DETROIT -

8:52AM Video turns on. Lawyers and defendants are broken down in little clusters. Bobby Ferguson defense lawyers Mike Rataj and Susan Van Dusen are in deep conversation with Bernard Kilpatrick's lawyer John Shea. Jim Thomas, Kwame Kilpatrick's lawyer, and Gerald Evelyn, another lawyer for Bobby, are talking with U.S Attorney Michael Bullotta. No idea where the defendants are.

8:58AM Kwame, Bobby and Bernard all enter the courtroom together. Stop at the doorway and engage in an animated chat. Dark suits still prevail with Bobby a stand out again in a nicely tailored light grey suit. Gerald Evelyn comes over to join the group.

9:07AM Judge enters courtroom and everyone takes a seat. Not sure where Victor Mercado is hiding out.

9:08AM Judge mentions that Martin Crandall and Victor Mercado are excused from the courtroom. they are in the building but reviewing documents.

9:09AM Michael Bullotta for government calls IRS agent Ron Sauer.

KCF 47- check to Maiyen Consulting March 12th 2008 for $50,0000. It cleared on March 18th 2008.

KCF 47B- check from Ferguson Enterprises to Kilpatrick Civic Fund for $75,000 on March 19th 2008. Signed by Bobby Ferguson. Civic Fund is in the memo line. This occurs between two checks to Christine Beatty's company.

KCF 47- second check on March 26th 2008 to Maiyen consulting for $60,000.

KCF 105- check that went to A Step Ahead preschool. For $5,000 dated June 6th 2002. signed by Christine Beatty and Kwame. Memo says 2002 Graduation Week.

KCF 105A- check out of Kwame's personal account. Dated June 3rd 2002 for $156 to A Step Ahead. From Bank One- became JP Morgan Chase. Memo line says Jelani and Jalil Grad/Cedar Pt.

Bullotta about Linda Byrd. Sauer says she is the kids' preschool teacher.

9:16AM Gerlad Evelyn for Bobby Ferguson cross examines.

What was balance of Civic fund at time of Bobby's check? I don't know.

Beatty's check cleared before? Yes the day before.

Who is Pete Karmanos? CEO of Compuware.

Witness says Compuware wrote check for $50,000 in March as well.

Evelyn says you can't say that Bobby's check covered Beatty's? No.

Evelyn says you can't say what balance was in the account then? No I can't.

9:18AM Jim Thomas cross examines. 

Thomas talking about Kwame's personal check to the preschool. Sauer agrees it's his personal account.

Only check to A Step Ahead from Civic Fund the one for $5,000? Yes says Sauer.

Thomas says Linda Byrd will be testifying today. Have you been to the preschool? No.

Do you know what the graduation was about? No.

You weren't investigating in 2002? Correct.

Did you interview Mss Byrd? I did not but she was interviewed.