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D.C. BANK SWEPT UP IN INTRIGUE ... [CIA, MAFIA, S&L FRAUD, PROSTITUTION & MURDER]

Crime/Corruption Extended News News Keywords: CHANNELL, BEEBE, NORTH, BUSH, CIA, MAFIA, S&L
Source: HOUSTON POST
Published: June 10, 1990 Author: PETE BREWTON
Posted on 02/11/2000 23:19:21 PST by Wallaby

D.C. BANK SWEPT UP IN INTRIGUE FUNDS CHANNELED TO NORTH ACCOUNT
PETE BREWTON, OF THE HOUSTON POST STAFF
HOUSTON POST; FINAL Section: National Page: A1
SUNDAY June 10, 1990

WASHINGTON -
S omewhere over the Pacific nine years ago, two former political operatives for George Bush launched a mysterious business relationship.

One member of the duo had a long association with a key organized crime figure, and the other had extensive ties to the nation's intelligence community.

Although they had no banking experience, they set out to create a special kind of bank in the nation's capital.

Two years later, with seed money from a Louisiana organized crime figure who controlled billions of dollars and was instrumental in the failure of at least 12 savings and loans, they opened Palmer National Bank three blocks from the White House.

Although Palmer National remains solvent and has not been the target of any known criminal investigations, its history provides direct evidence of a connection between organized crime and the intelligence community in the operation of a federally insured financial institution.

Since February, The Houston Post has reported on evidence pointing to a possible link between organized crime and the CIA in the failure of 25 financial institutions, whose demise could eventually cost taxpayers $75 billion.

In the case of Palmer National, The Post has learned that it was listed on a 1985 report by the Comptroller of the Currency as one of 12 national banks under the possible influence or control of Louisiana organized crime associate Herman K. Beebe Sr.


And King was convicted of using Vernon money to provide prostitutes who entertained Vernon customers, officers and a state S&L regulator at the Solana Beach house.
Among The Post's other findings:

Palmer National lent money to individuals and organizations that were involved in covert aid to the Nicaraguan Contra rebels.

Money was channeled through Palmer National to a Swiss bank account used by White House aide Oliver North to provide military assistance to the Contras.

Palmer National co-founder Stefan Halper helped set up North's legal defense fund. Halper's name appears in the final entry of North's White House journal under the heading, "Legal Defense Fund."

Palmer National held a $250,000 note on a California beach house that was used by organized crime associates and figured in the criminal convictions of two S&L figures.

Palmer National, a relatively small bank with assets under $100 million, occupies a modern building at 1667 K St. N.W.

Halper and co-founder Harvey D. McLean Jr. are no longer involved with the bank. Webb C. Hayes IV, Palmer's chief executive officer since it was founded, said McLean has not owned stock in the bank for four years and that Halper left the bank before McLean did.

Beebe and the bank

Hayes said he did not know who Beebe is and had never heard his name mentioned in connection with the bank.

During the 1980s, Palmer National drew the curiosity of reporters from The New York Times and The Washington Post, which reported that it actively arranged loans for wealthy, right-wing Republicans and their pet projects. Neither paper has reported on Beebe's relationship to Palmer or the bank's and Halper's connections to the Iran-Contra affair.

The roots of Palmer National date to 1980, when Halper and businessman Harvey D. McLean Jr. became acquainted while working for George Bush in his unsuccessful presidential campaign.

McLean raised money for Bush, and Halper was the candidate's policy director. When Ronald Reagan tapped Bush as his running mate, Halper joined the Reagan-Bush campaign.

Halper was one of the key Reagan-Bush staff members who were implicated in the so-called Debategate scandal in which inside information from the Carter administration was leaked to the Reagan campaign for use in debates between the candidates.

In a 1983 story, The New York Times reported that Halper was in charge of an effort to gather intelligence on Carter's foreign policy objectives. One of Halper's main assignments, The Times said, was to determine whether Carter might be able to arrange for the release of the U.S. hostages in Iran before the November election.

The Times said Halper was aided by several retired CIA officials. An unnamed source inside the Reagan campaign was quoted as saying "there was some CIA stuff coming from Halper, and some agency guys were hired."

The idea for Palmer National was hatched in 1981 when Halper and McLean were traveling to Asia for a meeting. At the time, Halper was working as a political and military specialist for the State Department.

Humble beginnings

"I had to attend a foreign trade conference in Southeast Asia, and there was an opportunity to bring someone along with me who might have an interest in the area who was sort of a friend and so on, and so I asked Harvey if he might like to go," Halper told The Houston Post.

"Somewhere over the Pacific, we got into a conversation about banking. Now, mind you, I had never been a banker. I was one of those guys who had a checking account with $71.38 in it, and banks frightened me a little bit. But Harvey said, 'Well, got to have a good bank in Washington.' He was sort of bemoaning the fact that banks were not as strong or responsive as they should be. And as the conversation unfolded, he basically said, 'Look, if you'll create the bank, I'll put up the money.' "

In 1983, Beebe arranged for his Bossier Bank & Trust in Shreveport to lend about $2.8 million to McLean, his friend and business associate, to provide the majority of the initial capitalization for Palmer National, which was named after McLean's daughter, Palmer.

McLean did not return repeated phone messages from The Post left on an answering machine at his home in Dallas.

Beebe was the hidden power behind a number of failed Texas savings and loans, including Vernon Savings in Dallas, State Savings of Lubbock and Continental Savings in Houston. Beebe pleaded guilty to fraud involving a loan at State Savings and served 10 months of a one-year sentence in federal prison.

The patrician McLean, son of a wealthy Shreveport oilman and educated at prep school in Lawrenceville, N.J., and Harvard, seemed an unlikely match with Beebe. But "they were tight, real close. They've been tight for a long time," said Joe Cage, U.S. attorney for the Western District of Louisiana.

McLean, who returned to Shreveport from the East in 1966, became one of the biggest developers in Shreveport, with the help of financing from Beebe.

"He was a borrower of ours for a long time," said Dale Anderson, Beebe's former partner.

"He was Beebe's boy all the way," said Art Leiser, former chief examiner for the Texas Savings and Loan Department.

Failed S&Ls

McLean, who left Shreveport for Dallas in 1981, became a major player in a number of failed Texas savings and loans. He owned Paris Savings and Loan in Paris, Texas, which failed in 1988 and was merged with 11 other insolvent Texas S&Ls at a total cost to the federal government of $1.3 billion.

And the federal receivers for two failed S&Ls - Vernon and Independent American in Dallas - placed McLean in involuntary bankruptcy last year because of about $28 million he owed them in defaulted loans on Texas real estate projects.

The bankruptcy filings show McLean also owed $11.7 million to failed Continental Savings and undetermined amounts to failed Sandia Federal Savings in Albuquerque, N.M., and the troubled San Jacinto Savings in Houston.

Cage, who as U.S. attorney twice successfully prosecuted Beebe for fraud, said that in most of Beebe's deals in which he financed the control of a financial institution for an associate, he would retain some of the ownership.

Anderson, Beebe's former partner, said the Palmer loan was one of the rare few in which "we didn't have a piece of the action," or part of the actual ownership.

Anderson then said, "I don't know why we didn't have a piece. I don't know why McLean went to Washington, either. It was curious to me why anyone would go that far to own that small a bank."

CIA and commerce

Halper said his connection to the intelligence community was through his former father-in-law, Ray Cline, former deputy director of intelligence for the CIA.

In a 1988 article, The Village Voice reported that "any inquiry into the 1980 Bush campaign would have to begin with Dr. Ray S. Cline, the former CIA deputy director who became a top foreign policy and defense adviser to Bush.

"Cline boasted during the primaries that he intended to 'organize something like one of my old CIA staffs' to help Bush win," the Voice said.

The story said Halper worked with longtime CIA official Robert Gambino in an intelligence operation guided by Reagan-Bush campaign director William Casey, who went on to become CIA director.

Bush, who had been CIA director in 1976, had been offered help in his campaign by many former agency officials, The Times reported. The Village Voice reported that even active CIA agents may have worked for the Bush campaign.

But in a 1983 Times story on Halper, Cline downplayed claims about a group of CIA operatives helping the Reagan-Bush campaign. "I think this is all a romantic fallacy about an old CIA network. I believe that I have been close enough to the intelligence community for the last 40 years that I would have discovered it," Cline said.

Debategate

A House subcommittee investigation into Debategate concluded that James Baker, who was in charge of the Reagan debate group, obtained the Carter materials from Casey. Baker, who had first worked on Bush's campaign, was instrumental in bringing Halper on to the Reagan campaign after the Republican convention, The Times said.

Baker became Reagan's chief of staff and later treasury secretary. He is now secretary of state under Bush. After the 1980 election, Halper, who had worked in the Nixon and Ford administrations, became deputy director of the State Department's Bureau of Politico-Military Affairs. He left that position in 1983 to become chairman of the newly created Palmer National Bank.

News stories on Palmer during the mid-1980s described it as a small private bank that had its own little peculiar niche of providing special services to high-income individuals as well as financing for small high-tech companies and overseas customers.

A 1983 Washington Post story, without naming McLean, said "a major organizer of Palmer is a Texas real estate mogul Halper once met on a State Department trip." In fact, Halper and McLean first met while working on the Bush campaign.

A 1984 New York Times story said Palmer's "principal shareholder and vice chairman is Harvey D. McLean Jr., a Dallas real estate developer who was Southern finance chairman for George Bush's campaign for the Republican Presidential nomination in 1980."

Bush staffers from his 1980 campaign said McLean was not the Southern finance chairman. "We didn't even have regional finance chairmen," said Fred Bush, finance director for the campaign. Bush, no relation to George Bush, said he remembers McLean's name. "He may have have been on the finance committee," Fred Bush said.

The Times story was primarily about the wide range of business Palmer did with conservatives and Republicans. The story said that the National Conservative Political Action Committee borrowed more than $400,000 from Palmer, and that other borrowers included political action committees run by U.S. Sen. Bob Dole, R-Kan., and then-U.S. Rep. Jack Kemp, R-N.Y.

The Channell account

But in February 1985 a new customer appeared at Palmer. It was the National Endowment for the Preservation of Liberty, (NEPL), a conservative foundation run by Carl R. "Spitz" Channell.

Channell was one of the few private citizens who were convicted of crimes in the Iran-Contra scandal. He was the first person to plead guilty to illegal activities in Iran-Contra and was placed on two years probation for illegally using NEPL to help Oliver North raise donations for military weapons for the Contras. This money went through NEPL's account at Palmer to an account in Switzerland used by North for arms deals with Iran and to fund the Contras.

The NEPL used White House briefings and private meetings with donors and President Reagan to raise about $10 million for the Contras when Congress had banned military aid to the Contras.

Channell, who testified in North's trial on charges of obstructing Congress, destroying government documents and receiving an illegal gratuity, recently died of pneumonia while recovering from a car accident.

Documents at the Washington, D.C.-based National Security Archive show that NEPL had four accounts at Palmer, which, in April 1986, totaled about $377,000. The foundation also had a $10,000 certificate of deposit at Palmer.

The Chronology, a book about the Iran-Contra affair put together by the National Security Archive, says that in March 1986, NEPL transferred $725,000 from one of its accounts at Palmer to an associated company. About $650,000 of that was sent to the Switzerland account used by North to help the Contras, according to The Chronology.

Palmer also made a loan to one of Channell's organizations. A 1987 New York Times story on Channell's financial problems stated that furniture in Channell's office bore signs warning that they were "subject to a lien of the Palmer National Bank" and should not be removed.

A former high-level Palmer employee, who asked that his name not be used, said Halper brought Channell to Palmer. Halper, however, said he did not remember whether he had.

Halper, who left Palmer in early 1985, told The Post he did not know the bank was used by Channell to funnel money to the Contras.

North in need

One link between Halper and the Contras is North. Halper's name appears in North's notebooks in the last entry on Nov. 25, 1986, the day North was fired by President Reagan for his part in diverting profits from Iranian arms sales to the Contras.

Underneath the heading "Legal Defense Fund" North had written Halper's name, along with an associate of Halper's, Chris Lehman.

"Ollie is a friend of mine, and we at that time thought we might be able to help him in the development of a legal defense fund," Halper said. "The fund got off the ground. He did develop a legal defense fund. We got trustees and put it in place."

Halper said he remains friendly with North. "His daughter and my daughter are in the same pony classes, stuff like that," Halper said.

Another link between Halper, Channell and the Contras is Washington attorney J. Curtis Herge.

Herge is an attorney for the National Bank of Northern Virginia, where Halper was installed as chairman after leaving Palmer. Herge is also an attorney for the National Conservative Political Action Committee, which borrowed more than $400,000 from Palmer.

Herge is also an attorney for the Nicaraguan Resistance Education Foundation, an organization which backed the Contras. And Herge represented Channell and NEPL, and issued statements on their behalf when news accounts first mentioned the foundation's role in providing weapons to the Contras.


[Beebe had] numerous connections to New Orleans Mafia boss Carlos Marcello ... [and] associations with Mafia families in New York and California
While NEPL was helping the Contras, Halper's father-in-law at the time, Cline, was an adviser to a firm associated with retired Maj. Gen. John Singlaub, one of the principal leaders of private efforts to resupply the Contras.

Cline told the joint congressional Iran-Contra committee that he was advising individuals with GeoMiliTech, the company connected to Singlaub, on selling arms to the CIA and to foreign countries. Singlaub and Barbara Studley, the head of GeoMiliTech, had earlier arranged for the sale of $5 million in weapons to the Contras.

Cline told the Iran-Contra committee that the fee paid for his advice to GeoMiliTech went to his company, SIFT Inc., whose stockholders are members of his family, including his daughter, who was Halper's wife at that time.

Shortly after Channell's NEPL opened up its account at Palmer in 1985 and started sending money to the Contras, McLean's loan from Beebe that launched Palmer was transferred from Bossier Bank & Trust to San Jacinto Savings in Beaumont.

This transfer occurred in April 1985, just after Beebe had been convicted of defrauding the Small Business Administration on a loan and two months before the FDIC shut down Bossier Bank.

Solana Beach house

But Beebe's connections to McLean did not stop with the stock loan. Some problems developed with a $1 million loan Beebe's insurance company, Savings Life, had made on a house in Solana Beach, Calif. This loan involved his associate Don Dixon, who owned Vernon Savings.

Dixon knew that Beebe was getting into legal trouble. So in November 1984, Dixon had the loan transferred from Savings Life to McLean's Paris Savings, with $250,000 of the balance going to Palmer. In 1986, Paris Savings filed a lawsuit because the loan was in default.

The Solana Beach property gained notoriety because it was used as a party house by a number of S&L executives with ties to Beebe. The house figured into the criminal convictions of Dallas developer Jack D. Atkinson and former Vernon president Patrick G. King.

Atkinson, who borrowed more than $100 million from Vernon, was sentenced to one year in prison for diverting Vernon loan proceeds to rent payments on the house.

And King was convicted of using Vernon money to provide prostitutes who entertained Vernon customers, officers and a state S&L regulator at the Solana Beach house. This was in March 1985 when Palmer had the $250,000 loan participation on the house.

McLean apparently sold his stock in Palmer to other board members in late 1986. But his 1989 bankruptcy papers indicate he continued to maintain accounts at Palmer.

Gaining distance

After Beebe got into legal trouble in late 1984, Dixon and Palmer Bank, and other businessmen and companies, tried to distance themselves from him. But for years before, Beebe had known ties to organized crime. Not only did he have numerous connections to New Orleans Mafia boss Carlos Marcello, he had associations with Mafia familes in New York and California.

According to present and former law enforcement officials, private investigators and other published reports, Beebe had a number of connections to Marcello, including mutual interests in nursing homes and Holiday Inns, mutual interests in the Teamsters Union, contact between Beebe and one of Marcello's personal attorneys, Phillip E. Smith, and loans from Beebe-controlled banks to Marcello and his associates.

U.S. Attorney Cage said he believes Beebe got a lot of his money and power from the Teamsters, which was controlled by Mafia families in the Midwest, but had strong ties to Marcello.

Beebe had a home in the La Costa resort near San Diego, which was built by the mob with Teamsters money. Beebe also did business with one of the former La Costa general partners, Edward "Fast Eddie" Susalla and his son Scott Susalla, who pleaded guilty to possession of cocaine in 1985 in one of the largest drug busts in Southern California history.

In 1976 the Dallas Morning News reported that investigators had uncovered evidence that Bossier Bank & Trust was used as a conduit for profits skimmed out of mob-controlled casinos in Las Vegas. Bossier Bank sued the paper for libel, but later dropped the suit after investigators turned up other ties from Beebe to organized crime.

Former law enforcement officials told The Post that Beebe had been involved in a scheme in the early 1970s to smuggle weapons and explosives to anti-Castro Cubans in Mexico. A South Texas rancher and an associate of the Gambino Mafia family in New York were arrested in the scheme, and some of the explosives were later traced back to a warehouse in Shreveport allegedly owned by Beebe.

Not for commercial use. Solely to be used for the educational purposes of research and open discussion.


Dixon aide says he hired Wilkening; Testifies madam provided prostitutes
Dayna Lynn Fried; Staff Writer
The San Diego Union-Tribune; NEWS; Ed. 1,2,3,4,5,6; Pg. A-3
November 6, 1990, Tuesday


A former aide to Don R. Dixon Dixon contracted with Karen Wilkening and another San Diego madam to provide prostitutes at a 1985 party for Vernon Savings and Loan directors, according to testimony yesterday in Dixon's fraud trial here. Mar beach house and on June 22 aboard a yacht cruising San Diego harbor.


Dixon hosted several fund-raisers during the mid-1980s for politicians, Osuna said, including Rep. Bill Lowery, R-San Diego; former Rep. Tony Coelho, a Democrat from Merced; Sen. Jake Garn, R-Utah; and Rep. Jack Kemp, then a New York Republican and now secretary of Housing and Urban Development in the Bush administration.
"I made arrangements with Karen Wilkening and Jana (Warner) to bring girls aboard the yacht for a catered dinner and cocktails," Osuna testified in federal court here.

"The same women who appeared (at the party) Thursday appeared again on Saturday."

Sources have told The San Diego Union that the three-day Vernon affair, which began Thursday, June 20, according to testimony, included 22-year-old Donna Gentile, whose naked body was found at dawn June 23, off Sunrise Highway, east of Pine Valley.

Gentile's murder and the death of 41 other young women slain since 1985 are being investigated by the San Diego Metropolitan Homicide Task Force. Under the supervision of the state attorney general's office, the multiagency task force also is looking into possible police corruption and whether officers may have been involved in any of the prostitute slayings.

Sources close to the Dixon investigation said details about Gentile most likely will not surface during testimony here, however, because her death has no bearing on the fraud proceedings.

Dixon, who owned a $2 million house in Del Mar and entertained at a leased residence in Solana Beach, is on trial in federal court on 38 counts of fraud alleging he used Vernon money to hire prostitutes, make political contributions and support a rich lifestyle. The failure of Vernon Savings and Loan cost taxpayers an estimated $1.3 billion, according to federal bank regulators.

Osuna said yesterday that following the June 1985 directors' meeting, he cashed a $10,000 check in his name at a Rancho Santa Fe bank so he could pay the prostitutes in cash.

Osuna was employed by Vernon Services Inc., on whose account the check was drawn. It was a subsidiary of Vernon Savings and Loan. He divided the cash between Wilkening and Warner, Osuna testified.


"I remember having to rush to cash the checks before the Saturday parties and the banks closed so there would be plenty of cash to hand out. Everything had to be done in cash."
Osuna said he paid Warner through her assistant, Kathy Russ, at a meeting in the bank parking lot. Serving a 44-month sentence for prostitution-related crimes, Wilkening was taken from her prison cell in Norco, Calif., to Texas last month and is scheduled to testify here later this week. Russ is also expected to testify for the prosecution about the Vernon parties. then later given an additional $500 check by Osuna to pay for a Wilkening employee who spent the night with Dixon at the Del Mar House on June 20.

"The next morning (Friday), Dixon said I needed $500 extra because one of the women stayed the remainder of the evening," the former business manager said.

Osuna said Wilkening met him in the parking lot of the Price Club on Morena Boulevard and reluctantly accepted the check instead of the preferred cash.

Dixon took notes at the defendant's table during this part of Osuna's testimony while his wife, Dana, sat listening in the gallery.

Following the June 1985 bash, Osuna said, he continued to hire Wilkening's women for Vernon officers and investors. He did not provide names, however, nor elaborate on times and places.

Dixon hosted several fund-raisers during the mid-1980s for politicians, Osuna said, including Rep. Bill Lowery, R-San Diego; former Rep. Tony Coelho, a Democrat from Merced; Sen. Jake Garn, R-Utah; and Rep. Jack Kemp, then a New York Republican and now secretary of Housing and Urban Development in the Bush administration.

Lowery was one of several politicians identified by the Justice Department as having unknowingly received thousands of dollars in corporate donations from Vernon Savings officials.


Gentile's murder and the death of 41 other young women slain since 1985 are being investigated by the San Diego Metropolitan Homicide Task Force.
During testimony yesterday morning, Osuna's predecessor, Garrison Roth, said he also contracted with Wilkening for prostitutes in 1983. The money was disguised then as "Christmas bonuses" for accounting purposes, he said.

"I was told to call and get eight girls for this party and four girls for that party," said Roth. "I remember having to rush to cash the checks before the Saturday parties and the banks closed so there would be plenty of cash to hand out. Everything had to be done in cash."

One check, which Roth identified from a stack of government exhibits, was for $2,275 and was used to procure women in December 1983, he said. The check was marked "Christmas bonus."

"Yes, there was a Christmas," said Roth in answer to defense attempts to ridicule the pretense of the check. "But it was not a Christmas for any Vernon employees. It was Christmas for the girls who came to our parties."


Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

Nude photos appear of callgirl who died after thrift king's party
WILLIAM H. INMAN UPI National Reporter
United Press International
October 19, 1990, Friday, BC cycle


The trial of busted thrift owner Don Dixon took a bizarre twist Friday when a California newspaper reported nude photographs have surfaced of a call girl killed after attending one of Dixon's beachhouse parties.


The nude body of Gentile -- her mouth stuffed with rocks -- was found the day after the two-day party concluded, sources told the newspaper.
Dixon is not believed to be a suspect in the case, however investigators say he purchased the services of 20 call girls, including victim Donna Gentile, for a party at his Solana Beach, Calif., the San Diego Union reported. The nude body of Gentile -- her mouth stuffed with rocks -- was found the day after the two-day party concluded, sources told the newspaper.

According to the newspaper, the women were ordered to attend by Karen Wilkening, convicted ''Rolodex Madam'' now serving 44 months in prison on prostitution-related charges. Wilkening was released to the custody of the FBI to testify for the prosecution in the Dixon case.

''I don't think what I would have to say would make a difference one way or another,'' Wilkening told the Tribune.

The photographs were 35mm snapshots, and investigators are trying to determine who took them, the newspaper reported.

It is unclear the significance investigators are placing on the pictures. During questioning, however, investigators have hinted a police officer may have been involved in the photo taking.

Investigators are concentrating on allegations against unnamed police officers, Assistant San Diego Police Chief Norm Stamper told the newspaper.

Dixon, a Texas builder who bought a small hometown thrift and expanded it into a $1.7 billion enterprise, is accused to falsifying records to conceal the source of money used to pay off politicians, prostitutes and to support his lavish lifestyle. The money, according to a 38-count indictment, came from Dixon's thrift, Vernon Savings & Loan, which collapsed in 1987, requiring a taxpayer bailout of $1.3 billion.

The newspaper said the California party was held for 20 financiers and included cocktails and an evening cruise. It began on June 21, 1985, and ended the following day.

In related developments Friday, U.S. District Judge A. Joe Fish ordered his courtroom, where a jury is being picked to hear the case against Dixon, reopened to reporters after an adverse ruling by a superior court.

The action by the 5th U.S. Circuit Court of Appeals late Thursday denied a newspaper request to order jury-selection proceedings reopened to the public, but strongly encouraged the Dallas jurist ''to use his better discretion'' in reversing his position.

Fish, who closed the court at the behest of defense attorneys, said he was permitting each juror to determine whether he objected to speaking in open court. Defense Attorney Billy Ravkind cautioned that jurors would not speak their minds on such sensitive topics as prostitution and political payoffs if news representatives were present.

''I'm going on a juror-by-juror basis,'' said Fish. ''If somebody objects to speaking in an open forum, he or she can approach the bench and speak privately to me.''

Jury selection was expected to last through Friday with opening arguments late Monday. The trial is expected to last at least a month.

Dixon, who describes himself as an unemployed financial consultant, was able to expand his thrift assets quickly by urging his top executives to make high-dollar commercial loans, all backed by government guarantees. Business deals included a stud farm and gambling casinos.

1 Posted on 02/11/2000 23:19:21 PST by Wallaby (wallaby@altavista.net)
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To: Wallaby

McCain is so desperate that he wants to drag out Iran Contra? We all said McCain was a liberal Democrat. Thanks for providing documentation.

2 Posted on 02/11/2000 23:27:15 PST by go star go
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To: Uncle Bill, Sandy, Nita Nuprez, okie01, truthkeeper

3 Posted on 02/11/2000 23:43:26 PST by Wallaby
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To: Wallaby

I have two questions:

1. What is the Houston Post" ans is it still in business.

2. What is you motivation for Posting this?

4 Posted on 02/11/2000 23:45:47 PST by Mark Wm. Manis
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To: Wallaby

Wow, beautiful Wallaby! I'm going to study this more and will get back in touch. The corruption has been going on so long and so deep, yet Americans take Johnny to the ballpark and the socialist incubators called public education right on cue. They think somebody is taking care of all of this filth. Hehe, if they only knew.

5 Posted on 02/11/2000 23:53:35 PST by Uncle Bill
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To: Mark Wm. Manis

The Houston Post died on April 17, 1995, after publishing for 111 years. Near the entrance to the Post building were these words of Thomas Jefferson:

"Let facts be submitted to a candid world."
That's my motivation for posting this and anything else on the Free Republic.

6 Posted on 02/12/2000 00:32:23 PST by Wallaby (wallaby@altavista.net)
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To: Wallaby

It's a tough row to hoe explaining to some folks that the body politic has a systemic infection.

7 Posted on 02/12/2000 01:24:10 PST by metalbird1
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To: metalbird1

That's quite a mixed metaphor, Metal.:)

Bump for the AM

8 Posted on 02/12/2000 05:54:51 PST by rubbertramp
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To: Wallaby

Really good work!

9 Posted on 02/12/2000 06:11:19 PST by Chapita
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To: Wallaby

Every time I read Brewton's stuff, and realize that I knew/knew of/had done/tried to do business with about three out of every four of the Texas names he mentions, I get a little queasy.

Then, I had an acquaintance get sucked into one of the Arkansas State Development Commission scams, very much against my advice. When I left the meeting, I couldn't wait to wash my hands. The stench was in my nostrils all the way back to Alabama.

I often wonder what woulda happened if I'd taken advantage of my "opportunities"...

10 Posted on 02/12/2000 11:52:51 PST by okie01
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To: Wallaby

Thank you very much for all you do.

11 Posted on 02/12/2000 18:44:40 PST by Leper Messiah
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To: Wallaby

George W., my son, this is the business we have chosen.

12 Posted on 02/12/2000 19:17:00 PST by Uncle Bill
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To: okie01

Maybe you'd end up on somebody's list???!

13 Posted on 02/12/2000 19:20:57 PST by MadAsHell
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To: okie01

Or... maybe I should have specified "hit list"?

14 Posted on 02/12/2000 19:24:03 PST by MadAsHell
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To: MadAsHell

My thought exactly...

15 Posted on 02/13/2000 10:37:43 PST by okie01
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To: Wallaby

Bttt.

16 Posted on 02/14/2000 02:09:50 PST by Uncle Bill
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To: Uncle Bill

Nah, I won't even try. You got it.

17 Posted on 02/14/2000 02:18:47 PST by metalbird1
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To: go star go

Not only that,but they are trying to use "guilt by relation". This is all recycled stuff that was part of the smear attempt the Dim's used to try and link former president Bush to the crimes of others. Pretty sad and desperate,in MY opinion. The evidence we have against McClain is for things HE did,not things people he knew were accused of doing.

18 Posted on 02/14/2000 06:07:50 PST by sneakypete
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To: Uncle Bill,Sandy,Nita Nuprez,okie01,thinden,aristeides,Michael Rivero,NDCORUP,Boyd,truthkeeper

Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

Key figure in S&L scandal among 3 killed in air crash
Austin American-Statesman
Metro/State; Pg. B2
May 17, 1998


All three people aboard a private plane, including one of the first savings and loan executives convicted in the 1980s scandals, died Saturday when the twin-engine aircraft crashed in North Texas.

Woody Lemons and his wife and mother were killed when their plane went down at 8 a.m. about seven miles north of Vernon in North Texas, authorities said.

The three had just taken off from the Wilbarger County Airport and were headed to the University Interscholastic League state track meet in Austin when their plane experienced engine trouble, Vernon Fire Department Chief Charles Stewart said.

Lemons'

Lemons, the former chairman of the board of Vernon Savings and Loan, became the first major bank officer brought down in the S&L scandal when he was convicted of bank fraud in 1988.
wife, Paula, was piloting the plane and had started to return to the airport when the aircraft plunged onto U.S. 283. The plane skidded about 100 feet into a wheat field and burst into flames, Stewart said.

Federal officials were on the scene to investigate. The plane, a six-passenger British Beagle, was 20 years old, Stewart said.

Lemons, the former chairman of the board of Vernon Savings and Loan, became the first major bank officer brought down in the S&L scandal when he was convicted of bank fraud in 1988.

He was sentenced to 30 years in federal prison but served just 44 months before earning his freedom with an appeal he crafted himself. Lemons returned to Vernon in 1994.

Lemons' mother, Thelma Todd, lived in Crowell, about 30 miles southwest of Vernon.

19 Posted on 08/08/2000 15:13:33 PDT by Wallaby (wallaby@altavista.net)
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To: Wallaby

"He was sentenced to 30 years in federal prison but served just 44 months before earning his freedom with an appeal he crafted himself. Lemons returned to Vernon in 1994."

Good Riddance.

I happened to note, in re-reading some parts of this thread, that the name Bush crops up. I just don't know why people are suspicious of the Bush Dynasty. Why, ALL of that STUFF about Prescott, and Neil, and jr. and Prescott again, and Jeb and their "associates" are just people trying to put down a family of Saints!

I wish they'd stop that.

20 Posted on 08/08/2000 16:24:49 PDT by NDCORUP
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To: Wallaby

ref bump

21 Posted on 08/08/2000 16:35:52 PDT by xorch
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To: NDCORUP,Boyd,metalbird1,bondhue1,aristeides,Fred Mertz,Uncle Bill

Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

EVERYONE LOVED SHELLY
SHE WAS A BEAUTY WHO DIED TOO YOUNG. THE POLICE SAY IT WAS A HORSE-RIDING ACCIDENT. HER FAMILY CLAIMS SHE WAS MURDERED AND ROBBED. OFFICIALLY, THE INVESTIGATION IS OVER, BUT THE STRANGE CASE OF SHELLY MALONE GOES ON AND ON.
BY HOWARD MEANS
Washingtonian
July 1993
Her name was Shelly Malone, and in the last years of her life, in the small, exclusive world of the Virginia Hunt Country--the sort of world she had always dreamed of--she became a person of note.

The 1989 program for the Middleburg Spring Race Association lists her as a member of the Sports Council, the patrons who support the annual steeplechase races. Among the other patrons: Riggs National Bank chairman Joe Allbritton; Pamela Harriman, the Democratic doyenne and now ambassador to France; George McGhee, former US ambassador to West Germany and Turkey; Paul Mellon, heir to the fortune that founded the National Gallery of Art; and Bruce Sundlun, the wealthy governor of Rhode Island.


Dixon had provided prostitutes to then- Texas Savings and Loan Commissioner Linton Bowman. One of the two alleged prostitutes was Shelly Malone.
She was a racing patron on her own, too, and a racehorse owner. Capriole-- the gift shop she had started in Middleburg in 1988--sponsored the point-to- point Lady Rider Championship. Ten Bar, Shelly's steeplechaser, had won at the 1992 meeting of the Foxfield Spring Races. As almost everyone does in that part of Virginia, she rode, competing in dressage events. Unlike some in the insular world of Hunt Country, though, Shelly's world reached beyond the foothills of the Blue Ridge.

In June 1992, four months before her death, the National Glaucoma Trust had presented Shelly with one of its Singular Sensation awards, given annually to women of achievement. The program for this year's ceremony included a page paying tribute to her memory.

Shelly lived in The Plains--a hamlet eight miles south of Middleburg--in a modest pre-Civil War home set among imposing estates.

In Manhattan, where she frequently went on business and for pleasure, she had an apartment on Central Park West at her disposal and a private secretary to answer calls.

She traveled frequently to Europe, where she had attended both the American College in Paris and the Mediterranean Center in Cap d'Ail on the French Riviera, and she knew some of the most socially prominent people on the continent. One Christmas card, preserved among her mementos, is from Prince Albert of Monaco.

"Shelly Dear," the message reads. "I'm sorry I missed you in Paris. I was only there a couple of days in December anyway. Thanks for the present. I won't open it until the 25th in the afternoon when we open all our presents. All my best for the holiday season. See you soon. Love, Albert."

Shelly was 37 years old when she died, in what the Fauquier Times-Democrat, in a front-page obituary, called "a freak horseback riding accident."

In addition to comments from her long-time boyfriend, George Carhart Jr., and another friend, Michele Rouse, the obituary also notes that Shelly had managed gift products for the Virginia Gold Cup and the Great Meadow riding center since 1991. And the newspaper quotes from what it calls a "close friend, " Arthur W. (Nick) Arundel, chairman of both the Gold Cup and Great Meadow: "We have lost one of the most vibrant and talented young people to come into this community in many, many years."

Because there is no need to do so in Hunt Country, the Times-Democrat does not tell readers that Nick Arundel is the paper's publisher and owner. Nor, because obituaries tend to accentuate the positive, does the Times- Democrat mention the twisting and sometimes torturous road that Shelly traveled from childhood to The Plains or the peculiar arrangement that funded her business and paid the rent on her farm. It doesn't mention the time she spent on probation on drug charges. Nor does it say that she had been called to testify before a Texas grand jury in a case that grew from one of the most spectacular collapses of the savings-and-loan crisis.

Finally, because obituaries cannot see into the future, there is no mention of the questions that would arise about the manner of her death--questions that would drive her family to desperation and near despair.

Everyone loved Shelly--you hear it time and again when you ask about her, from her friends in The Plains and from her family. But almost no one, it seems, knew her whole.

She was born Joan Rochelle Malone in December 1954 in Annapolis. Her father, Joseph R. Malone, was working there as a dental technician at the Naval Academy. As he would with the two sons to follow, he wanted his daughter to have his initials.

After he left the Navy, Joseph Malone moved his family to Mississippi and later, when Shelly was in the last years of elementary school, to Fort Lauderdale and then Boca Raton, Florida, where he worked as a textbook salesman. Soon the marriage was falling apart, and Shelly's relation with her father had hit rock bottom.

Valerie Shea, now a Miami lawyer, was Shelly's best friend in junior high and high school: "We used to go over to her house every day after school. Her parents were miserable then. There was always a huge list of chores she had to do."

Shelly "chose not to be home alone with her father," Shea recalls. "Often one of the reasons I accompanied her home was that if he wasn't out of town, he worked at home. He had an Irish temper; he would haul off and smack her. It wasn't very pleasant, but it wasn't reportable. . . . My parents divorced when I was twelve, and Shelly used to say, 'You're so lucky.' "

Shelly left home at age 17 to marry David Burgnon. Her family contends that Joseph Malone, who by then had divorced Shelly's mother, offered the two teenagers money to marry as a way of freeing himself of child-support payments to Shelly. Valerie Shea concurs, at least in part:

"I recall it was some deal," she says. "He was going to finance them because it got him out of some obligations. But I think Shelly was desperate enough to get out of the house that it didn't take much incentive."

Shelly and David settled in Louisville, Kentucky, where he started a carpet business and she began classes at the University of Louisville. Seven years into their marriage the sky fell on both of them.

"David had a problem with the IRS," says Frances Shewan, Shelly's mother. "They had his bank account, his business. He thought he could make some fast money. And he paid for it dearly."

The cocaine trade promised the fastest money around in 1979, but David Burgnon apparently never completed a sale before his and Shelly's house was raided in what was then the biggest drug bust in Kentucky history, according to Shelly's brother Joe Malone.

Shelly, who was inside the house at the time, would spend that night in jail and draw a five-year probation. David, for his part, would do long time.

"Shelly told me that she sat there in jail and looked around her," her mother remembers. "She was with all kinds of women who were hardened criminals, and there she sat. She didn't want to lie down. She said the tears were just burning, but she couldn't cry."

But Shelly was a survivor. And she had three things going for her. She had loved horses from the time she was a child and had dreamed of some day being part of the world of horses. She had an iron will and the American faith that dreams can come true. And she was beautiful--the kind of woman that men can't stop looking at.

If you had asked Shelly at age 12 what she wanted to be, she would have answered, "a horse," her mother says, "and failing that, a jockey, but she was already five-nine-and-a-half. She wanted to do anything that would put her with horses."

In Louisville, Shelly had worked part- time as a groom at Churchill Downs, the home of the Kentucky Derby. Later, after the drug bust and a brief stint modeling in Pennsylvania, she moved to Fort Lauderdale--where her mother was living--and found work in the shoe department of a Burdine's department store and later as an aide at an architectural firm. On the side, Shelly helped exercise horses at the nearby Pompano Park racetrack. It was at the architect's office that she made the connections that would land her a job as assistant manager, later manager, of a $2.6-million, 112-foot luxury yacht called High Spirits, owned by the Vernon Savings and Loan Association of Texas and controlled by its flamboyant executive officer, Don Dixon.

Sister ship to Sequoia, once the presidential yacht, High Spirits docked frequently in Washington, where it was often used by former House Whip Tony Coelho to wine and dine contributors to the Democratic Congressional Campaign Committee. But like so much else connected with Vernon S&L, the yacht was part of Don Dixon's house of cards.

When federal regulators finally moved against Dixon in March 1987, 96 percent of Vernon's loans were delinquent. The cleanup would cost taxpayers more than $1 billion.

Dixon, who had paid himself $8 million a year, would be found guilty on 23 counts of fraud and racketeering in connection with Vernon. One of those counts charged that at a March 1985 party in California, Dixon had provided prostitutes to then- Texas Savings and Loan Commissioner Linton Bowman. One of the two alleged prostitutes was Shelly Malone.

In The Daisy Chain, his book on the Vernon S&L collapse, journalist James O'Shea writes that Shelly had at first been reluctant to make the trip to the West Coast, where she was to meet four men, including Dixon and Bowman, but had consented when her friend, Regina, was allowed to come along.

"Shelly and Regina would be flown from Florida to California, courtesy of Vernon's investment subsidiary," O'Shea writes. "They would then meet the four men at a restaurant just north of San Diego for lunch and a lovely weekend. To say that Shelly was 'statuesque' was like saying the 'Mona Lisa' was a snapshot. She had been handpicked for Bowman by Don Dixon, and Dixon had exquisite taste."

From San Diego, the party moved on to a nearby million-dollar beach house owned by the savings-and-loan association and, the next day, to San Francisco, where Shelly and Bowman and Dixon and Regina shared a two-bedroom suite at a hotel on Nob Hill. Bowman later told investigators that he had not been compromised during the extended weekend because he was impotent.

Shelly wrote O'Shea soon after his book was published, in early 1991.

"It was almost a setting-the-record- straight letter, rather than complaining," O'Shea says. "Basically, she says 'I was with Bowman, but I didn't sleep with him.' The bare bones was that nothing I said was inaccurate. "

Valerie Shea, Shelly's childhood friend, talked with her shortly after Shelly had testified before a Dallas grand jury on the Linton Bowman incident:

"To her credit, it totally didn't faze her," Shea recalls. "I would have been totally crushed for anyone to insinuate that about me, but Shelly being Shelly, she went totally on the offense. She told me that a couple of the jurors asked her questions, and she said, 'Look, you people just don't understand the real world.' I'm sure that prosecutor couldn't get her on the plane out of town fast enough."

By luck or good sense, Shelly had bailed out of the High Spirits position about six months before federal regulators rang the curtain down on Dixon. By then, she didn't need the job because, by then, she had met Cecil Altman.

Of all the men in Shelly's life, Cecil Altman may be the most intriguing. An international investor based in Switzerland--with interests in banks, hotels, and other businesses around the world--Altman met Shelly at an Atlanta gathering of investors staged by Don Dixon.

Soon, Altman--who had grown children of his own, as well as a wife--was inviting Shelly to Vienna to see the Lipizzaner horses at the Spanish Riding Academy. "It was her first trip to Europe," Shelly's mother says. It also was the right button to push: "She couldn't wait."

Vienna was only the beginning. It was Altman who paid for Shelly's education in Europe; it was Altman who provided Shelly with her first and favorite horse, Ten Bar; it was Altman's apartment in Manhattan that Shelly had the run of; it was his private secretary who took her calls there. Once, Frances remembers, Shelly and Altman were having lunch at a New York restaurant when Shelly told him that she had long been afraid of mathematics. Altman had a phone brought to the table, and within minutes Shelly was being counseled by a prominent mathematician.

Altman underwrote Capriole, Shelly's store in Middleburg, and absorbed its losses. He introduced Shelly to Prince Albert and to Harold Brooks-Baker, the American who took over Burke's Peerage in 1984. In time, Capriole became the sole US outlet for products licensed by the 167-year-old genealogist to British nobility, an agreement that contributed more in prestige than it did in profits.

For Shelly's personal needs, Altman sent her a monthly payment of $5,000 and provided for more substantial funds in the event of his death. When Shelly had exhausted her monthly $5,000, as she frequently did, other lines of credit in Altman's name appear to have been available to her.

In all, Joe Malone estimates, Cecil Altman gave to Shelly or invested in her business more than $1 million during the nearly seven years they knew one another. But more than the money, he gave her access, and in the Virginia Hunt Country, Shelly found a place where the pedigree of horse flesh is more important than the history that humans carry with them.

"Shelly had a horse," says her onetime boyfriend Steven Head, a personal fitness trainer in McLean. "That in a sense qualified her. And Cecil gave her enough money to put up appearances. With five to six thousand a month, you could put up a horse, buy nice clothes, sponsor races, whatever."

Head characterizes the Altman-Shelly relationship as "a kind of Professor Higgins-Eliza Doolittle thing. Cecil recognized an intelligent, attractive woman. He convinced her of things she desperately wanted to believe--that she deserved more out of life, the finer things of life. You plunk down a thousand dollars and invite someone to Paris for lunch, and that's going to impress her, especially someone so desperate for esteem, for recognition and material trappings."

But the relationship was more than a financial or tutorial one.

"I'm not saying there wasn't a romantic interest between Shelly and Cecil, because there was," Joe Malone says. "But it wasn't a filthy, smutty thing. . . . He made few demands on Shelly--not what I would want for a million dollars. "

For Shelly, the arrangement was not quite as simple as it seems.

For almost four years after moving to the Washington area, Shelly lived in a small brick rental house on Kurtz Road in McLean, commuting to her store in Middleburg. At first, her second husband, Pablo Aguirre Larrosa, lived there with her.

The two had met in the south of France when Shelly was a student at the Mediterranean Center in Cap d'Ail and Aguirre Larrosa was a language instructor there. By all accounts a marriage of convenience--Shelly's way of repaying Pablo's attentions with a green card for immigration--it didn't work out.

Frustrated at having to rely financially on his wife, Aguirre Larrosa moved back to Europe in 1989, but the two were never divorced. Although her obituary failed to mention it, Shelly was still legally married at the time of her death.

It is unlikely that Cecil Altman knew of Shelly's marriage. She kept a second phone line at her house at Kurtz Road--and later in The Plains--that was for Altman's calls only. Nor is it known whether he was aware of her two subsequent male companions, Steven Head and George Carhart Jr.

Head and Shelly met, he recalls, on a Saturday morning in mid-De cember 1988 "at ten twenty-five in the morning. She had heard that I was a personal trainer who was living in Middleburg, and she made an appointment for ten o'clock. True to form, she was twenty-five minutes late for a forty-five minute appointment."

Their relationship, Head says repeatedly, was a meeting of "kindred spirits. . . . We both have a lot of goodness in us that's had trouble overcoming our bad-boy streaks." Platonic at first, the relationship would last until September 1990.

"She absolutely broke my heart," Head says. "We took a three-month sabbatical, then we resumed our friendship." In fact, Steven Head would love Shelly to her grave, and beyond.

It was George Carhart who came between Shelly and Head. Younger than Shelly by five years, Carhart had met her through his friend, Carter Wiley, a 1987 honorable-mention All-American defensive back at Virginia Tech, who had been drafted by the Atlanta Falcons but cut during 1988 training camp. Soon, Carhart and Shelly were spending most weekends together in McLean, the Middleburg area, and later The Plains, with Carhart returning during the week to New York, where he worked in the men's-fashion industry.

Nearly two years after meeting George Carhart, Shelly moved out of the brick bungalow in McLean to Western View Farm in The Plains.

The two-bedroom, two-story farmhouse, a dependency of the far grander Montrose estate across State Route 626, had stables for Ten Bar and the horse Shelly would soon buy, Impressive Tim. Behind it a path rose steeply through a wooded hillside to open fields where she could ride. In front of the farm-- west across rolling land to the sun setting behind the Blue Ridge mountains-- was the sort of picture-postcard view these Virginia foothills are famous for.

Shelly's main diary, the one she had kept for years, would disappear after her death, as would many of her personal papers and perhaps much or all of her jewelry. But she started keeping a second diary shortly after she moved into Western View, one devoted to her impressions of her new home.

In it, she recorded some of her early feelings on June 26, 1992:

"There is a hypnotic tranquility about this place. Though I'm not at the point of feeling completely settled and 'at home' after not quite a month of living here, it's as if I sense I was destined to be here. It's a bit spooky at moments. I've never felt such a sense of peace and comfort like I feel here. I can't imagine living anywhere else, which is a first. . . .

"Years ago, at least twenty of them, I would say I wished one day to live some place where people would pass and ask, 'I wonder who lives there?' as I myself often did. Well, excepting the fact most or a lot of the people that pass know me, I'm feeling pretty sure I've lived long enough to see yet another dream of mine come to pass."

A month after writing that, Shelly would go off to England and Ireland. Two months after she returned, she was dead.

It was about five o'clock on an unseasonably cold Sunday afternoon-- October 18, 1992--when Shelly and Erica Stumvoll set out on their horses up the steep wooded trail behind Western View Farm.

The ride had been planned the day before, when the two women and their boyfriends, George Carhart and Carter Wiley, had met at a Hunt Country race. Shelly would ride Impressive Tim. Stumvoll, less experienced at trail riding, would take the tamer Cornpone, which Shelly had borrowed hoping Carhart might join her on one of these late-afternoon ventures. Carhart and Wiley would stay behind at the farm to split wood.

At the top of the hill, the two riders passed through a gate and into an open, flat field. From there, no one knows precisely where they went--field led to field as they rode through the knee-high grass--but eventually they came to a final tract defined by a wooden fence and low stone walls. Near its bottom, in a small wooded knoll, is a cherry tree, cracked off about six feet up so the top half bends to the ground. It was under this cherry tree that Shelly Malone would die.

"We were approximately one hundred yards into a 'new' field from a gate we had just entered and just downhill from a small knoll of trees," Erica Stumvoll recalled in a voluntary written statement given to the Fauquier County sheriff's office five weeks after Shelly's death.

"We were walking the horses side by side with Shelly slightly behind me and to my left, to cool them down. Unexpectedly, both horses 'spooked' or 'started. ' The horse that I was on rushed forward, down the hill, bucking. I was thrown/fell off to the left of my horse. I fell onto my hip, with my right hand still gripping the reins and left arm bracing the fall."

Shaken but not seriously injured, Stumvoll struggled to her feet to look for Shelly: "I sighted her about thirty feet away, uphill and adjacent to the knoll of trees, curled face up, under her horse. She was on her back, holding her chest with both arms with her legs drawn up.

"As the horse moved away from her, the horse stepped on her legs, face, and head, kicking her head as he did so in an apparent attempt to get away. I did not move as I was both in shock at the sight and fearful of scaring the horse into doing further damage. As the horse moved away from her, however, I immediately ran to her, my horse in tow by the reins.

"As I approached her, she began to sit up on her hands and knees. She was gasping for air as if out of breath. I yelled at her to tell me what was wrong. She responded by saying, 'I don't know.' I yelled again, 'What is wrong? Did you get the wind knocked out of you?' Again she responded, 'I don't know,' still trying to catch her breath and moving to sit back on her haunches, arms out front supporting her."

Impressive Tim returned at this point, Stumvoll writes, and began agitating her own horse, Cornpone, which she was holding tightly by the reins. Fearful that she and Shelly might be kicked by one or both horses--or Shelly trampled again-- Stumvoll looked for branches to tie them to but concluded that the slender branches available wouldn't restrain the horses for long. Instead, she let go of Cornpone's reins, and both animals ran off.

She again turned her attention to Shelly.

"She was still sitting up, though back on her haunches more with one arm supporting her. When I asked again if she could tell me what was wrong, she did not respond verbally but indicated that she wanted to lie down (which she proceeded to do). She was now breathing steady, not out of breath as before, but her breathing was labored and she appeared to fade in and out of consciousness."

Stumvoll checked Shelly for broken bones, bleeding, and mouth obstructions, finding none, and for pulse and reflexes, both of which were present, and then covered her with extra clothing.

"She would only occasionally moan," Stumvoll writes. ". . . Fearful of a head injury as a result of seeing the horse kick her in the head, I then concluded that the best thing to do was to try to seek medical help."

There was a problem: Erica Stumvoll had only the vaguest idea of where she was.

It is less than a mile from the broken cherry tree to Western View Farm, where George Carhart and Carter Wiley now were drinking beer, waiting for their girlfriends to return. But Shelly and Stumvoll hadn't gotten to the cherry tree as the crow flies.

Disoriented, Stumvoll ran west, up a short hill to where a fence line marks a field the two had not ridden over. It was the wrong decision. East, down the hill and through a stand of trees, would have brought her in only a few minutes to a road and, just across it, the gatehouse to the Currier estate, manned by a guard with a phone, only a mile or so from The Plains Volunteer Fire Department.

Seeing neither house nor road from the top of the hill, Stumvoll writes that she then ran back to check on Shelly: "She appeared to be unconscious and was breathing, although her breathing was still labored. The horses were uphill from the knoll of trees, and I set out to catch one."

Astride Cornpone, Stumvoll rode out through the gate the two had passed through, crossed a second field, became disoriented, and righted herself again. Finally, "galloping at every opportunity," Stumvoll came across a stone house with a red door that she and Shelly had seen early in their ride.

Inside, Stumvoll placed her first call to Lynn Wiley, the stepmother of Carter Wiley. The owner of the house--Carol Morgan--got on the phone to give directions to her house. Morgan called The Plains rescue squad, and she and Stumvoll drove down to where the Morgan drive meets the county road to wait.

Nearly 45 minutes had passed since Shelly had been trampled by Impressive Tim. Another 45 minutes would pass before the rescue squad would reach her.

Lynn Wiley drove her Jeep-- with Stumvoll giving directions beside her-- followed by The Plains ambulance and George Carhart and Carter Wiley in Shelly's Toyota 4 Runner. But as they drove across the darkening fields, it became apparent that Stumvoll had little idea where she had been or where she had come from. The procession crisscrossed and backtracked, dwindling down to two vehicles when Lynn Wiley's Jeep began getting stuck in the rough terrain. Finally, Stumvoll recalled two vacant farmhouses she and Shelly had passed early in their ride, and with that, Early Wines--the rescue squad's senior cardiac technician--was able to patch a way together to find the small clump of trees Shelly was lying under.

Wines and Stumvoll were the first to reach Shelly, but by then Shelly had neither a pulse nor breath: "I saw Early feel for her pulse and begin to cry. "

The rescue squad called for a helicopter, and Wines and the other squad members began trying to resuscitate her. A board was placed under Shelly--to provide an even surface for cardiopulmonary resuscitation--while her clothes were cut off with a scissors. Pressure sleeves were fitted on her arms and legs to force whatever circulation she might have to her vital organs. When the sleeves were fully inflated, the blood that had been pooling in Shelly's abdomen began spewing out of her mouth and nose.

Not long after, the helicopter arrived, but one last confusion remained. Stumvoll, George Carhart, and Carter Wiley sped to the hospital in nearby Warrenton, expecting Shelly to be taken there. Instead, they were told, she had been flown to DC's Washington Hospital Center, and so they raced off for there. By then, Shelly's death--apparent to all who had been in the field--had been made official.

She arrived at Washington Hospital Center clad only in string bikini underwear. There, at 8:08 pm on October 18, medical examiner Joye Carter pronounced her dead. The cause of death, Carter wrote, was "hemopericardium due to laceration of the heart due to blunt force trauma to the chest."

In lay terms, Shelly's heart had exploded with the impact of Impressive Tim's hoof. And there the story might rest had not so much weirdness ensued.

Frances Shewan was planning to make her annual visit to see her daughter-- and her first visit to Shelly's new home at Western View--the week of October 26. Shewan; her husband, Bill; and other family members were planning to travel around Virginia with Shelly.

Shewan says she was at work as an aide at the Wilton Manors Police Department, in Fort Lauderdale, at 11:35 that night when George Carhart--by now returned to the farm--called to say that her only daughter was dead. As she remembers the call, Carhart's first words were, "It looks like you won't be taking that vacation after all. . . . Shelly has a problem."

"I knew from talking to Shelly that she took this ride at night to see the sunset," Shewan says, "and I'm expecting him to say that she's broken a leg or an arm. I'm even thinking the horse broke a leg for a brief period, but I'm not expecting to hear what I'm going to hear. I may have come back with, 'Did she break a leg?' or 'What's the matter?' And he said, 'Shelly's dead.' "

For the relationship between Shelly's immediate family and her extended family in The Plains, it was the beginning of the end.

Frances and Bill Shewan; her sons, Joe and Jeff; and a cousin, Tom Hardy, arrived at Western View Farm on Monday evening, the day after Shelly's death.

"It was nine or nine-thirty," Shewan remembers. "When we got to the house, people were there--fifteen to twenty people I had never seen in my life, partying. I'm at my lowest, and this really hurt me to walk into that. There wasn't any place to hide, any place to embrace someone.

"All the chairs were occupied in the front room. There was a fire going; otherwise it was pitch dark in there. . . . It was like you just opened the doors to smoke and drinks and laughing and music. Everybody was enjoying themselves like we'd walked into a New Year's Eve party."

Early on, George Carhart suggested-- and tried to insist--that the Van Halen anthem "Jump" be played at Shelly's funeral. It was a musical joke of sorts: Capriole, Shelly's store, is the term for a jump in the dressage event. It is even a joke that Shelly might have appreciated. But that, too, sat wrong with the family.

So did Carhart's sense of humor. At one point when they were at Western View together, Shelly's brother Jeff asked Carhart to point him to the field where she died. Instead of directing Malone to the east, up the hill behind the farmhouse, Carhart sent him on a wild-goose chase to the north. Later, the Malones say, he explained he was kidding and pointed Jeff Malone to the south.

And there were, the Malones say, the endless cocktail gatherings at Western View and at Montrose House across the road, where the Malones were staying.

In part, it was a clash of cultures. Many of Shelly's friends in The Plains had been born to money and lived the sort of fast life that was alien to the experience of Frances Shewan and her sons. They were tight- knit, too. Like any small community, The Plains is a place where everybody knows everybody else's business. And they were steeped in the ethos of the Hunt Country, where a certain fatalism toward riding accidents and a respect for the brute power of horses is inbred.

"I go out riding two or three times a week, and I always know I'm taking my life in my hands, especially when you go down these trails," says a woman in The Plains, who, like so many other residents contacted for this story, would not be quoted on the record. "It's almost a red badge of courage out here if you get hurt in a horse-riding accident."

But the strangeness seems to have gone beyond cultural gaps. And being hurt in a riding accident is not the same as being killed.

Shelly's cousin Tom Hardy, a professor of English and art history at Northern Virginia Community College in Annandale, says that on that first night at Western View, he saw eight of Shelly's rings--many of them well- turned gold pieces--laid out on the dresser in the guest bedroom. The rings have not been seen since by any family members.

Shelly was also wearing three rings at the time of her death. The last of them was not returned to the Malones until a week later, after a heated confrontation with Carhart. Another day passed before Carhart turned over the earrings Shelly had been wearing.

Frances, Jeff, and Joe Malone intended to rent Western View Farm until the beginning of this year, to allow them time to sort through Shelly's possessions. On Sunday, October 25, two days after her funeral, the three of them returned to the farm from breakfast in The Plains to find all of Shelly's heavy furniture being carted away for storage in the barn of Jim and Lynn Wiley, Carter's father and stepmother. At the same time, many of Shelly's smaller possessions were being stowed in garbage bags for removal to a county recycling site. Almost inexplicably, the Malone brothers lent a hand.

"I don't know how to explain it," Joe Malone says, "other than this: I'd come home many a day a loser, but this time I had lost more than anything I'd ever lost in my life. . . . To see these people you've assigned no ulterior motives to doing that, to deal with a bunch of material goods that I didn't give a damn about, and to make the mental twist to get angry at these people was too big a jump."

The next morning, though, Joe and Jeff Malone went to the dump. Inside the six garbage bags they managed to recover were an inlaid-wood jewelry box, videocassettes of Shelly, photo negatives, and an assortment of empty jewelry pouches from such stores as Tiffany & Company, Cartier, and Black Starr & Frost. More empty jewelry containers were found among the debris left behind at Western View Farm. The Malone brothers never recovered the diary that Shelly had kept for years, or her Rolodex. Why they were thrown out or why they were taken is a question they can't leave alone.

In the beginning, Joe Malone says, he, his brother, and his mother were determined to treat George Carhart like a member of the family. "I said, 'George, you can have the VCR; George, you can have the TV, the stereo or whatever. We don't want to argue about this,' " Joe recalls.

But somewhere in the time between Shelly's possessions' being bagged for removal to the dump and Joe and Jeff Malone's trip there to recover what they could, whatever trust had existed between the Malones and Shelly's circle in The Plains disappeared. As that happened, the Malones' mounting concern began to feed itself.

The Malones videotaped their trip to the dump, as they would later videotape their trip to Jim and Lynn Wiley's barn to inventory and recover Shelly's furniture, and as, still later, they would attempt to videotape their first group meeting with the local police. The taping was the first step in the family's effort to build a case--though against whom and what they weren't sure then and, in some ways, are not sure yet. The effort to videotape the police meeting was also the first poison in the well of relationships with the Fauquier County sheriff's office.

As suspicion mounted on suspicion, seemingly innocuous events began to assume a more sinister face for the Malones. John Heyl, who had sold Impressive Tim to Shelly, offered to board both Tim and Shelly's other horse, Ten Bar, for free while the family was sorting out her affairs. But at the Wileys' insistence, Joe Malone says, both horses were sent to another stable, where a boarding fee was charged. Why? And why was Impressive Tim returned several weeks later with one of its shoes missing?

Shelly's bloodstained clothes, the ones that had been cut off her in the field by the rescue squad, also disappeared, along with her jewelry and diary. Why?

There was, the Malones say, an attempt through Jim Wiley--via his Hunt Country friend Senator John Warner--to circumvent the customary autopsy performed on trauma fatalities. Why? And why was Carter Wiley in the field where Shelly had died the next morning, recovering the one piece of apparel-- her riding boot--that had been left behind?

In fact, plausible explanations exist on every front. Carter Wiley said that he was helping to clear the course for a race that was to come through the field that day. Jim Wiley did place a call to John Warner's farm about the autopsy, but, he says, it was at Frances Shewan's request, and Warner was not home. The Wileys' barn, Jim Wiley says, is a storehouse for the excess furniture of many people in the area--Shelly already had some pieces there-- and it seemed sensible to have the house cleared by the end of the month, when the rent was due.

Her friends in The Plains say, too, that Shelly rarely talked about her past and seemed at least partially estranged from her family. As for George Carhart's erratic behavior, his friends suggest that he was provoked by his treatment at the hands of Shelly's family.

"The people who came to George's aid after the accident are some of the kindest, gentlest people I know," says one person who was there, "and we were wholly unprepared for this pit of vipers. The Malones started accusing us of stealing within twenty-four hours of their arrival. And they loathed George."

The empty jewelry boxes and pouches, Carhart has contended, were from pieces that Shelly had pawned or sold privately in New York.

Yet to the Malones these events came more and more to suggest a systematic attempt to remove every trace of physical evidence, just as the clearing of Shelly's furniture seemed an attempt to force them out of The Plains by denying them a place to stay and the absence of her jewelry seemed clear evidence of theft. Soon-- very soon--their suspicions reached a critical mass, and Joe Malone, who is an electrician by trade, went to work on Western View Farm.

"My big concern while we were out there," he says, "was that at some point one of these people was going to say, 'Look, I know a way to handle this. I know this old boy at an old tavern, and for five thousand down and five thousand when he's done, we can settle this. Even if he gets caught, no one can tie him to us.'

"So I lit that property up so that anyone who was thinking of doing something like that would know that somebody in the house understood what they were up to. It was a signal--a way of saying, 'I know, and I've done this much. What else will I do? What else do I have in store?' "

By this time, too, the Malones' suspicion had leapt the family circle. Harry Dorman, Joe Malone's friend and landlord in Annandale, followed events closely during the first week after Shelly's death, several times accompanying Joe to Western View. On October 27, he typed up his impressions, first summing up many of the events described above and then ending thus:

"I am afraid--could this be a murder? Drugs? Smuggling? Gambling? What is going on here? The above is in no particular order, just my stream of consciousness trying to get all this stuff down before I forget or if I happen to have an 'accident' caused by the 'Fauquier cty mafia.' I have told many people of my suspicions to protect myself in case I have an 'accident.'

"Stopped by Dawsons Gun & Tackle in Annandale this PM to price a .45 cal 1911A1 and Marlin 30-30 rifle. This is crazy! How am I in this mess? Is it a mess? What is going on here?"

Things would get only more complicated.

Someone who saw Impressive Tim the morning after Shelly's death swears that he showed signs of having been heavily lathered and that the bit he was wearing was bent. Both the lather and the bent bit, this person contends, suggest that the horse was involved in a struggle far more intense than is consistent with the description of Shelly's accident. The bit, this person says, has disappeared.

Shelly's love life also turned out to be more complicated than it appeared on the surface, in part because, at age 37, she seems to have felt her biological clock running.

"I think she felt ambivalent and some pressure about not being a parent," Val erie Shea says. "She wasn't convinced that it would be the right choice for her, that she would be fulfilled by it, but I think she had a strong urge to mother someone and have a child."

The logical father would have been George Carhart, but the implications of fatherhood seem to have troubled him, Shea says.

"I find George to be one of the more inscrutable people Shelly ever had around her. He went from being extremely gung ho and putting the full press on to having reservations. When he saw that they were progressing to a commitment, he became a lot more noncommittal."

Shelly also seems to have needed companionship. "She called me once," Steven Head recalls, "and said, 'I get really self- destructive when I'm alone.' "

Frances Shewan, for one, is convinced that Shelly was preparing to break off the relationship with George Carhart at the time of her death. By then, Carhart--and Cecil Altman at a distance--were not the only men in Shelly's life.

Steven Head, Shelly's former boyfriend, says that the two of them made love on Sunday afternoon, September 19, almost a month before her death. The evening prior, he says, "we had a conversation. She told me, 'I have no plans to marry George. He has no plans to move here, and I have no plans of going to New York. I have no idea where I go from here.'

"I was going to propose to her on her birthday, December 26," Head goes on. "After she told me this relationship with George wasn't going anywhere and she was going to end it, I thought that she could not find anyone to love her as much as I could."

Head already had ordered an engagement gift--a plate from the Bradford Collection that showed Vivien Leigh as Scarlett O'Hara. After Shelly's death, he gave it to Frances.

Nor was Head the only other man.

On Friday, October 16, Shelly spent a romantic afternoon, presumably for the first time, with a prominent Warrenton attorney named Robin Gulick, who handled some of Shelly's legal affairs. Two days later, Gulick wrote her from the Tides Inn, in Irvington, Virginia, where he was staying while preparing for a case. At the end of the letter, Gulick says that he is going to watch the geese land on the pond, an evening custom at the inn. By then, Shelly was either dead or at death's door.

In his letter--which was opened posthumously by the Malones as they sorted through Shelly's mail--Gulick also expresses his concern about the effect of their tryst on his relationship with Beth Benhard, one of Shelly's neighbors and good friends. Presumably, he could have had no way of knowing that only 48 hours earlier--two nights before Shelly's death--the two women had argued vehemently at an upscale Plains restaurant called Fiddler's Green. About what is unknown or at least thus far untold.

Almost as complicated, and as complicating, were Shelly's finances. She was generous, perhaps to a fault. She had paid for both her brothers to visit her in Europe; she often flew with her cat-- "Ricky the Traveling Cat," as he was known to the family--by buying him a first-class seat on the plane, next to hers.

"Shelly was the most extraordinarily generous human being I think I've ever met," her friend Michele Rouse recalls. "She never left without returning with the most ideal gift. She knew a hundred people. How on earth would she find the time, energy, and magic to give me the one thing that would make me weep for joy?"

Thanks to Cecil Altman, they were luxuries she could afford.

Thanks to Altman, too, she could afford to be not a very good businesswoman. For all her good ideas, her creative energy, Capriole never showed a profit. It was on Federal Street, a block off Middleburg's main street, in an old house that showed its age. The hours were sometimes erratic; so were customers. Toward the end she had tried to shift into the specialty T-shirt and sweatshirt business with a "Heroes of the Racetrack" line. Near the very end, Altman himself had begun to choke off funds for the business, although Shelly's personal funds still flowed freely.

After Shelly's death, Joe Malone talked with Cecil Altman: "He said, 'I didn't want to get this candid with you, Joe, but I sent your sister that money every month, and every time I let her build up some funds, she would buy some penny stocks or something, and twice a year I would bail her out. That's been the pattern.' "

But if Shelly had no talent for holding on to her money, she seems to have been anxious almost to the point of desperation for more of it. Ironically, the reason appears to be the very source of her income, Cecil Altman, according to Steven Head.

"She provided Cecil sexual attention maybe a handful of times, and she loathed that. It was killing her," Head says. "The whole idea of Capriole was to become financially independent and get out from under Cecil. It was tearing her up--her dignity, her pride--and she had so much pride."

And maybe that, more than anything else, explains the polarity that some of those who knew her best saw in Shelly-- the tension between the life she lived and the personal history that lay behind it.

"Shelly wanted to laugh and drink gin and not get fat," one good friend recalls. "She loved good restaurants, good wine, blue-suede jodhpurs . . . but there was also a strange streak with her. Whether it was a chip on the shoulder or hidden rage, I don't know, but she would just lose it sometimes. There would be spitting, vituperative hatred. It was never personal; it was always at them."

Especially in light of Shelly's desire for financial independence and her own past, there also is a temptation to find something in a call left on Shelly's answering machine by George Carhart's friend, Carter Wiley. (The tape was recovered from the machine after her death.)

"Shelly, the ship is in," the message begins. "Come by my house around eight o'clock, and we can hang out. This is Carter. The old man's out of town. Come on by and drink some wine, beer, carry on. We'll have a little din-din, go out, whatever. Come on by. I'm going duck hunting, going to the races. See you later. Bye."

The call may well be a simple social moment, but to the Malones the phrase "the ship is in"--with its echo of the drug trade--had resonance.

Shelly's autopsy revealed no trace of cocaine or any other proscribed drug in her blood or urine. But as her childhood friend Valerie Shea says, "Shelly tended to believe that virtue would not necessarily get its reward. I think she believed virtue was self-rewarded but not apt to bring the world to its knees. She thought that what made it happen was finances, opinion, and aggression."

For those willing to believe that Shelly Malone had fallen somehow on the wrong side of the law--or fallen among thieves and brigands--the blood in the car was the final straw.

After the funeral, Jeff Malone returned to Fort Lauderdale, driving Shelly's Toyota 4 Runner. The car had been baking in the Florida sun only a few days when it began to reek with a smell that seemed to come from the brown spots scattered on the upholstery. His girlfriend, Shari Dalton, was certain that the smell was that of decaying blood.

Dalton and Malone took the car to the Wilton Manors police headquarters, where Frances Shewan works, and asked Detective Tony Lewis to have a look at the interior. Lewis, in turn, got a test kit.

"You use three solutions," he says, "and you test the sample against them. If it turns blue, it's positively human blood-- and it turned blue."

Even more significant, Lewis says, was the pattern of the brown spots in the car.

"Blood splatter has a velocity to it. If you cut your hand and it drips blood straight down, you'll get a circle. Depending on how high you hold your hand, you'll get a bigger circle. If you're shot, the blood splatter will have a much higher velocity, and it will have a tail to it.

"In this vehicle, overhead of the passenger seat and overhead behind the driver's seat, there was a splatter of blood with a tail to it. It's as if someone was hit in the passenger seat and their head snapped to the side. It's usually around the third hit that the blood splatter gets created, and I saw a blood splatter."

The Toyota 4 Runner was returned to Virginia, and on December 14 it was turned over by the Malones to the Fauquier County sheriff's office for testing. Also turned over was a sample of Shelly's blood taken from the accident site. A month later, technicians determined that at least some of the splatters in the car were human blood. The sheriff's office then informed the Malones that it would have to delay typing the human blood with Shelly's blood--a test that, it said, involved shipping the materials to a private lab--because of the expense involved.

That test was never done.

Nor were statements ever taken from any of those either with or around Shelly in the hours before her death. The sole statement in the record--Erica Stumvoll's--was given voluntarily and in writing five weeks after the accident.

In a February 1993 telephone conversation with Joe Malone, Fauquier County Detective Greg Mauck, the third county official to be put in charge of the incident, said that he had told Stumvoll that he wanted her to show him exactly how the two women had left Western View Farm on their ride that afternoon. She never did.

Mauck also said he wanted to ask George Carhart why he had led Jeff Malone astray not once but twice on the location of Shelly's death.

"If I ever do get the chance to talk to George," Mauck said, "I want to ask him why he did that. I really do. That's one question that's been bugging me and bugging me and bugging me, and still to this day it bugs me." He never did get that chance, either. Carhart, who is currently unemployed, hired a lawyer, refused to make a statement, and was never subpoenaed. Nor does Detective Mauck seem to have looked into the screaming match between Shelly and Beth Benhard at the restaurant the night before Shelly's death.

Mauck does appear to have made a concerted effort to track Shelly's cash flow, but the larger implications of her seemingly anxious need for money appear to have gone unexplored, as have the twists and turns of her sexual adventures in the weeks before her death.

And now, seemingly, such issues are to stay unexplored, at least in any official capacity. On April 22 of this year the Fauquier County sheriff's office officially closed its files on Shelly Malone. Its finding remains the same as that made on the evening of October 18, 1992: accidental death.

Fiction has a way of tying it self up with precision, but not everything in real life ends so neat and clean. Sometimes all you have left is ambiguity.

That Shelly had a lacerated heart is certain. That a horse stepped on her chest is clear in photos taken shortly after her death. What haunts the Malones is how it could have happened and why they were treated as they say they were in the aftermath of the event.

One of the rescue-squad workers who tended to Shelly that night said he saw a large deer in the field when the team arrived--and jumping or bolting deer have been known to spook horses. Shelly was, by all accounts, a good trail rider, but even very good riders get thrown. Yet to call what happened to Shelly a "freak accident" almost underexaggerates.

"It's very rare to have a fatal riding accident," says John Strassburger, editor of the Chronicle of the Horse, in Middleburg. But it is far more rare still for a horse to step on anyone with the weight necessary to explode an organ.

"They don't want to step on you," Strassburger goes on. "It's just some instinct that they have. Their instinct is that when they put their foot on something unsteady, they could fall down. And with extremely rare exceptions, horses are not mean or vicious."

Shelly's friend Michele Rouse, a professional rider, says that "it's the most bizarre accident I ever heard of." What's more "inconceivable," Rouse says, is that "you could bribe a horse to step on someone's heart. In the weirdest Dick Francis novel, it couldn't happen."

The Malones have their own theories about what happened to Shelly. The basic one is that, accidentally or intentionally, she was struck and killed while sitting in the passenger seat of her car. To cover it up, they say, she was then dragged out into the field, and Impressive Tim was somehow forced to step on her. It would explain, they say, the heavy lathering of Tim, the bent bit, the splattered blood in the Toyota 4 Runner, the lack of any physical evidence.

Yet to believe that Shelly was murdered--as her family so passionately does-- is to buy into a plot of startling complexity, involving at least half a dozen players, all lying for one another. Understandably, Fauquier County officials have resisted that, despite endless entreaties from the Malones to do otherwise.

At the most, the sheriff's office seems to concede, there are questions about the disposition of Shelly's property after her death: the rings that disappeared, a mink coat that George Carhart took with him to New York and has since returned; a horse print, perhaps worth thousands of dollars, that is missing; and other items. But that, officials say, is more properly a civil matter than a criminal one.

By the book, that is probably so. And with their videotaping, their incessant letter-writing to higher officials, their appeals to other police forces in other jurisdictions and states, the Malones have made themselves persona non grata in both the Fauquier County sheriff's office and in Hunt Country generally.

"This family has been plaguing this town, trying to get some money," says one resident of The Plains. "It just smells dirty to me, smells rotten. They are trying to get press, trying to sue people, which is really unheard of in this territory. It's Mellon territory, Currier and Ives country . . . . Apparently, the CIA or the FBI is into this, hounding people."

Much of that is wrong, and some of it is foolish. Tom Hardy did talk to an adult student of his whose husband works for the Federal Bureau of Investigation, and the family has been working the press, but the only money they seem to have any interest in is that which they think rightfully belongs to Shelly's estate. Still, this is a case that invites endless theorizing.

Jim Gannon retired as a lieu tenant after twenty years with the DC police and works today as a security officer and a private investigator in Northern Virginia. Before they decided they couldn't afford the expense, the Malones hired him to look into Shelly's case.

"I went through all the materials they had given me--the tapes, the documents, and so forth," Gannon says. "It was very impressive and extremely confusing. However, I'll be honest--going into it after reading everything and meeting Tom Hardy and Joe Malone, I was a little bit leery, for the simple reason that they're very emotional about this. I said let's take everything with a grain of salt."

Today, Gannon says, he is convinced "something happened," although what--a violent crime, an accident the real origins of which need to be covered up, a practical joke that got out of hand, theft from the dead--he can't put a face on. Gannon cites, as others have, the disappearance of physical evidence, the bloodstains, the classical motives of violent crime: complicated love triangles, Shelly's seeming need for money.

"The least that's going on," he says, is that the Fauquier County sheriff's office "is making a concerted effort to cover up their incompetence, and it's extensive-- it's extensive."

Bill Hicks, a Springfield lawyer who is a former assistant commonwealth's attorney in Arlington, also was employed briefly by the Malones and has read through the documentation.

"Most police departments," Hicks says, "assume any traumatic death needs to be thoroughly investigated." And that, he says, is especially so in a case with so many loose ends.

"Just from what I have read, it was frankly one of the shoddiest, shabbiest investigations one could imagine. . . . What happened is that they were handed a 'fully solved' death."

The case, Hicks says, "absolutely cries out for thorough investigation."

Fairfax lawyer Helene Luce, who had handled the estate work for the Malones, was present when the sheriff's office officially closed its investigation and has seen the autopsy photos and other evidence. She is convinced Shelly died of natural, if freakish, causes, but that, she says, does not rule out other criminal activity.

"What I honestly think happened," Luce says, "is that these people are vultures. They thought Shelly was worth a lot of money because of the lifestyle she led, and before the body was cold or just after it was, they started helping themselves to her property."

And, Luce adds, "to the credit of the sheriff's office, they said there is no question that the initial investigation was incredibly sloppy. They admitted that."

There is one other element that Jim Gannon cites--what might be called the force of personal history. "Shelly is not the blushing virgin who just came down the pike. She was not pure as the driven snow, and she was liable to get into something."

In a sense, Gannon's state ment points to the secondary tragedy in the death of Shelly Malone. To satisfy their need to know, to try to close the gap between what the authorities say happened and what the evidence suggests to them might have happened, the Malones have had to play a hand in destroying the woman that Shelly created.

The Shelly Malone who was the races patron, the National Glaucoma Trust honoree, the woman who received cards from Prince Albert, probably would have loved to die in a riding accident. The timing was wrong--she was too vibrant to die so young--but the manner of death fit her romantic conception of herself. The potential for foul play, though, rests more in the other woman who had those dreams and made them come true, at least for a season or so. And it is that second person who emerges when one studies the life and death of Shelly Malone.

"Shelly would have hated to attract this sort of notoriety," says a close friend. "I think her family has failed to perceive how she would have felt about that."

Yet one gets the sense that Shelly was more than a sister, daughter, and close cousin to the Malones and Tom Hardy-- that her magnetism helped to hold the family together, that her energy did much to animate it. Shelly, her mother says, "was a virtual repository of our lives." In such circumstances, it is often hard to let the dead lie still, especially when so many questions about Shelly's death were never answered in any official sense, much less asked.

Surely, the Malones and Tom Hardy are obsessed, but the question is whether they are obsessed with cause or without. And for the time being it seems to be a tragedy--and an obsession--without end. The Malones and Tom Hardy have stretched their already thin resources to retain yet another lawyer; there is vague talk of civil actions, even of having Shelly's body exhumed. Like Dickens's Jarndyce v. Jarndyce, the case threatens to go on and on.

"Shelly wanted to be very fi nancially self-sufficient," Steven Head recalls. "She wanted to be very involved in all things that had to do with horses. She told me a number of times that when she died, if she got her obituary in the Blood- Horse, she would have been successful. And she wanted to be loved by a primary man--to feel secure in a relationship with a man. And I think she wanted that more than anything else."

She was deeply involved with horses, and she seems to have had at the end almost as much money as one could want to spend, but she never won her financial self-sufficiency.

She lived, finally, in Hunt Country, just as she had dreamed she someday might, although perhaps she was not as accepted as she had hoped. As one friend notes, "A single woman that beautiful is not that welcome"--at least by everyone.

She subscribed to the Blood-Horse--the weekly magazine of the Thoroughbred Owners and Breeders Association--for years, and at the end, the magazine carried her obituary, as she had hoped it would.

She was loved, too--nobly or ignobly, not enough or too much--by many men, although she seems to have carried far too much baggage to ever feel secure with any one of them.

"Every man who met Shelly fell in love with her or wanted to have her," Head says, "but not many people had the endurance to love Shelly. It took a lot of patience, a lot of understanding. . . . Shelly was an emotional handful, and what initially attracted a man to her didn't have much to do with that. They wanted to take her to bed, and Shelly knew that. What attracted most men to Shelly initially had nothing to do with love."

At her core beat a kind of paradox: She was an extrovert who held at least part of her life in the shadows. "I think she was more complicated than any of us realized," Michele Rouse says. "As open as I always thought she was, there were a lot of sides to Shelly. She was like a prism that caught the light and threw it back at us." Now, Rouse says, she can't tell the fact of Shelly's life from the fiction.

It wasn't a life without faults, God knows, but it was the one Shelly Malone was handed--and she gave it a hell of a ride.

22 Posted on 08/08/2000 17:25:30 PDT by Wallaby (wallaby@altavista.net)
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To: Wallaby, NDCORUP

Sudden Instant Death Syndrome II - (Arkansas' Murderous Ways - Plane crashes)
"In a discussion with CNN's Larry King today on the debate between the NRA and Clinton:

"Larry, I don't believe that President Clinton wants anyone killed...." - George W. Bush - 3-15-2000

Well, surely Hitler didn't want anyone killed either. G.W. is analytical I see.

My knowledge of CIA involvement in the crash of the Gander Arrow Air DC-8 and PAN AM 103

From FDR to Bush: An Annotated Chronology of the United States, 1932-1992 The Central Intelligence Agency

INCIDENT AT SAKHALIN

GROUP AVAILABLE TO PROVE SERIOUS GOVERNMENT CORRUPTION

23 Posted on 08/08/2000 17:25:46 PDT by Uncle Bill
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To: Uncle Bill, Boyd, NDCORUP

Dixon hosted several fund-raisers during the mid-1980s for politicians, Osuna said, including Rep. Bill Lowery, R-San Diego; former Rep. Tony Coelho, a Democrat from Merced; Sen. Jake Garn, R-Utah; and Rep. Jack Kemp, then a New York Republican and now secretary of Housing and Urban Development in the Bush administration.


Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

KEMP DENIES INFORMANT'S CLAIM HE WAS LINKED TO MOB FIGURES; SAYS FINO'S FBI TESTIMONY ABOUT ALLEGEDLY SHADY CAMPAIGN DONATIONS; IS 'LUDICROUS'
DOUGLAS TURNER; News Washington Bureau Chief
The Buffalo News: NEWS, Pg. 10A
September 25, 1996, Wednesday, CITY EDITION

WASHINGTON --
J ack Kemp said today a mob informant's claim that he had been involved with organized-crime figures "is the most ludicrous thing I've ever heard." He said the congressman who is calling for an inquiry into the allegations "should be ashamed of himself."


In July, Fino was called by Republicans to testify that a Rhode Island labor leader befriended by Clinton was actually a tool of the Mafia.
"I am not, nor have I ever been, involved, and everybody who knows me knows that," Kemp said on ABC this morning. "I welcome anybody who would lay out any fact that would accuse me of any active crime or being tied to the mob."

Citing testimony that mob informant Ronald J. Fino reportedly gave to the FBI in 1988, the top Democrat on the House Judiciary Committee has asked for an investigation into whether Kemp helped allegedly shady businesses that contributed to his campaigns win government contracts.

Fino, a longtime official of mob-related Laborers Local 210 in the 1970s, became an FBI informant in the 1980s. He is now a consultant in Labor Department efforts to clean up the International Laborers Union.

Rep. John Conyers of Michigan, ranking Democrat on the Judiciary panel, released his letter Tuesday asking Chairman Henry Hyde, R-Ill., to bring Fino back here to talk with committee investigators about information he gave to the FBI about campaign money that some Buffalo businessmen gave Kemp.

According to Conyers' letter, these contributors had mob ties and Kemp may have done favors for them either during his nine terms representing suburban Buffalo in Congress or when he was secretary of housing and urban development from 1989-1992.

The Buffalo News is withholding the names of the companies mentioned by Conyers in his letter.

Fino "alleges that an allegedly prominent and well-known organized-crime figure supported a fund-raising event for Secretary Kemp," Conyers charged. "A 1988 congressional hearing confirmed that one of Secretary Kemp's contributors . . . was a corporation linked to firms with alleged organized-crime connections in Buffalo and Kansas City."

"It's just so ludicrous," Kemp said in this morning's interview with ABC. "John Conyers should really be ashamed of himself, and I just feel sorry -not angry just sorry -- that he has to get into this type of political mudslinging so late in the campaign."

Kemp expressed frustration at how to answer the allegations: "How do you say, 'I am not a member of the mob?' How do you say it and not say 'Kemp denies being member of the mob.' "

In July, Fino was called by Republicans to testify that a Rhode Island labor leader befriended by Clinton was actually a tool of the Mafia.

24 Posted on 08/08/2000 17:33:51 PDT by Wallaby (wallaby@altavista.net)
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To: Wallaby

"Since February, The Houston Post has reported on evidence pointing to a possible link between organized crime and the CIA in the failure of 25 financial institutions, whose demise could eventually cost taxpayers $75 billion. "

Here, in a nutshell, is how the scam works.

Cash from CIA cocaine sales is mixed with the legitimate proceeds from strings of small cash businsses with no real inventory controls. Multi-screen cinemas are perfect for this, since nobody actually walks into a theater to verify there is a body in a seat for every ticket reported as sold. The usual corporate taxes are paid and the drug money is laundered without even having to cross a border.

The profits from the drug enterprise are brokered into insured deposits at the targeted S&L. Using either a crooked or compromised executive at the S&L, or a crooked appraiser, land with an inflated value (land flipped a few times) is used as collateral to borrow back that money from the S&L through a straw borrower. That money, free of taxes and squeaky slean, gets sent overseas, out of reach. The straw borrower never makes any payments on the loan and the shell company goes out of business. The S&L, stuck with worthless land, collapses.

And here is where the deal gets sweet. The CIA druggies are still on the S&L books for the original insured deposits, which are made good on the backs of the US taxpayers, who believe they are helping out little old ladies and retired folks with the bail-out.

Minus taxes and bribes, this scam turns $10M into 18M in just 6 months at zero risk, all paid for by YOU.

25 Posted on 08/08/2000 17:36:51 PDT by Michael Rivero
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To: go star go

"McCain is so desperate that he wants to drag out Iran Contra? We all said McCain was a liberal Democrat. Thanks for providing documentation."

McCain's name doesn't appear anywhere in the original post.

26 Posted on 08/08/2000 17:44:40 PDT by Michael Rivero
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To: Michael Rivero

A CIA Funding Operation

Whatever Happened To Iraqgate? Was It Swept Under The Rug Because Of The CIA or Hillary

Both parties. Always the CIA.

27 Posted on 08/08/2000 17:56:04 PDT by Uncle Bill
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To: Wallaby

That's my motivation for posting this and anything else on the Free Republic.

Well said, thank you.

28 Posted on 08/08/2000 18:12:31 PDT by Great Dane
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To: Uncle Bill, Wallaby

I just read thru the Shelly Malone article. It made me nauseous, depressed, and sad.

The "aspiring to greatness, or at least associating with the Great" trap claimed another victim. An "Inconvienient Woman" I'd venture.

29 Posted on 08/08/2000 18:43:02 PDT by NDCORUP
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To: Uncle Bill

"Both parties. Always the CIA."

In Sync.

There IS an enemy within, and it IS the CIA.

30 Posted on 08/08/2000 18:45:10 PDT by NDCORUP
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To: Wallaby, Leper Messiah

Thanks for the flag, Wallaby. Bookmarked. This is very heavy research on your part. I hope to read it all soon.

31 Posted on 08/08/2000 18:48:27 PDT by Fred Mertz
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To: Michael Rivero

I never said it did. This was posted by a McCain supporter dragging out Iran Contra do discredit GW. JUST LIKE THE DEMOCRATS! Try to keep up with the context of the discussions...

32 Posted on 08/08/2000 20:02:29 PDT by go star go
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To: NDCORUP

"the truth will set ya free"

33 Posted on 08/08/2000 20:07:39 PDT by flanew
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To: go star go

This was posted by a McCain supporter

Yeah, right. I guess that would be the same "McCain supporter" who posted this:

Try to keep up with the context of the discussions.

Oh, the irony of your saying that!

34 Posted on 08/08/2000 20:18:06 PDT by Wallaby (wallaby@altavista.net)
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To: NDCORUP

Thanks for reading the Shelly Malone article. It is profoundly sad.

I thought this might catch your eye in the Kemp article that follows:

"A 1988 congressional hearing confirmed that one of Secretary Kemp's contributors . . . was a corporation linked to firms with alleged organized-crime connections in Buffalo and Kansas City."
My guess is Sportservice. See the "MAFIA, EMPRISE, DELAWARE NORTH, DON BOLLES, BRUCE BABBITT, BILL CLINTON...AND JOHN McCAIN?" post I linked in the reply just before this one.

35 Posted on 08/08/2000 20:28:45 PDT by Wallaby (wallaby@altavista.net)
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To: Michael Rivero [& Great Dane, Uncle Bill, NDCORUP, Boyd, thinden, Fred Mertz]

Thanks for the succinct explanation.

Ten years ago, we were told that the S&L scandal was too complex to understand. Of course it is, if you aren't allowed to say anything about the mob, the drug trade, and the CIA.

Here's a nice quote from the Introduction to Pete Brewton's

:
This small cabal of businessmen realized that the S&Ls were going the way of the dinosaurs. They recognized that S&Ls couldn't survive under rapid inflation and high interest rates. So they decided to exploit the situation for their own purposes, with help from, and rewards for, the Mafia, the CIA and their favorite politicians. They probably figured that the insulation and protection these powerful institutions and individuals conferred upon them, in addition to all the endemic protections with the financial, judicial, political and journalistic systems, made them invulnerable. They were probably right.

For unlike Watergate and Iran-Contra, this was a bipartisan scandal. There was no opposition party to push for an independent investigation. In fact, the same group of wealthy, powerful businessmen, centered in Houston, that encircle Republicans like George Bush and James A. Baker III, also encircle Democrats like Jim Wright and Lloyd Bentsen.


And in that same bipartisan spirit, I continue to post what I find. I'll leave the pom-pom waving to others.


Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

Republicans' Pressure on S&L Agency Letter to top regulator sought privileged records
George Williamson, Chronicle Staff Writer
The San Francisco Chronicle
OCTOBER 18, 1990, THURSDAY, FINAL EDITION

Washington --
Key Republican congressional leaders pressured the nation's top thrift regulator to turn over privileged records concerning controversial investment practices used by Lincoln Savings and other S&Ls, according to interviews and documents obtained by The Chronicle.


Defense Secretary Cheney was in the Soviet Union and his spokesman did not offer a comment.
In a previously undisclosed letter, 16 House Republicans in August 1986 made the highly unusual bid to obtain confidential regulatory documents used in the Federal Home Loan Bank Board's attempt to rein in efforts by high-flying savings and loan operators such as Lincoln's Charles Keating to invest taxpayer-insured deposits in real estate deals and junk bonds.

The letter was written by Representative Charles Pashayan of Fresno. Among the GOP members who signed it were former Republican whip Dick Cheney, now the secretary of defense; current Republican House whip Newt Gingrich of Georgia; former Representative Dan Lungren, now a candidate for state attorney general, and five other California House members.

The letter is politically significant because it is the first evidence to show that congressional Republicans may have sought special treatment for former Lincoln chief Keating, who is now in jail after being indicted in connection with the $ 2.5 billion failure of the thrift.

Former Bank Board Chairman Edwin Gray, when asked about the letter yesterday, said he refused to provide the requested documents and called the letter ''an outrageous request'' and an attempt to interfere with the regulatory process.

Gray called it ''a flagrant example of how members of Congress permitted themselves to be duped and used to get privileged information for people like Charles Keating that he couldn't get otherwise.''

Official Disturbed

William Black, who at the time was director of litigation for the bank board, said in a separate interview, ''I recall myself as being disturbed at what seemed to be an obvious attempt to help Lincoln in litigation which Lincoln was threatening against the agency and the direct investment rule.''

Pashayan yesterday defended the letter as proper and said it was sent on behalf of a small thrift -- which had already failed -- in his district. He said it was not aimed at helping Keating, who contributed $ 26,000 to Pashayan's campaigns.

''He doesn't know what he's talking about,'' Pashayan said of Gray. ''That's a scurrilous comment.''

The letter asked for ''internal memoranda'' used by regulators to make their decisions on thrift applications for waivers on a regulation, known as the ''direct investment rule,'' that limited the percentage of taxpayer-insured deposits thrifts could invest directly in real estate projects, junk bonds and other nonmortgage investments.

''We should appreciate receiving any documents in the board's possession that relate to these decisions,'' the GOP congressmen wrote.

Lincoln's Request

At the time, by far the largest application for such a waiver was Orange County-based Lincoln. The thrift also was the only S&L to file a lawsuit on the direct investment limitation that the bank board had enacted, at Gray's urging, in early 1985 despite fierce opposition spearheaded by Keating.

The information the House members requested were considered to be legally privileged, meaning they would not be available to attorneys for civil litigation.

The representatives told Gray their request stemmed from a concern ''about the board's activities regarding the regulation of direct investments by (taxpayer) insured institutions.''

They also asked for statistics on how many waiver requests had been requested, approved, denied or withdrawn by regulators' order.

Previous attention of congressional intervention on behalf of Keating and other thrift operators has focused primarily on Democratic efforts with regulators, particularly by former Speaker Jim Wright, former House majority leader Tony Coelho and four senators now under investigation by the Senate ethics committee.

Political Pressure

At the time the letter was sent, Gray's efforts to enforce the direct investment rule and other tough regulations on the S&L industry were proceeding in a heavily political context:

* The bank board was bankrupt and in desperate need of funds from Congress.

* Lincoln was openly threatening a lawsuit that was eventually filed in early 1987 against the bank board's direct investment regulation. Lincoln also was protesting the initial findings of a federal examination on it and was preparing for a lawsuit against the conduct of that examination.

* A prominent California Republican fund-raiser had warned the White House in writing a week earlier that Gray's interference on direct investments was undercutting S&L contributions to GOP candidates in that year's elections.

* Keating supporters in Congress were lobbying the White House to appoint a man financially connected to Keating to the Federal Home Loan Bank Board.

A spokesman for House whip Gingrich said the congressman ''didn't have any specific recollection'' of the letter. ''He assumes one of the Californians must have asked him to sign it, and he did. Other than that, he had no relationship with any of the issues involved. He just glanced at it and signed it.''

Defense Secretary Cheney was in the Soviet Union and his spokesman did not offer a comment. A Lungren spokesman said he was on the campaign trail and unreachable yesterday afternoon.

OTHER SIGNERS

Other representatives who signed the letter were Californians William Thomas of Bakersfield, Robert Dornan of Orange County, Carlos J. Moorhead of Glendale, Robert Lagomarsino of Ventura and Bobbi Fiedler of Los Angeles. Also signing were Thomas Petri of Wisconsin, Jim Jeffords of Vermont, Joe Skeen of New Mexico, Michael Dewine of Ohio, Floyd Spence of South Carolina, Gerald Solomon of New York and Bob Stump of Arizona.

Pashayan said the letter was motivated by his concern over a failed Porterville thrift, Presidio Savings and Loan, a minority-owned institution that Pashayan has long claimed was treated unfairly by regulators.

Presidio, whose failure cost taxpayers an estimated $ 35.2 million compared with to a projected $ 2.5 billion for Lincoln, had been under a cease and desist order by the California Department of Savings and Loan since February 1985. That order restricted Presidio's activities to making loans less than $ 150,000.

Federal regulators declared Presidio insolvent in August 1985 -- a year before the letter requesting information on direct investment waivers. A year later -- four days before the first letter was sent -- Presidio was closed entirely and liquidation of its assets was begun.

Pashayan conceded yesterday he did not know whether Presidio had ever asked for a waiver on a direct investment regulation.

''What I was trying to get at was who were getting the waivers,'' he said.

'A DAMNABLE LIE'

Told of Pashayan's contention that the letter was motivated by the Presidio S&L situation, Gray said: ''It's just another example of the lengths certain members of Congress will go to deceive the public. He is guilty of a damnable lie.

''The only person he was representing quite clearly was one of his political benefactors, and it clearly was not Presidio. Presidio had already been liquidated. He was doing this for Keating, period.''

Gray said the internal memoranda asked for in the 1986 letter was not provided because ''it was such an outrageous request that we just ignored it. There was no way any board I was on was going to send them privileged information.''

Instead, the regulators sent statistics showing that about two-thirds of resolved requests for waivers had been granted.

Presidio's chief financial officer was barred by the bank board at the end of 1986 from any future work for a financial institution because of his actions at Presidio, and that decision was upheld by the U.S. Court of Appeals.

Pashayan, who is involved in a close re-election campaign that has featured S&L issues, has returned his previous campaign contributions from Keating.

Not for commercial use. Solely to be used for the educational purposes of research and open discussion.


THE WHITE HOUSE WASHINGTON, DC REGULAR BRIEFING [excerpt]
BRIEFER: MARLIN FITZWATER
DECEMBER 20, 1990, THURSDAY

Washington --
MR. FITZWATER: ... Leo?

Q Marlin, the Senate Ethics Committee has obtained testimony that the President, when he was vice president, in late '85 met with Charles Keating. This testimony came from Keating's chief lobbyist. Can you shed some light on whether that meeting took place, and what was discussed, and whether Bush took some action?

MR. FITZWATER: I don't know anything about it. I have asked counsel if they have anything on it, but I haven't received any answer back yet.

Q Do you have an indication when they might give you an answer? How long that's going to take?

MR. FITZWATER: I don't know.

Q And also, did you ask him to find out if -- not just whether the meeting took place -- but whether Bush followed up? Because presumably Keating asked Bush to help him put some pressure on Ed Gray, who was then the top S&L regulator.

MR. FITZWATER: I just passed it along to counsel and asked them to give me any explanation they have, but I have not heard back from them.

Karen?


Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

Masters Head Wary of Media Stephens relieved to survive limelight
PAT SULLIVAN
The San Francisco Chronicle
SPORTS; Pg. D3; PAT SULLIVAN ON GOLF
APRIL 25, 1992, SATURDAY, FINAL EDITION


T WO WEEKS ago, in the Masters, a nervous man sat in front of about 100 members of the media. His name was Jackson Stephens, new chairman of Augusta National and the tournament.

After Stephens' news conference, all about golf, he openly expressed relief at surviving his minutes in front of the media. At the time, his uneasiness seemed unwarranted. But now it's clear that he had reason to be wary of questioning.


...the Wall Street Journal has reported that Stephens' Arkansas-based investment bank played a critical role in fund raising for Harken Energy, a small Texas company whose board of directors includes George W. Bush...
According to the PBS show ''Frontline,'' which aired Tuesday night, Stephens has been linked to past deals involving the Bank of Credit and Commerce International, a rogue bank on whose behalf a guilty plea was entered in January on a federal racketeering charge.

And the Wall Street Journal has reported that Stephens' Arkansas-based investment bank played a critical role in fund raising for Harken Energy, a small Texas company whose board of directors includes George W. Bush, the president's son, and which won a potential billion-dollar contract to drill for oil in Bahrain....


Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

[Stephens buys Keating's $2.3 million Florida home]
Arkansas Democrat-Gazette
February 10, 1990, Saturday


Jackson T. Stephens, the Stephens Inc. chairman and co-owner, has bought a $2.3 million Florida home that had been used by Charles H. Keating Jr., chairman of a failed thrift now under investigation.


"Mr. Keating was not personally involved in the sale of the residence, and Mr. and Mrs. Stephens have never met him," Steve Stephens said.
Jackson Stephens and his wife, Mary Anne, bought the house on an exclusive private island near Miami last year out of the bankruptcy estate of the American Continental Corp., according to Steve Stephens, corporate director of communications for Stephens Inc.

American Continental Corp. is the owner of the failed Lincoln Savings and Loan Association of Irvine, Calif.

"Mr. Keating was not personally involved in the sale of the residence, and Mr. and Mrs. Stephens have never met him," Steve Stephens said.

The sale contract for the house on Indian Creek Golf Club Island was negotiated with representatives of American Continental and approved by the bankruptcy court, Steve Stephens said. Jackson Stephens, an avid golfer, learned from friends who live nearby on the island that the house was available, Steve Stephens said. It will be a vacation home.

The sale was completed in June, according to Dade County real estate records. The sale price could not be learned Friday, however.Since then, Keating has made a splash in the news. In September, federal banking regulators filed a $1.1 billion fraud suit against him, contending that he and his associates used various schemes to divert money from Lincoln Savings for their own use. The House Banking Committee has held hearings on the failure of Lincoln Savings, and the Senate Ethics Committee started an investigation into the activities of five senators on behalf of Lincoln Savings.

The house on Indian Creek Golf Club Island apparently was only one of a number of houses Keating used, according to the Indian Creek Village manager, Don Le Brun. Keating visited the house for a week or so every few months, Le Brun said.

The house has two stories, five bedrooms, six bathrooms and a swimming pool, according to real estate appraisal records that put a $2.3 million value on the house and its 200 foot-by-400 foot lot.

It, like all 32 homes on the island, looks out on Biscayne Bay and is just across the road from the golf course, according Le Brun. The homes typically have about 9,000 square feet of floor space "they're mansions," Le Brun said.

The island is connected to the mainland only by a guarded, private bridge, according to Le Brun. " This is a very exclusive island," Le Brun said. " This is paradise."

The village has a police force of 15 to guard and patrol the island by land and by sea, he said.

Among the well-off who own homes on the island is singer Julio Iglesias.

The island received some odd publicity recently when Al-Fassi of Saudi Arabia, who describes himself as a prince, declared his sister's Indian Creek Island home as something of a sanctuary for cats, reportedly bringing in more than 100 and sending a jet out to pick up cats from elsewhere in the country, according to the Miami Herald.

36 Posted on 08/08/2000 20:45:41 PDT by Wallaby (wallaby@altavista.net)
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To: Wallaby

Great posts!

What's Up In Jakarta?

Jakarta Bourse Probes 29 Firms Over Price Manipulation

THE OCTOPUS - The Tentacles of Corruption

The Plunge Protection Team

Massive Personal Fraud May Have Contributed To Clinton Treasury Secretary Robert Rubin Resignation

Gray Money

JACKSON STEPHENS: The Father of WTI

THE TENTACLES OF SYSTEMATICS

FOSTERGATE - James R. Norman

Interview With Jim Norman - By Marvin Lee of Washington Weekly

Jim Quinn Interview with Jim Norman

The Modern Triangular Trade, and Why Jim Norman Is In Trouble

Jackson Stephens - The Curious Tentacles Of Systematics

How Jackson Stephens Brought The Global Laundry To America

The Jackson Stephens Empire - Death, Money Laundering, Spying and the Octopus

Vince Foster Oversaw Covert Money Laundering by Systematics

NSA's PROMIS virus, Mellon money laundering, and Vince Foster's blue NSA notebook

The NSA Worm. Federal Reserve Money Laundering

Money Laundering and the Intelligence Community

BCCI, Money Laundering, and the Nuclear Weapons Programs of Pakistan and Israel

Caspar Weinberger's Swiss Account

Cover-Up by House Banking Committee Investigators

Sheila Foster Anthony effects a $286,000 wire transfer four days before Foster's death

James Hamilton doesn't get a chance to deny the $286,000 wire transfer by Sheila Anthony

Gaping Holes in the Investigation of the Death of Vince Foster

The Global Money Laundering Operation

Tenacious Tentacles

Hillary Clinton and Webb Hubbell Represented Systematics During The BCCI Takeover of First American

BCCI and Jackson Stephens Takeover

What's Up In Jakarta?

Who Is Mochtar Riady? - Part 1

Who Is Mochtar Riady? - Part 2

Who Is David Edwards?

Arkansas Deal-maker Draws Heat - Lawyer C. Joseph Giroir Jr.

Lawyer C. Joseph Giroir Jr.

Webster Hubbell

The Secret Life Of Webb Hubbell

Dead Men Tell No Tales - Or Do They?

Vince Foster and the NSA - Spy Agency Hiding Evidence?

Terry Jeffrey (Of Human Events) Interview

Encryption, China, RSA, and Banking

Money Laundering Through CHIPS and SWIFT

SOFTWAR

Why Red China Targeted The White House

Plot To Spy On Banks Outlined In White House Email

The CIA Inside America

CIA Proprietary Companies?

CIA "FRONTS"

LIPPO Links

Lippo Suction

Jim Quinn Interviews Ambrose Evans-Pritchard

Who Is Leo Wanta?

The Leo Wanta Story

Interview With Leo Wanta

Leo Wanta - Sarah McClendon

37 Posted on 08/08/2000 22:26:27 PDT by Uncle Bill
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To: Michael Rivero

It's called socializing risk.

38 Posted on 08/08/2000 22:55:12 PDT by independentmind
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To: Uncle Bill

The Amerian public could greatly benefit from a fuller understanding of both the S&L and BCCI scandals.

39 Posted on 08/08/2000 22:58:57 PDT by independentmind
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To: Wallaby

McCain supporter? LOL!

Keep up the excellent work. Just think, by next year, the Republican pom-pom crowd might begin to get a clue.

40 Posted on 08/08/2000 23:22:09 PDT by Sandy
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To: Wallaby

"The Wall Street Journal has reported that Stephens' Arkansas-based investment bank played a critical role in fund raising for Harken Energy, a small Texas company whose board of directors includes George W. Bush..."

But, But, but. . . . So What? !! Innocent, didn't even know about it. No Laws Broken!

The standard answers work for either mob.

41 Posted on 08/09/2000 03:32:51 PDT by NDCORUP
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To: NDCORUP

bump...to read at the beach.

42 Posted on 08/09/2000 04:06:48 PDT by rubbertramp
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To: Wallaby

be back bump

43 Posted on 08/09/2000 05:44:00 PDT by thinden
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To: Wallaby, NDCORUP, Uncle Bill

they was dirty when dirty wasn't cool.

p.s. this was long before anybody knew what a body count list was.

44 Posted on 08/09/2000 06:43:45 PDT by thinden
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To: NDCORUP

"Both parties.."

certainly has a bi partison look to it w/ coelho, garn, & kemp as guests of honor.

45 Posted on 08/09/2000 06:47:53 PDT by thinden
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To: NDCORUP

"I happened to note, in re-reading some parts of this thread, that the name Bush crops up. I just don't know why people are suspicious of the Bush Dynasty. Why, ALL of that STUFF about Prescott, and Neil, and jr. and Prescott again, and Jeb and their "associates" are just people trying to put down a family of Saints! "

You forgot the smiley face there, buddy.

46 Posted on 08/09/2000 09:16:53 PDT by Michael Rivero
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To: Wallaby

"This small cabal of businessmen realized that the S&Ls were going the way of the dinosaurs. They recognized that S&Ls couldn't survive under rapid inflation and high interest rates. So they decided to exploit the situation for their own purposes, with help from, and rewards for, the Mafia, the CIA and their favorite politicians. They probably figured that the insulation and protection these powerful institutions and individuals conferred upon them, in addition to all the endemic protections with the financial, judicial, political and journalistic systems, made them invulnerable. They were probably right.

For unlike Watergate and Iran-Contra, this was a bipartisan scandal. There was no opposition party to push for an independent investigation. In fact, the same group of wealthy, powerful businessmen, centered in Houston, that encircle Republicans like George Bush and James A. Baker III, also encircle Democrats like Jim Wright and Lloyd Bentsen. "

You have two mistakes. Iran-Contra was bipartisan, with a Republican White House and the Democratic Governor of Arkansas all working together, and both parties to this day trying to keep th elid on the drug running aspect of the Contra resupply. Secondly, the looting of the S&Ls was PART of the Iran-Contra plan right fromn the start, in order to nearly double the CIA's drug money by swindling the American taxpayers with the S&L "bailout". Ex head of the CIA George Bush (Sr.) was the man who raised the maximum insurable deposit limit up to $100,000 per account, that made the looting easy to do through brokered deposits.

47 Posted on 08/09/2000 09:28:45 PDT by Michael Rivero
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To: Michael Rivero

> Iran-Contra was bipartisan

I agree. Brewster was mistaken to use 'unlike' . I would also add "Iraqgate" into this bubbling cauldron of interrelated scandal. See:

48 Posted on 08/09/2000 10:12:57 PDT by Wallaby (wallaby@altavista.net)
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To: Michael Rivero

>Brewster

Oops. That should be Brewton of course.

49 Posted on 08/09/2000 10:15:54 PDT by Wallaby (wallaby@altavista.net)
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To: Michael Rivero

:-)

BIG SMILEY FACE.

Putting all of that together with a straight face just took it out of me. Couldn't focus on the keyboard for quite a while.

50 Posted on 08/09/2000 11:12:09 PDT by NDCORUP
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To: Wallaby

Makes you wonder why some can't 'see', eh?

Or, then again, maybe not...

51 Posted on 08/09/2000 19:07:23 PDT by Boyd
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To: Wallaby

Thought this may be of interest. I'm not paying the Washington Post a dime though for the article.

THE HORSE WHISPERERS; OFFICIAL CAUSE OF DEATH: RIDING ACCIDENT. BUT FOR SIX PAINFUL YEARS, SHELLY MALONE'S FAMILY CRIED MURDER. THEN SHELLY SPOKE SILENTLY FROM THE GRAVE.

PETER SLEVIN
WASHINGTON POST STAFF WRITER
Sunday, May 2, 1999 ; Page F01
Section: Style
Word Count: 4874

Shelly Malone had been dead and in the ground for weeks. As her grieving family set up shop in her wood-frame house in Fauquier County, sifting the leavings of a too-short life, Tom Hardy shuttled back and forth from his Capitol Hill townhouse.

Click for complete article

52 Posted on 08/09/2000 19:33:08 PDT by Uncle Bill
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To: Wallaby

Thought this may be of interest. I'm not paying the Washington Post a dime though for the article.

THE HORSE WHISPERERS; OFFICIAL CAUSE OF DEATH: RIDING ACCIDENT. BUT FOR SIX PAINFUL YEARS, SHELLY MALONE'S FAMILY CRIED MURDER. THEN SHELLY SPOKE SILENTLY FROM THE GRAVE.

PETER SLEVIN
WASHINGTON POST STAFF WRITER
Sunday, May 2, 1999 ; Page F01
Section: Style
Word Count: 4874

Shelly Malone had been dead and in the ground for weeks. As her grieving family set up shop in her wood-frame house in Fauquier County, sifting the leavings of a too-short life, Tom Hardy shuttled back and forth from his Capitol Hill townhouse.

Click for complete article

The following article from here.

The Shelly Malone Story (Fauquier County, Va.)


The following is a paid advertisement that ran in the Fauquier Citizen, 11/3/95.
It was prepared by Shelly's brother, Joseph R. Malone.


Dear Citizens of Fauquier County and my fellow Countrymen:

My sister, Shelly, was a resident of Fauquier County when she was killed under suspicious circumstances at age thirty-seven on October 18, 1992. A purported eyewitness has given to Sheriff Higgs an eight page statement about what she says happened to the two women while they were out riding in a field directly behind Western View, Shelly's home in The Plains. This same eyewitness wrote in her sworn "Declaration of November 25, 1992" that she was not familiar with where she and my sister were riding at the time of the "accident." She also states that their boyfriends stayed back at Shelly's home in order to "chop wood" on that Sunday afternoon of Gold Cup Weekend.

My family has tried every way humanly possible to get Sheriff Higgs to interrogate those who were supposedly with Shelly before her death for three years. But Higgs has steadfastly refused to do the most fundamental police follow-up in a case of suspicious death.

Shelly's dead body was airlifted by Medstar helicopter to D. C. from the field after a mercy call from the good men of The Plains Fire and Rescue Squad. Shelly's autopsy pictures, especially two of her face suggest she was beaten. It demands explanation why the report of D. C. Coroner, Dr. Joye Carter, overlooked commenting on the fact that Shelly's lips were split in two places and that there are multiple contusions and abrasions to her face and body. It is a fact that influential people in The Plains tried to have the autopsy canceled (Cf. the Sheriff's files in the Shelly Malone case.) I wonder, though, why the Coroner has missed obvious facts and misstated others in her Autopsy Report which makes no mention of visible injuries to Shelly's face and torso photographed and recorded. (Cf. the autopsy photographs in the Sheriff's office sent by our lawyer as an attachment to his forty page memorandum to the Sheriff, dated January 23, 1995 )

In her written "Declaration," the eyewitness states while the two women were out horseback riding, both her boyfriend and Shelly's boyfriend stayed back at Shelly's home to "chop wood/clean out the pasture of dead trees." But there was no hand-split or chopped wood on the property when our family arrived the next day, and there was no collected pile of tree limbs or dead trees in the pasture or along the fence line. Moreover, the implements purportedly used that afternoon were useless, because the maul had no ax-head attached to its handle, the head having been broken off long ago as indicated by the photographs taken by my cousin on November 30, 1992. (See the two photos of the useless implements from the series in the Sheriff's file. The sledgehammer, though intact, would be useless without a functional maul.) So why this conflict?

On Sunday, October 25, 1992, two days after Shelly's funeral, her home was ransacked while my mother, my brother and I were eating brunch at The Rail Stop in The Plains. The result was that all the contents of Shelly's bureaus and desks were thrown haphazardly into some thirty (30) extra large black Hefty trash bags, which were then transported off the premises. The next day, Monday the 26th of October, my brother and I along with Shelly's boyfriend went searching together at the town dump and the County Landfill for Shelly's missing clothes, the ones she was wearing at the time of the "accident" and which our cousin had picked up at Medstar Hospital in D. C. and placed in the dining room at Western View on Thursday, October 22. The clothes could not be found anywhere on the property on Sunday the 25th and despite all our searching at Shelly's home and in the local trash dump sites the next day, her clothes were never found. Why did these clothes vanish?

Sheriff Higgs himself promised me over the phone on December 11, 1992 that he would send my sister's bloodstained Toyota to Richmond on Monday, December 14th, for a complete serological testing. But he has not kept his word to me, as I pointed out to him during the Sheriff's debate last Thursday night in Warrenton Middle School. But more importantly, the Sheriff has breached his contract with the people of Fauquier County by failing to send out blood evidence for DNA testing, by failing to interrogate witnesses, and by failing to open an investigation into a suspicious death, one which is not supported by an accurate autopsy.

My family and I also can't understand why my sister's multiple injuries to her face and body, visible in autopsy pictures, do not raise suspicion that Shelly was roughed up badly by human blows. It is strange that these violent injuries to Shelly's body were reported by the eyewitness in her "Declaration" as being caused by Shelly's horse which are nonetheless ignored in the D. C. Coroner's report. The eyewitness says she saw that Shelly's horse "stepped on her leg (s), face and head, kicking her head as he did so in an apparent attempt to get away." Yet the injuries that the eyewitness writes about in her "Declaration" (which was given to the Sheriff and dated to November 25, 1992) are not found in the Coroner's report. Why is there no correspondence between the eyewitness' account and the autopsy report? Something isn't right. The eyewitnesses account and the D. C. Coroner's report are completely at variance with one another, while at the same time Shelly's bodily injuries seen in autopsy photos tell of a struggle, not with a horse and yet not without deadly consequences. Fortunately there is resolution to these troubling conflicts. There is a way, and we have found it. "Was blind, but now I see." The proverbial needle in the haystack!
Of course, Sheriff Higgs could have found his own way to the truth if he had wanted. He could have opened an investigation into possible homicide. Both Lt. James Waddell, the Investigations Commander for Fauquier, and Special Agent Jeff Parsons (Virginia State Police, Culpeper Barracks) suggested in 1992 that the Sheriff should offer the purported eyewitness a polygraph, i.e., a voluntary lie detector test. But the Sheriff has refused to do so, telling me and my mother only that he "was sorry" and "Shelly's death was an accident." Why such a decision to offer only pity and procrastination is anyone's guess.

Sheriff Higgs read from prepared note cards when my cousin and I asked him questions at the debate last week. The radio audience couldn't see him doing it, but everyone in the Warrenton Middle School did. He stonewalled. He did not answer our questions; rather, he ducked them by mouthing canned answers to both questions. His "pat" expression of sympathy at our loss coupled with his simplistic explanation that it was "an accident" doesn't wash with us. Nor should it with any of you, the voters of Fauquier. Suppose the next victim in this county is a member of your family. Can you honestly be certain that the Sheriff will help you any more than he has "helped" us?

I am certain that an honest investigation into the death of Shelly Malone will never be opened if Joseph Higgs remains the Sheriff of Fauquier County. Mr. Higgs has disregarded all the information that is known about the day's events leading up to Shelly's death and those events following close upon her funeral. Why has the sole eyewitness never been interviewed in the Sheriff's office when her four (4) statements are contradicted by many internal inconsistencies and by the autopsy report itself?

Sheriff Higgs has not kept faith with the people of Fauquier who elected him to discharge his duties as Sheriff in an impartial and effective manner. In the matter of Shelly Malone's death, he has been negligent in the following areas:

In all these ways and more, Sheriff Higgs has acted in a manner not conducive to the public's security and trust which are the foundation of law enforcement.

In America all of us must demand better from our elected police officials. God help us if we do not.

I delivered the eulogy at my sister's funeral three years ago. I took comfort in the Scriptures then. I do so again today.

With trust in God and the People of Fauquier,

Joseph R. Malone
Joan Rochelle (Shelly) Malone's brother


Note: Sheriff Higgs easily won another term in office. Higgs has hired as an investigator the same Detective Pfeiff who handled the Debbie Fitzjohn case in Fairfax County prior to his retirement from that police force.

53 Posted on 08/09/2000 19:53:35 PDT by Uncle Bill
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To: Wallaby, Boyd

Cover-Up Quilt Day

Recognize some of the names? I know you do. 8-)

54 Posted on 08/09/2000 20:08:45 PDT by Uncle Bill
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To: Uncle Bill, Boyd, Michael Rivero, aristeides, Fred Mertz, sandy, NDCORUP

Not for commercial use. Solely to be used for the educational purposes of research and open discussion.

Excerpts From Keating's 'Political Diaries'
National Mortgage News
Pg. 22
October 15, 1990


1984:

Jan. 12 - Meeting with Dick Pratt.

(Feb. 22 - ACC acquires Lincoln) (May - FHLBB chairman Ed Gray announces plans to issue new regulation restricting thrift direct investment authority.)


Dec. 13 - Charles Keating and his brother, former Ohio Rep. William Keating, meet with Vice President George Bush.
June 6 - Dinner in LA with Larry Taggart, California Savings and Loan commissioner.

(Aug. 20 FHLB begins examination of Lincoln Savings.)

Aug. 26 - Cat Cay (Keating's Bahama retreat) with Sen. John McCain of Arizona, Cindy McCain, Barbara & Lee Henkel.

Sept. 26 - Keating Dines in Washington with Sen. John McCain.

(Dec. 7 - California Commissioner Larry Taggart approves $ 800 million in direct investment authority for Lincoln Savings. Gray has let it be known that his new direct investment rule would be retroactive to Dec., 10, 1984.)

Dec. 17 - Keating travels to Washington to meet with: - Sen. Alan Cranston of California - Sen. John Glenn of Ohio - Sen. Mack Mattingly of Georgia - Sen. Paul Laxalt of Nevada - M. Danny Wall (then chief of staff, Senate Banking) - Alan Greenspan.

Dec. 17 - Dinner with Sen. Dennis DeConcini.

(Sen. DeConcini attaches an amendment to a Senate bill stating that "no regulation of the FHLBB shall impose greater limits on direct investments...until 12/31/86)

(Dec. 31 - Larry Taggart resigns as California S&L Commissioner and joins TCS Financial in San Diego.)

1985:

Jan. 2 - Cindy McCain flies to LA on ACC jet.

(Jan. 18 - Lincoln invests $ 2.9 million in TCS Financial stock.)

(Jan. - FHLBB passes new direct investment regulation - pending public comment for 90 days.)

Jan. 28 - CHK meets in Washington with: - Sen. John McCain - Rep. Jack Kemp of New York.

Jan. 29 - CHK meets with John McCain in Washington.

(Feb. 1 - Lincoln applies to FHLB for $ 900 million direct investment authority. Request denied.)

Feb. 13 - Meeting with Larry Taggart in Phoenix.

(Feb. 27 - Washington hearing begin on FHLBB direct investment rule - Dr. George Benston & Alan Greenspan to testify.)

Feb. 27 - Keating flies to DC and meets Greenspan.

April 2 - Keating flies from NY to DC for dinner with Sen. & Mrs. DeConcini.

April 3 - Keating meets at 10:30 AM with John McCain in McCain's office in DC.

April 4 - Sen. McCain flies back to Phoenix on ACC's plane with Keating.

(May 17 - FHLBB denies Lincoln's appeal on $ 900 million direct investment authority request.)

May 28 - Keating lunches with Alan Greenspan in NY.

Aug. 16 - Sen. John McCain & his wife take a flight to the Grand Canyon on ACC plane.

Aug. 22 - McCain takes trip to Cat Cay via helicopter with Keating & Kielty and C-III.

Aug. 29 - McCain returns on Lincoln's BAC jet to Phoenix.

Sept. 15 - John & Cindy McCain have dinner at Keating's house in Phoenix.

Sept. 17 - Keating meets with FHLB of SF president James M. Cirona and California Savings & Loan Commissioner William Crawford.

Sept. 18 - Dinner to review with Larry Taggart Lincoln's desire to purchase assets of failing S&Ls.

Sept. 23 - NY city - meeting with George Benston "to plan strategy through the balance of 1985 re: Lincoln Savings."

Oct. 30 - Phone conference with Bob Hubbard "re: Ed Gray..."

Oct. 31 - Meeting in Phoenix with Sen. John McCain and Larry Taggart.

(Nov. - Keating sends job offer to Ed Gray while Gray is testifying before Congress on direct investment rule. Offer reportedly is $ 300,000 a year for five years. Gray turns it down.)

(Dec. 3 - FHLB notifies Lincoln that they are in violation of the growth limitation regulation.)

Dec. 13 - Charles Keating and his brother, former Ohio Rep. William Keating, meet with Vice President George Bush.

1986:

Jan. 23 - Keating flies to California for a campaign luncheon for Calif. Gov. Deukmejian.

Feb. 6 - Phone conversation with Lee Henkel & Bill Keating.

Feb. 18 - Washington- Meeting with Larry White re: Phoenician, Memorex, Playtex and other deals.

Mar. 26 - Washington - 9:30 am meeting with Under Secretary of Treasury George Gould re: regulatory issues regarding FHLBB investment powers. Also discussed legislative issues regarding FHLBB.

* 11:00 am meeting at the Rayburn House Office building, with Rep. John Dingell re: regulatory issues regarding FHLBB and investment powers.

* 12:00 noon - Lunch with Sen. John Glenn. Discussed regulatory issues regarding FHLBB and investment powers.

* 1:45 pm - Meeting with Jack Kemp regarding regulatory issues and investment powers

* 2:30 pm - Meeting with Sen. Dennis DeConcini. Re: regulatory issues and investment powers.

* 3:30 pm - Meeting with Danny Wall, Chief of Staff, Senate Committee on Banking. Re: regulatory issues and investment powers.

* 5:30 pm - Meeting with John Rousselot of NCSI. Re: regulatory issues and investment powers.

(April - Sen. John McCain's wife Cindy invests $ 360,000 in a Keating partnership in Phoenix. Rep. Doug Barnard comes to Arizona to attend an ACC political fundraiser.)

June 24 - New FHLB audit of Lincoln begins.

July 3 - Audit exit conference.

July 7 - Keating meets in his office with Sen. Paula Hawkins.

* 12:00 - Lunch with Sen. Dennis DeConcini at ACC headquarters.

July 9 - Washington- 4 pm - Keating meets with George Gould again re: FHLBB regulations and litigation.

* 4:30 pm - Keating meets with Sen. John Glenn, re: FHLBB regulations and litigation.

* 7:30 pm - Dinner meeting in Washington with ACC officials to "review board candidacies, timing and approval for individual nominees, effect on proposed current legislation, status of the FHLBB nominations.

July 15 - 9:00 am - Virginia - Meeting with Keating and Rousselot, re: FHLBB proposed regulations, and . . . FHLB board appointments."

* 12:00 noon, White House Connection, 17th & G St - Luncheon with ACC officials "re: Benston nomination and status of Lincoln examination."

* 4:00 pm - Meeting with Rep. John Dingell re: FHLBB proposed regulations and impact on current FHLB audits.

July 16 - 9:00 am - Meeting with Sen. Paula Hawkins re: FHLBB litigation and regulations: Hawkin's endorsement of Lee Henkel for FHLB.

* 11:00 am - Meeting with Sen. Don Reigle re: FHLBB regs and Lee Henkel nomination to FHLB Board.

* 11:30 am - Meeting with Sen. Alan Cranston re: FHLB regs and Lee Henkel nomination.

* 12:00 - Fly to New York

* 3:00 pm - Meetings with Gershon Kekst public relations re: public relations, recent new articles on Edwin Gray head of FHLB.

(Ed Gray told NMN that he believes that ACC was encouraging negative newsstories about him during this period.)

July 18 - "Telephone conference with Norm Brownstein re: Grigsby, Hovde & Gray."

(Brownstein is a Denver attorney who represented ACC as well as a number of figures in the Silverado Savings collapse.)

July 20 - Dinner at a private home with Rep. Doug Barnard.

July 24 - Dinner with Lee Henkel.

July 25 - Meeting at ACC with Lee Henkel "re: Henkel's possible appointment to FHLBB, problems with FHLBB and ACC's savings and loan in California."

July 29 - 9:30 am - Meeting with Sen. Paula Hawkins at Hart Senate Office building, "re: new regulations for FHLB."

July 29 - 1:30 pm - Washington to Atlanta for a meeting with Lee Henkel.

Aug. 11 - 9:00 am - Washington meeting with Danny Wall "re: Democrats to win; chairmanship - Benston."

* 3:30 - Meeting with Rep. Doug Barnard.

* 7:00 pm - Private tour of White House for Keating, Hubbard, and Grogan.

Aug. 12 - 7:30 - Breakfast meeting with FHLB Board member Don Hovde, "re: recess appointment."

* 10 am - Meeting with Sen. Paula Hawkins.

* 12 noon - Lunch with Sen. John McCain.

* 3 pm - Meeting with Rep. Chip Pashayan.

Aug. 14 - Telephone conference with Sen. Hawkins "re: appointments of Henkel and Benston and discussed the situation with Gray, Garn and Danny Wall."

Aug. 19 - Meeting with Lee Henkel.

Sept. 10 - 9 am - Meeting with Marg Waxman re: Henkel/Benston.

* 11 am - Meeting with Doug Barnard, re: Henkel/Benston.

* 11:30 - Meeting with Alan Cranston, re: Henkel/Benston.

* 12:00 - Lunch with Sen. John McCain, re: Henkel/Benston.

* 2:00 - Meeting with Sen. Reigle.

* 3:30 - Meeting with Don Regan re: FHLB matters pertaining to Lincoln examinations and nominations to the board (Henkel/Benston).

Sept. 10 - Washington to LA for Calif. Gov. Duekmejian campaign dinner.

Sept. 18 - ACC flight log for Sabre - Phoenix to LA to meet with Samuelian "re: ACC $ 100 million subordinated debenture."

Oct. 13 - Telephone conference with Lee Henkel re: FHLB.

Oct. 16 - Telephone conference with Mike Milken re: investments.

October 17 - Telephone conference with Lee Henkel, re: FHLB.

Nov. 4 - To Los Angeles, "re: elections, Governor, Sen. . . . ."

(Nov. - Lee Henkel appointed to the FHLB Board.)

(Dec. 19 - FHLB examiners submit evidence of "file stuffing" at Lincoln in a 186-page report entitled "Significant Supervisory Concerns.")

1987:

(Jan. 2 - Cranston campaign aide Joy Jacobson sent a memo to Cranston

indicating that Keating had contributed $ 40,000 to his campaign and another $ 85,000 to the California Democratic Party and that would "rightfully expect some kind of resolution" to matters he had pending before the Bank Board.)

Jan. 26 - 8:30 am - Washington - Meeting with White House economic advisor Dr. Beryl Sprinkel "re: FHLB and Lincoln Savings' relationship with Ed Gray. Chairman Gray is stepping down in June 1987."

* 10 am - Meeting with Rep. Doug Barnard "re: FHLB and Lincoln Savings' relationship with Ed Gray; Ed Gray stepping down in June."

Jan. 27 - Meeting with Sen. Phil Gramm of Texas at Russel Senate Building.

* 9:00 pm - Attend State of the Union Address.

Jan. 28 - 8:00 am - Breakfast with Sen. John McCain in Senate Dining-room.

* 9:45 - Democratic Whip Office in Capitol - Meeting with Sen. Alan Cranston.

* 11:00 - Hart Building, Meeting with Sen. John Glenn.

* 12:00 - Meeting with Rep. Chip Pashayan and Rep. Stan Parris of Virginia.

* 1:00 - Meeting with John Rousselot.

* 2 pm - Meeting with Sen. Dennis DeConcini.

* 3 pm - Meeting with Sen. Don Riegle.

Jan. 29 - Meeting at her home with Sen. Paula Hawkins "re: position opening in June of 1987 for chairman of FHLBB to replace present chairman Ed Gray."

Feb. 18 - 12:15 pm - Meeting with Sen. John McCain.

* 2 pm - Washington - meeting with Sen. Terry Sanford of North Carolina.

* 4:30 pm - Meeting with Speaker of the House Jim Wright of Texas in Capitol Room 204

* 5:30 - Meeting with Curtis Prins (aide to Rep. Frank Annunzio.)

March 9 - At ACC headquarters - Sen. Don Reigle speaks to key ACC executives.

March 24 - 9:30 am - Washington, Hart Building - Meeting with Sen. DeConcini "re: FHLBB regulations and possible litigation."

* 10:30 - Meeting with Alan Cranston - same subject

* 1:30 - Meeting with Sen. John McCain - same subject.

* 2:15 - Meeting with Sen. Bob Dole of Kansas - same subject.

(April 2 - Four senators, Cranston, McCain, Glenn and DeConcini meet with Ed Gray in DeConcinis's office. DeConcini has a memo from ACC entitled, "What ACC wants from Gray in return for concessions," DeConcini says that if Gray will back off on his direct investment limits, Lincoln would make more home loans.)

April 9 - Five senators, Cranston, DeConcini, Glenn, McCain and Riegle, meet for two hours with federal regulators from the FHLB in San Francisco grilling them about their aggressive and extended examination of Lincoln's books.)

(May - FHLB in San Francisco recommends a receivership.)

(June - Reporter Michael Binstein publishes excerpts from FHLB examination of Lincoln in Regardies Magazine. The article enrages Keating who blames the San Francisco regulators.)

(June 30 - Gray leaves the board, Wall assumes chairmanship.)

Sept. 24 - 7 am - Washington, FHLB - Meeting with Danny Wall and Rosemary Stewart "re: direct investments and R41C: Also discussed Bill Black; Disclosure; Five Senators; . . . ."

* 8:30 am - Meeting with Rep. John Rhodes of Arizona.

* 11:00 am - Meeting with Dennis DeConcini "re: FHLB examination of Lincoln."

* 1:31 - Meeting with Sen. Don Riegle "re: Ford Motor Co.; Bill Keating; FHLB."

* 2:30 - Meeting with Alan Cranston "re: FHLBB; America votes ACC participation in program."

(Nov. - Cranston is advised by campaign aide to meet with Keating and ask for more money. Cranston did and collected $ 250,000 for his voter registration drive.)

1988:

(Jan. 6 - Keating meets with FHLB-Cincinnatti and seeks transfer of supervision to that district and out of San Francisco-FHLB.)

(Jan. 7 - ACC reportedly presents a secret file to FHLB Board member Roger Martin allegedly containing negative information about FHLB-SF President James Cirona.)

Jan. 7 - Dinner with Anne Scully - Senate Banking Committee legislative assistant to Sen. John Heinz of Pennsylvania "to familiarize Scully with our operations and the impact and interface those operations have with current regulatory and congressional enactments so that they might ensure our interests are protected through those enactments."

Jan. 27 - 4 pm Meeting with Rep. Doug Barnard.

* 5:50 - Meeting with Sen. Howard Metzenbaum of Ohio.

* 6:00 - Meeting in Jim Wright's office with George Mehr.

Jan. 26 - 8 am - Meeting with Roger Martin.

* 10:30 - Meeting with Sen. Don Riegle.

* 11:00 - Meeting with Sen. Dennis DeConcini.

* 12:00 - Lunch with Sen. John Glenn.

* 1:30 - Meeting with Sen. Alan Cranston.

* 2:30 - Meeting with Danny Wall (CHK & Wall).

Feb. 4 - 8:30 am - Meeting with FHLB - Darrel Dochow, Richard Sanchez, Mike Patriarca and Steve Hershowitz.

* 5:00 pm - Meeting with Sen. Don Riegle. Feb. 9 - Sen. Alan Cranston arrives in Phoenix - pick up by ACC at gate and "take directly to CHK's House."

* 9:30 am - Meetings with Sen. Alan Cranston in ACC offices followed by helicopter tour of Phoenix properties.

* 12:00 - Lunch with Sen. Alan Cranston and his son Kim Cranston (Keating presents Cranston with two ACC checks totalling $ 500,000 for Cranston's voter registration drive.)

April 8 - Crescent Hotel - Sen. Orrin Hatch of Utah cocktail reception & fundraiser.

May 18 - Dinner with Karl Samuelian and Franklin Tom.

(May 20 - FHLBB enters into Memorandum of Understanding with Lincoln in lieu of conservatorship.)

(June 20 - Keating writes to Dallas FHLB chairman George Barclay regarding Southwest Plan acquisitions and moving Lincoln supervision to Dallas.)

(July 11 - New FHLB exam of Lincoln begins, discovers Lincoln violating terms of Memorandum of Understanding. Regulators ask for a cease and desist order.)

(Dec. 12 - FHLB Office of Enforcement notifies San Francisco examiners it will not issue a cease and desist order against Lincoln.)

Dec. 14 - Keating dines with Sen. Alan Cranston at the BelAir in Los Angeles.

1989:

Mar. 31 - Phone calls made to Federal Reserve Chairman Alan Greenspan's general counsel regarding Lincoln situation with FHLBB; Bob Kielty regarding press coverage of Lincoln sale.

(April 11 - Keating phones Danny Wall. Leaves message "My life, maybe my fortune" at risk.)

April 14 - FHLBB orders conservatorship for Lincoln.

55 Posted on 08/10/2000 01:51:16 PDT by Wallaby (wallaby@altavista.net)
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To: Wallaby

Well, it's good to see at least someone gets representation without taxation.

56 Posted on 08/10/2000 08:11:13 PDT by Uncle Bill
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To: independentmind

http://www.geocities.com/jurisnot the S&L and Bank Lootings are rooted in Land Frauds EXACTLY LIKE the Whitewater/Madsion Campaign Finance Scheme. Pete Brewton and his editor Gerald Egger went to great Lengths to keep the massive land frauds in Texas Covered Up, hmmm why would Brewton do this in lite of Whitewater/Castle Grande/Madison see the Great Texas Bank Job for REAL answers

57 Posted on 08/21/2000 23:12:56 PDT by JurisNot (jurisnot@aol.com)
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To: Wallaby

see http://www.geocities.com/jurisnot for more explosive FACTS about the Largest Bank Robberies in Human History. Brewton got most of his stuff from my investigations in Houston Land and Bank Frauds. The Great Texas Bank Job is TRUE

58 Posted on 08/21/2000 23:16:53 PDT by JurisNot (JurisNot@aol.com)
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To: Uncle Bill

S&L bailout was the most expensive in history.

59 Posted on 08/24/2000 21:40:36 PDT by eniapmot
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To: Wallaby

BTTT

60 Posted on 12/20/2000 00:02:59 PST by Uncle Bill
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To: Uncle Bill, thinden

Keeps on hummin'

61 Posted on 01/06/2001 06:46:22 PST by rdavis84
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To: Uncle Bill

excellent linkage there, william.

62 Posted on 01/06/2001 11:01:37 PST by thinden
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To: Fred Mertz

BTTT

63 Posted on 07/05/2001 11:14:37 PDT by Uncle Bill
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To: Klamath Falls

BTTT

64 Posted on 07/10/2001 00:56:54 PDT by Uncle Bill
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To: Uncle Bill/Wallaby/rdavis84/thinden

7/6/01, 'Global Eye', Moscow Times by Chris Floyd [in part]:

End Game

But let's not be cynical. The United States celebrated its 225th birthday this week, and we should all stand and salute this milestone of democracy.

True, it's a democracy controlled by a man who was not actually elected by the people. And yes, this situation actually runs counter to the bedrock American principle enshrined in the Declaration of Independence: that no state can be legitimate without the consent of the governed. And OK, the same Supreme Court that usurped the lawful election process and installed this unelected, unconsented ruler in office has also systematically stripped away many of the basic freedoms once enjoyed by the common people, while augmenting the power and privilege of massive corporations to operate with brutal impunity. And yeah, all right, you can now be jailed in America for driving without a seatbelt, or get a life sentence for committing three petty crimes, or be barred from voting because your skin is too dark or get executed with an IQ of 40 or below. But hey, at least it's a free country, right? You can stand up and say whatever you please, right?

Well, American journalist Gregory Palast might disagree. Palast has unearthed some of the most damaging stories on the Bush family Cosa Nostra, including Jeb's state-ordered "voter purge" in Florida that barred thousands of likely Democratic voters from casting their ballots. He also reported on Big Daddy's dirty deals with a Canadian conglomerate, Barrick Gold Mining, which snapped up $10 billion worth of mining rights on U.S. federal lands for a mere $10,000 back when Daddy ruled the roost. Needless to say, Bush p?re later went on Barrick's payroll as a corporate flack, helping broker big international deals for the company. Needless to say, Barrick supplemented Pop's pay by kicking in large donations to Junior's campaign.

With the American media being the staunch and fearless guardians of the people that they are, Palast was forced to publish his stories overseas, mostly for The Observer in London. But as Michael Corleone could tell you, the Cosa Nostra has a long reach. And now Barrick has made an aggressive move to punish The Observer for publishing Palast's Bush-bashing stories ? and to force Palast to remove the offensive articles from his own U.S.-based website.

Barrick is suing The Observer under Britain's low-bar libel laws. One claim is that Palast libeled Barrick honcho Peter Munk by saying he got his start in the gold business with funding from Saudi arms dealer (and Iran-Contra player) Adnan Khashoggi. And the source of this filthy canard? Er, Peter Munk, who offered this info to his own biographer. The rest of the case is just as strong.

Barrick, its coffers stuffed with Bush-abetted gold, is more than a match for The Observer, which is funded by an independent trust. Even without bringing the case to trial, they can pile up huge legal costs until the trust is bled dry ? and Palast's stories are removed forever from the land of the free.

Guess the Revolution is finally over, huh?

65 Posted on 07/17/2001 18:17:38 PDT by Boyd
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To: Boyd

bump, and 'Thanks for rekindling the flame.' The 'roots' go way back, but the new branches are distinctly connected to the 'malaise'.

66 Posted on 07/17/2001 19:18:29 PDT by d14truth
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To: Mark Wm. Manis

What is the Houston Post" ans is it still in business.

There is no Houston Post.

67 Posted on 07/17/2001 19:24:26 PDT by LurkerNoMore!
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To: LurkerNoMore! (Mark Wm. Manis)

>What is the Houston Post" ans is it still in business.

There is no Houston Post.

Too busy to read the thread to check on my reply #6 to Mr. Manis? I'll repeat it here, lest people only read your remark and not mine.

The Houston Post died on April 17, 1995, after publishing for 111 years. Near the entrance to the Post building were these words of Thomas Jefferson:

"Let facts be submitted to a candid world."

That's my motivation for posting this and anything else on the Free Republic.

So as for your claim that there is no Houston Post: it reminds me of Clinton's claim that there is no relationship between him and Lewinsky. Unless you are unaware of the facts concerning the Post's 111 history, then relying upon ambiguities of verb tense to mislead is no less lying than it was in Clinton's case.

68 Posted on 07/17/2001 21:29:44 PDT by Wallaby
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To: go star go

#2 - For heavens sake - what are we looking at this stuff for??

This is old news - my goodness - what is wrong with McCain? - DON'T ANSWER THAT!

Is he just jealous because Condit is getting all the press these days??

69 Posted on 07/17/2001 21:52:34 PDT by Sueann
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To: Uncle Bill

Back to the top!

70 Posted on 07/17/2001 22:33:22 PDT by NotJustAnotherPrettyFace
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