Witness got hit with tax penalty on ownership of Sky Grand for payments to Ferguson. Talked to Ferguson about his interest in Sky Grand. Ferguson would frequently tell him he wanted to be a part of things and one of those things was Sky Group Grand. Police Department is in the main building for Sky Group on Woodward and East Grand Boulevard. The PD have a lease.
When Ferguson said he had an interest in Sky Grand ownership, witness said "You're insane." Witness thought he was joking.
At the time that Sky Group Grand entered lease with Police Department, Christine Beatty oversaw the department. It was the 13th or 14th precinct moved to their building and various departments that were consolidated and moved to the Sky Grand building.
Witness looking at Lakeshore construction management bid proposal to DWSD for water system improvements. In it with Willie McCormick, D'Agostini, A & H, E & T Trucking (Eric Simons is the head of that), Sigma Associates, Spalding. Submitted on March 23rd 2006. Ferguson was not in the bid. He was exclusively on someone else's bid Ferguson was with Nafa Khalaf. E & T Trucking was set to get 15% of the contract.
12:03PM Talking about E & T's professional experience.
Sometime after proposal was submitted, witness called about certification for A & H. Darryl Latimer was the one who called him.
Witness looking at his business certification for a Detroit-headquartered small business. (DHSB). Certification to expire May 22nd 2008. Signed by Gerard Grant Phillips, director of Human Rights department for city of Detroit.
After call from Latimer on certification, witness talked to Ferguson. Witness's son, Johnny Hardiman, handles certifications for the company. Because of Ferguson's relationships, he asked him to look into it. Ferguson said the certification was ok.
Lakeshore and partners won the contract 2014. There were various companies on the contract. Talked to Ferguson about having Xcel Construction consult on the project. Ferguson went to witness's office and said that Xcel needs to be on this project. Witness asked why and Ferguson said "because they need to help you out." Ferguson wanted witness to pay Xcel initially $400,000. Witness's response was that was insanity. Witness conveyed response to Rachmale who said "work it out Tom." did he say why you had to work it out?
"$10 million. $5 million," simply says witness.
Ultimately, Hardiman accepted to pay Xcel Construction a fee "because it was Bobby Ferguson." Witness didn't have concerns about being paid by the city but about change orders." Witness says it all goes back to the first 2 contracts that wer cancelled. All subsequent contracts were not cancelled. some profit on a contract is better than a cancelled contract.
Check request generated internally by A & H Contractors to Xcel Construction Services for $200,000. Dated January 25th 2008. signed by Hardiman. to be picked up by Ferguson. Lists it as a management fee for consulting services on 2014.
12:15PM Now looking at payments made to Xcel Construction from A & H Contractors. Witness says Calvin Hall of Xcel would go to the Lakeshore offices. Hall would sit in and listen to meetings about what was going on on project 2014.
What was Hall's participation at the meetings asks Chutkow.
"Sitting there," says the witness.
Witness says Hall did not provide him any consulting services that he can remember. Says that Hall was a mild mannered guy. Hardiman would tell Hall "You're a parasite" for requesting payment for services Hardiman didn't feel he deserved. Still, Hardiman paid Hall.
Looking at checks now.
Check from A & H Contractors to Xcel Communication Services for $55,555.55 on August 8th 2007.
Another check for $22,222.22 to Xcel on August 2nd 2007.
Check from A & H to Xcel for $100,000 on August 16th 2007.
Another check from A & H to Xcel for $50,000 on October 26th, 2007.
Another check for $22,222 on January 18 2008
Another check for $200,000 on January 25 2008.
Another check for $150,000 on March 3rd 2008.
Looking at an excel spreadsheet about payments to Xcel construction. January 1st 2007 through November 10th 2011. Total $572,221.22 paid to Xcel excludes $50,000 payment in october 2007 so total more like $620,000.