Family friend fingers Rezko in kickback plot
FEDERAL COURT | Testifies on alleged scheme to share 'finder's fee'
For weeks, the names of political heavyweights emerging from the Tony Rezko corruption trial have dominated headlines. But Thursday, the spotlight fell squarely on Rezko.
A longtime family friend accused him of having a direct hand in a $750,000 kickback scheme.
(AP)
Today: The judge could rule on whether to release Rezko on bail for the rest of the trial.
Retired Winnetka businessman Charles Hannon testified that Rezko owed him and his wife, Fortunee Massuda, as much as $7 million.
Hannon, 72, said he went to Rezko in early 2004 and told him he was interested in getting a state job or consulting work. "He said he'd keep his eye open," Hannon said.
Hannon, who testified with immunity from prosecution, said Rezko told him he could make $80,000 from a firm seeking state pension fund business. And what work would he have to do?
"I wasn't advised of anything I had to do personally," Hannon said.
He told jurors the $80,000 would come out of a $750,000 "finder's fee" to be paid by JER Partners, which was seeking an $80 million investment deal from the state Teachers' Retirement System. Hannon said Rezko engineered the scheme, telling him to set up a corporation so he could get the fee and to hash out some details with Stuart Levine, a businessman who sat on the TRS board. Levine, who was charged along with Rezko, pleaded guilty and testified against him. Ultimately, the deal never went through.
Hannon also testified that Rezko offered him a state job of his choosing, though he never got one. And he said Rezko once offered his wife, who is a doctor, consulting work in connection with Gov. Blagojevich's proposal to lease or sell the Thompson Center. The couple refused the offer, Hannon said. The plan to lease the Thompson Center didn't go anywhere.
Rezko, who is accused of handing out millions of dollars in state business and trading government posts and state investments for kickbacks, was wary, Hannon said. He testified Rezko told him he regularly had his phones checked for wiretaps.
Rezko lawyer Joseph Duffy poked at Hannon's memory, pointing out he once took medication for Alzheimer's disease.
Meanwhile Thursday, the judge in Rezko's case said she will consider today whether to release Rezko on bail after 19 people said they would post $8 million in property as a guarantee Rezko won't flee.