Friday, June 04, 2010

John Bales Becomes Problem For Governor Daniels

It's no longer just Carl Brizzi's ties to real estate broker John Bales that has people asking questions. House Speaker Pat Bauer is now calling on the federal Secretary of Health & Human Services to investigate the role Bales' brokering of lease deals on behalf of the state for two office buildings in which welfare-to-work offices are located. Bauer cited earlier investigative reports by the IBJ about the troubling relationship between Bales, Brizzi and Brizzi's business partner, criminal defense attorney Paul Page. Bauer writes in his letter to Secretary Kathleen Sebelius:

“The enclosed article from the Indianapolis Business Journal on April 24, 2010, outlines circumstances relating to possible conflicts of interest in real estate leases entered into by the state of Indiana in the past few years," Bauer’s letter reads. "The article specifically cites leases brokered by John M. Bales, which put a company involved in Indiana’s welfare-to-work program into two buildings owned by Mr. Bales. This letter is my formal request for your review of the facts surrounding these real estate leases to determine if an investigation by the U.S. Health and Human Services Inspector General is warranted.”

If Gov. Daniels is smart, he'll get everything out in the open immediately with these deals brokered by Bales; otherwise, this growing scandal engulfing Marion Co. Prosecutor Carl Brizzi, Bales, alleged Ponzi scheme operator Tim Durham and others associated with them could very well destroy any national political ambitions he might have. If he fails to do that, it will appear that he has something to hide. City-County Council President Ryan Vaughn and other lawyers at his firm, Barnes & Thornburg, have lobbied the Daniels administration on behalf of Bales' company, Venture Real Estate.

Speaking of Durham, one source tells me that sweeping RICO charges may soon be filed in the investigation of Durham's Fair Finance Company being conducted by Ohio and federal authorities. Brizzi had accepted appointment to Fair Finance's board of directors a short time before allegations surfaced that Durham and his business partners had been operating it as a Ponzi scheme to fund his personal business investments and lavish lifestyle. Innocent investors may have lost at least $200 million in the now-bankrupt finance company.

2 comments:

Brizzonator said...

As one poster at IBJ said it would appear some Indiana Citizens will get some on the job training making license plates assuming Indiana Charges are brought... seems like Bauer knows Federal Funds are involved and they may bring charges for Racketering (RICO) or minimally under the Honest Services Act... Many people appear to have colluded to defraud the Taxpayers for Personal Gain...

MomSurvivor said...

I was a tenant of Mr. Bales back in the 90's @ one of his Broadripple properties. When he didn't honor the terms of the lease he set forth, a letter was sent to him reminding him of his obligations. This set Mr. Bales off and he spray painted the front door of his own property with purple paint. Knew then he was a bad apple.