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Posted: Tuesday, 01 July 2008 8:02PM

FBI Investigation Surprises Council Members




Detroit (WWJ/AP)  -- Detroit City Councilwoman Barbara Rose Collins says its sad that council may be involved in corruption.  She says in 40-years in office, she's never sold a vote for money or favors.  And Councilwoman Martha Reeves said she didn't know anything about the investigation.

Meantime, an executive with the Texas-based waste treatment company, Synagro Technologies has been suspended as part of a federal investigation into a $47 million sludge recycling contract with the city.  The Detroit News and the Free Press reported Tuesday that market development vice president, James Rosendall of Grand Rapids had been suspended by the company.  

 

The company also said it suspended its contract with Detroit developer Rayford Jackson, who had worked as a consultant in the sludge recycling deal approved last November by the Detroit City Council. Synagro general counsel, Alvin Thomas II told the Free Press that
they're trying to learn the whole situation and are trying to get their arms around it.

Rosendall is being investigated as part of an FBI probe into the Detroit City Council's 5-4 approval of the deal.  Council President Ken Cockrel Jr. confirmed Monday to his colleagues that he was questioned by the FBI for 90 minutes last Wednesday. Cockrel also said John Clark, his chief of staff, resigned that same day.  Rosendall cooperated with the FBI by making a videotaped payment to Clark, the News reported, citing people it didn't name.

Cockrel said he is not being investigated and was not aware of the scope of the probe.
Rosendall and Jackson had lobbied council members on the contract.  Jackson's attorney, Richard H. Morgan Jr., would not confirm or deny that the FBI had spoken with his client.
``I don't know why people are fixated on Mr. Jackson,'' Morgan told The Associated Press on Tuesday. ``He is not cooperating with the FBI. He has nothing to cooperate about. If Mr. Jackson was really the target of an investigation, the FBI wouldn't be trying to talk to him. They would be trying to talk to everybody around him.''


The Houston company promotes itself on its Web site as the nation's largest recycler of non-hazardous materials created by industrial or municipal operations in the treatment of water or wastewater.  Synagro serves more than 600 facilities in 33 states, with revenues topping $320 million about two years ago, according to its Web site.


Copyright 2008 Associated Press and WWJ Newsradio 950. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
 
 
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