What's a little money here and there when millilons of dollars are at stake
vincemichaels
Detroit
Strip club owners to testify against Riddle
Paul Egan / The Detroit News
Detroit businessmen who say political consultant Sam Riddle tried to shake them down for $25,000 when they wanted to transfer a strip club license are expected to testify today at Riddle's corruption trial.
Riddle, 63, was a top aide to former Detroit City Councilwoman Monica Conyers, who had a vote on the strip club license transfer.
Detroit businessman Christopher Jackson, who had been hired as a consultant by principals of the strip club chain DéjÀ vu, was told by Conyers in October 2006 to talk to Riddle about his request to get a license transfer for the strip club, the indictment alleges.
"Representatives of the club company met with Riddle at a restaurant in Dearborn, at which time Riddle suggested that they needed to pay Riddle $25,000 if they wanted Conyers' vote," the indictment alleges.
"The DéjÀ vu representatives were floored, they were flabbergasted," Assistant U.S. Attorney Robert Cares said in his opening statement Monday. "They realized this was a blatant attempt to buy Monica Conyers' vote, and they refused."
Riddle is charged in a seven-count indictment with conspiracy, extortion and making false statements to the FBI. He denies the allegations. If convicted, he could face up to 20 years in prison. Today is the third day of evidence in his trial.
Conyers, the wife of U.S. Rep. John Conyers, D-Detroit, pleaded guilty to a bribery conspiracy charge in June and awaits sentencing March 10. She is not a defendant in the trial and is not expected to testify.
After Riddle's meeting with the strip club representatives, Conyers voted against the license transfer on Nov. 13, 2006, the indictment alleges.
Although the strip club officials, Jim St. John and Joe Hall, refused Riddle's demand, consultant Jackson, who stood to benefit from the deal, went ahead and gave Riddle two checks on Nov. 17, 2006, prosecutors allege. One check was for $10,000, earmarked for reconsideration of the vote, and the other was for $15,000, as a success fee, the prosecutors allege.
On Nov. 17, 2006, Conyers sent a memo to the Detroit city clerk that said she wanted to reconsider her vote on the strip club license. Riddle cashed the $10,000 check to his consulting firm, Meridian Management Systems, the same day, the indictment alleges.
But Riddle was unable to cash the check for $15,000, which Jackson had voided, and the reconsideration did not take place.
The strip club principals are now suing the city of Detroit in federal court over denial of the strip club license, with the alleged shakedown included in their allegations.
"They didn't report this to law enforcement, instead they told their lawyer," Riddle attorney John Minock said in his opening statement, noting the denial of the license transfer meant "millions in lost profits."
"These guys have millions of reasons to put a spin on their evidence." The trial is in front of a jury and U.S. District Judge Avern Cohn
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