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Posted by on October 10, 2008 8:39 AM | Permalink
scary. i no longer trust any politicians anymore. honesty is only found in the grass roots. i never thought i'd say that. i used to hate grass roots pols. the non-elected big mouths that is.
tom ryan |
October 10, 2008 4:12 PM
This is amazing.
The African American politicians think money grows on trees.
This mortgage crisis could of been averted.
October 10, 2008 7:59 PM
And why are they non-elected, tommy?
Maybe because of one of the many defects of human nature, ie., the desire to back a 'winner'?
With the expected 'winners' being those backed by the most powerful?
With the most powerful being those with the most money?
With those with the most money being those most adept at taking, as in, by hook or by crook?
With those most adept at taking being those highly skilled at deception?
With those most highly skilled at deception being, maybe, professional politicians, and their hired guns, aka media propagandists?
And it took you until now to "...no longer trust any politicians..."?
You're either a very slow learner or a man with a lot to feel guilty about.
re tommy boy |
October 10, 2008 8:17 PM
Daley & George, Ltd.
Michael Daley, John J. George, Richard J. Daley
William Daley, Richard M. Daley, Margaret Daley
Letterhead of Errol C. O'Brien
May 14, 1992
Mr. Scott Renfroe
Attorney Registration & Disciplinary
Commission of the Supreme Court of Illinois
203 North Wabash
Chicago, Illinois 60601-2474
RE: Errol C. O'Brien
in relation to Michael Daley & John J. George
Dear Mr. Renfroe:
I am in receipt of your letter dated May 8, 1992 today. I will respond to each paragraph in the same order as their letter dated April 28, 1992 for your convenience.
I was referred to the firm of Daley, Riley and Daley by Fire Commissioner Robert Quinn and his assistant William Quinn. I was told that the Major [sic] Richard J. Daley would appreciate any business that could be given to the firm. I dealt in the most part with Richard M. Daley who just recently joined the firm. As time went on the firm's name was changed to Daily & George, as Richard M. Daley got more involved in politics. I then started dealing with Michael Daley and dealt with him almost exclusively to the end of our relationship. During those early years my largest client was Kassuba Development Corporation. I have receivables in excess of one million with them. Kassuba Development filed for bankruptcy in the early seventies, which in turn forced me to do the same. I then started an industrial painting, sandblasting and water blasting business, which over the years became very successful, which was named J.B. Industrial Corporation.
It is true that Daley, Riley and Daley and Daley & George did represent J.B. Industrial and myself for approximately 18 years and that it is conceivable that they would have 25 cartons of files which represents approximately 1 1/4 cartons of files a year, which I don't think is unusual at all. I believe the records will reflect that most of their records were generated during the years of Michael Daley and Jack George's personal financial involvement with J.B. Industrial and myself, as their own billing would reflect many of J.B. Precipitators legal bills charged to J.B. Industrial. It is also not unusual to generate 25 cartons of documents when I was billed and paid over a half million dollars in legal fees and so-called commissions. During the later years daily contact with Michael Daley and Jack George did occur with me and my employee, David Zabell, but those conversations were almost totally in regards to J.B. Precipitators, Commonwealth Edison, attorneys and congressmen that were friends of Michael Daley and Jack George, as evident by letters I previously submitted.
It is true that Mr. John Bohne did co-sign notes for J.B. Industrial and was paid and compensated in excess of Five Hundred Thousand Dollars for doing so. A disagreement did arise with myself and Mr. Bohne in his demand for even more money. I, in turn, negotiated all my loans with Affiliated Bank eliminating Mr. Bohn's [sic] guarantee which completely relieved Mr. Bohne of any exposure.
It is not true that I was seeking to acquire additional pumps. J.B. Industrial owned 31 huge high pressure water blasters that were more than sufficient to do all work required and awarded J.B. Industrial. If, in fact, a need arose for additional pumping units rental units were available on the open market, and, in fact, there was a glut of this equipment due to the oil crisis. J.B. Industrial and myself developed and patented specialized tools and procedures to clean precipitators.
Profits from cleaning these precipitators was astronomical. A typical precipitator cleaning job took approximately twelve days to complete and resulted in a net profit of approximately two hundred thousand dollars per job. J.B. Industrial did many of these jobs with the ample equipment that it owned and had absolutely no problems in doing so.
During 1984 Mr. Daley and Mr. George received approximately One Hundred Forty Thousand Dollars in so-called commissions for their supposed influence with Mr. James O'Conner, Chairman of the Board of Commonwealth Edison in us acquiring the work. As I was to find out later from Mr. O'Conner personally that all work awarded us was due to our ability and cost effectiveness, which Commonwealth Edison records will reflect. My trust in Michael Daley and Jack George was unequivocal and I shared my information to them on how profitable precipitator cleaning could be.
Michael Daley then did an in-depth study with the accountants and reviewed J.B. Industrial's cost reports and came to the same conclusion. By the way, my accountants, Bansley and Keiner, were recommended to me by Mike Daley and were the same accountants that they used. Michael Daley's quote was "we could trust them." After a period of time Michael Daley informed me that this was a very lucrative business and with his and his family's political influence we could do precipitator cleaning for utilities all over the country. I explained to him that the equipment that J.B. Industrial owned was needed for my regular customers, which included approximately ten other utilities besides Commonwealth Edison.
It was then Michael Daley suggested that we form a new company and buy new equipment just for precipitator cleaning. He stated that he had many discussions with people in Washington, Congressmen and attorneys with influence with the utility field, and was assured by them that getting this work would be absolutely no problem. It was then recommended by Mike Daley and Jack George that we immediately investigate buying equipment for the new company.
I informed Mike of a new type of pump that was available in Germany. Michael Daley and myself went to Germany and met a representative of Commonwealth Edison, Mr. Kozlowski. We then inspected the equipment and all agreed this would be suitable for our needs. We then went back to Chicago. By the way, J.B. Industrial paid all the expenses, including air fares, hotels, meals, and personal gifts for Mr. Daley and Mr. Kozlowski. Those records I have previously submitted.
I was also informed by Mike Daley that I would have to pay no more commissions on Commonwealth Edison work, he then stated that the new Corporation would be formed with one third ownership to Mike, Jack and myself. Their responsibilities would be to acquire the work and my responsibilities would be to complete the work in a satisfactory manner. I was later informed by Mike at a meeting at my home that would I consider taking a smaller interest in J.B. Precipitator. He stated that Jack George also agreed that he would take a lesser interest and by doing so he could help his brother, Richard, out financially, as I have stated previously. I do not know what interest, if any, Richard M. Daley received. J.B. Precipitators was then formed by Michael Daley with sixty percent to Michael Daley, President of J.B. Precipitators, twenty percent to Jack George, Secretary- Treasurer, twenty percent to myself as just a stockholder.
If, in fact, if they state, they wanted to assist me in buying pumps that I didn't need, Why didn't they just co-sign an equipment note and take my personal guarantee. It is a known fact by the formation of J.B. Precipitators they clearly did so to enrich themselves. There could be no other reason, furthermore, they stated that J.B. wanted to dispose of its older equipment. This is not true. This equipment lasts approximately twenty years with proper maintenance. Our maintenance was second to none, which is evident by Commonwealth Edison purchasing my equipment approximately four years later for 1.5 million dollars, as I have provided documentation to you previously.
The precipitator equipment never worked. Michael Daley did not get proper warranties and in my July 2, 1987 letter, which I provided to you previously, I wanted to return all the equipment approximately one year after it was confirmed that the equipment was useless. Mr. Daley presented me with a lease which he wanted me to sign. Naturally I refused. Why would I sign a lease for ten thousand dollars a month for equipment that was totally useless and unsafe? I have previously submitted to you the unsigned lease, which I absolutely refused to sign. If, in fact, what they say is the case, why wasn't there a lease signed before the equipment was even purchased? Why would Michael Daley and Jack George corporately and personally sign for a half a million dollar note without any documentation whatsoever? Why would Michael Daley and Jack George borrow eighty thousand dollars from the Boulevard Bank to help me out and not even have me co-sign the note also? It seems very strange to me that two attorneys who are involved in something of this magnitude and not have one document or shred of evidence to confirm what they say? It is absolutely unbelievable that they could think anybody would believe that.
It is true that I did personally guarantee the original precipitator note. I, however, did not sign the eighty thousand dollar note a Boulevard Bank and have never received any correspondence from Boulevard Bank in regards to that note.
I was not fully informed of all questions concerning J.B. Precipitator and, in fact, I did not know the pumps were sold to Commonwealth Edison until after the sale was completed. If, as they state, I was the expert in the field why didn't they take my advice, as in my July 2, 1987 letter to them and return all of the equipment for its failure to perform. The reason is Michael Daley failed to acquire the proper warranties. It also was not J.B. Precipitator's sole function to lease equipment to J.B. Industrial, because there never was a lease. And if, as they claim there is a lease, why hasn't it been provided to you. The only interest that Michael Daley and Jack George had in J.B. Industrial was their receiving one hundred forth [sic] thousand dollars commissions for their so-called influence with Commonwealth Edison.
There is no lease. The only time that J.B. Precipitator pumps were used was when they were originally purchased, which they failed miserably at every attempt and caused many injuries to J.B. Industrial employees, which records I have previously submitted reflect. For approximately the first two years J.B. Industrial advanced all funds to J.B. Precipitator and not one dime was paid out by Mike Daley or Jack George. Only after I refused to advance any more funds, they were then forced to contribute.
It is correct that I didn't make any effort to liquidate the pumps because of my knowledge that they were dangerous and useless equipment and I personally was worried about the liability of this. I was asked in 1988 by Commonwealth Edison as to the uselessness of this equipment. Myself and my employees explained in great detail that it was in fact useless and dangerous and they agreed.
Daley and George claim they have contributed five hundred thousand dollars to J.B. Precipitators. I have never been shown documents to support that. If they have provided that documentation to you, I would appreciate receiving a copy of same. I, however, have provided you with full documentation whereas J.B. Industrial has contributed approximately eight hundred thousand dollars and as only a twenty percent shareholder. Also as Commonwealth Edison records will reveal it is not true that I was advised of the sale of the equipment to Commonwealth Edison until after the sale was completed. Their purchase order for the equipment was dated before I signed the dissolution papers in Mike Daley's office. At that time they stated that they would have a full accounting and everyone would pay their fair share of the loss according to their stock ownership, as you know that never transpired.
It is not true that I was the one who chose to purchase the pumps in question. It was agreed by all parties including a representative of Commonwealth Edison. It is true that I had full knowledge of the loan at Western National Bank, but I had no knowledge of the loan or its amount at Boulevard Bank except that I know there was one.
It is true that we did have four different law firms look into this case. The first was Barton Kalish and Associates, who handled J.B. Industrial reorganization. The second was Steven B. Ley and Associates, who after initial consultation and meeting at the bank requested to withdraw from the case because of the involvement of the Daley's. The third attorney that was involved was Robert Bell and Associates who was referred to me by my tax attorney after reviewing my records. A meeting was held in Mr. Bell's office with Mr. Bell, Jack George, Mike Daley and myself and David Zabell, J.B. Industrial's account.
After about 10 minutes, Mr. Daley informed Mr. Bell that they would like to talk in private. After approximately one-half hour, Mr. Bell returned and stated, "I don't think you have much of a case." I then met with Mr. Kalish as I have stated in the past. Mr. Kalish's reluctance to file any claims against Mike Daley and Jack George. He finally stated flatly, "I don't want to get into it with the Daleys." I then informed him that I wanted to go to the U.S. Attorney and stated then, "You'll never get paid." At a later date Mr. Kalish then recommended to me Mr. Don Johnson and Mr. Steve Hanson and said they were more than interested in handling the case.
They spent approximately five months reviewing all documentation pertaining to this case and felt we had a very strong position. So strong, in fact, they agreed to take the case on a contingency basis. The [sic] notified all parties of their intention to file suit, and provided them with a copy of the suit they intended to file. All parties responded that before any action was to be taken they would like to review the suit. We agreed.
Coincidentally after the franchise agreement was signed by the City of Chicago and Commonwealth Edison my attorneys were informed that we were trying to extort money from the parties involved and that they were turning the whole matter over to the U.S. Attorney's office. My attorney responded that this was totally ridiculous and there is absolutely no proof to the charges, which is evident by me freely giving my deposition and all correspondence was in writing to our position. My attorneys, Mr. Johnson and Mr. Hanson then advised me that they were prepared to file suit.
Two days before the suits were to be filed I was informed by Mr. Hanson and Mr. Johnson that they now felt the suits were too complicated. It seems very strange to me that after spending five months on a contingency basis verifying all my books and records that everything that I provided and said was true and correct, they suddenly withdrew from the case. I asked Mr. Hanson and Mr. Johnson, "Is it because you have doubts about my credibility or the information I have provided?" And they stated to me, "That is not the reason. If we had any of those reservations we would not have pursued this case as long as we did." It was just because it was becoming too time consuming. As you now [sic] I then filed charges with the disciplinary board and the U.S. Attorney's office.
it is true that there was a conflict of interest when the precipitator company was formed. I was not advised by Michael Daley or Jack George to seek outside counsel before entering into a business arrangement with my attorneys, nor did I. I trusted them as my friends and attorneys and had no idea that the only interest they were concerned with was their own.
In regards to my credibility: all I have ever asked for was a fair accounting of all monies advanced to J.B. Precipitators by all parties and a fair accounting be conducted, and everyone pay their fair share of the loss. If events had been different and J.B. Precipitator had made a million dollars profit you can be assured by the way Michael Daley and Jack George structured the corporation that they would have taken eight hundred thousand profit for themselves. It is true that J.B. Industrial suffered substantial economic loss and was forced into bankruptcy. J.B. Industrial was a fine, honest company with an excellent reputation. The downfall came when Mike Daley and Jack George got involved.
On April 26, 1989, J.B. Industrial's bankruptcy attorney, Barton Kalish, had a three and one half hour meeting with Daley and George in regards to the money owed to J.B. Industrial. They assured Mr. Kalish, who in turn assured me that they would work things out fairly in regards to J.B. Precipitators. This is reflected by Mr. Kalish's own billing statement copy enclosed. None of this transpired. I met with Jack George and he explained to me about Barbara Daley's illness, and I wholeheartedly agreed that this could wait. Months later, I called on several occasions and wrote a letter to request an accounting at this time. I never heard another word since. After the events that transpired I surely would not request the firm of Daley and George to represent me in any matters. It is stated in Mr. Jiganti's letter that I had a conversation with someone and had threatened Michael Daley. That is not true! I had not talked to Mike Daley since our meeting in his office, and I have never told anyone else that I would try to hurt Mike Daley in any way. All I have ever wanted was a fair accounting of J.B. Precipitator, which to this date has never been done.
It is not true that inconsistencies exist in J.B. Industrial's bankruptcy filings. The schedules clearly state J.B. Precipitator owes J.B. Industrial. The amount is listed as undetermined because a full accounting was not available at that time. Barton Kalish, bankruptcy attorney have had from the beginning all documentation on all amounts paid out to Daley and George for so-called commissions and legal fees and all documentation of advancements made by J.B. Industrial to J.B. Precipitator. As far as the other lawyers are concerned, I have addressed this previously in this letter. At no time did I have any knowledge of Mr. Hanson or Mr. Johnson seeking both money from Mike Daley, Jack George or anyone else. And my only conversations with attorney involved was one meeting with Mr. Jiganti, myself, Don Johnson and Steve Hanson. Nothing like this was ever discussed. My only other contact was with Commonwealth Edison attorneys when I freely gave my deposition to the facts.
We were straight forward from the beginning with our complaints and as far as I know all correspondence was in writing. As for us going to the Chicago Newspapers is concerned, I informed the Citizens Utility Board of the sale of the worthless equipment and they in turn contacted the Sun Times. I did not talk to the Sun Times until after Michael Daley and Jack George filed charges against me and my attorneys with the U.S. Attorney's Office. I was then contacted by the Sun Times.
Mr. Hanson and Mr. Johnson were aware of me being contacted by the Sun Times and I was advised by them to tell the truth as I knew it. I also contacted the U.S. Attorney's Office. I turned over a small amount of documents the next day and later talking with the F.B.I. they didn't see much credibility to what I had provided. I had many different conversations with the agent in charge and in one of my last conversations I explained this was a very complicated matter and there was much more documentation that I had to substantiate my claims. She informed me that it was not needed at this time.
As far as my divorce proceedings it seems that Mr. Jiganti has more information than I do. I have never been accused in any court filing or by anyone else of chronic alcoholism.
My ex-wife however had been seeking help for years. There is also verifiable police reports to verify her problem. To my knowledge this was never filed in court. As for my hiding assets from Pamela O'Brien, on the advice of my attorney, the Judge was so biased that we immediately asked for a ruling so we could appeal and no defense was presented.
I have no idea why Mr. Jiganti is bringing up my personal affairs into this matter. It seems they have no justifiable defense and as a last resort they are trying to smear my personal reputation.
By the way, I clearly stated in my divorce proceedings Michael Daley and Jack George owed money to J.B. Industrial which I'm sure the court records will reflect.
Charges were filed by me with the Disciplinary Commission only after it became perfectly clear that they had no intentions of ever repaying the money that they owed J.B. Industrial. As far as being represented by different attorneys I have addressed that earlier.
As Mr. Jiganti stated that in the Seventies and Eighties my life was in order, this is true. It was always in order up until the time that I got personally and financially involved with Jack George and Michael Daley. As he further stated I was a good client of Daley and George. I believe that is an understatement. Anyone who would pay approximately one half million dollars in legal fees and commissions in a four year period and anyone who would trust their attorney enough to go into business with them and provide approximately eight hundred thousand dollars in start up money and loans before they ever put in one dime would be a good client. Yes, I agree with that wholeheartedly, that I was a good client and in retrospect a fool for trusting them.
As to their statement of assisting me in my financial circumstances, my finances were in perfect shape at that time, which the record will reflect. What I believe Mr. Jiganti meant to say was for me to assist them in their financial circumstances. It is true that some people did stop supporting me in my business, namely the bank, Jack George and Mike Daley. When I refused to putt any more money into J.B. Precipitator. As far as Daley and George's statement that they lost a lot of money, I have also lost a lot of money and I have lost my business due to my involvement with them. I would also like to state at this time for the record, that at no time did Michael Daley or Jack George advise me to seek other legal counsel to protect my rights in our business involvements nor did I.
I believe that I was a personal friend of the Daley family as evident by staying at Richard M. Daley's personal home during the death of his father, by my vacationing with Richard M. Daley on the island of Eruths. By the many occasions of Richard M. Daley visiting me at my home in Palos Park with his wife Maggie and children Patrick and Nora. My many lunch and dinner engagements with all the Daley family members including Jack George. I was even invited by Richard M. Daley to his State's Attorney's Office for lunch and for dinner on many occasions at his home. By doing painting jobs at the residence of Mrs. Richard J. Daley, Mr. Michael Daley and Mr. Richard M. Daley for which I received no compensation. Yes, I did believe that I was a personal friend and believed they had my best interest at heart, as I did for them.
Again, I would like to address their statement "they assisted me in my financial circumstances." J.B. Industrial records which are available, will clearly show that it was in excellent financial condition, even after paying the law firm one hundred forty thousand dollars in so called commissions.
Mr. Jiganti's statement that I have refused my financial obligations is totally false. If that was true, why haven't they demanded an accounting of J.B. Precipitator, as I have, since 1987 and why haven't they filed a suit against me in Bankruptcy Court? The only claims they have filed is a false claim for attorney fees which they cannot substantiate.
I have not seen one document where Michael Daley and Jack George did anything to protect my interests. At no time did I ever seek out Daley and George to financially assist me. On the contrary, I have provided canceled checks and documentation for approximately eight hundred thousand dollars that assisted them.
By the mere formation of J.B. Precipitator and their requesting and me providing phoney commission checks and loans to J.B. Precipitator, clearly proves that they did in fact exert undo influence over me personally and J.B. Industrial. Mr. Jiganti states time, after time, in his letter that Daley and George contributed five hundred thousand dollars to J.B. Precipitator. I have not been provided with any documentation that this in fact is true. The only documentation that I have received with your letter is a few equipment appraisals and a copy of Commonwealth Edison's Purchase Order to Imperial Crane which clearly states that they sold the equipment before I signed the releases in Mike Daley's office.
In closing I would like to state that I do not believe anyone has been shown documentation or that it even exists to support Mr. Jiganti's claims.
I realize, as do others, that I am fighting an uphill battle, because of the individuals involved. Great political pressure has been put on many individuals to shield Mr. Daley and Mr. George of their misdeeds. I have been financially ruined by Michael Daley and Jack George by them involving themselves with my personal life and my business to enrich themselves.
Mr. Renfroe, if you investigate in detail, which I believe you will, the transactions of myself and J.B. Industrial with Jack George and Michael Daley, I believe it will be more than evident from the evidence that what I have stated and the charges that I have filed are more than verifiable and true.
Errol C. O'Brien
Billy Ayers |
October 10, 2008 10:33 PM
Consider that not too long ago, no one outside of Illinois knew who Barack Obama was. He took advantage of the opportunity afforded him and gave a memorable speech at the 2004 convention.
Sensing opportunity, he threw his hat into the ring next door in Iowa. He emerged the front runner and against all predictions beat Senator Clinton for the Democratic nomination.
Now he's inching closer to the finish line and on the cusp of becoming the first African American to win the presidency. If he wins, he will become immortalized in history for breaking down the color barrier.
Whether you like him or not, you have to respect what he's been able to accomplish.
Blame for the economic debacle has been placed squarely at the feet of the Republicans. Senator McCain has faced two opponents this election cycle, Senator Obama and the albatross of President Bush. Senator McCain is running out of time. I doubt that he will be able to overcome the momentum of the Obama campaign.
I respect Senator John McCain and his stellar service to our country. He understands sacrifice as few others do. Even today the fighting spirit of the young warrior, the top gun, shines through.
It has been an interesting election. No matter who wins, the destructive partisanship in Washington DC needs to stop. The finger pointing and jousting are accomplishing nothing. I'm an independent moderate and I expect my elected officials to work together to solve our mutual problems.
October 11, 2008 4:21 AM