention Center – land it hopes to sell to Dallas City Limits to develop into the entertainment complex.
Council member Mitchell Rasansky said one legal issue involves "covenants that are attached to Reunion" Arena, one of the pieces of the proposed land swap, but he would not discuss specifics. The city has previously entered into agreements governing the use of Reunion Arena, which is slated for demolition as part of the land swap.
Dallas City Limits executive Bill Beuck said Wednesday afternoon that he hadn't spoken with city officials, and as a result, did not want to comment on the council meeting.
"We clearly understand that transactions have to be good for all parties involved," Mr. Beuck said. "The city is working in good faith, as are we. We realize it's a complicated situation."
Mr. Beuck declined to discuss details of Dallas City Limits' financial situation, or why the group hasn't presented the city with the financial material it wants. The city has not, however, presented Dallas City Limits with its terms for the project, which would presumably reveal any tax incentives Dallas plans to offer.
A preliminary term sheet valued Dallas' tax incentive offering at $20 million.
Mr. Beuck said the city should invest in infrastructure in and around the proposed development site, including money to improve a parking garage, fix streets and build a connection system from the Dallas Convention Center to Dallas City Limits.
Mr. Rasansky said after the closed-door meeting that the city shouldn't swap land at all.
Officials closed the executive session to the public because they said they'd be discussing legal issues, a permissible reason under state open meeting laws.
"If they have the financial capability to do this, let them show us," Mr. Rasansky said. "Without it, as far as I'm concerned, the property will only increase in value, and this is not the time to sell."
Where to now?
"The general consensus is that we're going to keep working things through the economic development committee until it makes it, or it's dead," said council member Bill Blaydes, the committee's chairman. "It's still up in the air."
The proposed land swap works like this: Dallas would transfer its ownership of Reunion Arena to billionaire oilman Ray Hunt's Woodbine Development Corp., which has said it plans to demolish the facility to make way for an unspecified project.
Woodbine would give Dallas part of a little-used parking lot – known as Lot E – that the company owns near the struggling Dallas Convention Center, which the city also owns.
After coupling Lot E with land the city already owns, government officials would sell the property to Dallas City Limits for $30 million, according to preliminary terms.
As presented by its backers, Dallas City Limits would be a $250 million project, the centerpiece of which would be a 400,000-square-foot entertainment complex featuring shops, restaurants, nightclubs, a health club, a concert hall and an outdoor arena. Mr. Beuck said construction could begin as soon as spring, pending council approval.
A later project phase calls for an expansion south of Interstate 30 into the Cedars neighborhood along the Trinity River, which would feature an equestrian center, a horse-racing track with pari-mutuel wagering, a polo field, residential apartments and condominiums, and a 4,000-seat indoor arena, according to project plans.
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Arlington man wanted in sex assault arrested at border
MCALLEN, Texas (WFAA ABC 8/AP) - An Arlington man sought for allegedly fondling a child was nabbed Wednesday while trying to cross an international bridge from Texas into Mexico.
U.S. Customs and Border Patrol officials said Audencio Lopez Mata, 49, was a passenger in a pickup truck that was crossing the border near McAllen.
Authorities checked a national crime database and found Mata had an outstanding warrant in Tarrant County for sexual offense against a child. He was then taken into custody.
MCALLEN, Texas (WFAA ABC 8/AP) - An Arlington man sought for allegedly fondling a child was nabbed Wednesday while trying to cross an international bridge from Texas into Mexico.
U.S. Customs and Border Patrol officials said Audencio Lopez Mata, 49, was a passenger in a pickup truck that was crossing the border near McAllen.
Authorities checked a national crime database and found Mata had an outstanding warrant in Tarrant County for sexual offense against a child. He was then taken into custody.
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Forney election problem 'definitely a crime'
Investigator says mayoral ballot-box case won't be solved soon
By JIM GETZ / The Dallas Morning News
FORNEY, Texas - A Kaufman County sheriff's investigator has determined that problems with the early-voting ballot box and ballots in last May's mayoral election in Forney stemmed from criminal activity – not merely a failure to count ballots or some other mistake.
But Sgt. David Warnock also said Tuesday that it would take at least two more months of investigation to link anyone to the crime. And he said it was possible that there would never be enough evidence to ask a jury to indict someone on charges of ballot tampering or election fraud.
"There's definitely a crime," Sgt. Warnock said. "We just don't know who did it. ... We just have to figure out who did the offense and how it was arranged."
Challenger Rick Wilson filed a lawsuit to contest Mayor Darrell Grooms' May 7 re-election after Mr. Grooms won 73 percent of the early votes but only 49 percent on election day.
During a trial in November, City Council member Andy Parker and another voter testified that they had voted early for Mr. Wilson but that their ballots showed votes for Mr. Grooms. The criminal investigation began with their sworn complaints to the Sheriff's Department.
The judge in the lawsuit trial ruled that the early-voting ballot box had not been properly sealed and that the rightful outcome couldn't be determined because of miscounting, illegal conduct or a mistake involving the early ballots.
Visiting Judge Andrew Kupper ordered a new election for Jan. 21 – an election in which 50 percent more voters turned out to give Mr. Grooms a second victory. This time, he won with 68 percent of the early vote and 48 percent on election day, figures that he sees as vindicating him.
"If something happened [in May], I'm very disappointed that someone thought I needed help," Mr. Grooms said Tuesday, "but January 21st proves we had the same results and we ran a clean campaign."
Mr. Wilson couldn't be reached, but his attorney, John Clement, views the second election differently.
"I'm delighted hundreds more showed up to vote. Maybe this time, they had their vote counted," Mr. Clement said, referring to the fact that Kaufman County officials, and not City Secretary Odessa Moore, were in charge of the early-voting box.
"But I can guarantee you from the physical evidence that they didn't have it counted the first time around."
Ms. Moore declined to comment on the investigator's finding that a crime had occurred, except to say she had not been contacted by the Sheriff's Department. Mr. Grooms also said he had not been called.
Sgt. Warnock said his investigation was in the early stages because it was mostly suspended during the second election campaign.
During the civil trial, there was testimony that only Mr. Grooms, Ms. Moore, Mayor Pro Tem Rodney Vike and a cleaning crew could have had access to the early-voting box in May. Mr. Vike could not be reached Wednesday.
But Sgt. Warnock said, without specifying whom, that others had access to the box.
"That's why this is going to be such a drawn-out deal," he said. "There were times when it was unmonitored."
Investigator says mayoral ballot-box case won't be solved soon
By JIM GETZ / The Dallas Morning News
FORNEY, Texas - A Kaufman County sheriff's investigator has determined that problems with the early-voting ballot box and ballots in last May's mayoral election in Forney stemmed from criminal activity – not merely a failure to count ballots or some other mistake.
But Sgt. David Warnock also said Tuesday that it would take at least two more months of investigation to link anyone to the crime. And he said it was possible that there would never be enough evidence to ask a jury to indict someone on charges of ballot tampering or election fraud.
"There's definitely a crime," Sgt. Warnock said. "We just don't know who did it. ... We just have to figure out who did the offense and how it was arranged."
Challenger Rick Wilson filed a lawsuit to contest Mayor Darrell Grooms' May 7 re-election after Mr. Grooms won 73 percent of the early votes but only 49 percent on election day.
During a trial in November, City Council member Andy Parker and another voter testified that they had voted early for Mr. Wilson but that their ballots showed votes for Mr. Grooms. The criminal investigation began with their sworn complaints to the Sheriff's Department.
The judge in the lawsuit trial ruled that the early-voting ballot box had not been properly sealed and that the rightful outcome couldn't be determined because of miscounting, illegal conduct or a mistake involving the early ballots.
Visiting Judge Andrew Kupper ordered a new election for Jan. 21 – an election in which 50 percent more voters turned out to give Mr. Grooms a second victory. This time, he won with 68 percent of the early vote and 48 percent on election day, figures that he sees as vindicating him.
"If something happened [in May], I'm very disappointed that someone thought I needed help," Mr. Grooms said Tuesday, "but January 21st proves we had the same results and we ran a clean campaign."
Mr. Wilson couldn't be reached, but his attorney, John Clement, views the second election differently.
"I'm delighted hundreds more showed up to vote. Maybe this time, they had their vote counted," Mr. Clement said, referring to the fact that Kaufman County officials, and not City Secretary Odessa Moore, were in charge of the early-voting box.
"But I can guarantee you from the physical evidence that they didn't have it counted the first time around."
Ms. Moore declined to comment on the investigator's finding that a crime had occurred, except to say she had not been contacted by the Sheriff's Department. Mr. Grooms also said he had not been called.
Sgt. Warnock said his investigation was in the early stages because it was mostly suspended during the second election campaign.
During the civil trial, there was testimony that only Mr. Grooms, Ms. Moore, Mayor Pro Tem Rodney Vike and a cleaning crew could have had access to the early-voting box in May. Mr. Vike could not be reached Wednesday.
But Sgt. Warnock said, without specifying whom, that others had access to the box.
"That's why this is going to be such a drawn-out deal," he said. "There were times when it was unmonitored."
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TexasStooge wrote:Dallas SPCA puts new limited no kill policy in effect
By CHRIS HEINBAUGH / WFAA ABC 8
DALLAS, Texas - A limited no kill policy was put in effect at the SPCA Dallas shelter and the facility will no longer euthanize animals simply to free up space.
Reservations are now needed to drop off animals in part of their new policy as well in an attempt to curb overcrowding.
In the past people could come in off the street and drop off the animal with no questions asked. Under the new policy they must make a reservation, and they'll only get a reservation if there's room at the shelter.
In the past, those animals not adopted risked being euthanized to make room for new ones.
"No animal will be euthanized for space, and that is in its simplest form," said James Bias, president of the SPCA of Texas.
The SPCA said they hope the new reservation policy will make pet owners take more time to work with their animals and take responsibility for their pets instead of just dropping them at the SPCA.
But those policies may have an impact at the already overcrowded city shelters, or some owners may simply turn their pets loose.
Officials hope that won't happen and said they are watching for any negative impact on the city's shelters.
"Don't abandon your pet please that's the worse thing you could do," said Kent Robertson. "It's very had for them to make it out there."
WFAA ABC 8
this may backfire
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Houston chase may have involved Amber alert child
HOUSTON, Texas (WFAA ABC 8) - A police chase which ended in North Houston with shots fired may have involved Kiara Renee Allen, a 4-year-old girl believed to have been abducted along with her mother, Andrea Nichole Allen.
DeSoto police issued an Amber Alert for the child Thursday afternoon.
The vehicle description matched the Amber Alert bulletin issued for the missing girl. Police told KHOU-TV the suspect was killed.
A woman and a small child were injured and removed by ambulance. According to one report, the pair had been held at gunpoint by the suspect.
The mother and daughter were last seen in Duncanville Wednesday night at 6 p.m. with a kidnap suspect identified as Jeremy Ethon Roberson.
The suspect Jeremy Roberson was driving a white 2002 Dodge Neon with Texas license R55-HHS.
Roberson was described as a black male, 28 years old, 167 lbs., 6-feet tall, with brown hair and brown eyes.
He has served jail sentences for possession of marijuana and driving offences.
Kiara is a black female, 3'-6" tall, 40 pounds. Her mother, Andrea, is a black female, 24 years old, 5'-6" tall, 125 lbs., with brown hair and brown eyes.
Call DeSoto police at 972-223-6111 if you have any information.
Live Houston Traffic Reports from Traffic Pulse
HOUSTON, Texas (WFAA ABC 8) - A police chase which ended in North Houston with shots fired may have involved Kiara Renee Allen, a 4-year-old girl believed to have been abducted along with her mother, Andrea Nichole Allen.
DeSoto police issued an Amber Alert for the child Thursday afternoon.
The vehicle description matched the Amber Alert bulletin issued for the missing girl. Police told KHOU-TV the suspect was killed.
A woman and a small child were injured and removed by ambulance. According to one report, the pair had been held at gunpoint by the suspect.
The mother and daughter were last seen in Duncanville Wednesday night at 6 p.m. with a kidnap suspect identified as Jeremy Ethon Roberson.
The suspect Jeremy Roberson was driving a white 2002 Dodge Neon with Texas license R55-HHS.
Roberson was described as a black male, 28 years old, 167 lbs., 6-feet tall, with brown hair and brown eyes.
He has served jail sentences for possession of marijuana and driving offences.
Kiara is a black female, 3'-6" tall, 40 pounds. Her mother, Andrea, is a black female, 24 years old, 5'-6" tall, 125 lbs., with brown hair and brown eyes.
Call DeSoto police at 972-223-6111 if you have any information.
Live Houston Traffic Reports from Traffic Pulse
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News 8 Investigates: Mortgage fraud
By BYRON HARRIS / News 8 Investigates (WFAA ABC 8)
Mortgage fraud is a kind of cancer.
It's a tumor that can spread through a neighborhood one house at a time, lowering property values and killing the savings of hard working people.
It can blindside even the most honest people—including former Dallas Cowboys cornerback Deion Sanders.
Behind the ornate leaded glass and the three-story portico of Sanders' former home lies a story of fraud, according to federal prosecutors.
Sanders lived here during the years he played for the Cowboys. The problems started (through no fault of his own), when he sold the property for more than $2 million to a man named O.T. Austin.
"Mr. Austin submitted false documentation to receive a loan, made false statements to get the loan," said explained Assistant U.S. Attorney Shamoil Shipchandler.
Loans these days can be like used cars. If they're shiny enough, some people don't check under the hood to see if they're in workng order.
Even banks.
And loans can change hands fast. They can pass from a mortgage broker, to a lender, to another financial instituion, to yet another—all this before anyone realizes the borrower isn't making his payments.
O.T. Austin told his lender he had access to a $5 million trust fund that would let him pay for the house.
Prosecutors say he lied, and they want to find him.
Sharon Apligian coordinates transactions for her husband, a Plano Realtor. She frequently sees flawed deals that get done because they're not closely scrutinized—or worse.
She sometimes discovers people have criminal intent. "Unfortunately, there are some people out there who have realized, you know, we can make a lot of money in the real estate market, and there's ways you can cheat," Apligian said. "You can cheat, and it's being done, and it's sad."
Case in point: A property in Collin County that was originally listed at $147,000. A buyer was found; a contract was written.
But in scrutinizing the contract, Apligian found that a new front page of the contract had been substituted for the old—this time with a selling price of $190,000.
She stopped the deal from closing. "I discovered the contract had been forged," Apligian said.
Had the deal gone through with an inflated price, the tax values in the neighborhood would have started to escalate artificially.
Prosecutors say mortgage fraud can occur in three levels of complexity:
• A buyer or seller lies
• A buyer and one person inside the home loan process conspire to steal money
• A number of people work together at many levels of the selling process to commit a crime
Federal prosecutors pointed to a property in Aubrey that they said was the subject of a conspiracy. They said a loan officer and a former owner worked together to obtain a fraudlent home improvement loan.
A loan processor calling himself "David Jackson" provided false paycheck stubs, false financial statements and other documents to help the former owner get the loan, prosecutors said.
They said Jackson split the proceeds with the owner.
"You're looking at two people working in concert to break the law," Shipchandler said. "That's going to be a little less common than a single person doing it themselves."
When payments are missed, banks foreclose on properties. Houses go empty, and that can set off a chain of events for an entire neigbhorhood.
"When you don't have people living in the house, the neighborhood suffers," said U.S. Attorney Richard Roper. "People living in the neighborhood, they notice."
This month in Dallas County alone, 1,700 properties are posted for foreclosure. That's up 74 percent from four years ago.
Not all of those foreclosures are the result of fraud, but to protect yourself, Realtors say you should shop for an agent as carefully as a house.
When you do buy or sell, know what you're signing—and don't leave anything blank.
By BYRON HARRIS / News 8 Investigates (WFAA ABC 8)
Mortgage fraud is a kind of cancer.
It's a tumor that can spread through a neighborhood one house at a time, lowering property values and killing the savings of hard working people.
It can blindside even the most honest people—including former Dallas Cowboys cornerback Deion Sanders.
Behind the ornate leaded glass and the three-story portico of Sanders' former home lies a story of fraud, according to federal prosecutors.
Sanders lived here during the years he played for the Cowboys. The problems started (through no fault of his own), when he sold the property for more than $2 million to a man named O.T. Austin.
"Mr. Austin submitted false documentation to receive a loan, made false statements to get the loan," said explained Assistant U.S. Attorney Shamoil Shipchandler.
Loans these days can be like used cars. If they're shiny enough, some people don't check under the hood to see if they're in workng order.
Even banks.
And loans can change hands fast. They can pass from a mortgage broker, to a lender, to another financial instituion, to yet another—all this before anyone realizes the borrower isn't making his payments.
O.T. Austin told his lender he had access to a $5 million trust fund that would let him pay for the house.
Prosecutors say he lied, and they want to find him.
Sharon Apligian coordinates transactions for her husband, a Plano Realtor. She frequently sees flawed deals that get done because they're not closely scrutinized—or worse.
She sometimes discovers people have criminal intent. "Unfortunately, there are some people out there who have realized, you know, we can make a lot of money in the real estate market, and there's ways you can cheat," Apligian said. "You can cheat, and it's being done, and it's sad."
Case in point: A property in Collin County that was originally listed at $147,000. A buyer was found; a contract was written.
But in scrutinizing the contract, Apligian found that a new front page of the contract had been substituted for the old—this time with a selling price of $190,000.
She stopped the deal from closing. "I discovered the contract had been forged," Apligian said.
Had the deal gone through with an inflated price, the tax values in the neighborhood would have started to escalate artificially.
Prosecutors say mortgage fraud can occur in three levels of complexity:
• A buyer or seller lies
• A buyer and one person inside the home loan process conspire to steal money
• A number of people work together at many levels of the selling process to commit a crime
Federal prosecutors pointed to a property in Aubrey that they said was the subject of a conspiracy. They said a loan officer and a former owner worked together to obtain a fraudlent home improvement loan.
A loan processor calling himself "David Jackson" provided false paycheck stubs, false financial statements and other documents to help the former owner get the loan, prosecutors said.
They said Jackson split the proceeds with the owner.
"You're looking at two people working in concert to break the law," Shipchandler said. "That's going to be a little less common than a single person doing it themselves."
When payments are missed, banks foreclose on properties. Houses go empty, and that can set off a chain of events for an entire neigbhorhood.
"When you don't have people living in the house, the neighborhood suffers," said U.S. Attorney Richard Roper. "People living in the neighborhood, they notice."
This month in Dallas County alone, 1,700 properties are posted for foreclosure. That's up 74 percent from four years ago.
Not all of those foreclosures are the result of fraud, but to protect yourself, Realtors say you should shop for an agent as carefully as a house.
When you do buy or sell, know what you're signing—and don't leave anything blank.
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Police capture fleeing registered sex offender
By JIM DOUGLAS / WFAA ABC 8
DECATUR, Texas - A sex offender registered in Wise County was put back behind bars Thursday after police said he cut off his ankle monitor and fled.
Jason Stokes, 22, surrendered to police peacefully shortly before 6:00 p.m. in Wise County, despite telling deputies earlier he did not want to be taken alive.
A mother helped assist in finding stokes while driving with her young children in the car. She spotted stokes, called the sheriff's office and stayed on the phone while following him until deputies were able to take him into custody.
Stokes was on probation for sexual assault of a child and confined to his home with a GPS ankle monitor.
A note was found by his mother that said he was fleeing because he couldn't live confined to his home in Boyd anymore.
Wise County officials and his mother talked to Stokes on a cell phone in an attempt to convince him to surrender, which he eventually did while talking with Sheriff David Walker.
Stokes faces time in prison for violating his parole and will also be examined by mental health workers.
By JIM DOUGLAS / WFAA ABC 8
DECATUR, Texas - A sex offender registered in Wise County was put back behind bars Thursday after police said he cut off his ankle monitor and fled.
Jason Stokes, 22, surrendered to police peacefully shortly before 6:00 p.m. in Wise County, despite telling deputies earlier he did not want to be taken alive.
A mother helped assist in finding stokes while driving with her young children in the car. She spotted stokes, called the sheriff's office and stayed on the phone while following him until deputies were able to take him into custody.
Stokes was on probation for sexual assault of a child and confined to his home with a GPS ankle monitor.
A note was found by his mother that said he was fleeing because he couldn't live confined to his home in Boyd anymore.
Wise County officials and his mother talked to Stokes on a cell phone in an attempt to convince him to surrender, which he eventually did while talking with Sheriff David Walker.
Stokes faces time in prison for violating his parole and will also be examined by mental health workers.
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Big plans in northeast Dallas
Three projects promise to breathe new life into Vickery Meadow area
By STEVE BROWN / The Dallas Morning News
DALLAS, Texas - Three major developments in the works could revitalize an entire neighborhood in northeast Dallas.
At Northwest Highway and Skillman Street, developer Trammell Crow Co. wants to tear down more than 1,000 aging apartments to make way for a new retail and residential complex.
And further north on Meadow Road at the DART line, another developer has bought up more than a half dozen apartment communities with plans to build new housing.
Demolition crews also began work this week on the $400 million Park Lane Place retail, residential and commercial project, which will be built between Central Expressway and Greenville Avenue.
The three projects will anchor what city officials and real estate investors hope will be a rebuilding of the entire Vickery Meadow neighborhood.
"It is the beginning of the redevelopment of northeast Dallas," said Dallas City Council member Bill Blaydes. "I think these projects are the precursors of what you will see happen a lot more in that area."
Built mostly in the 1970s and 1980s, the neighborhood north of Northwest Highway is a mix of thousands of apartments, shopping centers, offices and other commercial uses.
Some of the apartment communities have fallen into disrepair and have been plagued by crime and city code violations.
But rising interest in development along the transit line and a growing focus on revitalizing close-in neighborhoods have caused real estate investors and builders to take a new look at this part of town.
A partnership represented by Trammell Crow Co. late last year purchased the 44-acre Timbercreek apartments at the north corner of Northwest Highway and Skillman. Built 30 years ago, the project contains more than 1,000 apartments.
Crow Co. is in the process of getting the go-ahead from the city of Dallas to replace the aging apartments with new retail and residential construction.
"We see the opportunity to be a leader with our proposed redevelopment," said Denton Walker, Crow's managing director of development. "We are focused mainly on commercial, but we are open to any type of development that is positive for the area."
Crow has received approval from the Dallas City Plan Commission for its project and is hoping to get a final OK from the council.
Developers of the 33-acre Park Lane Place complex expect their project will also be a catalyst. The high-density development at Park Lane and North Central Expressway will contain hundreds of apartments and condominiums and more than 500,000 square feet of shops, hotel rooms and offices. "We think we are going to be good neighbors and have a positive impact on the area," developer Tod Ruble said.
The biggest of the pending redevelopments is Valencia Capital Management's proposed project at Meadow Road and Manderville Lane. The real estate company has purchased hundreds of apartments in the neighborhood and is studying plans for a new mixed-use community.
"It will have an incredibly positive impact on that neighborhood," said real estate broker Brian O'Boyle of O'Boyle Properties Inc., who's tracked sales in the area. "There is very little land available for new construction, and the prices are going off the charts."
Valencia Capital officials have met with residents in the area to lay out their plans and have been working with city officials.
"We still have some work to do, but assuming that the right things come together, we think there is great opportunity here," said a spokesman for the investment firm who asked not to be identified.
"Valencia is going into areas where there has been very poor management for years and trying to get started with their program," Mr. Blaydes said. "You are looking at areas where you have thousands of multifamily housing units that have passed most of their economic life."
So far, much of the reaction to these redevelopments has been positive, but some residents are concerned that too much doesn't get plowed under.
Retired Dallas architect Howard Parker is speaking out about preserving mature trees and creeks that are throughout Vickery Meadow. But Mr. Parker said, "of course I'm in favor" of replacing many of the aging apartments in the area.
With land prices soaring for apartment land, it makes sense that developers would look at reworking old locations, real estate analysts say.
"Clearly these are premium, desirable development locations you are talking about," said Greg Willett, vice president of research and analysis with M/PF YieldStar Inc. "This type of redevelopment is a more expensive route than going out and getting a new suburban site. But it's tougher to get a new suburban site."
In recent years, Lincoln Property Co. successfully replaced several of its aging apartment complexes in the Village just south of Northwest Highway with new construction, Mr. Willett said.
Many apartments built in the 1970s are styles that no longer appeal to renters and are poorly constructed, he said. "A lot of it was done with savings and loan money, and they wanted to get the deal done and get out," he said.
The planned northeast Dallas redevelopments are part of a trend being seen all over the country, said longtime Dallas real estate analyst Ron Witten of Witten Advisors.
"This is the maturation of Dallas as a city that follows the same path that other major metropolitan areas with mass transit have seen," Mr. Witten said. "In some neighborhoods, the opportunity to build nice new housing and maybe some retail and replace dilapidated troublesome housing is very appealing to the city and the neighbors."
Three projects promise to breathe new life into Vickery Meadow area
By STEVE BROWN / The Dallas Morning News
DALLAS, Texas - Three major developments in the works could revitalize an entire neighborhood in northeast Dallas.
At Northwest Highway and Skillman Street, developer Trammell Crow Co. wants to tear down more than 1,000 aging apartments to make way for a new retail and residential complex.
And further north on Meadow Road at the DART line, another developer has bought up more than a half dozen apartment communities with plans to build new housing.
Demolition crews also began work this week on the $400 million Park Lane Place retail, residential and commercial project, which will be built between Central Expressway and Greenville Avenue.
The three projects will anchor what city officials and real estate investors hope will be a rebuilding of the entire Vickery Meadow neighborhood.
"It is the beginning of the redevelopment of northeast Dallas," said Dallas City Council member Bill Blaydes. "I think these projects are the precursors of what you will see happen a lot more in that area."
Built mostly in the 1970s and 1980s, the neighborhood north of Northwest Highway is a mix of thousands of apartments, shopping centers, offices and other commercial uses.
Some of the apartment communities have fallen into disrepair and have been plagued by crime and city code violations.
But rising interest in development along the transit line and a growing focus on revitalizing close-in neighborhoods have caused real estate investors and builders to take a new look at this part of town.
A partnership represented by Trammell Crow Co. late last year purchased the 44-acre Timbercreek apartments at the north corner of Northwest Highway and Skillman. Built 30 years ago, the project contains more than 1,000 apartments.
Crow Co. is in the process of getting the go-ahead from the city of Dallas to replace the aging apartments with new retail and residential construction.
"We see the opportunity to be a leader with our proposed redevelopment," said Denton Walker, Crow's managing director of development. "We are focused mainly on commercial, but we are open to any type of development that is positive for the area."
Crow has received approval from the Dallas City Plan Commission for its project and is hoping to get a final OK from the council.
Developers of the 33-acre Park Lane Place complex expect their project will also be a catalyst. The high-density development at Park Lane and North Central Expressway will contain hundreds of apartments and condominiums and more than 500,000 square feet of shops, hotel rooms and offices. "We think we are going to be good neighbors and have a positive impact on the area," developer Tod Ruble said.
The biggest of the pending redevelopments is Valencia Capital Management's proposed project at Meadow Road and Manderville Lane. The real estate company has purchased hundreds of apartments in the neighborhood and is studying plans for a new mixed-use community.
"It will have an incredibly positive impact on that neighborhood," said real estate broker Brian O'Boyle of O'Boyle Properties Inc., who's tracked sales in the area. "There is very little land available for new construction, and the prices are going off the charts."
Valencia Capital officials have met with residents in the area to lay out their plans and have been working with city officials.
"We still have some work to do, but assuming that the right things come together, we think there is great opportunity here," said a spokesman for the investment firm who asked not to be identified.
"Valencia is going into areas where there has been very poor management for years and trying to get started with their program," Mr. Blaydes said. "You are looking at areas where you have thousands of multifamily housing units that have passed most of their economic life."
So far, much of the reaction to these redevelopments has been positive, but some residents are concerned that too much doesn't get plowed under.
Retired Dallas architect Howard Parker is speaking out about preserving mature trees and creeks that are throughout Vickery Meadow. But Mr. Parker said, "of course I'm in favor" of replacing many of the aging apartments in the area.
With land prices soaring for apartment land, it makes sense that developers would look at reworking old locations, real estate analysts say.
"Clearly these are premium, desirable development locations you are talking about," said Greg Willett, vice president of research and analysis with M/PF YieldStar Inc. "This type of redevelopment is a more expensive route than going out and getting a new suburban site. But it's tougher to get a new suburban site."
In recent years, Lincoln Property Co. successfully replaced several of its aging apartment complexes in the Village just south of Northwest Highway with new construction, Mr. Willett said.
Many apartments built in the 1970s are styles that no longer appeal to renters and are poorly constructed, he said. "A lot of it was done with savings and loan money, and they wanted to get the deal done and get out," he said.
The planned northeast Dallas redevelopments are part of a trend being seen all over the country, said longtime Dallas real estate analyst Ron Witten of Witten Advisors.
"This is the maturation of Dallas as a city that follows the same path that other major metropolitan areas with mass transit have seen," Mr. Witten said. "In some neighborhoods, the opportunity to build nice new housing and maybe some retail and replace dilapidated troublesome housing is very appealing to the city and the neighbors."
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Education is focus of president's visit
DALLAS, Texas (WFAA ABC 8) - President Bush wants education to "add up."
He will be in Dallas on Friday to tout an education plan to make American children sharper in math and science.
The president and Mrs. Bush will visit the Yvonne Ewell Townview Magnet Center in Oak Cliff. The school, part of the Dallas Independent School District, has the nation's highest number of minorities who passed advance placement calculus exams.
DALLAS, Texas (WFAA ABC 8) - President Bush wants education to "add up."
He will be in Dallas on Friday to tout an education plan to make American children sharper in math and science.
The president and Mrs. Bush will visit the Yvonne Ewell Townview Magnet Center in Oak Cliff. The school, part of the Dallas Independent School District, has the nation's highest number of minorities who passed advance placement calculus exams.
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News 8 investigates: Mortgage Fraud Part II
By BYRON HARRIS / News 8 Investigates (WFAA ABC 8)
While many think of burglaries and robberies when they hear the words neighborhood crime, a new crime involving homes in neighborhoods across North Texas is being committed by organized crime figures without guns or threats.
The organized crime is leaving homeowners by the score deep in debt with property they can't keep.
The mortgage industry estimates that as many as 3,000 of the mortgages made in Dallas, Collin and Tarrant counties last year may have been fraudulent.
Officials said the crime is difficult to detect and harder to prosecute, but critics said it is spreading because of lax regulation, speculation in the housing market and the lack of safeguards.
The New York Stock Exchange is one of the biggest markets in the world and investors bet that stocks costing hundreds of dollars a share will go up. But to enter the game, investors have to put down cash.
In the Texas housing market investments cost hundreds of thousands of dollars, but it costs nothing to get in.
Plano realtor Tom Apligan has worked in Dallas for 27 years.
"If you want to buy a house, 100 percent financing and no closing costs, it's not a problem," Apligan said. "I can find you a thousand houses to buy. It's not an issue.
In the last two, Apligan has watched the housing market change from one where all buyers lived in the houses they bought to one where many buyers never even see the property they are purchasing.
"It's become so lax there are actually people who don't own homes that are buying houses as investors," he said.
One example of this was a house in Frisco where four years ago it was bought and sold in a series of transactions that ruined one man's life.
"I can't begin to understand how somebody could do this, to come up with the scheme that's so elaborate to allow someone to do this," said the fraud victim that did not want to be identified.
The man suddenly began receiving mortgage bills for the house, which was a property he had never seen, never tried to buy and never signed a document for.
"There's got to be a lender that's involved in this, a title company that's involved in this," the victim said. "There's got to be a lot of stuff involved in this for this to happen."
Charles Burgess was the man behind the mystery purchase and prosecutors said 40 fraudulent real estate transactions in North Texas spanning 2002 through 2004.
Burgess is charged with conspiracy, bank fraud, mail fraud and wire fraud in Allen, Frisco, McKinney and Irving.
U.S. Attorney Richard Roper said mortgage fraud is increasing.
"Anytime somebody can make money easily there's a great temptation," Roper said.
Prosecutors said Burgess used phony buyers and phony documents to inflate the value of a house, then got an inflated loan and split the proceeds with partners and would failed to make payments.
Burgess' fraud victim said he used his name without his knowledge and is still working to correct the fraud he said was committed using his name.
"It tells me somebody's asleep at the wheel," he said. " It tells me all the checks and balances are not in place."
Two days ago, Burgess entered a plea agreement with the government for bank fraud and mail fraud and hasn't been sentenced yet.
Back in Plano, Apligian said that when he discovers fraud he has difficulty getting law enforcement, the FBI or the District Attorney to do anything about it.
"We're not policeman," Apligan said. "There needs to be an organization we can go to. There needs to be a hotline created, a realtor fraud hotline. Give it to us. We'll use it."
Street corners in Collin County are littered with so-called bootleg signs.
Sellers so desperate they will take buyers with no credit or bad credit for what they call rent to own properties that are often evidence of deals gone bad.
Roper said tracking the fraud is straining his resources and he urges sellers and buyers to watch what they sign.
"All those documents are actionable in federal court," he said. "And people have to be truthful and they just can't go through and sign those without looking at those documents."
The Department of Justice now has a task force designed to track down industry insiders like Burgess, but there is no specific statute that defines mortgage fraud.
Without a statute, sellers and buyers are left to fend for themselves in a transaction most people only go through once or twice in their lives.
By BYRON HARRIS / News 8 Investigates (WFAA ABC 8)
While many think of burglaries and robberies when they hear the words neighborhood crime, a new crime involving homes in neighborhoods across North Texas is being committed by organized crime figures without guns or threats.
The organized crime is leaving homeowners by the score deep in debt with property they can't keep.
The mortgage industry estimates that as many as 3,000 of the mortgages made in Dallas, Collin and Tarrant counties last year may have been fraudulent.
Officials said the crime is difficult to detect and harder to prosecute, but critics said it is spreading because of lax regulation, speculation in the housing market and the lack of safeguards.
The New York Stock Exchange is one of the biggest markets in the world and investors bet that stocks costing hundreds of dollars a share will go up. But to enter the game, investors have to put down cash.
In the Texas housing market investments cost hundreds of thousands of dollars, but it costs nothing to get in.
Plano realtor Tom Apligan has worked in Dallas for 27 years.
"If you want to buy a house, 100 percent financing and no closing costs, it's not a problem," Apligan said. "I can find you a thousand houses to buy. It's not an issue.
In the last two, Apligan has watched the housing market change from one where all buyers lived in the houses they bought to one where many buyers never even see the property they are purchasing.
"It's become so lax there are actually people who don't own homes that are buying houses as investors," he said.
One example of this was a house in Frisco where four years ago it was bought and sold in a series of transactions that ruined one man's life.
"I can't begin to understand how somebody could do this, to come up with the scheme that's so elaborate to allow someone to do this," said the fraud victim that did not want to be identified.
The man suddenly began receiving mortgage bills for the house, which was a property he had never seen, never tried to buy and never signed a document for.
"There's got to be a lender that's involved in this, a title company that's involved in this," the victim said. "There's got to be a lot of stuff involved in this for this to happen."
Charles Burgess was the man behind the mystery purchase and prosecutors said 40 fraudulent real estate transactions in North Texas spanning 2002 through 2004.
Burgess is charged with conspiracy, bank fraud, mail fraud and wire fraud in Allen, Frisco, McKinney and Irving.
U.S. Attorney Richard Roper said mortgage fraud is increasing.
"Anytime somebody can make money easily there's a great temptation," Roper said.
Prosecutors said Burgess used phony buyers and phony documents to inflate the value of a house, then got an inflated loan and split the proceeds with partners and would failed to make payments.
Burgess' fraud victim said he used his name without his knowledge and is still working to correct the fraud he said was committed using his name.
"It tells me somebody's asleep at the wheel," he said. " It tells me all the checks and balances are not in place."
Two days ago, Burgess entered a plea agreement with the government for bank fraud and mail fraud and hasn't been sentenced yet.
Back in Plano, Apligian said that when he discovers fraud he has difficulty getting law enforcement, the FBI or the District Attorney to do anything about it.
"We're not policeman," Apligan said. "There needs to be an organization we can go to. There needs to be a hotline created, a realtor fraud hotline. Give it to us. We'll use it."
Street corners in Collin County are littered with so-called bootleg signs.
Sellers so desperate they will take buyers with no credit or bad credit for what they call rent to own properties that are often evidence of deals gone bad.
Roper said tracking the fraud is straining his resources and he urges sellers and buyers to watch what they sign.
"All those documents are actionable in federal court," he said. "And people have to be truthful and they just can't go through and sign those without looking at those documents."
The Department of Justice now has a task force designed to track down industry insiders like Burgess, but there is no specific statute that defines mortgage fraud.
Without a statute, sellers and buyers are left to fend for themselves in a transaction most people only go through once or twice in their lives.
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Suit filed against topless club over teen deaths
By KARIN KELLY / WFAA ABC 8
FORT WORTH, Texas - The grieving parents of four Fort Worth teens killed by a drunk driver are seeking justice.
The teens died in August when they were struck head on by a car being driven by Michael Miles, who also died in the wreck.
Miles had a blood alcohol limit nearly three times the legal limit.
Today, the teens' parents gathered to discuss a lawsuit they've filed.
A civil lawsuit has been filed against the topless club which families and lawyers contend served far too much alcohol to Miles.
Last August, Miles was driving drunk the wrong way on Highway 287 - when he killed four young men aged between 14 and 19 and himself. The victims are Donald Cain Jr., Charles Tate, Jeff Murial and Carl Fields Jr.
"You can't bring my son back. You can't give me enough money. But you can send a message to this establishment and others like it that this cannot go on for profit," said Donald Cain, father of one of the young men killed.
"In filing law suits like this, we are hoping maybe at least to save one life in the future by sending a message to people who profit from the sale of alcohol that if you over-serve, over-sell, tragedies like this can happen that can cause countless deaths," said attorney Spence Markle.
Lawyers say it could take a year to try this case or settle it.
By KARIN KELLY / WFAA ABC 8
FORT WORTH, Texas - The grieving parents of four Fort Worth teens killed by a drunk driver are seeking justice.
The teens died in August when they were struck head on by a car being driven by Michael Miles, who also died in the wreck.
Miles had a blood alcohol limit nearly three times the legal limit.
Today, the teens' parents gathered to discuss a lawsuit they've filed.
A civil lawsuit has been filed against the topless club which families and lawyers contend served far too much alcohol to Miles.
Last August, Miles was driving drunk the wrong way on Highway 287 - when he killed four young men aged between 14 and 19 and himself. The victims are Donald Cain Jr., Charles Tate, Jeff Murial and Carl Fields Jr.
"You can't bring my son back. You can't give me enough money. But you can send a message to this establishment and others like it that this cannot go on for profit," said Donald Cain, father of one of the young men killed.
"In filing law suits like this, we are hoping maybe at least to save one life in the future by sending a message to people who profit from the sale of alcohol that if you over-serve, over-sell, tragedies like this can happen that can cause countless deaths," said attorney Spence Markle.
Lawyers say it could take a year to try this case or settle it.
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800-foot TV tower collapses near Tyler
TYLER, Texas (WFAA ABC 8/AP) - An East Texas television station was off the air Friday morning after its transmission tower collapsed in a rural area.
Tyler ABC affiliate KLTV is the only VHF television station in that part of East Texas.
No injuries were reported, but the collapse took down the station's analog, digital and high-definition antennas on the tower.
The station's Vice President and General Manager Brad Streit said in a statement that the 800-foot tower collapsed about ten miles north of Tyler about 7:30 a.m.
The weather was cloudy but tranquil at the time, and Streit said no cause has been determined for the collapse.
Streit said there was no apparent damage to the transmitter building next to the tower, and efforts are being made to move transmitting equipment to the station's downtown Tyler studios in the hope of using a shorter tower as a temporary solution.
The station is scheduled to carry the Super Bowl on Sunday afternoon. Cox Cable in the Tyler area continues to carry the station's programming, and newscasts will be available online.
On Thursday, Raycom Media completed its purchase of KLTV and 14 other stations from Liberty Corp.
TYLER, Texas (WFAA ABC 8/AP) - An East Texas television station was off the air Friday morning after its transmission tower collapsed in a rural area.
Tyler ABC affiliate KLTV is the only VHF television station in that part of East Texas.
No injuries were reported, but the collapse took down the station's analog, digital and high-definition antennas on the tower.
The station's Vice President and General Manager Brad Streit said in a statement that the 800-foot tower collapsed about ten miles north of Tyler about 7:30 a.m.
The weather was cloudy but tranquil at the time, and Streit said no cause has been determined for the collapse.
Streit said there was no apparent damage to the transmitter building next to the tower, and efforts are being made to move transmitting equipment to the station's downtown Tyler studios in the hope of using a shorter tower as a temporary solution.
The station is scheduled to carry the Super Bowl on Sunday afternoon. Cox Cable in the Tyler area continues to carry the station's programming, and newscasts will be available online.
On Thursday, Raycom Media completed its purchase of KLTV and 14 other stations from Liberty Corp.
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Lack of motive may have hurt Pratt prosecution
By DEBRA DENNIS / The Dallas Morning News
FORT WORTH, Texas – Asking a jury to understand the complexities of cells and tissues may have been the undoing of Tarrant County prosecutors' capital murder case against Laverne Pratt in the slaying of 14-year-old Lan Bui.
Prosecutors offered no motive for Lan's Feb. 7 slaying but presented massive DNA evidence they said Mr. Pratt, 44, left at the crime scene.
Lan, a Trimble Tech freshman, was found bound, gagged and stabbed on the playground of the Waldemar Apartments where she lived. Mr. Pratt was her neighbor at the apartment complex.
With no way to connect the brutal slaying with the biology touted by prosecutors, a Tarrant County jury stunned the courtroom and some courthouse observers Wednesday when it returned a not guilty verdict after five hours of deliberations.
"The O.J. Simpson case is a good example that DNA evidence does not guarantee a conviction," said Fred Moss, an associate professor of law at Southern Methodist University. "The problem with DNA is that it can be complicated and confusing. A jury may think that it's beside the point. They may find that even if it is his DNA, is it evidence of a murder?"
Not having a motive leaves jurors with complex forensic evidence and little else, he said.
Juries, he said, want a motive.
"Juries always ask why would a person do this horrible thing," said Mr. Moss, a former federal prosecutor. "This is a crime of passion, and if you're going to have any evidence of a relationship between the two that would give rise to a passion, it helps to have a motive."
Mr. Pratt left an extensive biological track at the crime scene, said Steve Jumes, who prosecuted Mr. Pratt.
He told jurors that there was no blood trail and that Lan was killed at the park.
Mr. Pratt's DNA, he said, was found on tape around the girl's mouth and on rope used to tie her hands.
Lan's blood, he said, was found on Mr. Pratt's pajamas.
Mr. Jumes said he is convinced the right person was arrested and tried.
"I would have liked a motivation," Mr. Jumes said. "The positioning of her body, the obvious binding suggests a motivation for this crime."
There are no plans to pursue anyone else, and the case is closed, he said.
Prosecutors are disappointed though respectful of the jury's verdict, said David Montague, a senior staff attorney for the district attorney's office.
In the last 10 years, Tarrant County has had a 95 percent conviction rate in capital murder cases.
"Sometimes juries make decisions that don't make sense, and sometimes juries don't see the evidence the way you do," Mr. Montague said.
"People don't always make decisions on logic. A lot of times it's their emotions."
Jurors declined to comment after the announcement of the verdict.
Tarrant County tries 15 to 20 capital cases per year. About three of those go to trial with death penalty specifications attached, he said.
Had Mr. Pratt been convicted, he faced an automatic life sentence.
"The Lord set me free," he told reporters as he left the Tarrant County Jail, where he had been held since his arrest in March.
Mr. Jumes said he intends to do a lot of soul-searching to determine if the outcome could have been different.
"This case does not reflect the value of Lan Bui or her memory. My personal reaction is to investigate what I could have done. I did everything I knew to do. I believe the science was there."
Vicky Rios, Lan's mother, said she is disappointed with the verdict and is trying to put her life back together after learning that she may never see justice for her daughter.
"I'll have to do it one day at a time," she said. "It hasn't sunk in yet.
By DEBRA DENNIS / The Dallas Morning News
FORT WORTH, Texas – Asking a jury to understand the complexities of cells and tissues may have been the undoing of Tarrant County prosecutors' capital murder case against Laverne Pratt in the slaying of 14-year-old Lan Bui.
Prosecutors offered no motive for Lan's Feb. 7 slaying but presented massive DNA evidence they said Mr. Pratt, 44, left at the crime scene.
Lan, a Trimble Tech freshman, was found bound, gagged and stabbed on the playground of the Waldemar Apartments where she lived. Mr. Pratt was her neighbor at the apartment complex.
With no way to connect the brutal slaying with the biology touted by prosecutors, a Tarrant County jury stunned the courtroom and some courthouse observers Wednesday when it returned a not guilty verdict after five hours of deliberations.
"The O.J. Simpson case is a good example that DNA evidence does not guarantee a conviction," said Fred Moss, an associate professor of law at Southern Methodist University. "The problem with DNA is that it can be complicated and confusing. A jury may think that it's beside the point. They may find that even if it is his DNA, is it evidence of a murder?"
Not having a motive leaves jurors with complex forensic evidence and little else, he said.
Juries, he said, want a motive.
"Juries always ask why would a person do this horrible thing," said Mr. Moss, a former federal prosecutor. "This is a crime of passion, and if you're going to have any evidence of a relationship between the two that would give rise to a passion, it helps to have a motive."
Mr. Pratt left an extensive biological track at the crime scene, said Steve Jumes, who prosecuted Mr. Pratt.
He told jurors that there was no blood trail and that Lan was killed at the park.
Mr. Pratt's DNA, he said, was found on tape around the girl's mouth and on rope used to tie her hands.
Lan's blood, he said, was found on Mr. Pratt's pajamas.
Mr. Jumes said he is convinced the right person was arrested and tried.
"I would have liked a motivation," Mr. Jumes said. "The positioning of her body, the obvious binding suggests a motivation for this crime."
There are no plans to pursue anyone else, and the case is closed, he said.
Prosecutors are disappointed though respectful of the jury's verdict, said David Montague, a senior staff attorney for the district attorney's office.
In the last 10 years, Tarrant County has had a 95 percent conviction rate in capital murder cases.
"Sometimes juries make decisions that don't make sense, and sometimes juries don't see the evidence the way you do," Mr. Montague said.
"People don't always make decisions on logic. A lot of times it's their emotions."
Jurors declined to comment after the announcement of the verdict.
Tarrant County tries 15 to 20 capital cases per year. About three of those go to trial with death penalty specifications attached, he said.
Had Mr. Pratt been convicted, he faced an automatic life sentence.
"The Lord set me free," he told reporters as he left the Tarrant County Jail, where he had been held since his arrest in March.
Mr. Jumes said he intends to do a lot of soul-searching to determine if the outcome could have been different.
"This case does not reflect the value of Lan Bui or her memory. My personal reaction is to investigate what I could have done. I did everything I knew to do. I believe the science was there."
Vicky Rios, Lan's mother, said she is disappointed with the verdict and is trying to put her life back together after learning that she may never see justice for her daughter.
"I'll have to do it one day at a time," she said. "It hasn't sunk in yet.
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Dallas ISD teacher arrested on indecency charges
By HOLLY YAN / The Dallas Morning News
DALLAS, Texas - A Dallas kindergarten teacher was arrested Friday and charged with two counts of indecency with a child.
Alejandro Alvarez, 44, was arrested at Casa View Elementary on Friday morning without incident, Dallas police Senior Cpl. Max Geron said.
He said Mr. Alvarez molested two female students at the school on Aug. 15 and Jan. 26. The girls recently told parents and school officials, Cpl. Geron said.
“This did not come to our attention until very recently,” he said. “I’m not sure why (the complaints) came at the same time.”
DISD spokesman Donald Claxton said he did not know the ages of the girls, and whether the incidents occurred during school hours.
Mr. Alvarez was being held at Lew Sterrett Justice Center on Friday night. Bail had not been set.
The district has placed him on paid administrative leave.
By HOLLY YAN / The Dallas Morning News
DALLAS, Texas - A Dallas kindergarten teacher was arrested Friday and charged with two counts of indecency with a child.
Alejandro Alvarez, 44, was arrested at Casa View Elementary on Friday morning without incident, Dallas police Senior Cpl. Max Geron said.
He said Mr. Alvarez molested two female students at the school on Aug. 15 and Jan. 26. The girls recently told parents and school officials, Cpl. Geron said.
“This did not come to our attention until very recently,” he said. “I’m not sure why (the complaints) came at the same time.”
DISD spokesman Donald Claxton said he did not know the ages of the girls, and whether the incidents occurred during school hours.
Mr. Alvarez was being held at Lew Sterrett Justice Center on Friday night. Bail had not been set.
The district has placed him on paid administrative leave.
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TollTag court: A driver's nightmare
By BYRON HARRIS / News 8 Investigates (WFAA ABC 8)
Every day, more than a million vehicles enter a toll plaza in North Texas, and more than a million motorists breeze through the barriers using radio technology.
The TollTag mounted in their windshield identifies the vehicle to the North Texas Tollway Authority's computer network and charges the user's account—no stopping, no coins needed.
For most drivers, it's a great system. But for everybody at "TollTag court," it stinks.
It's one of 10 municipal courts in North Texas where—once a week—most of the proceedings are devoted to TollTtag cases.
The prosecutor will tell you that everybody here is an enemy of the state; a scofflaw, a toll cheat.
But people like Gail Blair will tell you they didn't know they were criminals until they suddenly received a warrant for their arrest.
"There's a possiblity I could be sitting in jail for a 75 cent toll," Blair complained. "I had a valid TollTag, and I had money in the account. And the court is very aware of that."
Blair received a warrant for her arrest stemming from 30 "misreads" on her TollTag over a three-year period. The North Texas Tollway Authority says as many as 4,000 vehicles a day may be misreads.
For two years, the agency sent bills to her at the wrong address, even though her correct address was on file with both the NTTA and the state of Texas.
Blair spends about $1,000 on tolls every year, and has always had a valid TollTag.
The warrant for her arrest came from one toll. This is her fifth court appearence trying to get it resolved.
Blair can wage her court battle because she has a night job. Most of the people summoned to TollTag court aren't as lucky; they have day jobs. So they pay a fine because they can't spare the time and money to fight the system.
Is this justice?
"No, it's not," said Ward Maedgen, Gail Blair's lawyer. "It forces hard working people to come down to court and spend their day in court."
On her previous four visits Blair represented herself and faced more than $350 in fines and court costs. This time—with Maedgen along—the prosecutor offered to settle her case for $50.
No deal, Blair says.
"I don't care if they fine me a penny; I'm not guilty," she said. "I don't care if it's 75 cents, a dollar, a hundred dollars—it doesn't matter to me."
Blair said she is trying to punish the tollway authority and get her money.
The NTTA's Clayton Howe said his system targets only non-responsive customers for court action. He said accused offenders first receive an invoice. Then, after 60 days, the Texas Department of Public Safety sends a citation.
Only then is an arrest warrant issued.
"What we say basically is, we didn't get paid for this transaction. Please contact us at this phone number," Howe said.
Eli Lucero got picked up during a routine stop on New Year's Eve. When he was thrown in jail, he was shocked to discover he'd been arrested on warrants from unpaid tolls in 2004.
"I've tried to pay thee guys their fees at every turn, and all they're trying to do is push more money out of me," Lucero said.
He discovered that some of the so-called violations resulted from the NTTA transposing the numbers on his license plate.
Lucero said he telephoned the NTTA five times to try and resolve the problem. But the agency said its sophisticated call center system has no record of those conversations.
A frustrated Lucero finally gave in and paid $304.75—$4.75 for the allegedly unpaid tolls.
"I won't use the tollway any more," Lucero said. "I'll stick to 635 and the side roads."
By BYRON HARRIS / News 8 Investigates (WFAA ABC 8)
Every day, more than a million vehicles enter a toll plaza in North Texas, and more than a million motorists breeze through the barriers using radio technology.
The TollTag mounted in their windshield identifies the vehicle to the North Texas Tollway Authority's computer network and charges the user's account—no stopping, no coins needed.
For most drivers, it's a great system. But for everybody at "TollTag court," it stinks.
It's one of 10 municipal courts in North Texas where—once a week—most of the proceedings are devoted to TollTtag cases.
The prosecutor will tell you that everybody here is an enemy of the state; a scofflaw, a toll cheat.
But people like Gail Blair will tell you they didn't know they were criminals until they suddenly received a warrant for their arrest.
"There's a possiblity I could be sitting in jail for a 75 cent toll," Blair complained. "I had a valid TollTag, and I had money in the account. And the court is very aware of that."
Blair received a warrant for her arrest stemming from 30 "misreads" on her TollTag over a three-year period. The North Texas Tollway Authority says as many as 4,000 vehicles a day may be misreads.
For two years, the agency sent bills to her at the wrong address, even though her correct address was on file with both the NTTA and the state of Texas.
Blair spends about $1,000 on tolls every year, and has always had a valid TollTag.
The warrant for her arrest came from one toll. This is her fifth court appearence trying to get it resolved.
Blair can wage her court battle because she has a night job. Most of the people summoned to TollTag court aren't as lucky; they have day jobs. So they pay a fine because they can't spare the time and money to fight the system.
Is this justice?
"No, it's not," said Ward Maedgen, Gail Blair's lawyer. "It forces hard working people to come down to court and spend their day in court."
On her previous four visits Blair represented herself and faced more than $350 in fines and court costs. This time—with Maedgen along—the prosecutor offered to settle her case for $50.
No deal, Blair says.
"I don't care if they fine me a penny; I'm not guilty," she said. "I don't care if it's 75 cents, a dollar, a hundred dollars—it doesn't matter to me."
Blair said she is trying to punish the tollway authority and get her money.
The NTTA's Clayton Howe said his system targets only non-responsive customers for court action. He said accused offenders first receive an invoice. Then, after 60 days, the Texas Department of Public Safety sends a citation.
Only then is an arrest warrant issued.
"What we say basically is, we didn't get paid for this transaction. Please contact us at this phone number," Howe said.
Eli Lucero got picked up during a routine stop on New Year's Eve. When he was thrown in jail, he was shocked to discover he'd been arrested on warrants from unpaid tolls in 2004.
"I've tried to pay thee guys their fees at every turn, and all they're trying to do is push more money out of me," Lucero said.
He discovered that some of the so-called violations resulted from the NTTA transposing the numbers on his license plate.
Lucero said he telephoned the NTTA five times to try and resolve the problem. But the agency said its sophisticated call center system has no record of those conversations.
A frustrated Lucero finally gave in and paid $304.75—$4.75 for the allegedly unpaid tolls.
"I won't use the tollway any more," Lucero said. "I'll stick to 635 and the side roads."
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Dallas ISD worker sentenced for molesting students
DALLAS, Texas (WFAA ABC 8) - A former Dallas teacher's assistant was sentenced to life in prison plus 20 years Friday for molesting two students.
Jerry Estrada was a 12-year employee of the Dallas Independent School District and was working at the Eladio Martinez Learning Center in West Dallas when a 12-year-old boy accused him of sexual assault in October, 2003.
A second student, another 12-year-old boy, came forward in February, 2004, saying Estrada molested him as well.
The jury convicted and sentenced Estrada to life for aggravated sexual assault of a child with a deadly weapon in one case; he received a 20-year sentence for indecency with a child by contact on the other charge.
DALLAS, Texas (WFAA ABC 8) - A former Dallas teacher's assistant was sentenced to life in prison plus 20 years Friday for molesting two students.
Jerry Estrada was a 12-year employee of the Dallas Independent School District and was working at the Eladio Martinez Learning Center in West Dallas when a 12-year-old boy accused him of sexual assault in October, 2003.
A second student, another 12-year-old boy, came forward in February, 2004, saying Estrada molested him as well.
The jury convicted and sentenced Estrada to life for aggravated sexual assault of a child with a deadly weapon in one case; he received a 20-year sentence for indecency with a child by contact on the other charge.
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Insurers still owe millions in Texas
Lawsuits, court rulings prevent policyholders from getting money
By TERRENCE STUTZ / The Dallas Morning News
AUSTIN, Texas – More than half a billion dollars. That's how much Texas' three largest insurers owe homeowners, state officials say.
But because of a combination of lawsuits, court rulings and various legal maneuvers, the policyholders of Allstate, Farmers and State Farm – collectively holding about 58 percent of the market – are still awaiting checks and premium reductions that regulators ordered to compensate for overcharges.
And there's no end in sight.
"When you get into court in some of these cases, it's like walking in mud," said Jim Hurley, a spokesman for the Texas Department of Insurance.
Mr. Hurley said the agency is pursuing every avenue to get the money to its rightful owners, about 2.2 million homeowners across the state, but those efforts are now bogged down. The companies say their rates are fair, and in Farmers' case, a lawsuit by its own policyholders has delayed payments.
The various legal fights stem from regulators' efforts to force refunds after insurance costs skyrocketed because of the mold crisis of 2001-02. And since none has been resolved, the total cost of the case is piling up.
Alex Winslow of Texas Watch, a consumer group active in insurance rate issues, said State Farm and Allstate have been found by the state to be clearly overcharging their customers, with the excessive charges mounting daily. The half-billion figure is a running total of refunds ordered for the three companies combined and does not include any interest they might have to pay.
"It is past time for these companies to quit abusing their policyholders and return the money that rightfully belongs to them," he said.
Insurers made record profits in Texas in 2004, with an average loss ratio of 27.6 percent. In other words, Texas insurers paid out 27.6 percent of premiums to cover their property losses 2004.
That figure was less than half the 58.5 percent loss ratio in 2003, considered a good year for the industry. That followed two years in which companies operated in the red. No figures are available yet for 2005.
Court battles
The insurance department accused State Farm of overcharging its million customers in Texas by about 12 percent dating back to the fall of 2003. Estimates of the overcharges – or potential refunds to policyholders – have ranged to more than $350 million plus interest.
With the most money to lose, State Farm mounted a legal strategy that has held the state at bay for 2 ½ years. State Farm won the last round in state district court when a judge ruled the company was denied due process after the commissioner of insurance ordered it to cut rates 12 percent in the fall of 2003.
The attorney general's office appealed on behalf of the insurance department, and the case is now before the state's 3rd Court of Appeals.
"We believe our current rates are fair and competitive," said Sophie Harbert, a spokeswoman for State Farm Lloyds, the company's home insurance subsidiary in Texas.
"Our base rates for homeowners insurance have not changed since January of 2003," she added, pointing out that Texas is known for damaging and often catastrophic weather conditions.
Ms. Harbert said it was the insurance department that was found to be violating State Farm's legal rights in the most significant ruling so far in the case. The state was shut out on another legal front when State Farm lawyers blocked an attempt by the insurance commissioner to put the company's rates under direct state supervision.
No. 2 insurer
Allstate is fighting over a smaller amount, but the state's No. 2 insurer is just as adamant that its rates are not excessive.
"The recent hurricanes on the Gulf Coast pointed out the need for adequate rates so we can maintain our obligations to our policyholders," said Joe McCormick, a spokesman for Allstate. "Our current rates are adequate, and they are also competitive across the board."
The state ordered Allstate to reduce its homeowners rates nearly 9 percent in a case that began in the fall of 2004. More than $60 million in alleged overcharges, plus interest, is at stake in a case before a state administrative law judge.
Unlike Farmers and State Farm, Allstate did not initially oppose a rate reduction order from the commissioner after the reform law went into effect. Allstate agreed to cut its rates 10 percent and consider another 8.75 percent reduction a year later. The insurer decided to issue refunds of $60 million in the fall of 2004, but balked at the second cut, appealing to a state administrative law judge to head off the reduction.
Mr. McCormick said Allstate's home insurance rates are less than they were in early 2003, before the Legislature passed a massive insurance reform law later that year.
Other agreements
Several other smaller insurers reduced their premiums under orders from the insurance commissioner, and even Farmers reached an agreement with the state in 2004.
Farmers Insurance, unlike the other two heavyweights, agreed to refund $117 million to its Texas customers in a settlement with the state, but a group of plaintiffs blocked the agreement in a case expected to be heard by the state Supreme Court. The plaintiffs contend the settlement was a bad deal for Farmers policyholders.
That settlement, which ended a 15-month standoff between Farmers and the insurance department, reduced premiums for homeowners coverage by an average 20 percent. Farmers agreed to trim rates 5 percent through mid-2006 and to give its customers an additional 15 percent when their policies came up for renewal in 2005.
But the agency came under criticism for dropping its demands that Farmers issue refunds for millions of dollars of overcharges in 2003 and 2004. Mr. Winslow said that the insurance department needs to use new powers given to it by the Legislature last year, such as assessing stiff financial penalties if a company continues to charge excessive rates.
"We still think homeowners are being charged too much in Texas," Mr. Winslow said.
Lawsuits, court rulings prevent policyholders from getting money
By TERRENCE STUTZ / The Dallas Morning News
AUSTIN, Texas – More than half a billion dollars. That's how much Texas' three largest insurers owe homeowners, state officials say.
But because of a combination of lawsuits, court rulings and various legal maneuvers, the policyholders of Allstate, Farmers and State Farm – collectively holding about 58 percent of the market – are still awaiting checks and premium reductions that regulators ordered to compensate for overcharges.
And there's no end in sight.
"When you get into court in some of these cases, it's like walking in mud," said Jim Hurley, a spokesman for the Texas Department of Insurance.
Mr. Hurley said the agency is pursuing every avenue to get the money to its rightful owners, about 2.2 million homeowners across the state, but those efforts are now bogged down. The companies say their rates are fair, and in Farmers' case, a lawsuit by its own policyholders has delayed payments.
The various legal fights stem from regulators' efforts to force refunds after insurance costs skyrocketed because of the mold crisis of 2001-02. And since none has been resolved, the total cost of the case is piling up.
Alex Winslow of Texas Watch, a consumer group active in insurance rate issues, said State Farm and Allstate have been found by the state to be clearly overcharging their customers, with the excessive charges mounting daily. The half-billion figure is a running total of refunds ordered for the three companies combined and does not include any interest they might have to pay.
"It is past time for these companies to quit abusing their policyholders and return the money that rightfully belongs to them," he said.
Insurers made record profits in Texas in 2004, with an average loss ratio of 27.6 percent. In other words, Texas insurers paid out 27.6 percent of premiums to cover their property losses 2004.
That figure was less than half the 58.5 percent loss ratio in 2003, considered a good year for the industry. That followed two years in which companies operated in the red. No figures are available yet for 2005.
Court battles
The insurance department accused State Farm of overcharging its million customers in Texas by about 12 percent dating back to the fall of 2003. Estimates of the overcharges – or potential refunds to policyholders – have ranged to more than $350 million plus interest.
With the most money to lose, State Farm mounted a legal strategy that has held the state at bay for 2 ½ years. State Farm won the last round in state district court when a judge ruled the company was denied due process after the commissioner of insurance ordered it to cut rates 12 percent in the fall of 2003.
The attorney general's office appealed on behalf of the insurance department, and the case is now before the state's 3rd Court of Appeals.
"We believe our current rates are fair and competitive," said Sophie Harbert, a spokeswoman for State Farm Lloyds, the company's home insurance subsidiary in Texas.
"Our base rates for homeowners insurance have not changed since January of 2003," she added, pointing out that Texas is known for damaging and often catastrophic weather conditions.
Ms. Harbert said it was the insurance department that was found to be violating State Farm's legal rights in the most significant ruling so far in the case. The state was shut out on another legal front when State Farm lawyers blocked an attempt by the insurance commissioner to put the company's rates under direct state supervision.
No. 2 insurer
Allstate is fighting over a smaller amount, but the state's No. 2 insurer is just as adamant that its rates are not excessive.
"The recent hurricanes on the Gulf Coast pointed out the need for adequate rates so we can maintain our obligations to our policyholders," said Joe McCormick, a spokesman for Allstate. "Our current rates are adequate, and they are also competitive across the board."
The state ordered Allstate to reduce its homeowners rates nearly 9 percent in a case that began in the fall of 2004. More than $60 million in alleged overcharges, plus interest, is at stake in a case before a state administrative law judge.
Unlike Farmers and State Farm, Allstate did not initially oppose a rate reduction order from the commissioner after the reform law went into effect. Allstate agreed to cut its rates 10 percent and consider another 8.75 percent reduction a year later. The insurer decided to issue refunds of $60 million in the fall of 2004, but balked at the second cut, appealing to a state administrative law judge to head off the reduction.
Mr. McCormick said Allstate's home insurance rates are less than they were in early 2003, before the Legislature passed a massive insurance reform law later that year.
Other agreements
Several other smaller insurers reduced their premiums under orders from the insurance commissioner, and even Farmers reached an agreement with the state in 2004.
Farmers Insurance, unlike the other two heavyweights, agreed to refund $117 million to its Texas customers in a settlement with the state, but a group of plaintiffs blocked the agreement in a case expected to be heard by the state Supreme Court. The plaintiffs contend the settlement was a bad deal for Farmers policyholders.
That settlement, which ended a 15-month standoff between Farmers and the insurance department, reduced premiums for homeowners coverage by an average 20 percent. Farmers agreed to trim rates 5 percent through mid-2006 and to give its customers an additional 15 percent when their policies came up for renewal in 2005.
But the agency came under criticism for dropping its demands that Farmers issue refunds for millions of dollars of overcharges in 2003 and 2004. Mr. Winslow said that the insurance department needs to use new powers given to it by the Legislature last year, such as assessing stiff financial penalties if a company continues to charge excessive rates.
"We still think homeowners are being charged too much in Texas," Mr. Winslow said.
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- TexasStooge
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Cache of explosives found near border
Drug cartels cross into deadly territory with cache found in Laredo
By DAVID McLEMORE / The Dallas Morning News
SAN ANTONIO, Texas – Customs investigators seized grenades, pipe bombs and material to make improvised explosive devices twice in the last week in Laredo, federal law enforcement agents said Friday, a sign that the violence among warring drug cartels continues to escalate along the U.S.-Mexico border.
Laredo law enforcement officials called the weapons' discovery – which apparently marks the first time such explosives have been found in the city – a worrisome development.
"I'm very concerned about explosive devices that would cause major damage or injury," said Laredo Police Chief Agustin Dovalina III. "We're doing our best ... to keep the violence from spreading over to our side, the American side."
Julie Myers, head of the Immigration and Customs Enforcement Bureau, said Friday that agents had seized "two improvised explosive devices and ... materials designed to make 33 more."
In a raid on a home in Laredo on Jan. 27, and another in Laredo on Thursday, agents found stacks of fully automatic rifles, military-style grenades, pipe bombs, gunpowder, drugs and homemade bombs similar to the IEDs used in Iraq. Some of the bombs were loaded with BBs and ball bearings.
Don Carter, special agent-in-charge of the Bureau of Alcohol, Tobacco and Firearms in Houston, said the investigation of who made the bombs and for what purpose is just getting started. He noted, however, that discovery of the improvised explosive devices marks a significant change in the picture of drug violence along the border.
"We've not seen any explosive device used during the outbreak of violence in Nuevo Laredo, though Mexican federal police have made several raids in Nuevo Laredo where hand grenades were found," Mr. Carter said. "But these devices had the capacity to kill, and the success here is that we found them before they were used. None of us wants to go to the scene of an explosion."
Al-Qaeda warning
The announcement Friday comes on the same day that the Val Verde County chief deputy warned federal lawmakers meeting in Houston that drug traffickers are helping terrorists with possible al-Qaeda ties cross the Texas-Mexico border into the United States. An FBI spokeswoman in Houston could not immediately confirm his account.
Terry Simons, chief deputy in Val Verde County, is part of a group that has been pushing state and federal officials for more law enforcement funding on the border. And he mentioned the threat in a presentation to U.S. Reps. John Culberson, R-Houston, and James Sensenbrenner, R-Wis.
Ms. Myers' announcement also follows a week in which Mexican and U.S. officials have challenged each other over so-called Mexican military incursions into the United States at the border near El Paso. Officials in Mexico announced Friday that they had identified the men responsible, although they are not in custody.
U.S. Sen. John Cornyn, chairman of the Immigration, Border Security and Citizenship subcommittee, said Friday that he's "encouraged by the law enforcement professionals for their actions, and for potentially saving numerous American lives with this seizure."
"The weapons seized are a stark reminder of the vulnerability created by the federal government's failure to secure our borders," said Mr. Cornyn, R-Texas. "Texans are rightly concerned by the state of our borders and the potential means for a terrorist to exploit that vulnerability."
As if to underscore the unpredictability of border violence, unidentified gunmen opened fire with assault rifles on a federal police convoy in Nuevo Laredo on Thursday as officers transported two suspects in an earlier shooting. Two police and one of the suspects were wounded. The daylight attack occurred just a block from the federal police headquarters.
There have been four shooting deaths in four days in Nuevo Laredo. Officials recorded 22 people killed by gunfire in the border city in January.
The eruption of violence in Mexico has claimed hundreds of lives in the last year as a result of the bloody turf battle between two Mexican trafficking organizations, the Gulf Cartel and the Federation, that seek control over the lucrative network of smuggling routes, known as La Plaza, that runs through Nuevo Laredo into Texas.
The day before the seizures of the explosives, task force agents arrested a 30-year-old Laredo man after he sold a fully automatic weapon to an undercover ICE agent.
At his home, agents found what amounted to a firearms factory, with six kits to make fully automatic rifles, 20 assembled weapons, including AR-15 and AK-47 assault rifles, and assorted pistols.
Agents also seized silencers, bulletproof vests, sniper scopes, police scanners, pin-hole cameras, 2,600 rounds of ammunition, and an unspecified amount of cocaine.
"Our intelligence and witnesses tell us that it appeared the weapons we seized were headed to Mexico, which does support the idea that this involves violence between the cartels," Ms. Myers said.
"Keeping explosives and other high-powered weaponry out of the hands of violent criminal organizations is a central focus" of the task force, she said. "As these seizures demonstrate, ICE is working day and night with its task force partners to stem the tide of violence that has been ravaging the border communities in South Texas in recent months."
Task force successes
The discovery of the bomb-making materials is an indication of the success of ICE's latest border initiative, the border enforcement security task force – or BEST.
The task force, made up of federal, state and local law enforcement agencies, was launched last July in Laredo as an intelligence-led attack on the leadership of the Mexican drug trafficking organizations responsible for the spike in violence along the border.
Task force investigations have led to the arrest of 28 suspects and the seizure of 36 assault rifles, 10 handguns, five silencers, a large quantity of weapons components and ammunition, as well as 700 pounds of marijuana, 336 pounds of cocaine and about $1.1 million in cash.
Three weeks ago, Homeland Security Secretary Michael Chertoff announced plans to expand the task force borderwide.
Ms. Myers' appearance in San Antonio on Friday marks her first press conference since her controversial appointment Jan. 4 as head of ICE.
The niece of former Joint Chief of Staff Gen. Richard Myers, Ms. Myers, 36, was the subject of congressional questions about her lack of law-enforcement experience after her nomination. President Bush bypassed a congressional vote with a recess appointment, prompting howls of protest and complaints of cronyism.
Thursday, she brushed off the criticism, stressing that in her four weeks on the job, she's been very impressed with the agents under her command and that she is committed to working with them to target and take down the leaders of the drug cartels.
"The consequences of violence [are] felt on both sides of the border, and we're working very hard to end the violence and to make the nation safer," she said.
Drug cartels cross into deadly territory with cache found in Laredo
By DAVID McLEMORE / The Dallas Morning News
SAN ANTONIO, Texas – Customs investigators seized grenades, pipe bombs and material to make improvised explosive devices twice in the last week in Laredo, federal law enforcement agents said Friday, a sign that the violence among warring drug cartels continues to escalate along the U.S.-Mexico border.
Laredo law enforcement officials called the weapons' discovery – which apparently marks the first time such explosives have been found in the city – a worrisome development.
"I'm very concerned about explosive devices that would cause major damage or injury," said Laredo Police Chief Agustin Dovalina III. "We're doing our best ... to keep the violence from spreading over to our side, the American side."
Julie Myers, head of the Immigration and Customs Enforcement Bureau, said Friday that agents had seized "two improvised explosive devices and ... materials designed to make 33 more."
In a raid on a home in Laredo on Jan. 27, and another in Laredo on Thursday, agents found stacks of fully automatic rifles, military-style grenades, pipe bombs, gunpowder, drugs and homemade bombs similar to the IEDs used in Iraq. Some of the bombs were loaded with BBs and ball bearings.
Don Carter, special agent-in-charge of the Bureau of Alcohol, Tobacco and Firearms in Houston, said the investigation of who made the bombs and for what purpose is just getting started. He noted, however, that discovery of the improvised explosive devices marks a significant change in the picture of drug violence along the border.
"We've not seen any explosive device used during the outbreak of violence in Nuevo Laredo, though Mexican federal police have made several raids in Nuevo Laredo where hand grenades were found," Mr. Carter said. "But these devices had the capacity to kill, and the success here is that we found them before they were used. None of us wants to go to the scene of an explosion."
Al-Qaeda warning
The announcement Friday comes on the same day that the Val Verde County chief deputy warned federal lawmakers meeting in Houston that drug traffickers are helping terrorists with possible al-Qaeda ties cross the Texas-Mexico border into the United States. An FBI spokeswoman in Houston could not immediately confirm his account.
Terry Simons, chief deputy in Val Verde County, is part of a group that has been pushing state and federal officials for more law enforcement funding on the border. And he mentioned the threat in a presentation to U.S. Reps. John Culberson, R-Houston, and James Sensenbrenner, R-Wis.
Ms. Myers' announcement also follows a week in which Mexican and U.S. officials have challenged each other over so-called Mexican military incursions into the United States at the border near El Paso. Officials in Mexico announced Friday that they had identified the men responsible, although they are not in custody.
U.S. Sen. John Cornyn, chairman of the Immigration, Border Security and Citizenship subcommittee, said Friday that he's "encouraged by the law enforcement professionals for their actions, and for potentially saving numerous American lives with this seizure."
"The weapons seized are a stark reminder of the vulnerability created by the federal government's failure to secure our borders," said Mr. Cornyn, R-Texas. "Texans are rightly concerned by the state of our borders and the potential means for a terrorist to exploit that vulnerability."
As if to underscore the unpredictability of border violence, unidentified gunmen opened fire with assault rifles on a federal police convoy in Nuevo Laredo on Thursday as officers transported two suspects in an earlier shooting. Two police and one of the suspects were wounded. The daylight attack occurred just a block from the federal police headquarters.
There have been four shooting deaths in four days in Nuevo Laredo. Officials recorded 22 people killed by gunfire in the border city in January.
The eruption of violence in Mexico has claimed hundreds of lives in the last year as a result of the bloody turf battle between two Mexican trafficking organizations, the Gulf Cartel and the Federation, that seek control over the lucrative network of smuggling routes, known as La Plaza, that runs through Nuevo Laredo into Texas.
The day before the seizures of the explosives, task force agents arrested a 30-year-old Laredo man after he sold a fully automatic weapon to an undercover ICE agent.
At his home, agents found what amounted to a firearms factory, with six kits to make fully automatic rifles, 20 assembled weapons, including AR-15 and AK-47 assault rifles, and assorted pistols.
Agents also seized silencers, bulletproof vests, sniper scopes, police scanners, pin-hole cameras, 2,600 rounds of ammunition, and an unspecified amount of cocaine.
"Our intelligence and witnesses tell us that it appeared the weapons we seized were headed to Mexico, which does support the idea that this involves violence between the cartels," Ms. Myers said.
"Keeping explosives and other high-powered weaponry out of the hands of violent criminal organizations is a central focus" of the task force, she said. "As these seizures demonstrate, ICE is working day and night with its task force partners to stem the tide of violence that has been ravaging the border communities in South Texas in recent months."
Task force successes
The discovery of the bomb-making materials is an indication of the success of ICE's latest border initiative, the border enforcement security task force – or BEST.
The task force, made up of federal, state and local law enforcement agencies, was launched last July in Laredo as an intelligence-led attack on the leadership of the Mexican drug trafficking organizations responsible for the spike in violence along the border.
Task force investigations have led to the arrest of 28 suspects and the seizure of 36 assault rifles, 10 handguns, five silencers, a large quantity of weapons components and ammunition, as well as 700 pounds of marijuana, 336 pounds of cocaine and about $1.1 million in cash.
Three weeks ago, Homeland Security Secretary Michael Chertoff announced plans to expand the task force borderwide.
Ms. Myers' appearance in San Antonio on Friday marks her first press conference since her controversial appointment Jan. 4 as head of ICE.
The niece of former Joint Chief of Staff Gen. Richard Myers, Ms. Myers, 36, was the subject of congressional questions about her lack of law-enforcement experience after her nomination. President Bush bypassed a congressional vote with a recess appointment, prompting howls of protest and complaints of cronyism.
Thursday, she brushed off the criticism, stressing that in her four weeks on the job, she's been very impressed with the agents under her command and that she is committed to working with them to target and take down the leaders of the drug cartels.
"The consequences of violence [are] felt on both sides of the border, and we're working very hard to end the violence and to make the nation safer," she said.
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