F: it sounds right but he won't take the check from no one but me.
Nick is the tailor. Anwunah was Wilks boss at the Detroit rec department. He called Ferguson "Boss" testifies Beeckman.
10:20AM Thomas cross-examines Beeckman.
Talking about the lines of authority. There were about 6 lines to get to LaJuan Wilks. No evidence that she ever spoke to Kilpatrick about her handling of the Heilmann matter.
Looking at exchange between mayor and Beatty on June 19th 2003.
mayor: I'll feel better when I see you!
B: Ditto!!! I'm at the DBA board meeting. I thought the civic center changes were being made through the DBA?
Thomas asking if at that point it seemed to Beatty that changes were being made through the DBA. Yes says Beeckman.
Thomas has nothing further.
10:27AM Evelyn cross-examines Beeckman.
Evelyn has to temper some pretty damaging texts the government just introduced. Thomas says they were misinterpreted. Wonder what Evelyn will say. Looking at minutes from DBA meeting. Looking at Cobo Hall project done by White/Xcel venture. Looks like it was a well-received contract/project. Beeckman says proposals for Heilmann project "opened" on June 19th 2003. Looking at June 3rd 2003 letter from DBA to JOA/Xcel about Request for Proposal for the Heilmann project. Judge says there is some ambiguity that needs to be cleared up about when project was opened up. Beeckman says about awarding of the project on June 19th. Beeckman says the proposals were earlier. Beeckman steps down. Evelyn did not touch a single of Ferguson's texts about the tailor and suits for Stephenson.
10:34AM New witness takes the stand. Eric Doeh for the government. Sean Werdlow, currently an investment banker with a NYC firm. Before was with the city of Detroit Finance Department. Worked under Archer, starting in 1994, and the Kilpatrick administration. Under Archer, he was #3 or 4 in the department. Between administrations, VP of finance for the Detroit Medical Center. Started with city under Kilpatrick in 2002 as Chief Financial Officer. Werdlow says he didn't know mayor for long when he was appointed to the position. Attended cabinet level meetings in the city. They were held every Monday or every other Monday. All the "chiefs", directors of the large departments were at the meetings. Witness knew Beatty, Derrick Miller who were present at the meetings. Knew Ferguson, met him early on in the administration. Werdlow says that mayor would make flattering remarks about Ferguson at the meetings when projects would come up. "Let's give it to my guy Bobby" or "I would like for my guy bobby to get it" is what mayor would say when projects were discussed at meetings. Nothing too out of the ordinary says witness. Projects or Super Bowl that would come up says witness. Werdlow says that the mayor did make specific mention of Ferguson.
Shortly after Werdlow became CFO, he revised finance directives because they were antiquated. They were from the 70s for the most part and needed updating. There were at least 50 finance directives that impacted all the departments. Therefore, Werdlow let the mayor know what he was doing with regards to the revisions. Memo about competition for city of Detroit contracts. Beatty is listed as a recipient. Ayanna Benson, head of the DBA, also a recipient. Now looking at actual memorandum on September 10th 2002. Competition for city of Detroit contracts. From finance department- states "all contracts should be awarded through an open and fair competitive process". Spelling out to all department directors how contracts should be entered into. This includes professional services, like a consultant to the city. Should be governed by "code of ethics" and "be governed by the highest ideals of honor and integrity." Werdlow says that when you are contracting with firms as the government, you should be transparent. Talks about "merit the respect and inspire the confidence" of the public being served. "City employees should seek or dispense no personal favors" and "not accept gifts, gratuity or other things of value from suppliers"!!!!! Werdlow says it's pretty clear what that means. Werdlow says this was a directive to all departments, "something that you absolutely have to follow." Jones Lang Lasalle, a company that did some work for the city in 2003 and 2004. A real estate company. Staubauch, owned by Roger Staubauch of the Dallas Cowboys. City did a real estate assessment with Jones Lang Lasalle says the witness. Inventory of buildings and leases of the police department. Jones Lasalle Land hired to revevaluate leases. It was a very big job. Christine Beatty and Derrick Miller were involved in crime lab project with Staubauch. Miller brought Jones Lang Lasalle to take over the project which evolved into something else. Werdlow says no such decision could be made without the mayor's knowledge.
10:57AM Judge calls for 20 minute break.
11:15AM Thomas and Kwame are sitting alone in the courtroom talking to each other intensely.
People are starting to come back into the courtroom slowly. Liking Bernard's royal blue tie and dark suit today. Kwame pulled out a bow tie for this morning- it's been weeks since I last remember seeing him wear one.
11:22AM Doeh continues with Werdlow.
Werdlow says most department heads are appointees and even the non-appointees report to mayor. Witness says if they didn't report to mayor, they reported to Beatty or Miller. Werdlow reported to the mayor. Witness was also in charge of the purchasing department.
US Attorney Mark Chutkow flipping through a catalogue looking thing with Jim Thomas behind Doeh.
Werdlow says he signed off on contracts between city and contractors. Werdlow says that the mayor could have prevented that but it was never an issue. Werdlow says the DBA was specially created for construction projects in the city. Before the DBA's existence, it was a very cumbersome process. To get anything built, you had to go through the DBA. Werdlow's responsibilities were oversight and to approve contracts. Werdlow, Beatty, Wendell Anthony, Derrick miller possibly on board of DBA. Witness says Ayanna Benson's boss was her cousin the mayor. Werdlow says he knew that Beatty and Benson knew each other. Werdlow knows Vincent Anwunah who used to work with the DBA. Also knows Lee Stephenson who was for a short period the director of the city recreation department.
Werdlow became aware of the Heilmann project in 2003. It came before the DBA when he was a member of the board. He knows about the evaluation committee for the Heilmann project. He knew most of the members of the committee. He knew Tyrone Clifton who was on the evaluation committee for Heilmann. Werdlow says he relied on their recommendations because the committee was identified as persons having a certain expertise. "Yeah, we really heavily on them." Werdlow talking about meetings to vote on contracts before the DBA. Werdlow looking at set of minutes from June 19th 2003 meeting for the DBA board of commissioners (witness, Carl Collins and Christine Beatty). Werdlow requested that the DBA staff provide the board copies of the bid sheets for the Project. Witness can't recall why he made this request. But usually it's because he needed additional information to feel comfortable on how he voted.
Werdlow knows several companies put in bids for Heilmann. Knew value to be somewhere around $10 million (actual amount was $7 million). Looking at the reviews for the final 5 candidates for the project. Wrdlow says that on the 19th of June when he voted he did not have the ranking information he is seeing now. Did not know that JOA/Xcel was ranked second to the bottom. Another document which states that on May 13th 2003, the DBA received 12 responses to is Request for Proposals and an Evaluation comitteee found 5 of the 12 proposals to be most responsive to the overall scope of the project. The final proposal of the Evaluation Committee was JOA/Xcel/SDG for the Heilmann project.
"This would be a huge discrepancy," says Werdlow about what the document says and the actual evaluation committee reviews.
June 19th 2003 letter from Ayanna Benson, director of the DBA to the Board of Commissioners. there is a Handwritten note saying "to send fee listings to Sean Werdlow."
11:45AM Looking at construction services agreement between contractors and the city- agreement dated June 19th 2003. An article IX on conflict of interest: contractor will not have any proprietry interests that will conflict with services of this agreement. No public official who exercises responsibilities has any financial or personal interest in this agreement. Werdlow says this is to identify that the contract has been raised to a higher level of scrutiny. Werdlow says it would be important to abide by these principles.