As part of their insider trading accusations against Sen. Tony Rand, two former directors at Law Enforcement Associates say they gave federal regulators a list of investors who owned stock in the company during 2004-2005, when the share price surged from pennies to more than $12.
The ousted LEA executives, Paul Feldman and Martin Perry, claimed that the names of about 50 politicians and elected officials are on the list of more than 800 investors. Rand, who has served on the board of directors at LEA since 2003, says fewer than a dozen North Carolina politicians are on the list, depending on how you define politician.
Rand also confirmed that Fayetteville car dealer Robert F. Bleecker was an LEA investor.
Though not a political figure, Bleecker's investment is of note because he was called to testify before the State Board of Elections in October about a 2000 model GMC Yukon he provided to then-Gov. Mike Easley for little more than a handshake and a promise to pay for it later. Easley didn't pay for the car until this year, after The News & Observer wrote about the vehicle.
Rand also confirmed that he drives a Dodge provided by Bleecker. Rand said he receives the vehicle as compensation for serving on the board of directors for Bleecker's dealerships.
Easley was also an LEA investor, and Gov. Bev Perdue's spokeswoman has said Perdue owned a small amount of stock in the company, which was founded by a former GOP legislator, Sen. John Carrington of Wake County.
Rep. Margaret Dickson, a Cumberland County Democrat, disclosed on an ethics statement that she owns more than $10,000 in LEA stock.
Lyndo Tippett, Rand's accountant and former secretary at the state Department of Transportation, said Thursday that he bought 40,000 shares of LEA in 2002 and that he sold a portion of it in January 2005, when the stock was at its peak.
Perdue hosts inmates
Gov. Bev Perdue is taking flak over an annual holiday party for the inmates who work at the Executive Mansion.
WTVD-TV first reported that Perdue appeared at a holiday party at the mansion in which a group of 18 to 20 inmates, some convicted of murder, were in attendance.
The festive event is in contrast to Perdue's tough talk over a different group of inmates who are seeking release from their life sentences. Perdue has said those inmates, lifers convicted of violent offenses, are a danger to society.
"The important distinction is that the governor supports the system that reviews an inmate's record and makes a determination about his or her readiness to re-enter society," Perdue spokeswoman Chrissy Pearson told Dome. "The court rulings would have allowed these people out without that review."
In October, two inmates got into an altercation at the mansion, Pearson said. They were immediately removed and have not been back.
"The trusties who work with the mansion are heavily supervised. They go through a rigorous selection process before they even get there," Pearson said. "Their presence at the mansion is a part of their rehab. They are learning important skills."
The inmates have been helping with the holiday season tours of the mansion, Pearson said. The tradition of throwing a party to thank the inmates for their work started in the 1980s.
The event didn't cost taxpayers anything. During the year, the mansion is available for private receptions, and fees from those events paid for the party.
Butterfield at U.N. talks
U.S. Rep. G.K. Butterfield, a Wilson Democrat, was in Copenhagen for the U.N. Conference on Climate Change.
Butterfield joined the U.S. congressional delegation because he is vice chairman of the subcommittee on energy and the environment within the Committee on Energy and Commerce.
By staff writers Michael Biesecker, Benjamin Niolet and Barbara Barrett.
