Wednesday, June 17, 2009
From today's Statesman: Grand jury indicts former PEC General Manager Bennie Fuelberg
* Read the comments or add your own by clicking on the "comments" button at the bottom of the story.
Update, Thursday morning, June 18, 2009, by Claudia Grisales, Austin American-Statesman Staff: See the full story here. "The indictments are a watershed moment in a saga that began two years ago, when a core group of PEC members launched a protest of the secretive way that Fuelberg and the board were running the co-op. That led to the lawsuit and a wave of disclosures about how PEC operated. There was an undisclosed bank account, employees who did no work but got paid, and millions of dollars lost in a failed software venture in New Mexico. Fuelberg and some other top executives resigned early last year, but the revelations kept coming . . . The criminal investigation is continuing, said Jerry Strickland, a spokesman for the attorney general's office."
Update, Wednesday afternoon, June 17 from commenter Peter Stern, quoting from a statement released today from the state Attorney General's Office: “The grand jury charged both defendants with the following three felony charges: misapplication of fiduciary property in excess of $200,000, theft of property in excess of $200,000, and money laundering between $100,000 and $200,000.”
“Misapplication of fiduciary property in excess of $200,000 and theft of property in excess of $200,000 are both first-degree felonies, which carry punishment of up to 99 years or life in prison and penalties of up to $10,000. Laundering between $100,000 and $200,000 is a second-degree felony, which carries a penalty of up to 20 years in prison and a fine of up to $10,000.”
Austin American-Statesman
See the full story here.
By Claudia Grisales | Wednesday, June 17, 2009, 04:28 PM
UPDATE:
The indictments are against Bennie Fuelberg, Pedernales’ former general manager, and Walter Demond, who works for PEC’s former longtime law firm, their lawyers confirmed.
“Bennie Fuelberg put his heart and soul into PEC for 30 years. He never stole one penny,” said Chris Gunter, Fuelberg’s lawyer.
Gerry Morris, who represents Demond, said there is “no question that they will be here to answer the charges.”
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11 comments:
Let me be the first to say Hip hip hooray! We may not get all we wanted from this, but this at least acknowledges wrong-doing.
A handful of loud people have been complaining that the AG wasn't going to do anything about the past thievery at PEC. Looks like they were wrong.
Ms. Rogers, let me say first I admire your spunk. But you are also one who appears to change your tune frequently, quite often depending on the changing political winds.
If I remember correctly, there was a time you poo-pooed the appeal of the class action lawsuit against PEC, saying it was a great
distraction to the management and that we should all just move on. At the time, no one knew if the so-called criminal investigation would ever make it to the Blanco County grand jury.
Now you are at the head of the line cheering Mr. Fuelberg's indictment.
You actively sought the endorsement of the PEC4U group, then turned against it with great vitriol when you failed to win its endorsement.
You actively supported the latest rate plan and rate structure, passed on Monday by the PEC board. And now we are finding the "rate decrease" may not be realized by many low power users as you promised. Any savings we will see are measured by pennies, while bonuses are handed out at the PEC measured in tens of thousands of dollars.
I am left wondering who you will turn against and what tune you will be singing next.
Letting the AG's office handle this, rather than pursuing justice through a class action lawsuit is the best course of action. The lawsuit tied up PEC staff and resources...the cost of which is ultimately paid for by the members. Additionally, a class action lawsuit cannot send people to jail. On the other thand, the AG investiation is independent of PEC, does not punish the rate payers through increased overhead costs, and can send people to court for felonies and ultimately to jail. Once these scoundrels are convicted PEC could use evidence from their trial to pursue recovery of stolen funds through them with a civil suit against the individuals. The class action lawsuit, while maybe well-intentioned, was a ridiculous pipe dream by an experienced attorney and a waste of time as shown by the stunning rebuttal of it by higher court judges.
Thanks Richard. I was unaware Ms. Rogers had hired a spokesman. Can she at least give some credit where credit's due?
PEC4U, of which Ms. Rogers was once a high profile member and supporter, led the movement that pried open the tomb of the old PEC. And the class action lawsuit revealed many sordid facts which in turn led to the criminal investigation, as pointed out in the Statesman story.
In short, we PEC members & ratepayers would not have seen the light of day had it not been for the courageous actions of the PEC4U movement and the class action lawsuit.
Does Ms. Rogers disagree with that assessment?
Personally, I think that this has gone political with those who are possibly more guilty throwing the bureaucrats under the bus to throw the dogs off the scent.
Ala, Colonel North in the 80's, your general manager types don't go rogue on their own, without some higher up on a board knowing about it and consenting to it.
I don't know Mr. Fuelberg well enough to say he did or didn't do this, that's why the justice system allows for innocence until proven guilty - an indictment, Ms. Rogers, is not an admission of "wrong-doing", it is only a recognition by some that there is evidence that is sufficient for indictment, actual determination of wrong doing is the job of a jury of peers.
As for guilt, and the ability to be forgiven, remember "he who is without sin, cast the first stone." Or my second favorite, "Judge not lest ye be judged."
Hey man I ben out protestin the wars. we could use some help. All I got to say is watch out for them politicians and their bootlickers that get rich off the common people. Anybody wantin to increase the electric bills of poor people should get a good lickin themself. peace out and thanks. End the wars in irag and afghanistan!
So, to you lawyer types out there: one of the charges involves money laundering. Does that elevate to a federal charge? If so, how I would love for my favorite US attorney Patrick Fitzgerald to come down and handle that one. I can just imagine our good buddy "Buddy" Burnett scrambling for the Mexican border right about now.
I know what an indictment is. And I have supported the American concept of innocent until proven guilty in portions of this case. It has not been a popular stance, and I have taken a great deal of harrassment for it. However, the Navigant report certainly reveals actions of wrong-doing by Fuelberg, but none that could hold up in a Civil Court of law. This indictment gives members hope that Fuelberg will somehow answer for the "alleged" wrong-doing cited in the indictment. As a member, I believe I have the right to cheer when I see that something that may result in my percieved notion of justice, prevails.
I have also put forth my belief that "what goes around, comes around" and that even if no guilt as charged is found in a court of law, I believe that there is an "ultimate justice" that will prevail.
I have also born a great deal of ridicule for my persoanl beliefs of forgiveness. But the forgiveness that Bennie and Bud need, is not mine to give. That is a very personal matter that is entirely out of my hands or ability to render. The bottom line is that we may well see some human justice through our peer jury system. It doesn't always happen, and I will not be on that jury. BUt based on the evidence I have available, it is my opinion that B&B did some things that they need to answer for. This indictment will at least make them ANSWER the questions at hand, and if my peers decide that the answers are sufficient to return a guilty verdit, or a not-guilty verdict, I will at least have the satisfaction that the legal process was utilized to reach that verdict. I don't think forgiveness, as from the heart, is in a code of man-made-law, by the way. Nor is it in the PEC by-laws. Once again, it is a personal matter for me, and between me and my recognized higher self. This forgiveness does not delete the the guilt (perceived or otherwise)or actions of another person. For me it simply means that I do not hold on to the anger, and let the legal and spiritual channels do their job. THis has also not been a popular stance, but one in which I believe. So, I say again, I am very happy that the secular division of law has found enough evidence of wrong doing to pursue an indictment. The pronouncement of guilt has never been my perogative, but in this country, I am allowed to voice my opinion.
Roger T., once again you just can't get your facts straight. You wouldn't be seeing the improvements in PEC today if weren't for multiple individuals and groups...not just your beloved pec4u. The PEC employees had a great deal to do with the turnaround...you just don't hear them brag about it like certain other individuals. Also, the Times Picayune in Marble Falls was the first paper to break this story. I am no one's spokesperson. You, however, appear to be a spokesperson for the misinformed.
Hey Linda: Why the constant internal struggle to suppress anger? Anger used wisely oftentimes is the greatest tool to promote and realize change...think of Ghandi's great anger and how he used it to better the world...ponder the greatness of Dr. King and how he used his anger to change all of us for the better. Get angry, stay angry and use that anger to promote change for the good of us all.
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