9:51AM Sidebar ends.
Mark Chutkow for the government. Rutherford sworn in.
Are you currently employed? No.
Was a high school coach and teacher, coached college basketball for 11 years. Then went into business, the management of housing. Created Metro Emergency Services that provided social services to homeless women and children and adult men. Started this business in late 80s or early 90s. Built that business from nothing and financed from own money and in period of 10 years built it to company that was provided not only to homeless women and children but also to mentally ill adults. Company stopped doing business after article appeared about donation to the Civic Fund. After that, no one would donate money. Built from nothing to $38 million a year. Was at 224 Highland.
Services to the mentally ill, witness was responsible for their mental care and services located in Wayne County.
Series of contracts from Detroit Wayne County Community Health- an agency that provides services to the mentally ill in Wayne county. From federal government to state government to agency.
EMS was a 501c3 non-profit.
Also had for profits Rutherford and Associates, a company that managed things outside of EMS. Bought and sold houses. Wasn't a full time venture.
Also had DPR, management company. Originally had houses and sold them Became management company for EMS. DPR named after his kids.
Relationship between the companies, was modeled after DMC St-Johns of the Henry Ford Hospitals. "Figured if it was good enough for Henry Ford, or St Johns, it was good enough for Jon Rutherford."
Charged rent by the profit company of the not-for-profit. How he made his money.
Introduced to Kwame by Curtis Hertel, who was speaker of the house. at the time Kwame was a state rep.
Witness says he was very impressed by Kwame's intelligence, drive, ability to interact with people. "I thought the world of him."
Witness looking at checks from DPR Management to 21st century. Rutherford authorized the checks.
Thomas objects subject to what was discussed at sidebar.
Exhibit RUTH- check DPR Management LLC, for profit, to the 21st Century Fund, September 19th 2000 for $50,000.
21st Century Fund- political pact for the democratic party.
Purpose of the donation was to fund democratic candidates who were running for the democratic party in the house for elections of that year.
Witness says he didn't know how it would be distributed and who would get the money. Understood that when Hertel introduced him to the group...
Thomas objects. Judge sustains.
Who decided how money would be distributed? Kwame Kilpatrick.
Judge says this was what was discussed yesterday. I think we need to take a break and address it now before Mr. Rutherford continues his testimony says the judge.
Judge asks Rutherford to step out as well.
Chutkow says that Rutherford will testify to conversations with Curtis Hertel and that they wanted Kwame to be next leader of the house when Hertel left. The means to do this would be through the contributions. Kwame would use the money to curry favor when Hertel left. Rutherford had specific reason for this. he cultivated a relationship with Kwame. Wanted to develop east Riverfront for his own purposes. Rutherford needs to explain so jury can understand his motivations.