Author: Paul Gable

Federal Tort Claims Lawsuit Part II

A federal tort claims lawsuit, with Horry County and former Horry County Police Department Chief Johnny Morgan included as defendants, is moving forward in Florence federal district court as discovery and depositions are scheduled later this month.

The suit stems from allegations of fraud on the court under color of law by HCPD officers, SLED agents and FBI agents, among others. The suit alleges personnel of these agencies conspired to withhold evidence, commit perjury and commit other unlawful acts in order to influence the outcome of a previous federal lawsuit, thereby violating the civil rights of the plaintiffs.

This is Part II of a series on how and why the county and its police department are now involved in defending a claim against them in excess of $100 million.

Secrecy Surrounding MBREDC Projects

Secrecy continuing to surround MBREDC projects in Horry County is starting to wear thin with some council members.

Two Myrtle Beach Regional Economic Development Corporation projects took up most of the time during a meeting of Horry County Council Tuesday night. Of course, most of the discussion about Project Blue and Project AF took place behind closed doors in executive session, which is standard operating procedure for the EDC.

Council member Gary Loftus and council chairman Tom Rice tried to give excuses for the secret sessions, citing such things as the need to keep information secret in order to maintain a negotiating edge and council members were elected by the public to make these kinds of decisions.

Federal Tort Claims Lawsuit Against Horry County Moves Forward

Federal Tort Claims Lawsuit Moves Forward

A federal tort claims lawsuit, with Horry County and former Horry County Police Department Chief Johnny Morgan included as defendants, is moving forward in Florence federal district court as discovery and depositions are scheduled later this month.

The suit stems from allegations of fraud on the court under color of law by HCPD officers, SLED agents and FBI agents, among others. The suit alleges personnel of these agencies conspired to withhold evidence, commit perjury and commit other unlawful acts in order to influence the outcome of a previous federal lawsuit, thereby violating the civil rights of the plaintiffs.

An extraction, by plaintiff James Spencer, from the initial notice of the federal tort claims suit reads:

Controversial EDC Project Blue on Hold for Now

Controversial MBREDC Project Blue on Hold

The Myrtle Beach Regional Economic Development Corporation has requested the final vote by Horry County Council on Project Blue incentives be delayed from its currently scheduled September 4, 2012 regular council meeting.

Third reading approval and public review of Ordinance 53-12 is currently listed as a published agenda item for the September 4th meeting. The ordinance proposes to issue up to $8 million in county general obligation debt to help fund incentives of the project. The agenda will have to be amended to delay third reading.

According to information we have received, EDC CEO Brad Lofton notified county officials in an e-mail late Thursday afternoon that, while the project retains full support of the EDC, the agency was requesting a short delay before third reading is considered by council.

Project Blue ran into trouble earlier in the week when myhorrynews.com broke a story about the criminal history of Covation COO David L. Rocker, which includes a tax fraud conviction, jail sentence and continuing tax liens.

Citizens Pushing Far Reaching Ethics Reform In South Carolina

Citizens Pushing Far Reaching Ethics Reform

It is well past time for true ethics reform in South Carolina. Not the reform that our ethically challenged governor and her attorney general sidekick ran around the state last week attempting to claim as their own.

That really was a performance. Gov. Nikki Haley on a taxpayer funded circuit around the state promoting ethics reform that she would have been guilty of violating when she was a state representative. Haley also promoted stiffer freedom of information laws while her current administration routinely disregards FOIA requests.

With Haley it’s not what she says, it’s what she does. The word hypocrisy is too tame to apply to her.

Controversial EDC Project Blue on Hold for Now

Public Money, Corporate Welfare

The revelations Monday of a tax fraud conviction and jail sentence for one of the company officials associated with the Myrtle Beach Regional Economic Development Corporation’s Project Blue leads to a conclusion of an apparent shocking lack of due diligence by a number of entities charged with fiscal responsibility for the expenditure of public money.

In many state and local jurisdictions throughout the U.S., conviction of a felony by a corporate officer, especially one associated with tax fraud, would automatically exempt a company from consideration for public money economic development incentives. Such does not appear to be the case in Horry County or South Carolina.

The EDC has put together a deal that would involve approximately $24 million in local and state incentives to Covation, a startup company with no demonstrated performance records.

David L. Rocker and The Many Faults of Project Blue

David L. Rocker and Project Blue

The real reason for the big secret called Project Blue by the Myrtle Beach Regional Economic Development Corporation may have surfaced Monday when myhorrynews.com, the website for Waccamaw Publishers, broke a story on the shady past of David L. Rocker.

According to documents provided to Horry County Council, Rocker is listed as the Chief Operating Officer of Covation Holdings, a startup Georgia company that is trying to land a call center jobs project in the Carolina Forest area. However, last night the EDC was trying to spin Rocker as merely a consultant on the project.

Whatever the truth is behind Rocker’s participation, his past difficulties should raise some eyebrows about whether the county should be risking public dollars on a project which has, so far, been much hype with very little substance.

Ron Paul feted in raucous farewell rally

Ron Paul feted in raucous farewell rally

As Republican National Committee officials scrambled to adjust the storm-shortened schedule for this week’s convention to nominate Mitt Romney for president, Paul followers gathered across town at the University of Southern Florida’s Sun Dome.

Paul, who is retiring from Congress this year after a colorful career and three failed White House runs, looked embarrassed as he got a prolonged standing ovation from an ear-splitting crowd as music thumped “Ron Paul, Ron Paul” in the background.

He praised his supporters for backing his vision of reduced government and increased personal liberties and urged them to continue the movement even now that his presidential bid had ended.

Mark Sanford’s Lonely Battle for Austerity: Did It Lead Him to the Appalachian Trail?

Mark Sanford’s Lonely Battle for Austerity

My new book about President Obama and his stimulus, The New New Deal, unspools the politically shrewd but remarkably cynical GOP strategy to obstruct the President.

Congressional Republicans who supported stimulus in 2008 and even voted for a $715 billion stimulus in 2009 somehow pegged Obama’s similar $787 stimulus as the death of capitalism, although they still pursued stimulus cash for their districts.

GOP governors who denounced the stimulus as fiscal lunacy quietly used its aid to states to balance their hemorrhaging budgets. But there is at least one principled Republican politician in the book: Mark Sanford…

Governor Nikki Haley’s EthicsReforms – Style Trumps Substance

Haley’s Ethics – Style Trumps Substance

Gov. Nikki Haley’s run around the state this week promoting ethics reform was a perfect example of disingenuous political posturing.

Haley must be given credit for several things. She knows how to define the message and present herself in the best possible political light. After this week’s demonstration, one could almost think Haley supports real ethics reform.

Nothing could be further from the truth. She supposedly supports transparency in government while her administration continuously refuses to follow the guidelines of the state’s weak freedom of information act.