Alabama: Jury Deliberates

Gambling corruption trial: Case goes to jury
Written by Sebastian Kitchen

The fate of VictoryLand owner Milton McGregor and eight co-
defendants accused of conspiring to bribe state lawmakers to pass gambling legislation is now in the hands of 12 jurors.

The jury began deliberating about 4 p.m. Friday after prosecutors and defense attorneys finished their closing arguments, and after U.S. District Judge Myron Thompson gave the jury its instructions about what must be proved to find the defendants guilty of the 37 different counts in the indictment.

The jury foreman, in a note to the judge, indicated the jury, which has been ordered sequestered throughout its deliberations, would meet today and Sunday.

The jury began deliberating after listening to two months of testimony from 18 witnesses including FBI agents and several current and former state legislators.

Three of those lawmakers, Sen. Scott Beason, former state Rep. Benjamin Lewis and Rep. Barry Mask, cooperated with the FBI and secretly recorded conversations.

The jury also heard from three people who have already pleaded guilty, Country Crossing developer Ronnie Gilley and two of his lobbyists, Jarrod Massey and Jennifer Pouncy.

The other defendants are lobbyists Tom Coker and Bob Geddie; state Sens. Quinton Ross of Montgomery and Harri Anne Smith of Slocomb; former state Sens. Larry Means of Attalla and Jim Preuitt of Talladega; former Country Crossing spokesman Jay Walker; and former legislative analyst and attorney Ray Crosby.

The charges against the defendants include conspiracy, bribery, extortion, honest services fraud and obstruction of justice. They were all allegedly involved in an effort to use bribery and extortion to pass legislation that, if approved by the Legislature and voters, would have allowed VictoryLand, Country Crossing and other casinos in the state to stay open.

Thompson told the jurors that the defendants must be guilty beyond a reasonable doubt and "of such a convincing character that you would be willing to rely on it" to make important personal decisions.

Thompson said that politics, gender, race and other characteristics should not be a factor.

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'Bowels of hell'

Susan James, attorney for Walker, acknowledged Friday that jurors and others watching the corruption trial have "seen deals conceived in the bowels of hell," but they were made by people who have pleaded guilty and not the nine remaining defendants. James delivered the final of nine closing arguments for the defendants.

James was referring to Gilley, Massey and Pouncy, who have admitted to conspiring and bribing state legislators to support gambling legislation.

James said Gilley, Massey, and Pouncy would do "whatever it takes to please the United States government" to lessen their sentences. She said their testimony is currency toward their freedom.

'McGregor iron curtain'

On Friday morning, Feaga delivered the final arguments to the jury after three days of closing arguments.

Feaga pointed to the actions of the nine defendants and said they committed bribery and extortion in their desperation to pass legislation that meant millions to casino owners including McGregor.

In talking about the money involved, Feaga reminded the jury that VictoryLand went from reporting $40 million in income in 2009 to losing $4.5 million in 2010.

Feaga said the corruption started in 2009 when McGregor and Gilley, who was struggling financially, entered into a contract that led McGregor to loan about $13 million to Gilley.

He said McGregor's attorneys have said it was a consulting agreement and that McGregor had no ownership in Country Crossing.

"They call it the consulting agreement. ... We call it the conspiracy agreement," Feaga said.
Feaga said McGregor, after loaning money to Gilley, would have received 20 percent of the profits in perpetuity.

Whether McGregor is a consultant or an owner, Feaga said "you've got a strong financial interest in that facility down there."

Feaga, drawing on a large map of the state of Alabama, also talked about the "McGregor iron curtain" with him positioning his casinos along interstates near major population areas in the state to attract that traffic. Feaga showed there were no casinos west of those McGregor operated in Macon and Jefferson counties and said McGregor fought any competition that would have stopped business between him and Atlanta.

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Feaga had a secretly recorded conversation replayed between Gilley and casino owner Rick Graham, who wanted to open a casino in Piedmont. Graham said McGregor fought him opening a casino in Piedmont because it would compete with his business.

McGregor's attorneys have said McGregor never offered anything to a legislator in exchange for their vote, but supported lawmakers who supported his agenda.

'Ain't paying you'

Walker, in a conversation played in court, told Massey that he told Preuitt he would have a poll done for him and said he expected the senator to vote for the gambling legislation. Attorney Susan James, who represents Walker, said her client had worked on political campaigns in Georgia and was trying to get into political consulting in Alabama.

Feaga argued the campaign help was a bribe.

The prosecution has alleged Gilley was paying Walker either directly or through a third party that was an investor in Country Crossing. To try to disavow that Gilley was paying Walker, James had a conversation between Gilley and Walker that was secretly recorded by the FBI played again in court.

"I don't know how you're being funded right now. I know we ain't paying you
s--," Gilley said to Walker.

Feaga said, as a spokesman for the development who Gilley sent to meet with Preuitt, that Walker is "doing (Gilley's) bidding."

"It is pretty clear that the money that was coming to him has its genesis with Ronnie Gilley," Feaga said.

Pouncy said she offered Preuitt $2 million in help for his campaign, but had difficulty on the witness stand remembering exactly when the meeting was and said there was a possibility Preuitt did not hear her because he quickly changed the subject.

Feaga said Preuitt changed his vote after he received the offers of help with his campaign.

Attorneys for Preuitt have said he never agreed to accept anything or take any action in exchange for his vote. They point to Gilley saying the senator told him he did not want his money and funded his own campaigns.

'Should be out'

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Lewis Gillis, an attorney for Ross, said Friday evening that they felt good about the case and felt that the evidence demonstrated that Ross should be found not guilty on all of the counts against him. He said they felt Ross should have been out of the case after Feaga said on Friday that they were not tying 2009 contributions to the conspiracy.

Gillis, as he argued to the judge, said Ross never received any contributions from McGregor, Gilley or Massey in 2010 so he did not know how there were bribery, extortion and conspiracy charges against Ross for 2010. Ross is accused of pushing aggressively for campaign contributions leading up to the vote on the gambling legislation.

Gillis argued, as he said was verified by witnesses, that Ross never talked about his vote or any other action when discussing the contributions.

"Really, we should be out of the case as opposed to having to sit there," he said.

Successful case

James said that the government has spent a lot of time and resources on this case, but she told the jurors they could consider the case successful because the prosecution "got three convictions."

"I am going to urge you that they got the bad guys and ... let these people go home with their families," James said.