A Detroit businessman was charged with bribery Monday for lavishing ex-Detroit treasurer Jeffrey Beasley, a onetime fraternity brother to Kwame Kilpatrick, with expensive trips and gifts in exchange for favoritism on lucrative pension deals.
Chauncey Mayfield, who also is accused of pampering Kilpatrick with similar perks in a separate civil suit, is the third person charged in the federal government's lengthy pension fund probe.
His lawyer, A. Scott Bolden, could not be reached for comment.
Ten days ago, Georgia businessman Roy Dixon was indicted on charges he embezzled more than $3 million from three local pension funds. He was accused of using pension funds to build his $8-million mansion and bribing Beasley with cash and a vacation, according to court documents.
Beasley, meanwhile, is dealing with two separate legal headaches tied to the pension funds. In May, he and Kilpatrick were sued in a civil suit by the U.S. Securities and Exchange Commission, which alleged the pair accepted more than $125,000 worth of gifts -- including private jet travel and concert tickets -- from Mayfield. In exchange, the SEC claims, Kilpatrick and Beasley approved pension investments that yielded Mayfield millions. Mayfield also was named in the civil suit.
Beasley also was indicted in February on charges he took bribes and kickbacks in a scheme that cost two Detroit pension funds $84 million in losses. He is accused of taking bribes in exchange for approving more than $200 million in pension fund investments, the indictment said.
Beasley's name surfaced again Monday in the latest charging document against Mayfield, who is charged with bribing Beasley and others "in an effort to influence and reward them relating to their power as public officials in connection with their decisions as to how to invest the pension money of Detroit's two retirement systems."
The document does not detail all of the alleged bribes paid by Mayfield. But according to the SEC complaint, Mayfield's firm MayfieldGentry paid the bills for several trips taken by Kilpatrick, Beasley and others, including:
--A January 2007 trip to Charlotte, N.C., for Beasley, Kilpatrick and others that cost more than $3,000 for hotel rooms. Beasley said the trip was to inspect a building acquired by one of the pension funds, but Beasley and Kilpatrick never inspected the building.
--An April 2007 trip that took Kilpatrick, Beasley and others by private jet to Las Vegas to stay in a luxury hotel. The $60,000 trip also included concert tickets, three rounds of golf, meals and massages.
--A July 2007 trip that cost $24,000 for a private jet to take Kilpatrick, Beasley's son and others to Tallahassee, Fla., where Kilpatrick had a second home.
--An October 2007 trip that cost $34,000 for a private jet to fly Kilpatrick and his wife to and from Bermuda, and Kilpatrick's father and his girlfriend back from Bermuda.
Kilpatrick was never mentioned by name in Monday's charging document against Mayfield.
Beasley has denied the charges.
Distributed by MCT Information Services
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