Frank Ballance
Posted on 10/30/2003 11:44:19 AM PST by Jomini
An attorney representing U.S. Rep. Frank Ballance said Tuesday that a federal grand jury is scheduled to hear evidence next week regarding a now-closed anti-drug foundation the congressman founded.
Subpoenas have been issued to people who have received money from the John A. Hyman Memorial Youth Foundation, said Joseph B. Cheshire V of Raleigh. He said they have been told to appear before a federal grand jury Nov. 5.
Cheshire did not identify who had received subpoenas. He said Ballance, a Warrenton Democrat, has not received one.
Still, news of the subpoenas provided the latest evidence that a criminal investigation of Ballance's foundation is under way. Last week, officials with the N.C. Department of Correction said FBI agents have asked for financial documents related to the foundation.
Five recipients of Hyman Foundation grants said they have not been contacted by federal authorities. The foundation's director, Eddie Lawrence, declined to comment. A spokeswoman for the U.S. Attorney's Office in Raleigh said the office as a rule does not confirm or deny grand jury investigations.
But state Sen. Robert Holloman, pastor of a church that received $31,000 in foundation money over the past three years, said Tuesday that federal authorities told him to expect a subpoena. Nebo Baptist Church in Murfreesboro used foundation money to run its "Reaching Out Against Drugs" program that included a computer lab and a fitness center.
Holloman succeeded Ballance in representing the 4th District. Ballance was a nine-term state legislator before he was elected to Congress last year.
Holloman and Cheshire defended the Warrenton-based program, which has come under fire for payments to Ballance's family, campaign staff and campaign contributors. All who received the money reported performing foundation work.
"The John Hyman Foundation has been a good program," said Holloman, an Ahoskie Democrat. "It's made a difference."
Last week, State Auditor Ralph Campbell published a critical audit of the foundation, saying it was riddled with conflicts of interest. He said the foundation over the past three years had made $325,000 in questionable payments, and he recommended the state recover $239,000 the foundation still had in its accounts.
State Attorney General Roy Cooper has warned the foundation to freeze its accounts or face a possible court-ordered liquidation. Cheshire said the foundation has agreed not to spend money pending a meeting with Cooper's staff.
Nearly all the foundation's money over the past decade -- more than $2 million -- came from the state at the request of Ballance, who was vice chairman of the appropriations subcommittee that oversaw justice and public safety spending.
Legislators stopped funding the foundation in April after learning that it had not provided required annual financial reports to the state Department of Correction and the Internal Revenue Service. The foundation closed its doors last month.
Three Democratic party operatives have been singled out for special attention in the federal probe. Messers Holloman, Savage and Moore have all received extensive monies from Ballance over the years and have operated as bag men for the illegal goings on by the Democrat party in eastern North Carolina.
They have already begun to sing a most interesting melody...
Governor Easley berating Basnight of late for allowing Ballance's greed to go unchecked after stepping up to the Federal level. Easley and Basnight can control state investigations but now at the Federal level they have lost containment. Privately many Dems believe this scandal will not only send Ballance to prison but has the capacity to collapse the entire NC Democrat ticket in 2004.
Poor Erskine Bowles still not in the loop on this one...
The Feds also quite interested in Ballance's usage of USDA funds for rural eastern NC in recent years. Many of these grant monies still unaccounted for. In addition a foreign affairs issue also soon to get Ballance in hot water.
Than again he did take a lot of money fom Muslim extremists based on the US east coast during the last election...
Mr Fusion please see note to you below...
Frank Ballance beaucoup dinky dao
J
Frank Ballance
You will be interested to know that the USDA representative was in Tirana last weekend staying at Mr Nano's hotel (Tirana International). I seem to recall you once wrote extensively of Mr Nano's trip to the US in 2000 to attend the Democratic National Convention as a guest. Do you know if Ballance attended? Did they meet then? How are these monies being funnelled through criminal elements in Albania back to Ballance and other Democrats?
You understand, we are all curious...
You were correct that the Nano government is in trouble. Popular support has eroded and the Albanian security services somehow have stumbled onto this graft campaign and now they want their share. Dr Berisha is invigorated and in combination with Meta will take power.
Please continue to enjoy your holiday in Tetovo and stay in touch. All North Carolina appreciative of your efforts to uncover the shocking truth in the Ballance affaire.
J
Since the damaging story does not specify his party affiliation, I assume he must be a Democrat.
If he had been a Republican, his party status would have highlighted.
I predicted nothing would happen to Ballance.
However, now that the Feds are involved maybe justice will finally be served.
A little personal history...
I was a registered Dem when I moved here in 1984. When I saw the 'good ole boy' network around here, I was appalled.
The network didn't even attempt to hide the payola and graft.
Changed party affiliation pronto.
Exactamundo
This is the same district that elected that giant among thinkers, Eva Clayton.
Oh PLEASE, PLEASE, PLEASE, let this be true.
MKM
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