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Office of the United States Attorney General Honorable Eric C. Holder, Attorney General Justice Department, Main Justice Building 10th Street & Constitution Avenue, N.W. Washington, DC 20530 February 14, 2011 Dear Honorable Eric C. Holder, This Affidavit is being submitted to The Honorable Eric C. Holder, The United States Attorney General, with a copy to The Honorable Mr. Barack Obama, President of the United States, The Honorable Michael DeWine, Attorney General, State of Ohio and to The Honorable Sherrod Brown, U.S. Senator of Ohio. I am officially requesting the United States Attorney General’s office conduct an investigation into past actions and activities of Federal and State Department of Justice Officials, in Northern Ohio and Lorain County Ohio. STATE OF OHIO ) ) ss: AFFIDAVIT COUNTY OF LORAIN ) LARRY D. JONES, being first duly sworn, according to law, deposes and states as follows. My name is Larry D. Jones. My family and I have resided in the City of Elyria, in Lorain County Ohio for the past 35 years. On November 20, 2010, I completed serving a 37 month prison sentence, which included 33 months Federal incarceration and 3 months State of Ohio incarceration. I was indicted in March 29, 2006, on a total of 38 felony counts, (Case # 1:06cr00148), by the U. S. Attorney for the Northern District of Ohio and 19 felony counts by the Lorain County Prosecutor,(Case # 06CR070308), dated March 29,2006. Records show that On December 13, 2006, I was indicted on 18 additional felony counts by the Lorain County Prosecutor in case # 06CR072431. My federal and state indictments combined totaled approximately 75 counts. I am officially and humbly requesting a thorough and in-depth investigation into, what appears to be improper and possibly unlawful conduct and actions against me by Mr. Gregory White, while serving as Lorain County Prosecutor and later as the United States Attorney of the Northern District of Ohio. I contend that Mr. Dennis Will, while a detective in the Lorain County Prosecutor’s Office and later as Lorain County Prosecutor, Mr. John M. Siegel, Assistant U. S. Attorney and FBI Special Agent, Mr. David Lyons aided and abetted U. S. Attorney Gregory White in his improper and unlawful actions. 1 This possible improper and unlawful conduct and action involves and are related to; Cuyahoga County civil cases (01CV129861) & (01CJ002258) filed on 10/30/2001; and (02CV130469) filed on 10/24/2001, this case was later transferred to Lorain County Court of Common Pleas on 01/16/2002.; civil cases 03CJ008247 dated 6/26/2006 and (03CJ009015) dated 09/05/2003; and Federal criminal case (1:06cr00148) dated 3/29/2006 and Federal civil case (1:04CV2254) dated 11/12/2004 and Federal Bankruptcy case (05-19361) in 2005 and a March 2000 bank fraud in Elyria Ohio. These actions also include the destruction of critical State Court documents and records; a high profile drug case; the sealing of Federal Court records and bank loan documents. I am also officially and humbly requesting the United States Attorney General, through the Ohio Attorney General, Mr. Michael DeWine, conduct an in-depth and thorough investigation into possible improper and unlawful conduct and actions against me, by Mr. Dennis Will while serving as an investigator for the Lorain County Prosecutor’s office and as Lorain County Prosecutor. I contend that Lorain County Prosecutors Tony Cillo and Richard Noland and Lorain County Investigators Mr. Robert Gayle, Bob Cunningham and Robert Finch, aided and abetted Prosecutor Dennis Will in his improper and unlawful actions. The possible improper and unlawful conduct and action involves; a high profile drug case, various investigations, Lorain County Common Pleas court, criminal cases # (06CR0724310 dated 12/13/2006, (06CR070308 dated 03/29/2003 and civil case # (02CV130469) dated 01/16/2002 and Cuyahoga Common Pleas Court case # (CV-01- 451574), dated approximately 11/09/2001; and the destruction of critical Lorain County Court of Common Pleas, court documents, evidence and records. I think the evidence will also show that Mr. Gregory White as, Lorain County Prosecutor and United States Attorney and Mr. Dennis Will as, Lorain County Investigator and Lorain County Prosecutor, committed prosecutorial misconduct and violated their moral, ethical and legal obligations in their conduct and actions against me and violated my constitutional rights. Under extreme duress, I finally agreed to accept a plea agreement offered by the U.S. Attorney. The reason for accepting this plea under extreme duress, began when an adversarial relationship between Mr. Gregory White and I formed in or around 1982. This negative relationship began when Mr. White became aware that he and I had the same two powerful republican individuals as mentors; Mr. Eric Nord, Chairman of Nordson Corporation and Attorney Scribner Fauver, Partner in the Law firm of Fauver, Tattersal & Gallagher. At the time, I was a democrat but because of my very visible civic and business activities; (brought a National Urban League Affiliate Chapter to Lorain County, started the first mainstream business, member of a bank board and what would become many other “firsts” by an African American in Lorain County) I became my mentor’s “favorite son”. The relationship between Prosecutor White and I declined even more after I was successful in getting a Minority Business Participation Program passed into law by the 2 Lorain County Commissioners in 1985. Mr. Virgil Muntean, the County Administrator and I were responsible for the content in this Minority Business Program. My relationship with Mr. White became poisonous in or around 1986 after I charged the Lorain County Government with violating its sealed bid, bidding process. Prosecutor White had to represent and defend the County against my charges. My firm, Erie Shores Computer Inc. and the County Commissioners eventually reached an out of court settlement in 1987 and County Prosecutor White was directed to complete the settlement process. This settlement paid Erie Shores Computer $115,000.00 in restitution. The approximate 8 months of hearings and proceedings had not gone well for Prosecutor White. Hindsight clearly tells me that it was a mistake to require Prosecutor White to travel to my legal firm’s offices, (Thompson, Hine & Flory), in downtown Cleveland to sign the settlement agreement because, by the end of our meeting Prosecutor White was no longer able to hide or hold his anger and threatened me. He stated as he starred at me, red faced, from across the conference room table, “I’m going to get you” and quickly exited the room. The three of us, (my attorneys and I), held a brief session to confirm what we had just heard. My attorneys then suggested that I should be very careful in Lorain County and not to expect any more business from the Lorain County Government; and for approximately 11 years, Erie Shores Computer received no appreciable business from the County government. The fear of Prosecutor Gregory White by the law firms in Lorain County was the reason Mr. Eric Nord arranged for me to obtain the legal services of the Cleveland law firm of Thompson, Hine & Flory, where his good friend William Ginn was a Partner. Both mentors cautioned me about their other mentee, Greg White and what they felt was his inability to control his temper and his insensitivities toward certain social issues. Both men suggested that I have as little future interaction with Greg as possible and I followed their advice from 1987 through late 2003. Mr. Eric Nord served on the Erie Shores Computer Inc. Board of Directors for 11 years, (1988 thru 1998), and Scribner L. Fauver served as my family attorney and the Erie Shores Corporate Legal Counsel for approximately 17 years, (1983 thru 2000). My payment to Mr. Eric Nord and Attorney Scribner Fauver for their years of service to Erie Shores Computer was my promise to them that I would keep the Erie Shores Computer Inc. headquarters located in Lorain County. Both of these powerful leaders believed that Erie Shores could be a catalyst for minority business creation in Lorain County. Erie Shores was the first and only minority owned and operated, mainstream firm in the county’s history. The following is a partial listing of the information and evidence the justice officials knew about or should have known about before my federal and state indictments. 3 Proceeding to indict me after having this mountain of evidence and information, (from 1990 thru 2006), convinced me that the injustices being committed against me by these powerful justice official, would totally destroy me if I continued to fight against them. Therefore, I felt I had no choice but to accept the federal plea agreement being offered by these justice officials. 1. The Lorain County Prosecutor and United States Attorney received false and incriminating information against me in late 2000, submitted by the 2 individuals who, (later evidence would reveal) committed the FirstMerit Bank/Elyria, March 2000 loan fraud. No charges were ever filed against these individuals. Erie Shores Computer Inc. was the guarantor of these loans, ($1,600,000 & $400,000) and my wife Barbara A. Jones and I were 2 of the signers of these loans. 2. The evidence was crystal clear the two owners of Star Beverages Inc. DELAWARE; the firm and the owners approved for the March 2000 bank loans, had no personal assets and Star Beverage Inc. had no business assets, at the time these loans were approved by the bank. In addition, the firm’s $69,000,000 beverage contract with the U.S. Navy was a fraud and the “Registered Beverage Formulas”, and the $17,000,000 Valuation of Star Beverage Inc. DELAWARE was also fraudulent; critical facts which the federal and state officials knew about or should have uncovered during their investigations. Having all of this evidence against this firm and its owners, Gregory White, the Lorain County Prosecutor and later as U.S. Attorney, filed no charges against the firm or its owners, nor were any actions taken against the FirstMerit Bank/Elyria officials or Hauser & Taylor LLC, the firm hired by the bank to perform due diligence on the signers of these two major loans. 3. In September 2001, I filed charges against Star Beverage Inc. DELAWARE and its owners and was awarded a Cognovits Judgment, in the amount of $1,423,352.64 plus 10% interest per annum, from 10/30/2001, as the result of the fraud that occurred in the Star Beverage Inc. DELAWARE loan at FirstMerit Bank/Elyria. I was unable to collect any funds or assets from this judgment because Boyd, Perry and Star Beverage Inc. DELAWARE had not own any assets for many years. Even after my successful judgment against Star Beverage Inc. DELAWARE, and its owners, no federal or state charges were filed against the firm or its owners, or the bank officials or the firm that performed due diligence. 4. A business associate and I were alerted by an experienced bank, business loan officer and financial expert that the $4,000,000 loan/line of credit, provided to Erie Shores Computer Inc., in July of 2001 by National City Bank was considered a “nigger loan” in the banking industry. This loan was considered a “nigger loan” because of the numerous requirements and restrictions, especially those contained 4 in one of the loan documents which reduced the $4,000,000 loan/line of credit to an “asset based line” of credit. Even more damaging was the fact that National City Bank did not include the required and necessary “working capital” with this Asset Based line”. The lack of working capital rendered this $4,000,000 line of credit of no value to Erie Shores Computer Inc. The U.S. Attorney, FBI, Lorain County Prosecutor and County Investigators became aware of this discriminatory bank contract that National City Bank had signed with Erie Shores Computer Inc. on July 7, 2001, because I alerted them and because the Court Receiver and Federal and State Justice Officials, in or around late 2003, took possession of approximately 185 boxes of my personal and Erie Shores Computer’s corporate and business records. These officials took no action against the bank but in 2006 proceeded to file criminal charges against me personally. 5. I became aware in mid 2008 that National City Bank had been allowed to withhold and not file in State Civil Court in 2003 and Federal Criminal Court in 2006, the critical loan document, (“nigger loan”), that reduced the Erie Shores Computer $4,000,000 line of credit to an unusable asset based line. The U.S. Attorney knew that National City Bank had withheld this critical loan document from state and federal court and also knew there was no written document or verbal notice provided to Erie Shores or to me personally that National City Bank had reduced the $4,000,000 credit line, to a $3,000,000 line, as is stated in the federal indictment against me. 6. On December 3, 2003, I sent an overnight package, containing an Affidavit and two other documents, via Federal Express to United States Attorney, Gregory White. This Affidavit and documents contained critical information about the FirstMerit Bank/Elyria, March 2000 loan fraud and how funds from this fraud and earlier frauds were possibly involved in Middle East terrorist funding, the $4,000,000 National City Bank line of credit to Erie Shores Computer Inc. and the criminal role a fulltime attorney for the City of Cleveland played after the city awarded a technology contract to Erie Shores Computer. This affidavit contained critical information and documentation about proven terrorist activities that an associate and I had discovered were occurring in the inner city stores, in Cleveland and other large cities throughout Ohio. Most of the funds from the frauds committed by the owners of Star Beverage Inc. DELAWARE, (Dr. Arthur B. Boyd Jr. & Dr. Merceda Perry), were used 5 to purchase Star brand beverages from Deep South Beverage Inc., in Fitzgerald, Georgia. Evidence uncovered showed that persons of Middle Eastern decent who owned these stores were doing the following: A. Hundreds of thousands of cases of the Star beverages were shipped to Arthur B. Boyd Jr. in the Cleveland area and to Merceda Perry in the Greensboro, North Carolina area. B. Arthur Boyd sold hundreds of thousands of dollars of the Star beverage drinks to the inner city stores throughout Ohio, for $2.00/case. Dr. Perry sold tens of thousands of cases of these beverages to outlets and stores in the Greensboro and Asheboro, North Carolina areas. They could afford to sell this beverage at a prices below cost because they purchased these beverages with funds defrauded from institutions and individuals, including some of the funds from the FirstMerit Bank/Elyria March 2000 loans. Boyd and Perry reported $00 sales to the federal government; therefore they paid no income taxes on hundreds of thousands of cases of beverages over an approximate 6 to 8 year period. C. The owners, (Middle Eastern Decent), of the inner city stores sold this beverage in their stores for between $.50 & $.70 per 12oz. can. These owners paid $00 sales tax or income tax on this beverage. D. It appears that a percentage of these funds from the beverage sales were funneled to the Cleveland Mosque and possibly other Ohio Masques and some of these funneled funds appear to have been sent to organizations assisting Middle Eastern terrorist organizations. On December 12, 2003, (9 days after my Affidavit) an Associated Press article stated that “the U. S. Government’s efforts to track the trail that terrorist organizations used to bankroll acts of violence are flagging and must be improved”. “The Justice Departments are struggling to understand how the financing of terrorist works”. After all of this critical information was provided to U.S. Attorney, Gregory White, he made no contact with me via phone, written or in person, to discuss the information provided in my affidavit but evidence appears to show he used my terrorist information almost immediately afterwards in official Justice Investigations. This was my first attempt to communicate with Gregory White since the agreement signing in 1987 and he refused. Gregory White refusal as the U.S. Attorney to speak 6 or meet with me, after I provided the Justice Department these critical documents, convinced me that he was still dealing with the personal vendetta against me. My concerns were compounded when White’s actions, coupled with the fact that just a few months prior, his mentee, Detective Dennis Will while investigating the criminal activity of Attorney Michael Ross in the Columbus Ohio area, was informed about Ross’ attempt to use my credit through a forged Power of Attorney and Detective Will made no attempt to contact me or bring charges against Michael Ross. 7. U.S. Attorney, Gregory White proceeded to indict me on criminal charges 27 months after receiving my critical affidavit; after being made aware of the “nigger loan” document; after the civil settlement had been reached by National City Bank and Erie Shores Computer and after the evidence was revealed in the March 2000, FirstMerit Bank/Elyria bank fraud that awarded me a Cognovits Judgment. 8. The justice officials also did not take into consideration, during their federal and state investigations, the fact that approximately $2,000,000 of infusions and investments in Erie Shores Computer had been made by my wife, my sister and me. These infusions and investments were made before and after the July 7, 2001, National City Bank loan to Erie Shores Computer Inc., and the September 11, 2001, (9/11) terrorist strike on New York and Washington. These infusions and investments were desperately needed after learning that this new $4,000,000 line of credit from National City Bank would not cover or include the financing of any Erie Shores’ federal, state or local governmental sales. This new credit line with National City Bank excluded the financing of more than 70% of Erie Shores Computer’s total historical sales volume. . The federal crimes, (bank fraud and money laundering), that I agreed to in my plea agreement were suppose to have been committed during the same period the $2,000,000 of infusions and investments were being made in Erie Shores and New World Beverages. These major infusions indicated clearly that I had no criminal intent in my actions pertaining to the Erie Shores Computer $4,000,000 line of credit from National City Bank. In addition I must assume that all three of the Erie Shores Computer Inc. office employees, (Vice President of Administration, Accountant & Bookkeeper), when they were interviewed by the federal and state authorities, informed these officials about the instructions I had given each of them in a number of meetings. The instructions given these three employees were; (A) To increase some Erie Shores invoices and create other invoices because I had been unsuccessful in obtaining any additional funds from the bank and funds were needed to keep Erie Shores operating without laying off any employees, (B) I assured these three Erie Shores employees that I had been promised additional investments in Erie Shores to cover the amount of increases that would be made by the increasing and creating of invoices. (C) I assured and promised all three employees that if anything went wrong and legal action was taken, I would accept full responsibility for these 7 actions and (D) I also instructed my office team to keep an accurate record of the total amount of funds created through the invoice increases and creations so every penny could be repaid. The federal officials, (FBI, U.S. Attorney, IRS & State Investigators) who investigated my case, knew or should have known about my actions mentioned above. 9. Because of an ongoing investigation of Michael Ross, (a public official, attorney and CPA), over a 10 to 12 year period by state and federal officials; both entities knew or should have known that this public official was a sociopath with a serious drug problem. These officials also knew Attorney Ross had been financially scamming and abusing his clients, family members, associates and friends for many years but took no actions against him. The Attorney Ross, whom I met around 1994 and 1995, is not the same person I would come to know during 2003. I met a young energetic and extremely bright gentleman who could capture your attention with his conversation. An individual, who was raised by his grandparents, joined the U.S. Navy and travelled the world. Ross’ IQ and test scores awarded him the unique opportunity to attend the Case Western Reserve University, where he received his Law and CPA degrees. Only years later would I realize, (after meetings with three different Clinical Psychologists, who explained the sociopath, their abilities and behavior), the dangers this association with Ross had exposed to me, my family and Erie Shores. Ross had presented himself perfectly and gained my trust and confidence and also the trust and confidence of many other county, state and national leaders. Ross and I had met a number of times between 1994 and 1996 and had enough brief conversations where he had become aware that I owned Erie Shores Computer, served on a bank board and was a hospital trustee. In 1996, Ross asked and I agreed to hold a fund raiser for him to help finance his campaign, in his second attempt to win a Commissioner seat. The fund raiser was held at Spring Valley Country Club, where I was the first African American member. Ross was well aware of the lack of minorities employed in county government jobs in Lorain County. I had also updated him about my problems with Prosecutor White and the County Commissioners. Ross stated that he viewed Greg White as a racist, based on their many interactions during the years he, (Ross) served as the Safety Service Director for the City of Lorain, Ohio. Ross informed me that if elected he would focus on the hiring of minorities in county government; (at the time there were approximately 3 African American County employees), and the participation of minority firms in county government contracts. Erie Shores provided Ross some legal work and he was surprised at the size and profitability of the company; having major contracts with Wright Patterson Air 8 Force Base, the City of Cleveland, Cuyahoga County, Cleveland Board of Education, State of Ohio and many other entities. Ross was also impressed that I had received “Top Secret Clearance” from the federal government. Ross made history becoming the first African American to be elected to a Lorain County Commissioner’s seat and only the second African American in Ohio’s history to hold a county wide elected seat. At this point, I personally felt this young man was on his way to becoming a state wide elected official and I felt blessed to be in a position to help make this happen. But hindsight tells me that Ross was already on a downhill path, because of his expensive lifestyle which included women, extensive travel, a gambling habit and a serious drug habit. During Ross’ four years as County Commissioner, he was seldom in the county to manage the County’s business, to attend Commissioner’s meetings or to vote on County legislation. Ross’ many previous victims knew of his dark side but more importantly, the Federal and State Justice Officials had known about Ross’ crimes for years but took no action to bring him to justice. Mr. Gregory White, along with other justice officials, business, civic and political leaders were well aware of my reputation as an upstanding and very public citizen in Northern Ohio and Lorain County for more than 25 years. In addition, United States Attorney Gregory White had received my sworn Affidavit and letter to Mr. William MacDonald , Vice Chairman of National City Bank, on December 3, 2003, (40 months prior to my March 29, 2006 arrest), explaining in detail the actions and activities between November 1999 and June of 2003, that lead to my misuse of the Erie Shores Computer Inc. $4,000,000 Asset Based line of credit. 10. Former Lorain County Prosecutor Gregory White, having served as prosecutor for more than 20 years and the present County Prosecutor, Dennis will, knew, (because it was their responsibility to know), that it was all but impossible for a County Commissioner or even two Commissioners to rig or commit bribery in the Lorain County sealed bid, bidding process; without the County Administrator’s direct involvement and assistance. Mr. Virgil Muntean was the Lorain County Administrator from around 1975 through late 2000. I am sure Prosecutor White knew Mr. Muntean well and was sure he would never be involved in any bid tampering or bribery. Knowing this, U.S. Attorney White and Prosecutor Will proceeded to file numerous criminal charges, including bribery against former Commissioner Ross and me in 2005 and 2006 but no charges were filed against the present or former County Administrator. These bribery charges were the first ever filed against a Lorain County Commissioner and a businessman in the County’s history. In or about mid 2000, prior to the Commissioners’ official actions and votes approving the Architectural and Construction Management firms, that would be 9 responsible for the design and construction of the new Lorain County Justice Center, the three Commissioners voted to replace Virgil Muntean, the present County Administrator with Mr. James Cordes. Mr. Muntean was highly upset and disappointed with the Commissioners at their abrupt removal of him from his long time position. So to appease Virgil the Commissioners created the temporary position of “Capital Improvements Project Director” which Muntean held briefly, until his retirement. The Capital Asset Manager’s position, (as Muntean referred to it) was retired along with Muntean. Almost immediately after the change in County Administrators, the County Commissioners voted approval of the Architectural and Construction Management firm that would design and build the $53 million Lorain County Justice Center. Shortly after the Justice Center approval, the new County Administer abruptly cancelled the computer maintenance contract that Erie Shores Computer Inc. had been awarded by the County in a sealed bidding process. No explanation was given why this contract had been cancelled. I would later discover that this maintenance contract was assigned to Micro Advantage, another local technology firm. Of course I protested this action but no corrective action was taken on Erie Shores Computer’s behalf but the Avon Lake Prosecutor eventually charged Mr. Robert Rousseau, the Chairman of the Lorain County Republican Party, with “having an unlawful interest in a public contract”. It had come to light that Mr. Rousseau was a paid consultant for Micro Advantage and had used his influence to have the computer maintenance contract taken from Erie Shores Computer and assigned, (not awarded or won) to Micro Advantage. Lorain County Prosecutor Gregory White investigated Mr. Rousseau’s activities but took no action. Prosecutor White later that year accepted the position of U.S. Attorney for the Northern District of Ohio. A distant time later, Mr. Rousseau received a slap on the wrist for his illegal actions. 11. In early 2000, the Old J.C. Penny building in downtown Elyria was leased with an option to purchase by Star Beverage Inc. DELAWARE. This was the facility located in a federal HUBZone that would produce the beverages to fulfill the $69,000,000, U.S. Navy contract. Erie Shores Computer was the cosigner for the lease of this building at $6,000 per month. Shortly after the lease was signed and after approximately 14 tractor trailer loads of beverage line equipment had been delivered to the building from the State of Idaho, I received a telephone message form Mrs. Pauline Laboatta, who had recently been defeated in the Elyria Mayoral Campaign. She alerted me about a major chemical spill that the neighboring, Harshaw Chemical Company had made a few years prior and warned me if any beverages were produced in this Old J.C. Penny Building, the beverages would probably glow; therefore she would alert the local and national media. A decision was quickly made not to produce any beverages at this site, even though extensive soil tests proved there was no contamination present. 10 The owners of the building had not informed Star Beverage of the chemical spill and Star Beverage had no funds available, therefore Erie Shores had to assume the $6,000 monthly lease, as cosigner. The building could not be used for beverage production. In or around August of 2000, I became aware through a Chronicle Telegram article that stated Commissioner Blair’s interest in renovating the old train station, which was a very short distance from the J.C. Penny building. For Blair’s train station project to be successful additional parking spaces would be needed. This is when I called Virgil Muntean and informed him that the Old J. C. Penny building was for sale and that Erie Shores and I held the option on the property. Muntean and I toured the 35,000 square foot building and he was impressed with the size and excellent condition of the building and commented that instead of parking space, the facility could solve a long standing County problem by serving as a facility to house large County owned equipment. Virgil requested a quote from me so I used the services of Prudential Real Estate Agent, Mr. Daniel Harris whom I had used to negotiate the option to purchase the J.C. Penny building from its owners for a price of $250,000. Agent Harris suggested a $450,000 value for the building so I submitted an offer to sell of $450,000 to Muntean. Muntean countered with an offer of $400,000 and I accepted his offer. This was probably the largest project handled by Muntean while in the position of County Capital Asset Manager. Mr. Muntean was the only County Official I contacted and communicated with in the sale of the Old J.C. Penny building to the county. If state and federal officials had investigated this sale and purchase process in an unbiased way, the evidence would have confirmed that this transaction was handled between Mr. Muntean and me. Gregory White was the County Prosecutor at the time of my purchase of this building from the owners and the sale of this building to Lorain County. As Lorain County Prosecutor, Gregory White was actively involved in the purchase of this building by Lorain County. 12. I had no doubt that all the charges in State Criminal case # (06CR070308), 03/29/2006, against me were false and not provable, but by this time I also realized that my innocence in this case was probably not enough because I had permitted Michael Ross to use me and Erie Shores Computer in a scheme in the building of the Lorain County Justice Center. The federal and state justice officials were not aware of the Justice Center illegal activity until they were informed by my attorney and me. I only agreed to assist Ross with his scheme after he had totally convinced me that he had involved Erie Shores Computer and me personally, in a dangerous and possibly life threatening situation that could also include our family members. He confirmed the threat from these individuals was the reason he carried the 38 pistol with him at all times. Ross stated that he had lead these individuals to believe he was the corporate legal counsel and part owner of Erie Shores Computer. This is 11 when he informed me of his plan to repay his debt to these dangerous individuals without Erie Shores having to lose any money. All I had to do was permit funds from the Justice Center to be paid through Erie Shores Computer to Ross. I knew I had a critical decision to make about this extremely serious situation in which Ross had involved me, my family and my company. I had to decide whether to report this situation to County Prosecutor White or assist Ross in obtaining the needed funds. Because of the long standing threat and vendetta against me by Prosecutor White, I was convinced that there was a great possibility he would find a way to charge me, along with Ross in the scheme. Therefore, I made the decision that my family, my firm and I, would be safer if I assisted Ross in getting the funds he needed to cover this debt. Initially Ross informed me that all I had to do was permit his funds from the Justice Center project to flow through Erie Shores Computer. Ross had assured me that Erie Shores would be the minority firm the County would use to provide the minority set aside portion of the Justice Center services and equipment. Later Ross asked me to provide one additional service for him and that was to communicate and meet with the Architectural firm and Construction Management firm’s decision makers and assist with the negotiations for the minority business amount. Ross could not perform this task because he was the public official. After my initial meetings with Mr. Finkel, Mr. Gordon and Mr. Carbone I was well aware that they thought they were providing a way for additional services and products to be provided to the minority firm and that this would pretty much assure their firm the leading position in the bid awarding process. To complete these negotiations prior to the awarding of the contracts was critical for Ross because he was pretty sure he would not be reelected as a County Commissioner. It also appeared that Ross was no longer interested in being a County Commissioner. After being indicted by U.S. Attorney, Gregory White and Prosecutor Dennis Will on charges unrelated to the Justice Center scheme, I later made a decision to inform the federal and state justice officials about the illegal scheme involving the construction of the Justice Center and the role Erie Shores Computer and I played in it. Prior to my official meeting with the state and federal justice officials, I was warned by my attorney against attempting to explain in detail, what I believed was “extreme circumstances and facts” about why I had involved Erie Shores and myself in this illegal activity. He felt that my statements would be viewed as an excuse and become a negative in my federal charges and effect the plea agreement. Instead I was assured that the federal plea agreement that I would sign would cover my federal and state charges. I was also assured that my maximum incarceration time would be 37 months; all served under federal control, no matter how many state convictions were achieved against me from the indictments in state cases, (06CR070308) and (06CR072431. It was also alluded that the large volume of state indictments in both cases, were filed to assure major convictions against Ross. State case (06CR072431), is the case that covers the Justice Center 12 charges. Although court records show a 12/13/2006 date for my indictments in the Lorain County Justice Center activities, my attorney and I had met with federal and state officials prior to July 17, 2006 and finalized my plea agreement, which also covered my Justice Center charges. After my attorney and I met with the state and federal officials and shared the Justice Center information, I was assured that I would be allowed to report to the Lorain County Jail, where I would be booked on these additional Justice Center charges and released. After I reported and was released, law enforcement officials arrived again at my home to arrest me on the charges for which I had just been released. 13. In or around 2001, Ross called to inform me that he had assisted a young lady with a bond and her release from the Lorain County Jail and she had asked him to become her legal counsel. Later Ross phoned and asked if he and his new client could stop by my office one evening after the dinner hour. (I will refer to this person in this document as “young lady” because she later met with a violent death). This would be the first of only 2 times I would see this young lady in person. The second time came a few months later when I accompanied Ross to Westlake, Ohio to pick her up from the health spa. She was an attractive lady, very physically fit and appeared to be in her mid thirties. During our first meeting, she informed me that she had gotten into some trouble with the county authorities and Michael had agreed to help her. Ross would later inform me that this young lady was mixed up in a major drug dealing/transporting operation, possibly the largest in the county’s history. She was now contemplating becoming the main witness for Lorain County Prosecutor, Gregory White, against her employer. For her testimony, charges against her would be dropped and she would be given a new identity. Once this young lady agreed to become the Prosecutor’s main witness, Prosecutor White assigned Detective Dennis Will, (his mentee) to protect her. She had no relatives in the area so she became dependant on Ross for her legal and moral support. She trusted Ross and informed and updated him on her activities, in person and via cell phone, especially after Detective Will began protecting her. Ross had informed me earlier that he was quite sure his phone was tapped and now he stated he was sure someone was listening in on his conversations. The following are some of the comments and statements the young lady left on Ross’ cell phone voice mail over a period of several months. Ross permitted me to listen to these messages and record many of them on my compact cassette recorder. I also spoke to the young lady twice while she was on the phone with Ross and she confirmed the statements and comments she had attributed to Detective Dennis Will. 13 The following are some of those comments and statements: a. Michael, I think he is coming on to me. b. This redneck is trying to get me to fire you as my attorney. He asked me why did I have that nigger representing me and that I should get rid of you. Michael, he is a redneck but I can control him because I think he is infatuated with me. c. I think he wants to get in my panties. d. He is so persistent, he concerns me at times; he wants to protect me too much. e. Michael, he acts like he is not getting any at home. Maybe I should let him see it, smell it and maybe lick it; what do you think, (then laughter), that should be enough to satisfy his fat ass. I informed the State Investigators about this activity during two interviews. There were more recordings but I cannot recall the other content. Sometime later Ross informed me that the trial had ended and Prosecutor White had won the case, mainly because of the young lady’s testimony. I secured this tape in my office personal file cabinet, where I would retrieve and listen on occasion. In mid 2003 Erie Shores Computer was forced into Court Receivership by National City Bank. After this I no longer had free access to my office or my building and around September of 2003, the Receiver seized all approximately 185 boxes of Erie Shores’ corporate files and records and all of my personal business records. These personal records included all personal items in my personal file cabinet, including the cassette with the young lady’s recorded statements about Detective Will. After these records were seized, they were turned over to U.S. Attorney White and then shared with the Lorain County Prosecutor. These approximately 185 boxes of records have been in the possession of the justice officials since they were seized in 2003. On the morning of June 5, 2003, I received a frantic call from this young lady on my cell phone. At the time of the call I was in Cleveland Ohio, entering a mediation session with Microsoft Corporation’s corporate and local attorneys; a meeting where Erie Shores and I were supposed to have Ross’ legal representation. The young lady was crying and sounded very angry and frightened. She stated, “Larry have you seen Michael”. I can’t reach him and he is not returning my calls. Can you locate him? I informed the young lady that I had not seen Ross for a number of weeks. I could not delay my meeting with Microsoft so I explained this to her. Her final comments to me were; “they have used me and gotten what they wanted, including Michael, and now I’m alone and Mr. Jones, I am scared. After my meeting with Microsoft ended, I did not attempt to reach the young lady because I had no answers for her. Ross did not show up for this critical meeting with Microsoft because he knew at this point that I was probably aware of the lies he had told me about the dangers to my family 14 related to the Justice Center project. Ross terminated all contact and communication with me. 14. At this point, Ross had received all of the $600,000 from the Justice Center project that was paid through Erie Shores Computer and through my personal bank accounts. Neither Erie Shores Computer nor I personally kept any of the funds from the Justice Center scheme. At this point my services and Erie Shores’ services were no longer important or valuable to Ross so he proceeds to commit crimes against me. In or around August or September of 2003, I received a call from Gregory A. Filbrun, President & CEO of First Commerce, Inc., a mortgage broker in the Columbus Ohio area. He stated he was calling me to confirm that I had provided Michael Ross my Power of Attorney, to use my credit to refinance four of his, (Ross’) properties. I informed Mr. Filbrun that no Power of Attorney had been provided to Ross. I immediately called Attorney John Keyse-Walker and alerted him of Ross’ actions and Attorney Keyse Walker phoned Mr. Filbrun and warned him not to use the fraudulent Power of Attorney in his possession. Attorney Keyse-Walker followed up his phone call to Filbrun with his demands in writing. Mr. Filbrun placed a second call to me a day or so after his first call. This is when he informed me that a Detective Dennis Will and a Lorain County Deputy had visited his office a couple of days prior to his first call to me. Detective Will was investigating possible illegal actions in which Ross were involved that involved one of his, (Filbrun) former clients. Filbrun stated that this is when he informed Detective Dennis Will about Ross’ attempt to forge my Power of Attorney. Filbrun stated that he was assured by Detective Will that he would be contacting me concerning Ross and his attempt to forge my Power of Attorney, as soon as he returned to Lorain County. I eagerly awaited this critical contact from Detective Will but it never came. Mr. Filbrun later provided Attorney Keyse-Walker a copy of the forged Power of Attorney. He had also provided Detective Will a copy of this forged document while he was in Columbus. Approximately 45 to 60 days after Ross’ Power of Attorney actions, he proceeded to use the information from one of my personal Visa Cards and charged approximately $6,700 to relocate his family from Lorain Ohio to the State of Georgia. I contacted Attorney Keyse-Walker again for legal guidance concerning Ross’ crimes against me. Attorney Keyse-Walker proceeded to caution me about taking any legal actions against Ross at the time because of the major problems I was already experiencing related to the Erie Shores Computer’s $4,000,000 line of credit with National City Bank and the Court Receivership of the company. A decision was made to file no charges against Ross. 15. The main person, Arthur B. Boyd Jr., (in state civil case # (02CV130469), with filing dates of 10/24/2001 & 01/16/2002, where documents were destroyed and 15 the case actual identification was changed), was forced into involuntary bankruptcy, in Federal Bankruptcy Court in mid 2005. 16. Attorney Larry Zukerman met with U.S. Attorney Gregory White and approximately 7 members of the U.S. Attorney’s team a few weeks prior to my indictment. After this meeting, Attorney Zukerman commented that this meeting was the most powerful meeting he had ever attended in the U.S. Attorney’s office. His first question of me was; Jones, what have you done to U.S. Attorney White? Whatever it is, it appears to be personal. He, (White) stated that nothing moves in Lorain County unless you are involved or know about it. It also appears that he thinks you are involved in the Mayor White and Nate Gray activities somehow, because of the comments made and because the Assistant U.S. Attorney who successfully prosecuted Nate Gray was present at the meeting. 17. Attorney Zukerman informed me that he and U.S. Attorney White had reached an agreement that if I was indicted, I would be permitted to turn myself over to the appropriate authorities. Instead a few weeks later, I was secretly indicted and approximately 7 U.S. Marshal Vehicles and 2 Deputy Sheriff vehicles arrived at my home to arrest me; while approximately the same number of marshals and deputies showed up at my office building to arrest me. I wasn’t at either location. After I was indicted on the extremely large number of federal and state charges, (approximately 75 total), Attorney Zukerman stated to me; Jones, you are in very serious trouble. If he, (Greg White) wants you, he is going to get you. This appears to be personal so just be aware that you are up against overwhelming power. I know this is your first time dealing with the federal justice system. It appears that your state and federal indictments will remain separate and you will be tried in federal and state court for maximum impact. Attorney Zukerman estimated the cost to defend me in the state and federal cases would amount to more than $250,000, in addition to the approximately $65,000 already paid. Attorney Zukerman later suggested that I should consider accepting the plea that was being offered by the U.S. Attorney and I refused, but when the federal officials later involved my sister and daughter, and knowing that my wife would be next, I had second thoughts about the plea agreement. Then another warning came from Attorney Zukerman; “Jones, Greg White wants you and your entire family could be destroyed in his efforts to get you”. This warning made me seriously consider accepting the plea being offered. The threat made against me by Lorain County Prosecutor, Gregory White in 1987 and the actions and investigations, including what appeared to be massive cover-ups and withholding of critical evidence and information over an extended period of time, (approximately 86 months), by Lorain County Prosecutor and U.S. Attorney Gregory White and Lorain County Detective and Prosecutor Dennis Will, sealed my legal fate and the financial fate of my family and business. 16 When I accepted the plea agreement, I was well aware that Gregory White and Dennis Will, the two most powerful men in the Federal and State of Ohio Justice Departments, had personal vendettas against me and numerous reasons to want me afraid and silenced. Until these present charges against me, my most serious violations were speeding tickets. I was certain at this point that neither the evidence, my rights nor justice would play an important role on my behalf. This knowledge forced me into mental states that lead me to conclude that I had no other choice than to accept the plea agreement being offered. This Plea made under extreme duress, forced me to admit that I committed crimes that I had not committed. I was also forced to admit to and later testify against Michael Ross about a number of crimes he did not commit. The following critical decisions and actions by officials in the Federal and State Departments of Justice confirms that these powerful individuals were willing to take whatever steps necessary to cover their trails of deceit, cover- ups and blatant misuse and abuse of judicial power and force. A. My first concern and shock came in or around mid 2005, when FBI Special Agent, David A. Lyons and Lorain County investigator, Ralph Gale arrived at my home to officially inform me that I was under investigation by the U. S. Justice Department; an investigation that had already been active since late 2000. Special Agent Lyons posed questions to me about the Erie Shores Computer loan/line of credit with National City Bank. I then posed the following questions to Agent Lyons, whom I had communicated with in person, via phone and in writing since late 2001; what is the status of the $69,000,000 Star Beverage Inc. contract, with the U. S. Navy and what entity,(which Star Beverage firm), has present ownership of this contract? Agent Lyons’ response was; “we knew long ago that this contract was a fraud”. I then asked Special Agent Lyons; what actions had the authorities taken against Dr. Arthur Boyd, (his partner Dr. Merceda Perry had died in 2002), for the FirstMerit Bank/Elyria, March 2000 loan fraud? Special Agent Lyons did not respond to this question. Between late 2001 and mid 2002, I provided Special Agent Lyons critical information and numerous documents that an associate and I had discovered and compiled about financial and related scams that Dr. Boyd had committed, before the March 2000 FirstMerit Bank/Elyria fraud. B. My second concern and shock came in mid 2008, after I instructed my daughter to order a complete copy of my federal criminal case, (1:06cr00148). She was shocked when she was informed that only a portion of my case 17 records were available to me because the other portion had been sealed. My daughter stated that even the lady assisting her with the documents, commented that this was very unusual. C. My third concern and shock came between January and June of 2010, after sending 4 certified letters to National City Bank/PNC Bank requesting a complete copy of the Erie Shores Computer Inc., July 7, 2001, $4,000,000 loan/line of credit documents. After my third certified request, I had received only one of the five requested documents. Since my fourth certified request, I have yet to receive even a response form the bank. It appears that most of the Erie Shores Computer Inc. loan documents, (including the “nigger loan” document), are also sealed. D. My fourth and probably the most serious concern and shock came after I sent a certified letter to the Lorain County Court of Common Pleas Clerk, on February 17, 2010 requesting a copy of the documents, information, motions, depositions and per-trial records of civil case 02CV130469, filed on 10/24/2001 and again on 01/16/2002. This case was initially file in Cuyahoga County Court of Common Pleas; Case # (CV-01-451574) as Plaintiff Arthur Boyd Jr., MD, a shareholder and Arthur Boyd Jr., Individually against Defendants, Star Beverage Inc. DELAWARE; FirstMerit Corporation, FirstMerit Trust Co., Erie Shores Computer Inc., Larry D. Jones, Merceda Perry, M.D. and Richard Buie. Then on January 16, 2002 this suit was transferred to the Lorain County Court of Common Pleas and filed as `Boyd Jr. vs. Star Beverage, Case # 02CV130469. The Lorain County Court of Common Pleas Legal Counsel responded to my request for information and documents on March 8, 2010 and informed me that all evidence and documents including depositions in case 02CV130469 had been destroyed by court order dated December 20, 2007. I had submitted my first written request for this information and documents on November 20, 2007, approximately 26 days prior to self surrendering to federal prison. I received no response or any alert that a document destruction approval order had been given. This court order approval for the destruction of approximately five years, (2001 thru 2005), of critical documents and evidence in civil case 02CV130469, appeared to have been extremely premature and highly unusual. This destruction was also a major blow to any future legal proceedings and actions in the FirstMerit Bank/Elyria, March 2000 bank fraud case and critical evidence in the Erie Shores Computer Inc., 2003 Receivership Case and my federal criminal case. The evidence and information in this case were directly related and connected to and the main reason Arthur Boyd Jr. had been forced into involuntary bankruptcy in 2005 and fraud charges filed against him in federal court on November 12, 2004. The evidence already produced in case 02CV130469, (had the case proceeded to trial), should have been enough for a jury to convict Boyd, Perry and Star Beverage Inc. 18 DELAWARE, in the FirstMerit Bank/Elyria, March 2000 bank fraud. This trial would also have provided critical evidence showing why I had to take extraordinary actions during the 39 month period of inactivity by the Justice Department in this case. These were attempts to protect Erie Shores Computer, (the firm that guaranteed the Star Beverage Inc. DELAWARE loans), from financial disaster. E. My fifth shock came in June of 2010 when I went on line to the Ohio Secretary of State’s web page and the section for, “registered businesses”, in the State of Ohio. I wanted to confirm again, as I had done a number of times between 2002 and 2005, the 8 to 10 firms registered to and by Arthur Boyd Jr. Boyd was the person whom, (had civil case 02CV130469 proceeded to trial), would have had to explain why he had incorporated two,(2) additional, identical Star Beverage firms; one incorporated in February 2000, approximately 45 days prior to the March 2000 loans to Star Beverage Inc. DELAWARE. These two firms were identical to the Star Beverage Inc. DELAWARE firm that had been approved for the two major loans, ($1,600,000 & $400,000), from FirstMerit Bank/Elyria. Between 2002 and 2005, the Secretary of State’s web page listed approximately 8 to 10 firms registered to and by Arthur Boyd Jr. As of June 2010, the Secretary of State’s web page listed no firms registered to or by Arthur Boyd Jr.; therefore indicating that no firms had ever been registered by Arthur Boyd Jr. ******* ******* ******* ******* ******* In the realm of law enforcement, no function of government is more important and essential to this nation than the protection of its citizens from crime. I have always, as a law abiding citizen of this great nation, supported the duties and responsibilities of the Department of Justice, its investigative, prosecutorial, sentencing and incarceration of criminals in a fair and unbiased process. I also believe strongly that The President of the United States, Mr. Barack Obama and The United States Attorney General, Mr. Eric C. Holder, are committed to preserving the rights of all persons, including those accused of a crime and that they also uphold the constitutional protections against arrogant and arbitrary actions, by governmental officials of any sort; especially those in the Department of Justice. I believe the proper way to ensure good procedure by enforcement authorities, is to discipline those who violate the law. I also believe this same discipline should hold true for the unfair and unlawful actions of those employed by the Department of Justice. 19 It is a fact that, at times these very individuals and agencies become overzealous and innocent citizens are caught up in their nets. Unfortunately it is also factual that some who hold these, “all powerful positions” sometimes use their power to settle personal vendettas and grudges. I will always remember Monday, July 17, 2006 when I appeared before Federal Court Judge James S. Gwin, to accept the plea that had been offered. Upon turning to exit the courtroom, I saw U.S. Attorney, Gregory White standing by the only exit in the rear of the courtroom. I had no idea why he was standing there or what I would say or do to him; but by the time I was close enough to touch him, I extended my hand and shook his. U.S. Attorney White, as he accepted my handshake, looked at me, then dropped his head and said; “man, I am sorry”. At that moment, I could think of no response to his apology. I look forward with great anticipation, to these thorough and in-depth investigations, by the United States Attorney General and the Ohio Attorney General offices. I can assure the Attorney Generals and other Justice Officials; I have provided and will continue to provide true and factual information. In addition to this Affidavit, I will also submit to polygraph tests at appropriate times. I am assuming and expecting that all individuals who are now or will become a part of these investigations will also submit to polygraph testing. Affiant further sayeth naught _________________ LARRY D. JONES A United States Citizen SWORN TO BEFORE ME and subscribed in my presence this 14th day of February, 2011. __________________ Notary Public 20
"Affidavit To Attorney General Businessman Journey"