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Dallas City Hall Corruption Trial Has Long History

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Dallas City Hall Corruption Trial Has Long History

DALLAS (CBS 11 / TXA 21) ― Nearly four years later to the day after a sweeping raid at Dallas City Hall, a trial started Monday in one of the largest public corruption cases in the country.

The case involves allegations of extortion and bribery, in what federal prosecutors describe as a 'pay to play' scheme to win approval to build lucrative low income housing units across the city.

Among the 16 people charged in a 31 count indictment from October 1, 2007 include former Dallas mayor pro-tem Don Hill, his former political consultant and now current wife Sheila Farrington-Hill, Hill's former plan commissioner D'Angelo Lee, developer Brian Potashnik and wife Cheryl, owners of Southwest Housing, current State Representative Terri Hodge of Dallas and former Dallas councilman James Fantroy, who was convicted by a jury on unrelated charges of embezzling money from Paul Quinn College.

Though stricken with kidney cancer, Fantroy chose to serve 30 days in federal prison instead of admitting his guilt and staying out of prison.

Fantroy died last year. Nine others were indicted.

This massive corruption case became public in a major way on June 20, 2005.

CBS 11 News cameras were the only ones just outside the mayor's office before what seemed like a small army of FBI agents swarmed inside seizing computers, carting off boxes of documents and snapping photos.

Minutes before the raid, former mayor pro-tem Hill and his former plan commissioner Lee could be seen in the office meeting with others. Minutes later, they were surprised to find out about the legal troubles they were in.

Investigators searched their offices, homes, Hill's silver BMW and Lee's black Mercedes.

Prosecutors say those cars and money were illegally funneled to Hill and Lee in exchange for their approval for Potashnik's affordable housing projects.

The prosecution expects their side of the case to last about six or seven weeks, while the defense is expecting three weeks. The entire trial process is predicted to last about four months.

The trial promises to be as high profile as the case. Among those who may testify in the case are U.S. Trade Representative for President Obama and former Dallas mayor Ron Kirk, congresswoman Eddie Bernice Johnson of Dallas, former HUD secretary Henry Cisneros, state senator Royce West, Dallas County commissioner John Wiley Price and former Dallas mayor Laura Miller.

One member of Brian Potashnik's legal team is the attorney who will try the case: Stephen Jones of Oklahoma. He defended convicted Oklahoma City bomber Timothy McVeigh who was sentenced to death.

Investigators gathered tens of thousands of wire-tapped phone conversations, surveillance photos, thousands of documents and more than 17 terabytes of computer and electronic information.

The main trial is expected to last at least three months. Not all of the 16 indicted are on trial Monday.

Here's a list of who is on trial today:

1. Former Dallas mayor pro-tem Don Hill faces 12 counts involving extortion, bribery, conspiracy to commit money laundering and tax evasion.

2. Political consultant Sheila Hill faces eight counts involving bribery, extortion, conspiracy to commit money laundering.

3. Former city plan commissioner D'Angelo Lee faces nine counts involving bribery, extortion, conspiracy to commit money laundering.

4. Developer Brian Potashnik faces 14 counts bribery and conspiracy.

5. Wife Cheryl Potashnik faces 14 counts including bribery and conspiracy.

6. Former president of Black State Employees Association Darren Reagan faces eight counts involving extortion, conspiracy to commit money laundering and tax evasion.

7. Car dealer Rickey Robertson faces three counts involving conspiracy to commit bribery, extortion, and money laundering.

Those who have already pleaded guilty:

1. Former vice president of Black State Employees Association Allen McGill

2. Consultant Andrea Spencer

3. Attorney John Lewis

4. Former NFL player Kevin Dean

Those with separate trials that haven't been set yet:

1. Current state representative Terri Hodge faces 14 counts including bribery, conspiracy, and false statements on her tax returns.

2. Real estate developer Ron Slovacek faces eight counts involving bribery, extortion, conspiracy to commit money laundering.

3. Jibreel Rashad faces one count of conspiracy to commit extortion.

Potashnik's father, Jack, previously pleaded guilty to tax evasion and received probation.

Stay with CBS 11 News and TXA 21 News for continuing coverage of the case.

(© MMIX, CBS Broadcasting Inc. All Rights Reserved.)

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