Bo Lineberry

An attorney at Birmingham's embattled Balch & Bingham law firm committed suicide yesterday, adding a sad and shocking turn to reports of a possible federal investigation related to the North Birmingham Superfund bribery case. William Dice "Bo" Lineberry reportedly played a central role in setting up a financial entity that was at the heart of the Superfund scandal. From a report at banbalch.com, under the headline "Attorney Commits Suicide; Federal Investigation Rocks Balch and Southern Company; Crosswhite Out?" Writes Publisher K.B. Forbes:

Federal Judge Abdul K. Kallon resigned a week ago. Last Thursday, two Assistant U.S. Attorneys allegedly resigned, now sources told us and we confirmed this morning that Balch & Bingham partner William Dice Lineberry, known to many as “Bo,” committed suicide early yesterday.

Lineberry was the Balch lawyer who helped set up the money laundering entity Alliance for Jobs and the Economy (AJE) in the North Birmingham Bribery Scandal.

Former Balch partner Joel I. Gilbert and ex-Drummond executive David Roberson were convicted in the scandal and are currently in federal prison.

Hours after the suicide, Balch updated Bo Lineberry’s profile with an “in memoriam” and simply mentioned Lineberry had “passed away.”

We, the CDLU, set aside our differences, and extend our deepest sympathies to the Lineberry family and Bo Lineberry’s colleagues at Balch & Bingham during this very difficult and sad time.

Sources tell Legal Schnauzer that Lineberry attempted suicide at an unknown time in the hours prior to yesterday morning. He was transported to a local hospital and removed from life support early Tuesday.

Balch was at the center of the North Birmingham matter, but the case's impact goes well beyond the law firm's walls, Forbes writes:

In June of 2019, investigators in Washington, D.C. told us that Balch was not the problem but that Alabama Power was, due to the bottomless resources at their command. Now, this last fall, sources told us Mark A. Crosswhite, the Chairman and CEO of Alabama Power and former Balch partner, was the alleged target of this obstruction of justice probe.

Tom Fanning, the Chairman and CEO of Alabama Power’s parent company Southern Company, appears to have let their most profitable subsidiary do what they want with impunity.

Will Fanning lead by example and force Crosswhite to resign or retire?

The Three Stooges (Balch, Drummond, and Alabama Power) appear to have manipulated federal prosecutors during the North Birmingham Bribery Trial.

And CDLU’s three letters with documentation to the Office of Professional Responsibility at the U.S. Department of Justice in late 2019 and early 2020 apparently spurred a much-needed federal investigation.

The rebirth of the North Birmingham Bribery Scandal appears to be sweeping and strong, with three federal resignations and, sadly, a suicide.

Who and how many of the Three Stooges’ lackeys and alleged co-conspirators will be held accountable?

Lineberry's suicide likely stands as the most shocking incident in a string of troubling events related to the North Birmingham matter. But the scandal, whether it's in criminal or civil court, seems to keep growing, leaving this question: What will turn up next, and will someone (or some entity), ultimately, bring the corruption -- long tied to Alabama's business, legal, political, law-enforcement, and judicial communities -- to an end? Writes Forbes today:

The JeffCo Medical Examiner confirmed moments ago that they have Lineberry’s body,  and a detailed report will be issued in four to six weeks.

For years we have used the word “carcasses” figuratively to describe all the individuals who have been fired, arrested, or soiled by their relationship with Balch and/or their sister-wife Alabama Power.

And now someone has killed himself. A father. A husband. A respected lawyer.

Heartbreaking. Tragically heartbreaking.

Julian Lewis

Georgia has reached a record settlement in the state-trooper shooting death of an unarmed black man. The Atlanta law firm of  Hall and Lampros represented the family of Julian Lewis in the $4.8-million pre-lawsuit settlement. From a report at the Macon Telegraph:

Julian Lewis, a 60-year-old unarmed Black man, was driving his Nissan Sentra to a store after work to pick up an orange soda for his wife when he was shot and killed by a Georgia state trooper in 2020, according to state investigators.

Now his widow will get $4.8 million.

The state of Georgia agreed to pay Betty Lewis before she took the case to court, making it the largest pre-litigation settlement in state history dating back to 1990, the law firm of Hall & Lampros LLP said in a news release. Betty Lewis’s lawyers said they were readying to sue the former trooper, the Georgia State Highway Patrol and related officials before reaching a settlement through mediation.

“Our hearts grieve for Betty Lewis, who lost her Golden Years with her husband because of unwarranted and unnecessary deadly force during what should have been a routine traffic stop,” attorney Andrew Lampros said in the release. Lampros added the “events of that August night should never have happened,” calling it “unconscionable".

What led to the shooting death of Julian Lewis? An alleged broken taillight. From the Telegraph: 

According to the law firm, Julian Lewis was driving to the store on Aug. 7, 2020, when a state trooper activated his blue lights to pull him over for a broken taillight. Lawyers said investigators later determined neither of his taillights were “in a condition to justify probable cause for a stop.” The Georgia Bureau of Investigation identified the trooper as Jacob Gordon Thompson, who is white and was 27 years old at the time.

Investigators said Thompson tried to pull Lewis over on Stoney Pond Road in Screven County, which stretches less than two miles through farmland and woods in rural southeast Georgia. Screven County sits on the border with South Carolina, about 78 miles northwest of Hilton Head. According to an initial news release dated one day after the shooting, Thompson intended to stop Lewis for a traffic offense but “the car refused to stop and led the trooper on a brief chase down several county roads.”

Lawyers for Betty Lewis said it is believed her husband was trying to “drive toward a more familiar area where he knew other people would be present” and that he turned on both his turn signals as a sign of acknowledgment to the trooper. Thompson then used what’s known as a Precision Intervention Technique, or PIT maneuver, to stop the Nissan, investigators said. The trooper hit Lewis with enough force to spin his car in the opposite direction before coming to rest in a ditch, according to the widow’s attorneys and the GBI.

“Less than two seconds passed from the time the trooper opened the door to his vehicle and fired a shot that killed 60-year-old Lewis instantly,” attorneys said, citing testimony from state investigators. Thompson fired one round. Lewis was pronounced dead on the scene, state investigators said.

The suicide last week of  Balch & Bingham attorney Bo Lineberry was a stunning and perhaps telling event in the years-long effort to unwind apparent scandal in the Alabama corporate, legal, judicial, and law-enforcement worlds. Where does attention turn next? Ban Balch Publisher K.B. Forbes provides clues, under the headline "After Suicide, National Media and Feds Zero in on Alleged Obstruction and “Criminal Concealment;” RICOs Coming?" The sub-headline -- "Suicide. Resignations. Internal turmoil. Corporate strife" -- provides insight into the unrest that seems to be roiling elite circles in Birmingham and beyond. Writes Forbes:

Since November, Birmingham is seeing what appears to be the collapse of the house of marked cards allegedly propped up by the deep resources of Alabama Power. The Three Stooges (Balch & Bingham, Drummond, and Alabama Power) have seen their dominance stumble.

High-level sources told us in late October that Mark A. Crosswhite, the Chairman and CEO of Alabama Power and a former partner at embattled law firm Balch & Bingham, was an alleged target of an obstruction investigation. 

Federal Judge Abdul K. Kallon resigned along allegedly with two Assistant U.S. Attorneys earlier this month, while Balch partner Bo Lineberry committed suicide last week.

What enormous pressure and worry caused Lineberry to end his life? Was he facing unbearable consequences? Was there an offer on the table that was too brutal for Lineberry to accept?

Seasoned law enforcement authorities tell us the Lineberry suicide spoke volumes about the depth and seriousness of the alleged federal probe.

Attention appears to be spreading beyond Alabama. Writes Forbes:

Now national media are focused on the alleged unsavory and criminal misconduct and alleged abuse of power surrounding the North Birmingham Bribery Scandal and the Office of the U.S. Attorney for the Northern District of Alabama. once run by disgraced ex-U.S. Attorney Jay E. Town, who resigned in 2020.

Concurrently, federal investigators are allegedly looking at obstruction of justice and accusations of “criminal concealment.”

In what looked like sheer panic with the rebirth of the North Birmingham Bribery Scandal, the illustrious Mark White, Mark Crosswhite’s go-to criminal attorney, fumbled the ball and showed how concealment appears to be part and parcel of the work product and a standard operating procedure of the Three Stooges and their hired guns.

As we reported about the “Tale of Two Marks” in January of 2021:

[Alabama Power’s] team of attorneys at White, Arnold, & Dowd, led by white-collar criminal attorney Mark White, filed an avalanche of court pleadings in December [2020] at the courthouse office, over the counter as if it were 1950 not 2020. (We wonder if Mark White still uses a rotary phone, stencil duplicator, and Royal typewriter.)

The delay and “hiding the goods” tactic failed. The paper court pleadings were [immediately] scanned and uploaded by the clerk to Alacourt where we, the CDLU, were able to download them.

Concealment might be an unfamiliar legal term to the general public, but it seems to be central to the unfolding Birmingham story:

Concealment has been a consistent element.

• Concealment was discovered in January when Alabama Power’s multi-million-dollar secret contracts (no invoicing required)with obscure political consulting firm Matrix and its founder “Sloppy Joe” Perkins were exposed.
• Attorneys for “Sloppy Joe” attempted to call the secret contracts“trade secrets” and sent worthless demand letters to an environmental group and blog that published the concealed million-dollar agreements.
• Allegations of non-disclosure and concealed indemnity agreements tied to Alabama Power and Balch have swirled since 2017.
• Absolute concealment was achieved when ex-Drummond executive David Roberson’s $75-million civil lawsuit was sealed in its entirety in the Winter of 2021 in an attempt to hide alleged criminal misconduct. The secretive Star Chamber does not allow anyone to follow or read proceedings in the case.
• The conservative Alabama Supreme Court reinstated Balch as a defendant in Roberson’s civil case this past February. Bloomberg reported that Balch must face fraud claims due to“misrepresention and concealment.”
• Balch terminated an alleged pedophile months before he was arrested for soliciting a child online. Ex-Balch attorney Chase T. Espy had worked at the embattled firm for eight years. He then went on to work briefly for Alabama Governor Kay Ivey when he was arrested and immediately fired last August. What caused Balch to fire Espy? What did Balch conceal from the public and the governor regarding Espy?

The biggest concealment appears to be Alabama Power’s alleged secret deal during the North Birmingham Bribery Trial in which the company was “unmentionable” during the trial and criminal defense attorneys allegedly had to clear any mention of Alabama Power with Mark White.

The federal statute of limitations for obstruction of justice is five years. The timing of the alleged federal investigation makes sense. The trial happened in July of 2018. The statute would expire in the summer of 2023.

Those aren't the only worries likely knocking around Birmingham board rooms. Writes Forbes:

Now Alabama Power and their sister-wife Balch & Bingham appear to have even bigger issues coming.

If obstruction of justice indictments are handed down and/or alleged criminal information is disclosed related to the alleged federal probe and the Matrix Meltdown, expect a federalcivil RICOlawsuit or two against Balch, Alabama Power, and others.

The first civil RICO lawsuit will be based on the Newsome Conspiracy Case, a travesty of justice in which an innocent man, Burt Newsome, was allegedly targeted, falsely arrested, and defamed by Balch in an attempt to steal his law practice providing legal services to banks.

Newsome was arrested by a cop who was the son of a now-retired Alabama Power executive. Ex-U.S. Attorney Jay E. Town allegedly blocked four investigations related to the Newsome Conspiracy Case.

Another, separate civil RICO lawsuit could be filed on behalf of “fall guy”and ex-Drummond executive David Roberson.

Either way, the Three Stooges and their defenders are exposed in the open no matter how many concealed deals, secret smear campaigns, or Star Chambers they create.

K.B. Forbes

Alabama might be entering an era where the public corruption that has plagued the state for decades might finally be held to account. That we've reached such a point owes largely to a Birmingham-based public charity and its CEO, K.B.. Forbes, writing at the blog .banbalch.com, reports former attorney/banker/entrepreneur Donald Watkins.

How toxic has Alabama's corporate, political, and legal environment become? Watkins states that bad actors have "targeted for destruction" three online journalists who have reported widely on corruption -- Forbes, Watkins, and me (at this blog, Legal Schnauzer).  That doesn't count Shelby County attorney Burt Newsome, who was targeted for a head-on vehicle crash that appears to have been deliberately staged -- or Newsome client and former Drummond Company executive David Roberson, who had someone shoot into his vehicle while he was driving on U.S. 280.

Where might an apparent federal investigation be headed? It's probably too soon to say, but Watkins hints that more stunning events could lie ahead. That might include the resignation of a second federal judge in the Northern District of Alabama, accompanied by curious circumstances like those that  trailed the recent surprise resignation of U.S. Judge Abdul Kallon.

If accountability does come to pass, it apparently will be driven largely by non-traditional journalism, with Forbes blazing the trail. Writes Watkins:

As Alabamians, we all owe Kevin B. Forbes, co-founder and chief executive officer of Consejo de Latinos Unidos (CDLU), a great debt of gratitude. CDLU is a nationally recognized consumer healthcare advocacy group that exposed and helped to bring to an end hospital price gouging of uninsured patients. More recently, Mr. Forbes and CDLU have turned their attention to cleaning up ingrained corruption in the U.S. Attorney's office and U.S. District Court for the Northern District of Alabama, which is headquartered in Birmingham, Alabama (USA).

Mr. Forbes has authored nine investigative reports, spurred three Congressional hearings, and worked coast to coast to improve healthcare for all. His written complaints to the U.S. Department of Justice have succeeded in shining a much-needed spotlight on out-of-control public corruption in the Northern District's "rigged" criminal justice system. This time, criminal investigators in Washington, Georgia, and Florida are moving to curb it.

Born and raised in California, Forbes once taught English as a second language to working Latino students at a post-Secondary vocational school near Watts, South Los Angeles, California. As the son of a Latino immigrant, Mr. Forbes is fluent in Spanish. He has lived in Chile and Mexico.

Corruption in Alabama largely has gone unchecked. But the CDLU and Forbes have ushered in a new culture, Watkins writes:

On December 4, 2019, Forbes and CDLU launched a three-year long fight in Washington against public corruption in the U.S. Attorney's Office for the Northern District of Alabama. His unrelenting anti-corruption campaign is now bearing fruit that will benefit Alabamians and the nation for decades to come.

As a direct result of Mr. Forbes' and CDLU's courageous anti-corruption campaign, we have seen the following stunning turn of events that threatens to jail Alabama's most powerful political, business, and political figures:

Watkins then cites eight major incidents that were largely tied to Forbes' reporting at banbalch.com:

(1) The abrupt midnight resignation of U.S. Attorney Jay Town in 2020 after photographs taken in 2017 showed an ethically compromised Town chugging down cocktails with Alabama Power Company CEO Mark Crosswhite during the height of his office's criminal investigation into allegations of bribery and corruption that was linked directly to Alabama Power, former state Rep. Oliver Robinson (D-Birmingham), the Drummond Company, and the law firm of Balch & Bingham. The goal of the bribery scheme was to defeat an initiative by the U.S. Environmental Protection Agency (EPA) to add a predominantly black neighborhood in North Birmingham as a Superfund clean-up site. Alabama Power provided $30,000 of the money that was used to bribe Rep. Robinson. At least 21 Balch attorneys played some part in the bribery scheme, as well. Yet, neither Alabama Power, nor Crosswhite, nor none of Balch's 21 participating attorneys, nor Drummond Company CEO Mike Tracy was charged in the bribery scheme. Over the objection of honest federal law enforcement officials in Birmingham, Jay Town shut down the bribery and money laundering investigation after meeting with Crosswhite. Only one "fall-guy" from Drummond and one from Balch were indicted, tried, and convicted, along with Robinson, who pleaded guilty. Borrowing a page from a 1980 RICO conspiracy, bribery, and fraud case in Birmingham federal court that was "fixed" to benefit executives at Alabama Power and the Drummond Company, Jay Town steered the North Birmingham Bribery case away from Mark Crosswhite and Mike Tracy and was rewarded with a cushy, high paying general counsel's job that U.S. Sen. Richard Shelby (R-Alabama) arranged for him with Huntsville-based defense contractor Gray Analytics after his resignation.

(2) The demotion of Jay Town's handpicked First Assistant U.S. Attorney Lloyd Peeples in 2021, who has burrowed himself into the Office as the head of its Criminal Division. Peeples is a failed Homewood, Alabama, pizza restaurant owner with a dismal record on operating businesses and a documented history of hostility towards blacks and women. Despite his failure as a businessman, Jay Town had Peeples running the multi-million dollar U.S. Attorney's office on a day-to-day basis while Town drew a full-time salary for ceremonial work.

(3) The 2021 meltdown of perennial political "dirty tricks" artist Joseph Perkins, Jr., and his PR firm, Matrix, LLC. In September of 2021, former Matrix CEO Jeff Pitts filed a lawsuit against Perkins in Florida alleging, for the first time in public, that Perkins engaged in (a) extortion, (b) abuses of the legal process in Alabama, and (c) an ongoing racketeering enterprise. Perkins, who is a confessed federal lawbreaker, has handled Alabama Power's "dirty tricks" operations on an outsourced basis for nearly two decades. Perkins and his companies are under a multi-agency and multi-state multiple law enforcement investigation that began in Florida. Alabama Power has historically funded Perkins and his entities using secret contracts that paid Perkins tens of millions of dollars, "without invoicing." Perkins' work as a "dirty tricks" operator is notorious and has garnered him lucrative contracts with Auburn University, Georgia Power Company (Atlanta), and the Southern Company (Atlanta) that deliberately obscure the nature of his work.

(4) The abrupt resignation of U.S. District Court Judge Abdul K. Kallon on April 5, 2022. Kallon presided over the 2018 North Birmingham Bribery Trial involving Oliver Robinson, Drummond Company executive David Roberson and Balch partner Joel I. Gilbert, which portrayed Roberson and Gilbert as "lone wolves" in the bribery scheme. Kallon's resignation comes as federal investigators are probing obstruction of justice charges in the North Birmingham Bribery Trial.

(5) The unexpected "retirement" of Drummond CEO Mike Tracy. Drummond is Alabama Power's longtime coal supplier for its dirty coal-fired power plants like the one Alabama Power operates at the Miller Steam Plant in Jefferson County, Alabama. This plant is the Number One air polluter in America. Tracy personally approved payments to two ethically-conflicted consultants who lobbied the Alabama Department of Environmental Management (ADEM) to officially oppose the EPA clean-up initiative in North Birmingham. To conceal these payments from EPA officials and the public, Balch & Bingham General Counsel Blake Andrews paid these consultants directly and was later reimbursed by Drummond with Mike Tracy's expressed blessing. To the consternation of honest law enforcement investigators, Jay Town made sure Mike Tracy and Blake Andrews were not indicted or prosecuted for their roles in the bribery scheme.

(6) The April 2022 suicide of Balch & Bingham lawyer, William Dice Lineberry. Mr. Lineberry was the lawyer who helped set up the money laundering entity "Alliance for Jobs and the Economy" (AJE), which was the entity that was used to: (a) receive corporate donations from willing participants in the bribery scheme and (b) funnel over $360,000 in bribery money to Oliver Robinson.

(7) The April 7, 2022, resignations of two Assistant U.S. Attorneys in Birmingham with reported connections to the Office's investigation of the North Birmingham Bribery Scandal.

(8) The reported designation of Alabama Power Company CEO and ex Balch partner Mark A Crosswhite as a "target" of a multi-state federal probe into charges of RICO conspiracy, bribery, and obstruction of justice. Federal investigators are also probing the relationship between Southern Company CEO Tom Fanning and Mark Crosswhite. At Fanning's request and without any prior notice to Alabama Power ratepayers or its state and federal regulators, Crosswhite funneled tens of millions in "bailout money" from Alabama Power's coffers to the Southern Company for a boondoggle nuclear power plant in Mississippi that: (a) the Southern Company is constructing, (b) has been grossly over budget for more than a decade, and (c) is not intended to provide any electricity for Alabama Power's customers. An earlier probe into this matter by the U.S. Securities and Exchange Commission was reportedly "fixed" by Sen. Richard Shelby with senior SEC officials in Washington to extricate Alabama Power and the Southern Company from civil and criminal exposure for this secret and unlawful diversion of Alabama Power's ratepayer funds.

Watkins quickly adds that a number of "open questions" remain on the table:

There are open questions as to whether Joe Perkins is cooperating with federal authorities in the new multi-state probe. Perkins reportedly possesses "dirty secrets" files on compromised public officials and regulators who may have accepted laundered campaign contributions and other "things of value" in exchange for taking official action to help Alabama Power Company, Georgia Power Company, and the Southern Company sustained their respective business monopolies.

Because of the number of individual culprits and corporate entities involved and the scope of Perkins "dirty tricks" operations, it appears that federal investigators are considering a potential RICO charge against the principal participants.

Additionally, at least one more federal judge in Birmingham may be implicated in the criminal probe and may be forced to resign.

Forbes' role goes beyond journalism. As head of a public charity, he also engages in advocacy -- and that has helped bring a national focus to problems in Alabama. Writes Watkins:

Mr. Forbes and CDLU sent letters to the Office of Professional Responsibility (OPR) at the U.S. Department of Justice on December 4, 2019, January 9, 2020, and January 29, 2020 that detailed widespread and credible allegations of public corruption and obstruction of justice spearheaded by Jay E. Town while he served as U.S. Attorney and Lloyd Peeples served as his First Assistant U.S. Attorney. [Click here to view Forbes'12/4/19, 1/9/20 and 1/29/20 letters to OPR.]

Both Jay Town and Lloyd Peeples have checkered backgrounds. Yet, they were warmly received in the Birmingham federal courthouse that served as the citadel for formal FBI COINTELPRO operations in Alabama, from 1956 to 1972, and informal COINTELPRO activities from 1972 to the present.

This is the same Birmingham federal courthouse where former Chief U.S. District Court Judge Frank McFadden reportedly "fixed" the 1980 "Coal Fraud Trial" case against Alabama Power Company chief financial officer and Drummond Company director Walter F. Johnsey, Drummond Company CEO Gary Neal Drummond, state senator Joe Fine, and four other defendants, all of whom were charged with operating an ongoing criminal racketeering enterprise. Lead prosecutor Broward Segrest would later explain how and why the case was "fixed." Segrest's account of how and why McFadden "fixed" the case for Alabama Power and Drummond was subsequently confirmed by former Blount, Inc., CEO and Republican gubernatorial candidate Winton Blount III, and another high level executive at Blount, Inc. After "fixing" the case for Alabama Power and Drummond, McFadden resigned and was promptly rewarded with a job as general counsel at Blount, Inc.

This appears to be the same playbook that was used in the North Birmingham Bribery Scheme. After the case was allegedly "fixed," Jay Town resigned and was rewarded with a cushy, high-paying job as general counsel at Huntsville-based Gray Analytics.

Does exposing Alabama corruption come with risks? Yes, it does -- as we know firsthand. Writes Watkins:

The only Alabama media organizations to investigate and publish news articles on the chokehold that Alabama Power Company, Drummond Company, Balch & Bingham, Joe Perkins, Matrix, and Senator Shelby have on federal law enforcement agencies and federal judges in Alabama have been Kevin Forbes and CDLU, Roger Shuler and his online publication, Legal Schnauzer, and www.donaldwatkins.com.

Despite his status as a confessed federal lawbreaker, Joe Perkins is the "hunting buddy" of Sen. Shelby and Chief U.S. District Court Judge Scott Coogler (Birmingham). It is unclear as to who picks up the tab for these hunting excursions.

Mr. Forbes, CDLU, Mr. Shuler, Legal Schnauzer, and I have been targeted for destruction by this band of culprits. Joe Perkins' handwritten notes outlined his plan to destroy me and was published on this news site in September of 2021. 

Note that Alabama mainstream publications have been largely absent on these stories. But Watkins hints that national news outlets might pick up the slack -- and he provides a much-deserved hat tip to K.B. Forbes and his public charity:

    A grateful public thanks to Kevin B. Forbes and CDLU for the courage and tenacity they have shown     in rooting out the ingrained corruption in the U.S. Attorney's Office and the U.S. District Courthouse     for the Northern District of Alabama. The job is not finished, but substantial progress has been made     in eradicating this corruption.

    The Washington Post, which reported on "Alabama's Watergate" on April 3, 1977, now has a chance     to report on the floodgate of public corruption at the highest level of federal law enforcement in           Alabama 45 years later. At www.donaldwatkins.com, we will do our part to support Mr. Forbes, CDLU, Roger Shuler, and Legal Schnauzer.

Donald Watkins

A panel of appellate judges will hear oral arguments in Montgomery this morning in the criminal case of longtime Alabama attorney, banker, and entrepreneur Donald Watkins. The hearing is set to begin at 9 a.m. at the Frank M. Johnson Jr. Federal Courthouse in downtown Montgomery. It is expected to last about one hour and is open to the public. Watkins wrote about the appeal recently at his Web site. Long known for his outspoken manner, Watkins does not mince words on this occasion:

Three years ago, I was railroaded and convicted in a U.S. District Court in Birmingham, Alabama (USA) on trumped up wire, mail, and bank fraud charges. On Tuesday, April 26, 2022, a three-judge panel of the U. S. Court of Appeals for the 11th Circuit is scheduled to hear the appeal in my case.

The hearing will begin at 9 a.m. CST at the Frank M. Johnson, Jr., Federal Courthouse in downtown Montgomery, Alabama. It is open to the public.

[Click here to read the Watkins Opening Brief, the Government's Responsive Brief, and the Watkins Reply Brief in the 11th Circuit U.S. Court of Appeals.]

USA v. Donald V. Watkins, Sr., and Donald V. Watkins, Jr., is the first case listed on the Court's docket for April 26th. The Court will hear legal arguments from attorneys representing my son, Donald V. Watkins, Jr., and and me, as well as the Government. The arguments are expected to last one hour.

I am represented in the appeal by Montgomery, Alabama, attorney, Mark Englehart, who is a true friend and remarkable human being. Attorney Englehart sat by my side thronughout my entire three-week trial in 2019. He has one of the best legal minds in the nation and is a brilliant appellate lawyer.

Watkins provides a summary of the difficult path he and his son have followed since their convictions:

Donald, Jr., was found "Not Guilty" of bank fraud charges, but "Guilty" of a conspiracy charge to commit wire and mail fraud. He was sentenced to 27 months in a prison camp and was released last year.

I received 60 months in prison. I was denied an appeal bond by U.S. District Court Judge Karon O. Bowdre and entered prison on August 28, 2019.

On April 14, 2020, the Federal Bureau of Prisons (BOP) executed an agreement to transfer me to home confinement, but this transfer was blocked by Birmingham federal prosecutor Lloyd Peeples. Peeples feverishly lobbied the FCI Talladega Warden, the BOP's Central Office in Washington, and the U.S. Probation Office in Birmingham to oppose my release to home confinement.

On November 3, 2020, Judge Bowdre denied a motion filed on my behalf for a compassionate release based upon my age (71 at the time) and pre-existing health conditions that exposed me to the highest risk of serious illness or death from COVID-19.

Thereafter, the BOP deliberately placed me in prison cells with federal inmates who were unvaccinated and who were diagnosed with confirmed cases of COVID-19. The BOP also entrusted my daily care to convicted gang leaders and murderers for more than three months at the U.S. Penitentiary in Atlanta, even though my extremely low custody classification score prohibited my exposure to violent prisoners.

USP Atlanta was closed in July of 2021 due to widespread graft and corruption among the staff and inmate population. Convicted gang leaders literally ran the prison. The prison's 1,800 inmates were transferred to other BOP prison facilities.

I am presently incarcerated at the Federal Prison Camp at La Tuna in Anthony, New Mexico. By the time the 11th Circuit Court of Appeals decides my case, I will likely be released from prison.

As one might expect, Watkins does not hold cheery thoughts toward those responsible for the prosecution. Also, he touches on what appears to be a brewing scandal connected to the North Birmingham Superfund bribery case:

The singular goal of the Birmingham federal prosecutors was to imprison me, by any and all means necessary, whether I was innocent of the charges against me, or not. My son was taken as a hostage, with a proverbial gun to his head, in order to pressure me into pleading guilty. Both of us fought the bogus criminal charges because we were innocent.

The allegations of wire and mail fraud in my case were first reviewed and evaluated by top-flight career prosecutors in the U.S. Attorney's Office in New Jersey in 2015 and 2016, who found no wrongdoing on my part. The lead prosecutor in New Jersey congratulated me for my achievements in the international energy business.

In October 2017, the Birmingham U.S. Attorney's Office, under the supervision of Jay Town and Lloyd Peeples, asked Atlanta-based U.S. Securities and Exchange Commission (SEC) officials, who had a substantial conflict of interest in the case, to give them a shot at the case. The SEC obliged them.

Jay Town is a small-time Republican political hack in Huntsville, Alabama. He was recommended as U.S. Attorney for the Northern District of Alabama by U.S. Senator Richard Shelby (R-Alabama) after Donald Trump became president. In July of 2017, Trump appointed Town to the job.

Town qualified for the U.S. Attorney's job because: (a) he was featured in a TV campaign ad attacking President Barack Obama that Sen. Shelby ran during his 2016 re-election campaign, and (b) he enjoys the "white male privilege" that is often accorded to inadequate white male political operatives in Alabama.

Prior to his appointment as U.S. Attorney, Jay Town was an obscure assistant district attorney in Madison County, Alabama, with a lackluster record as a state prosecutor.

Town resigned abruptly as U.S. Attorney in late 2020 after media organizations began looking into allegations that he "fixed" the outcome of a criminal investigation into a bribery scheme that paid more than $360,000 to state Rep. Oliver Robinson from a sham non-profit organization named the "Alliance for Jobs and the Economy" (AJE).

AJE was funded by Alabama Power Company, the Drummond Company, and their business alliance partners. Oliver Robinson was paid this laundered money to derail an initiative by the U.S. Environmental Protection Agency (EPA) to designate a black neighborhood in North Birmingham as an EPA Super-Fund cleanup site. 

 

This money-laundering and bribery scheme was structured and overseen by the Balch Bingham law firm in Birmingham, which represents Alabama Power Company. Prior to becoming the CEO at Alabama Power Company, Mark Crosswhite was a partner in Balch Bingham.

In late 2020, a photograph surfaced showing Mark Crosswhite having celebratory drinks with Jay Town in a cozy lounge after Town steered the Oliver Robinson-North Birmingham bribery investigation away from Alabama Power's pivotal role in 2017. An embarrassed, flawed, and deeply compromised Jay Town left office amid allegations that he "fixed" the case for Alabama Power Company and Balch Bingham.

Town's right-hand man was Lloyd Peeples. Peeples was a failed pizza store operator when Town hired him in October of 2017 to run the U.S. Attorney's Office for the Northern District of Alabama on a day-to-day basis as his First Assistant U.S. Attorney. With Peeples at the helm, Town remained in Huntsville and collected a full-time paycheck for performing ceremonial duties as the U.S. Attorney on a part-time basis.

Apart from being financially distressed and failing miserably in private business, Peeples came into the U.S. Attorney's office with a documented history of hostility to women and blacks.

Today, Lloyd Peeples is the Chief of the Office's Criminal Division. As a Trump political hack and holdover employee, Peeples has burrowed himself into the Office's bureaucracy where he continues to hustle a living off of federal taxpayers' money.

Watkins says he is taking a hopeful, but realistic, approach to today's proceeding and its outcome, which probably will not be known for several months:

My son and I are doing well. We learned a long time ago how to navigate life in Alabama's sea of racial hatred.

We also enjoy a very strong and loving family and friends support network that is derived from the interracial goodwill of five generations of Carmichael/Varnado/Watkins trailblazers who faced the same or similar racial hostility in the Deep South, and persevered.

Donald, Jr., and I are hopeful about the outcome of our appeal. However, we are also realists. We know how "rigged" the federal criminal justice system is today, particularly against black, brown, and poor people in the Deep South. It will be interesting to see whether the three-judge panel that hears our appeal is all-white and whether these judges are from Alabama.

In the end, my son and I are the masters of our fate and the captains of our souls. God has been on our side throughout this ordeal. He will deliver us safely to the other side of midnight. He always does.

Prim Escalona

Evidence points to  a federal investigation, possibly focused on obstruction of justice allegations related  to powerful entities in Birmingham. Such a probe likely would tie back to the highly publicized North Birmingham Superfund bribery scandal. But on current matters, no publicity is forthcoming from the Office of the U.S. Attorney for the Northern District of Alabama, headed by Prim Escalona.

Publisher K.B. Forbes describes the current scenario in a post at banbalch.com, under the headline "Radio Silence from the Office of the U.S. Attorney for the Northern District of Alabama." Writes Forbes:

For almost two weeks, we have been seeking confirmation, denial or a “no comment” from the the public affairs officials at the Office of the U.S. Attorney for the Northern District of Alabama.

We were told to go through the office by a top official at the U.S. Department of Homeland Security that investigates child exploitation and human trafficking.

Texting, leaving voicemails, and emailing spokespersons produced radio silence.

What is the focus of Forbes query?

The two questions on two separate matters that we asked about are based in part on unsubstantiated allegations.

1. What is the current status of the alleged pedophilia/child solicitation investigation related to Chase T. Espy and his former law firm [Balch & Bingham] that appears to have changed IP addresses weeks before he was terminated?
   
2. William D. Lineberry committed suicide on April 12. Was he a person of interest in a federal investigation and/or served a search warrant on or about January 26th?

Since October, sources have told us of an alleged federal obstruction of justice probe of Alabama Power and its CEO Mark A. Crosswhite related to the North Birmingham Bribery Trial.

We know authorities at Homeland Security received a detailed debriefing on Espy and the change of IP addresses at Balch. We were trying to confirm if a probe was completed, ongoing or closed.

Questions regarding Lineberry are particularly puzzling because evidence indicates he did not play a major role in the North Birmingham matter. Writes Forbes:

On the other matter related to the North Birmingham Bribery Scandal, Lineberry, who lived just over a mile from Overton Road where the FBI raid in Mountain Brook supposedly took place on January 26th, sadly killed himself.

We understand some law enforcement authorities may obscure locations to protect the integrity of an ongoing investigation.

Frankly speaking, Lineberry’s work in the North Birmingham Bribery Scandal was limited. From the invoices presented at the criminal trial, his total billable hours to set up the Alliance for Jobs and the Economy (AJE) amounted to less that 5 hours at a cost of under $2,000.

So, where do things stand at the moment? Forbes does his best to provide an answer -- and he even adds an intriguing question:

The radio silence does not confirm or negate anything.

Something deep is going on and sources tell us that the Matrix Meltdown between “Sloppy Joe” Perkins and his once-protégé Jeff Pitts has now allegedly spurred a federal investigation out of Florida.

This new development could impact Matrix’s premier client Alabama Power, which of course impacts its sister-wife Balch & Bingham.

Follow-up question: Is the Office of the U.S. Attorney for the Northern District of Alabama now collaborating with counterparts in Florida?

John Durham

Perhaps the most politically charged criminal trial of the 2000s is fast approaching, and a citizen might like to think the prosecutor bringing the case is the kind of honorable, bipartisan sort fit for such a task. But Special Counsel John Durham, appointed by Trump Attorney General William Barr, has incidents in his past that suggest he might not be the right guy to oversee the case against Hillary Clinton-aligned attorney Michael Sussmann, who is charged with lying to the FBI. That's from investigative reporting by Andrew Kreig at the Justice Integrity Project (JIP). And it suggests the Sussmann trial might produce plenty of political fireworks -- based in the RussiaGate scandal of the 2016 presidential election and even touching on the U.S. attorneys firings of the George W. Bush era. But will the jury trial, set to begin May 16, produce justice? Kreig's reporting produces serious doubts about that. From Kreig's post at JIP, under the headline "On Eve of 'RussiaGate' Trial, Questions Loom About Special Counsel Durham":

With final preparations under way for one of the most politically explosive federal prosecutions in years, U.S. Justice Department Special Counsel John H. Durham’s record reveals legal error that undercuts his image as a straight-shooting seeker of justice.

In a 2008 ruling that has never been reported by a major news outlet, a New York federal appeals court vacated bribery, wire fraud and racketeering convictions because a team led by Durham, then the Deputy U.S. Attorney in Connecticut (and Acting U.S. attorney for supervising the prosecution), illegally withheld evidence that could have helped federal defendant Charles Spadoni defend himself in a corruption case.

In another case, a Connecticut federal judge overturned a conviction in 2003 because of what she ruled in a 57-page decision was Durham's repeated prosecutorial misconduct at trial, a sanction that authorities stated is extremely rare in the federal system.

Is this the kind of conduct the public should expect from the prosecutor in a case that likely will touch on international relations and national security? Kreig's timely reporting suggests the answer is no. Kreig writes:

Past performance is relevant now because Durham's three-year probe of alleged illegality pertaining to the 2016 U.S. presidential election is reaching a pivotal and controversial juncture with the trial this month of the prominent cyberlaw attorney Michael Sussmann on a claim that Sussmann falsely denied that he was representing Democratic nominee Hillary Clinton when he sought to alert FBI general counsel James Baker in the fall of 2016 to suspicions of Russian interference.

Sussmann, his attorneys and some independent commentators have denied wrongdoing and claimed that the prosecution is exceptionally weak and also tainted by political partisanship by Durham, a career prosecutor who was also nominated by President Trump for the political post of U.S. attorney for Connecticut.

Several important pretrial motions were heard on April 27 by U.S. District Judge Christopher R. Cooper in Washington’s federal court. (See . . . Sussmann Prosecutors Seek Legally Dubious "Tactical Advantage" At Trial, Defense Claims.) The judge largely resolved them on May 7 in favor of the defense, as reported here in Judge spares Clinton camp in Sussmann ruling. 

What brings a special edge to the Sussmann case? Kreig explains:

Durham’s case against Sussmann, a former partner at the D.C. office of law firm Perkins Coie, has generated substantial interest in the national press, particularly in pro-Trump circles where some Trump supporters regard it as their last best hope to vindicate Trump’s 2016 election victory as a purely American popular effort, thereby debunking claims that Russian operatives interfered in the 2016 election to hurt Clinton and other Democratic candidates.

Sussmann and his defenders, on the other hand, have defended his actions as both non-criminal and reasonable, particularly in view of what they see as confirmed threats to the elections process posed by Russians, Trump and their allies. Sussmann’s defense lawyers accused Durham, for example, of promoting a “baseless narrative that the Clinton campaign conspired with others to trick the federal government into investigating ties between President Trump and Russia.”

Sussmann’s attorneys also have pointed to evidentiary problems in Durham’s case, including the lack of contemporary notes by the key FBI witness, James Baker, to support the Durham prosecution team's allegation that Sussmann criminally deceived Baker regarding his relevant clients.

The case, in other words, has come to be regarded in some quarters as either a rigorous and fearless application of the law by Durham and his team -- or, conversely, as an example of over-zealous overreach by an unaccountable prosecutor suspected of bringing a baseless prosecution to favor pro-Trump politics.

What about those ties to a George W. Bush-era scandal? Here's how they enter the picture:

A consistent theme in the news accounts exploring the Durham investigation is that prosecutor and his team, including Nora R. Dannehy, a former Acting U.S. Attorney in Connecticut and longtime Durham colleague, bring to their work outstanding reputations as career prosecutors long entrusted to fulfill their responsibilities with the highest standards of professional expertise and justice-seeking.

And this is why the 2008 federal court decision, invalidating Durham’s prosecution of Spadoni for prosecutorial misconduct, remains especially relevant today in Durham’s prosecution of Sussmann.

Here’s the story: New Questions Raised About Prosecutor Who Cleared Bush Officials in U.S. Attorney Firings, which we at the Justice Integrity Project originally reported in 2010 in Nieman Watchdog, a niche website published by Harvard University and edited by Barry Sussman, the former Watergate editor of The Washington Post who supervised its coverage of that scandal. Sussman is also the author of the recently released fifth edition of The Great Cover-up, a widely praised account of the Watergate probe.

The Nieman Watchdog story focused primarily on the appointment of Durham and Dannehy as special counsel investigating allegations of CIA and Justice Department misconduct. The story began this way:

"Four days before Nora Dannehy was appointed to investigate the Bush administration’s U.S. attorney firing scandal, a team of lawyers she led was found to have illegally suppressed evidence in a major political corruption case.....[T]his previously unreported fact calls her entire investigation into question as well as that of a similar investigation by her colleague John Durham of DOJ and CIA decision-making involving torture."

The New York-based U.S. Second Circuit Court of Appeals had ruled that Durham’s team should have known that the Spadoni defense was entitled to an FBI agent's notes, which could have been used by Spadoni to argue that his conduct was legal.

The three-judge court ruled unanimously in vacating the major convictions against Spadoni. Judges held that the evidence unconstitutionally withheld might have helped Spadoni's defense against prosecution claims that he and his employer, Triumph Capital, Inc., illegally conspired to hire a political consultant in hopes of winning a major contract from the State of Connecticut.

U.S. District Judge John Gleeson, a former federal prosecutor, authored the opinion, which is available here. It did not name the federal prosecutors at fault but the case caption and relevant filings were signed by Durham and Dannehy as the most senior attorneys.

Durham and Dannehy have maintained stellar reputations as public servants of high integrity and competence. But Kreig's reporting raises doubts about whether those reputations are deserved:

Durham and Dannehy have achieved widespread praise and career advancement as special prosecutors entrusted with reviewing several of the most sensitive Justice Department controversies of recent years. These include investigations of suppression of evidence, partisan prosecutions or other alleged serious wrongdoing by Justice Department and CIA personnel in major proceedings of historic stature.

That pattern continued after May 2019, when the Trump-appointed Attorney General William Barr named Durham, later assisted by Dannehy, to investigate the Trump team’s claims that the FBI and other Justice Department concocted phony claims of Russian interference in the 2016 presidential election along with Democratic operatives associated with Hillary Clinton’s campaign.

Tabloids, pro-Trump media outlets and some leftist critics of the Democratic Party have labeled the claims of Russian interference "RussiaGate" in many news stories and commentaries that suggest that Russian "interference" is colossal fraud on par with the Nixon-era scandal of the 1972 break-in by GOP and CIA operatives of the Democratic National Committee headquarters at the Watergate complex in Washington, DC. . . . 

Fox News, pro-Trump Republican officers, and many bloggers have similarly advanced arguments that Trump and Russians have been falsely accused.

I will be undergoing cataract surgery over roughly the next two weeks, so Legal Schnauzer will go on hiatus while I focus on getting my vision back in focus. The right eye will receive treatment first, followed by a break for healing, and then the left eye.

This is my first experience with an eye-related procedure, so there is some nervousness involved. But I am in good medical hands, and I am deeply grateful for that. The cataracts definitely are affecting my vision, so it is time for them to go -- and I look forward to bidding them farewell. Wish me luck,, and I look forward to rejoining you in the blogger world before too long. Our best to all of you, from the Schnauzer family.

Journalist Nate Monroe, with a friend on vacation

Dueling lawsuits in Alabama and Florida, featuring current and past leaders of the Montgomery-based Matrix LLC political consulting firm, have sparked surveillance of a journalist, according to reports from newspapers based in the South and the UK.

K.B. Forbes, publisher of banbalch.com, likens the legal battle between Matrix founder Joe Perkins and former CEO Jeff Pitts -- he calls it "the Matrix Meltdown" --  to a mud-wrestling match: 

“Sloppy Joe” Perkins, the infamous founder of the obscure political consulting firm Matrix, and his once-protégé “Jittery Jeff” Pitts have made headlines again.

The Guardian published an investigative report on the ugly he-said, he-said fighting between the two men of mythical fame.

After a document dump landed in journalists’ laps, the two mud wrestlers smeared each other. The Guardian writes:

Perkins declined to say whether he is the source of the documents leaked to journalists but verified that the records are legitimate. He confirmed that Matrix was able to locate the records on Pitts’ former laptop. Perkins blames Pitts and other “rogue” employees for the surveillance.

He denied directing anyone to spy on [journalist Nate] Monroe.

“I had no knowledge that it ever took place until I saw the material on Jeff Pitts’ computer,” he said.

In a statement responding to questions from the Times-Union about the records, Pitts’ attorney John Collins accused Perkins of “leaking partial and misleading confidential client documents”.

“For years, Joe Perkins directed and paid for the surveillance of individuals– in many cases, without client knowledge or approval – and he often leveraged this information for whatever suited his needs regardless of ethical boundaries,” Collins said. “This is one of the many reasons Jeff left Matrix.”

The  tailing of Nate Monroe sounds like something out of a John Grisham novel. From a report that originated at Florida Floodlight and the Orlando Sentinel, under the headline "A Florida power company didn’t like a journalist’s commentary. Its consultants had him followed": 

Consultants working for America’s largest power company covertly monitored a Jacksonville journalist and obtained a report containing his social security number and other sensitive personal information, leaked documents reveal.

The surveillance happened after the journalist wrote critically about how Florida Power & Light (FPL) tried to sway city council members to sign off on its business plans. Text messages show an FPL executive was kept abreastof Florida Times-Union columnist Nate Monroe’s movements while he was on vacation in the Florida panhandle in November 2019, an investigation by the Florida Times-Union, the Orlando Sentinel and Floodlight has found.

Nearly a year later in October 2020, the consultants also obtained a photograph of Monroe and his girlfriend at the time outside their Jacksonville-area apartment, according to records shared with reporters by an anonymous source.

FPL denies that it authorized or knew about the surveillance. But the records show employees of Matrix LLC, an Alabama-based consulting firm employed by the utility, were shadowing the journalist throughout his critical coverage of a failed $11bn purchase of a smaller Florida utility.

How did such ugliness get started in Florida?

FPL’s relationship with Matrix has come under scrutiny after reporting by the Orlando Sentinel revealed Matrix operatives orchestrated a campaign to promote spoiler candidates that diverted votes from Democrats so Republicans could retain control of the Florida senate. FPL denies knowledge of or involvement in that scheme.

Although surveilling journalists is commonplace in some parts of the world, it’s happening more frequently in the United States, said Ted Bridis, a journalism instructor at the University of Florida. A former Associated Press investigative editor whose phone records were seized by the FBI a decade ago, Bridis said harassment of journalists is escalating, facilitated by a “new era of political divisiveness”.

“The fact that this kind of behavior could be taking place in Florida, allegedly by people with ties to the largest energy company, should shock the conscience,” he said.

Observing or photographing someone in a public place or collecting information about them isn’t illegal, said Clay Calvert, a professor of law at UF.

“It’s the intimidation that’s the problem,” he said. “It’s clearly bad public relations to try to intimidate journalists,” he said.

From his base near Birmingham, K.B. Forbes said the Florida story sounds like a movie he's seen before:

The acts affirm the alleged unsavory if not criminal conduct tied to Matrix’s biggest client: Alabama Power and the utility’s sister-wife Balch & Bingham.

The Florida surveillance reminds us of Balch attorney Irving Jones, Jr. who infiltrated meetings and monitored the social media of GASP, a small but loud environmental group and public charity, during the North Birmingham Bribery Scandal. Drummond Company was apparently petrified of GASP’s successful efforts. 

Of the numerous Dirty Deeds we documented in January that may or may not be tied to Matrix stooges, law enforcement clearly indicated that the wife of Burt Newsome was targeted by thugs who were specifically looking for her car when they broke her car window and stole her purse. The incident occurred at the height of the Newsome Conspiracy Case. The thugs were apparently attempting to obtain her cellphone which was not in her purse.

Joe Perkins

Joe Perkins, founder of Montgomery-based Matrix LLC, has issued a heated statement against media outlets he claims have defamed him in reporting on the consulting firm's bitter divorce from former CEO Jeff Pitts. The Perkins-Pitts battle involves court filings in two states -- Alabama and Florida -- and Perkins expressed his displeasure with news coverage via a statement released to yellowhammernews.com.

Is Perkins threatening legal action? That's not clear -- at least not to us. K.B. Forbes, publisher of banbalch.com, is mentioned in the statement, and he seems to take it as a threat of possible lawsuits. But Perkins' main court-related words seem directed at Pitts, and that case started last August. As for Forbes, he has a summary of the latest in what he calls the 'Matrix Meltdown." He likens the feud to a mud-wrestling match and describes Perkins' statement as "rambling" and "disconnected." That seems like an apt appraisal:

“Sloppy Joe” Perkins, the founder of Matrix, the obscure political consulting firm that is in the center of an ugly two-state divorce between Perkins and his once-protégé “Jittery Jeff” Pitts, threw a tantrum last week dispatching a rambling, disconnected statement to yellowhammernews.com falsely accusing us, the CDLU, of conspiring with DonaldWatkins.com and one Lisa Swoboda, a cavalier dog rescuer, to defame him.

Maybe “Sloppy Joe” didn’t like the photo of the two mud wrestlers from our last post. The bottom line is we, the CDLU, are reporting the news (and mudslinging) covered by DonaldWatkins.com, the Energy and Policy Institute, The Guardian, the Orlando Sentinel, and the Florida Times-Union.

From the Yellow Hammer News report:

Last year, Perkins filed a lawsuit against Jeff Pitts, who formerly served as CEO of Matrix, and others. Allegations contained in the lawsuit included fraud, embezzlement and intentional interference with business relations.

Then just last week, Perkins released a statement saying, “Pitts and his co-conspirators have engaged in constant attacks on Matrix, our clients, and even on my family.”

Among the ways in which Perkins said Pitts has attacked him were through “paying fake journalists to call our clients asking accusatory questions; sending altered documents to clients and others; and allegedly collaborating with Donald Watkins, Lisa Swoboda and K.B. Forbes to attack and defame me personally and our company.”

The response from the Matrix founder came on the heels of what he asserted were concerted attempts by Pitts, through Florida news outlets, to harm his business interests.

Perkins' main focus seems to be on the Pitts litigation. But Forbes also sees it as a threat, or intimidation, toward those who might cover the story.:

“Sloppy Joe” has lost control of his two-state divorce and is now foolishly threatening to file a SLAPP suit (Strategic Lawsuit Against Public Participation) against us, a public advocacy group. Even the knuckleheads at Balch & Bingham were smarter than Perkins and studied the issue before strongly deciding against it.

Matrix clients like Alabama Power and Balch & Bingham, and related allies like Drummond Company, are probably in disbelief that Perkins appears to have become unhinged.

Here is more from the Perkins' statement -- and again, the focus is mostly on the Pitts case:

Since as early as 2010, Jeff Pitts has operated off-the-books rogue operations using Matrix resources that embezzled money from the company and presented clear and provable harm to Matrix clients. While CEO of Matrix, Pitts, along with other employees who were part of his conspiracy, set up corporate entities to which they channeled funds from Matrix clients in Florida. During this time, Pitts and his co-conspirators set up as many as eighteen 501(c)4 organizations through which they laundered in excess of $50 million. All of this was done without my knowledge or the knowledge of any of the leadership of Matrix.

Pitts left Matrix in December of 2020 indicating he wanted to start his own business. He left with my blessing.

After Pitts, and several other employees left our Birmingham office, we discovered the central computer backup server was intentionally sabotaged and severely damaged. We were able to recover the data from the server and archived comprehensive computer backups of computers used by Pitts and others with files dating back at least 10 years. We recovered nearly one million files.

We immediately turned this data over to our lawyers who helped us conduct an internal investigation of the material. One result of this investigation was the determination that Pitts had clandestinely undertaken numerous off-the-books operations for Florida Power and Light. On November 4, 2021, our lawyers sent a short compilation of some of our findings to the board of Nextera, the parent company of FP&L, and to the leadership of Nextera and FP&L. Our lawyers explained in the cover letter that “This investigation revealed troubling and potentially unethical or unlawful conduct by multiple officers and employees of Florida Power and Light Company.”

Perkins clearly is not pleased with Pitts or coverage of that case. But does that mean he is planning to target reporters with lawsuits? The Perkins statement leaves us confused about that.

Here is something else that's confusing -- and perhaps ironic. Forbes says the Perkins statement raises a number of questions about operations at Matrix:

Eighteen entities laundering over $50 million!

We, the CDLU, will make sure the Office of Tax-Exempt Entities at theIRS and the U.S. Department of Justice learn about this and encourage them to reach out to Perkins’ lawyers (Andy2K and Cason M. Kirby) to obtain copies of these “nearly one million files.”

Now let us pause and reflect for a moment.

Sloppy Joe says it took him a decade to learn that “Jittery Jeff” was allegedly embezzling from Matrix, a decade to learn that up to 18 entities were allegedly set up to launder money, and a decade to learn that allegedly $50 million was laundered?

Were there no audits or internal controls set up inover a decade?

In short, the Perkins statement raises plenty of questions, but answers are hard to discern.

Federal investigators have been briefed on an alleged money-laundering scheme involving $50 million and 18 tax-exempt entities, according to a report at banbalch.com. In a related development, sources are telling Publisher K.B. Forbes that former Balch & Bingham chief compliance officer (CCO) Steve Feaga has drawn the interest of the U.S. Department of Justice.

Regarding the money-laundering briefing, Forbes writes: 

Alabama Power has secretly paid millions to the embattled political consulting firm Matrix, LLC and its founder “Sloppy Joe” Perkins who sloppily outlined alleged criminal misconduct spanning more than a decade in a since-deleted post on Yellowhammernews.com on June 30.

We, the CDLU, have briefed federal investigators on the alleged money laundering of more than $50 million using 18 tax-exempt 501 (c) 4 entities. These tax-exempt entities are designed to be “social welfare organizations” and must operate primarily to further the common good and general welfare of the people of the community.

We are sure that funneling money to “ghost candidates” in Florida and other alleged dirty deedsdo notfurther the common good.

What is at the heart of these allegations? Forbes explains:

“Sloppy Joe” Perkins . . . apparently let his ego get the best of him. Perkins . . .  is in the middle of a brutal and ugly two-state legal battle with his once-protégé “Jittery Jeff” Pitts.

A much-needed federal probe of this matter could enhance the alleged ongoing obstruction of justice probe of Alabama Power CEO and Chairman (and former Balch partner) Mark A. Crosswhite.

This appears to involve big names in Alabama legal and business circles. It also involves an eye-popping financial figure -- and Forbes provides context:

The North Birmingham Bribery Scandal involved less than $400,000 in money laundering. What will the feds find in the more than $50 million in transactions since 2010?

Balch & Bingham and sister-wife Alabama Power appear to have relied on the “strategic” services of Matrix and Joe Perkins for decades.

Will the latest developments engulf the Three Stooges (Alabama Power, Balch, and Drummond Company) and bring to light the alleged “don’t ask, just cut the check” bribery ring?

Who will be the first to sing? Billy Canary? Trey Glenn? Lance Brown?

As for Feaga, he was ousted at Balch after two years as the firm's CCO, with no replacement named. Now, his name is coming up again, writes Forbes:

With nothing done in those two years, we called Feaga’s appointment the greatest act of window dressing.

His work at Balch ran parallel to the North Birmingham Bribery Trial.

That, of course, raises a host of questions, as Forbes spells out:

Does Feaga know about the alleged secret deal to keep Alabama Power “unmentionable” during the trial? Does Feaga have inside information about the inappropriate meeting at the Moon Shine Lounge between disgraced ex-U.S. Attorney Jay E. Town and the CEO of Alabama Power, Mark A. Crosswhite? Does he have a keen understanding how Matrix, LLC and attorney Mark White were utilized to allegedly protect Crosswhite and Alabama Power?

Is Feaga now, today providing insight in the alleged ongoing federal investigation of obstruction of justice involving Balch’s sister-wife Alabama Power?

A second source confirmed in the past 24 hours that something is happening with Feaga and the U.S. Department of Justice.

Judge Abdul K. Fallon, who presided over the North Birmingham Bribery Trial, gave his notice of resignation unexpectedly on April 6, 2022. A day later, two Assistant U.S. Attorneys allegedly also gave notice of their resignations. The following week, Balch partner Bo Lineberry committed suicide, allegedly due to financial troubles.

Now Feaga, who has been off the grid for two and a half years, is a person of interest.

Interesting. Interesting to say the least.

U.S. power companies are secretly spending millions to protect profits and fight clean energy, according to a report from The Guardian. The story has strong connections to Alabama and Florida, with Montgomery-based consulting firm Matrix LLC in the middle of the intrigue. Alabama Power also makes an appearnce. As The Guardian states in a sub-headline: "One industry consulting firm has influenced politics across Florida, Alabama and at least six other states." That is a reference to Matrix. Here are details:

The CEO of the biggest power company in the US had a problem. A Democratic state senator was proposing a law that could cut into Florida Power & Light’s (FPL) profits. Landlords would be able to sell cheap rooftop solar power directly to their tenants – bypassing FPL and its monopoly on electricity.

“I want you to make his life a living hell … seriously,” FPL’s CEO Eric Silagy wrote in a 2019 email to two of his vice-presidents about state Senator José Javier Rodríguez, who proposed the legislation.

“I want you to make his life a living hell … seriously,” FPL’s CEO Eric Silagy wrote in a 2019 email to two of his vice-presidents about state Senator José Javier Rodríguez, who proposed the legislation.

Within minutes, one of them forwarded the directive to the CEO of Matrix, LLC, a powerful but little-known political consulting firm that has operated behind the scenes in at least eight states.

Rodríguez was ousted from office in the next election. Matrix employees spent heavily on political advertisements for a candidate with the same last name as Rodríguez, who split the vote. That candidate later admitted he was bribed to run.

Hundreds of pages of internal documents – which are only coming to light now because Matrix’s founders are locked in an epic feud – detail the firm’s secret work to help power companies like FPL protect their profits and fight the transition to cleaner forms of energy.

This story is particularly timely as many Americans bake under an unrelenting heat wave:

The Matrix saga illustrates the political obstacles policymakers and experts face as they attempt to cut climate pollution from the power sector, one of the biggest greenhouse gas contributors in the US.

The ongoing clash between Matrix’s founder Joe Perkins, 72, and former CEO Jeff Pitts, 51, is exposing the firm’s decades of extensive influence peddling on behalf of utility clients.

The issue extends to several states. Records obtained by Floodlight and the Orlando Sentinel show that Matrix consulted for FPL, as well as another Florida company, Gulf Power, and Alabama Power.Matrix affiliated groups have also worked to advance power companies’ interests in Arizona, Louisiana, Mississippi, Georgia, and in front of the Environmental Protection Agency, public records show.

In Florida, Matrix’s work touched almost every level of politics, from influencing local mayoral and county commission elections to combatingattempts to reshape the state constitution. In each of those cases, Matrix was working against politicians or policies fighting to curb the climate crisis by encouraging renewable power.

As Birmingham-based banbalch.com has reported, along with Legal Schnauzer, Matrix's tactics can get alarming. (Here is  link to a Ban Balch report on The Guardian story.) Writes The Guardian: 

Matrix employees had a Jacksonville journalist spied on after he wrote critically about FPL. And in 2020, Matrix evenharnessed the power of the press for itself, when its employees acquired control of The Capitolist, a Tallahassee-based political news site which it used for favorable coverage, leaked records show.

“I find this to be horrifying and undemocratic,” said Gianna Trocino Bonner, former chief legislative aide for Rodríguez, after reviewing some of the leaked documents. “It’s unfortunate that our process allows for something like this to exist without accountability.”

As it turns out, Big Power can have more than one meaning:

Big power companies operate as monopolies with captive customers in much of the south-east US. They are supposed to be closely regulated, but their profits and unchecked political spending makes them some of the most powerful entities in a state.

Howard Crystal, an attorney for the environmental group Center for

Biological Diversity, said that US utilities are allowed monopoly power “because they are supposed to expand the public interest.

“[But] now we have this incredible corruption and a reversal of that because they are using their advantage to hang on to power and undermine democracy,” he said.

So far, there have been two criminal investigations into the campaign against Rodríguez and another Democratic state senate candidate, leading to charges against five people, though authorities have not accused Matrix or FPL of wrongdoing.

The report dives into the feud between Joe Perkins and Jeff Pitts:

Matrix’s principal, Perkins, says he discovered only after Pitts left the firm that he and other now-former employees had been conducting “shadow activities and operations” dating back to 2016. He is suing Pitts in Alabama for fraud and conspiracy.

“For many years and without my knowledge or approval, Pitts abused his power and position to benefit himself and his cronies,” Perkins said in a statement. “Upon realizing the extent of Pitts’s shadow operations and abuses of power, we filed our lawsuit against Pitts and those few rogue employees.”

Pitts, who left Matrix in December 2020 to start his own firm, Canopy Partners, did not respond to a request for comment by deadline. He is also suing Perkins, alleging defamation and extortion. A spokesperson for FPL said it stopped working with Canopy in late 2021.

In many ways this is a story of hard-ball politics:

FPL’s CEO Silagy in a recent interview denied knowing about or participating in the scheme against Rodríguez but said that Matrix had done “good work” for his company. Records show FPL trusted Matrix operatives with millions, including giving $14m to a single Matrix-run nonprofit in 2018 alone.

Silagy said the email in which he told his team to make Rodríguez’s life “a living hell” was “a poor choice of words.”

In Florida, FPL and Matrix demonstrated how a utility and its consultants can work in tandem to resist clean energy reforms. FPL deployed lobbyists to the capital, while Matrix hired private investigators to dig for dirt and had operatives funnel dark money and order attack ads.

Few examples are clearer than the case of South Miami. When the small south Florida city’s mayor helped pass an ordinance in 2017 mandating rooftop solar panels on new construction, a network of 10 FPL-aligned operatives mobilized to ensure his ouster.

The team decided an effort to repeal the ordinance would probably fail. So they opted instead for “Mayor Stoddard’s electoral defeat and changing the makeup of the board”, according to a 2018 memo from Dan Newman, a Matrix contractor who was similarly involved in the campaign against Rodríguez.

Along with a private investigator, the group delved into Stoddard’s past for episodes to weaponize against him, such as a South Miami commissioner’s claim on Facebook that Stoddard had forcibly kissed her. Documents show Matrix operatives arranged for the commissioner to record a robocall in which she called Stoddard “a creep”. Pitts at the time forwarded a draft of the script to two FPL executives. Newman in his memo also took credit for a Miami Herald story about the allegation.

An organization that acts like a mafia should be treated like one,” Stoddard said.

From the beginning, Matrix showed no aversion to unsavory political tactics. In 1998, the firm distributed copies of a video in which a sex worker falsely alleged she had been sexually assaulted by a candidate for lieutenant governor. The sex worker later testified the allegations were untrue, and that she had been paid by a Birmingham businessman to make them.

In 2015, Matrix distributed fliers for a suspicious charity in a predominantly Black neighborhood in North Birmingham. The fliers warned residents not to let the Environmental Protection Agency test their soil for the presence of contaminants left by a coal plant.

Joe Perkins

Last week's explosive article in The Guardian drew national attention to the ongoing legal battle between Joe Perkins, founder of Montgomery, AL-based Matrix LLC, and the firm's former CEO, Jeff Pitts. New legal issues are making the already fiery story even hotter, according to a report at banbalch.com.

Perkins' attorneys have scheduled a Pitts deposition. But Pitts is striking back, writes Publisher K.B. Forbes:

Pitts dropped a double whammy on Friday: his legal team subpoenaed both Alabama Power and Southern Company for documents and files all related to “Sloppy Joe”(Perkins) and Matrix from at least 2015 through 2020. 

That raises all kinds of questions, and Forbes spells them out:

Are Matrix’s alleged dirty deeds and alleged criminal acts ready to be exposed?

Will Pitts’ attorneys hand over damaging information to the feds?

Will executives, goons, and thugs of the Three Stooges (Balch, Drummond, and Alabama Power) rush to cooperate with federal investigators?

Keeping Alabama Power “unmentionable” during the North Birmingham Bribery Trial is nothing compared to what looks like a network of paid consultants, stooges and actors that appear to intimidate critics and engage in truly unsavory acts.

Will “Jittery Jeff” (Pitts) expose the worst of the alleged dirty deeds?

 Forbes lists a few unsavory act that might draw scrutiny:

• The alleged shooting of ex-Drummond executive David Roberson’s car window on Highway 280 in Birmingham.
• The car accident that almost killed Balch & Bingham target Burt Newsome.
• The paid plumbers who stole Newsome’s checkbook in the middle of the night.
• The religious apostle and others hired to target us, the CDLU, and our leadership only to stupidly terrorize the wrong family at the wrong address.
• Alleged payments to media outlets and journalists including some possibly tied to a journalist’s brain amputation.

This is no longer a laughing matter.

The stakes are extremely high.

Forbes then provides a wide-angle view of the issues at hand:

Mark A. Crosswhite of Alabama Power, Blake Andrews of Drummond, and the leadership at Balch have much to worry about.

And as we mentioned in April, journalists and federal investigators are zeroing in. The Guardian stories appear to be part of that broad effort.

“Jittery Jeff ” didn’t simply walk away from a long-term mentor. He may have seen some alleged unethical or criminal acts he probably didn’t approve of or like.

And now Pitts’ deposition will open everyone’s eyes to how far Matrix and “Sloppy Joe” allegedly pushed the envelope on behalf of the Three Stooges.

Kathy Castor

A member of Congress is asking the U.S. Department of Justice to investigate possible corruption connected to Montgomery, AL-based consulting firm Matrix LLC, according to a report from ban.balch.com:

U.S. Congresswoman Kathy Castor dispatched a letter to U.S. Attorney General Merrick Garland yesterday demanding a probe of Alabama Power’s alleged go-to political fixer, Matrix, the obscure political consulting firm engaged in alleged influence peddling and alleged criminal acts.

Citing an article from Wink News, which is based in the Fort Meyers, FL, area, Ban Balch publisher K.B. Forbes reports:

U.S. Rep. Kathy Castor (D-Fla.) said in a letter to Attorney General Merrick Garland on Thursday that recent press reports in Florida had “exposed apparent corruption, influence peddling and breaches of the public trustby Florida’s largest electric utility Florida Power & Light and its officers.”

“Numerous public corruption scandals involving electric utilities across the country have resulted in federal public corruption criminal and civil probes, and it appears that such oversight is needed in Florida now,” the letter said.

Her letter comes on the heels of our direct contact with federal investigators about Matrix’s alleged criminal misconduct involving 18 tax-exempt entities and more than $50 million in money laundering.

This might seem like a Florida story, but it has deep roots in Alabama. Writes Forbes:

Although Florida Power & Light has terminated its contracts with entities and individuals tied to the Matrix Meltdown, Alabama Power  allegedly is STILL paying Matrix and Matrix founder “Sloppy Joe” Perkins  more than $2 million a year without the need for invoicing.

Although news reporting has been focused primarily on Florida, reliable sources tell us there are numerous investigative efforts now looking at Alabama and the Three Stooges (Alabama Power, Drummond, and Balch & Bingham).

With ex-Matrix CEO “Jittery Jeff” Pitts’ deposition ready to pry the filthy treasure chest of alleged dirty deeds wide open, the Congresswoman’s letter has caught the perfect wave.

Tom Fanning

Why would Matrix LLC conduct surveillance of Tom Fanning,  CEO of Southern Company -- the parent firm of Alabama Power, one of Matrix's own clients? Perhaps of even more interest, what is Fanning going to do about it?

Those two questions are hanging in the air after a report this week from al.com about the dueling lawsuits -- in Florida and Alabama -- involving former Matrix CEO Jeff Pitts and the firm's founder, Joe Perkins. Court documents do seem to answer this question: Why did Pitts leave Matrix in the first place? More on that in a moment.

As for the stunning revelations about the surveillance of Fanning and his associates, al.com's John Archibald and Kyle Whitmire write:

The political consulting firm Matrix LLC has long gathered intelligence for powerful politicians and corporate interests in Alabama, and in the process nurtured a fearsome reputation.

In its work, Matrix or its employees have surveilled environmentalists and journalists, smeared politicians and manufactured protests — to the benefit of its clients, including Alabama Power Co.

In 2017, however, it did more than look outward to potential threats. It looked upward, at Alabama Power’s parent, Southern Company and its CEO.

Records obtained by AL.com reveal that in May 2017 Matrix hired a Florida private investigator to gather information on associates of Tom Fanning, the CEO of The Southern Company, the nation’s second-largest utility, which owns Alabama Power. That investigator also surveilled Fanning near his home in Atlanta.

A Southern Company spokesman, also speaking on behalf of Alabama Power, said it had recently learned of the surveillance and the company does not know who initiated it or why.

What will Fanning do about the intrusions into his life? Publisher K.B. Forbes has thoughts about that at the blog banbalch.com. First, he refers to a post he wrote last October:

Rumors are flying that Southern Company Chairman and Chief Executive Officer Tom Fanning is retiring next year.

And Alabama Power CEO and Chairman Mark A. Crosswhite is allegedly telling bourgeois insiders that he has the lock and key to the C-Suite at Southern Company, Alabama Power’s parent company.

Crosswhite is unfit to serve.

He worked as a top partner for alleged racist and embattled law firm Balch & Bingham before taking the revolving door to Alabama Power.

Instead of distancing himself from Balch, Crosswhite appears to be embracing his former employer, even allegedly subsidizing the firm with lucrative business as Balch is hemorrhaging from alleged unsavory and criminal scandals engulfing the 99 year-old firm.

Now unsubstantiated rumors say Alabama Power and unknown related entities have indemnified Balch and others for their alleged criminal, racist, and egregious misconduct.

Hiding behind non-disclosure agreements and now allegedly million-dollar indemnity deals, the Crosswhite scandal smells like raw sewage.

Forbes then offers his assessment of what Fanning should do

Now, before federal investigators come knocking, Fanning needs to make some tough executive decisions and

1. Fire Crosswhite.
2. Disengage Matrix and “Sloppy Joe” Perkins.
3. Terminate Balch and Bingham.

Forbes also offers insight, taken directly from court pleadings, into the reasons behind Pitts' departure at Matrix:

Getting back to Pitts, we believe strongly now that he resigned after decades of service to “Sloppy Joe” Perkins because he saw alleged criminal misconduct. His mentor was letting him take over, but instead Pitts left, because, as his court pleading states, he saw “inappropriate and unethical business practices.”

Now Pitts could be planing to sing about “high crimes and misdemeanors” at his deposition with Perkins’ lawyers.

Are the Three Stooges (Alabama Power, Drummond, and Balch) vulnerable?

As for the Fanning surveillance, it centered around a former girlfriend. From al.com: 

The listed “target” of the surveillance was Kimberly Tanaka, a fitness club owner and then-girlfriend of Fanning, but private investigator Derek Uman surveilled Tanaka and Fanning at her work and at his home.

Tanaka said she was in a serious and public relationship with Fanning that ended abruptly in 2017. She was unaware of the surveillance until recently.

“This was all news to me and I still don’t know why,” she told AL.com on Sunday. “It’s a little unnerving.”

She said she had no idea why anyone would think following her would put pressure on Fanning.

Uman, founder of Clear Capture Investigations of Gainesville, Fla., staked out Fanning’s Atlanta home and photographed him running on a wooded hill on a cul-de-sac leading to his secluded house. Uman followed and videoed Tanaka, gathered photos and billed then-Matrix CEO Pitts $6,881.55 for surveillance, travel, meals and more. Uman addressed the invoice to Pitts.

Uman, who said he has done lots of work for Matrix, refused to talk about the content of his investigation, saying that would be illegal. He did confirm the authenticity of the report, and said the invoice “was paid with a Matrix check that was signed by Joe Perkins.”

Asked about the Fanning spying, Perkins pointed in Pitts' direction. Pitts responded by pointing at Perkins:

In an interview with AL.com on Monday morning, Perkins emphatically denied he had anything to do with the surveillance of Fanning and blamed the spying on former “rogue” employees, including Pitts.

“I know nothing about that document, and frankly, because of the nature of that document and so many other issues, I can’t speak to authentication,” Perkins said.

In a recent interview, Pitts said it was absurd that his old boss is now playing dumb. Perkins knew, Pitts said.

“For decades, Joe Perkins carefully and meticulously built his image as Alabama’s most elite and influential political research and intelligence gathering consultant,” Pitts told AL.com. “Now, Perkins wants everyone to believe that for over a decade a group of his own, hand-picked employees, in his own carefully orchestrated office, carried out secret operations without him knowing. All while he was paid millions of dollars.”

Pitts would say little else, citing a non-disclosure agreement he signed with Matrix.

Scene of the Burt Newsome car crash

Documents revealed last week in Birmingham raise these troubling questions:

* Have representatives of the Matrix LLC consulting firm attempted to manipulate court cases in Alabama?

* If so, have serious crimes been committed and justice tarnished in "The Heart of Dixie" -- and perhaps, beyond?

The documents were filed on behalf of former Matrix CEO Jeff Pitts, who is suing founder Joe Perkins. For good measure, Perkins is suing Pitts.

Publisher K.B. Forbes addresses the issues in a post at banbalch.com. Writes Forbes:

In “Jittery Jeff” Pitts’ court filing [last] week, he outlines alleged misconduct by Matrix’s founder “Sloppy Joe” Perkins, including allegedly setting up phony groups and digital websites to intimidate individuals while influencing litigation.

Is Pitts referring to the North Birmingham Bribery Trial, David Roberson’s $75-million lawsuit, or the Newsome Conspiracy Case? Or all three?

All three litigated cases involve alleged criminal obstruction of justice.

Alabama Power and its sister-wife Balch & Bingham were involved in all three cases, two of which were sealed in their entirety, creating secret Star Chambers where no public information is available.

The Pitts revelations, Forbes note, shine unflattering light on Alabama Power CEO Mark Crosswhite and Jay Town, former U.S. attorney for the Northern District of Alabama:

Alabama Power was “unmentionable” during the North Birmingham Bribery Trial and ex-U.S. Attorney Jay E. Town allegedly let this travesty of justice occur.

More than 20 other Balch attorneys were allegedly involved in the North Birmingham Bribery Scandal and numerous Alabama Power executives were briefed regularly on the developments.

Now people are asking, was Town’s “lone wolves” theory a Matrix creation? 

The Newsome case was disturbing in a number of ways. Court documents indicate it was an effort by Balch & Bingham to claim a chunk of Burt Newsome's banking practice. Newsome is a solo practitioner who appears to be no competitive threat to a firm the size of Balch. Writes Forbes:

Was Matrix involved in any way with the Newsome Conspiracy Case, as Sloppy Joe’s daughter claims?

Balch used all its political might and a counterfeit order to “beat” Newsome. In the end, Balch won a $242,000 judgment while losing tens of millions (if not $100 million) in client fees and lobbying fees, while legacy partners left in droves.

The Roberson matter grew out of of the North Birmingham quagmire. Forbes writes:

In Roberson’s civil case, Balch, Drummond Company, and Alabama Power panicked and vigorously sought protective orders. The case was sealed. While no information is available on the case or proceedings, David Roberson appears to have been set up as a “fall guy.” His lawyer, Burt Newsome of the Newsome Conspiracy Case, was hit head-on in a 2020 vehicle crash and his law firm’s bank checkbook was stolen in the middle of the night.

What to make of all this? Do Alabamians have a right to expect honest courts? Have some litigants been deprived of justice? Will the ugliness apparently tied to certain court cases ever end? Will Jeff Pitts' testimony help provide answers? Writes Forbes:

The tactics have utterly failed, and actually appear to have backfired.

As federal investigators probe these allegations of criminal obstruction of justice and the abuse of the judicial system in Alabama , the curiosity of what explosive developments could come to light during Jeff Pitts’ deposition becomes even more interesting.

Chris Blevins

The Alabama deputy who beat and pepper sprayed me inside our own home -- and helped cause me to spend "five months in jail for blogging" -- has died.

Chris Blevins  died on July 25, 2022, at age 48. From his obituary:

After graduating from Erwin High School, [Chris] went on to graduate from the Birmingham Police Academy in 1996 where he remained until 1999. That year he joined the Shelby County Sheriff’s office where he worked as a Field Training Officer and on the Tactical Response Unit. Chris received the Medal of Valor in 2005 for his actions in attempting to save a drowning person who was fleeing apprehension. He was known for his calm demeanor even during times of tremendous stress and would receive numerous commendations over his 26 years as a law enforcement officer. In 2015 he was awarded Officer of the Year. 

Blevins was good at his job, and his survivors include a wife and two daughters.

Blevins looked like a strong fellow, and I can confirm that he was powerful. It's always sad when someone dies too young, perhaps unexpectedly. I've tried not to hold ill will toward Blevins. I'm not sure I've always been successful on that front, but I suspect his actions in our home come under the heading of "following orders from someone above." I doubt Blevins ever made another arrest like mine in his career.

The order giver should have known that such an arrest was unlawful, per Payton v. New York (U.S. Sup. Ct., 1980). And it put Alabama on par with Russia, Uganda, Iran, Iraq, Egypt, Saudi Arabia, and other rogue states when it comes to arresting journalists. I'm sure it wasn't part of Blevins' duty to make determinations on such legal issues, so it's probably fair to say he was just doing his job.

In his obit, I could not help but notice that Blevins was an animal lover -- with one dog and three cats. Mrs. Schnauzer and I have had one dog and three cats over the years.

In our brief time together, I wish Blevins and I could have spent time swapping stories about our pets. That's not the way it worked out, but I'm sorry to learn of his passing. Our sympathies go out to his family and friends, including his four-legged friends.

Abdul Kallon

U.S. Judge Abdul Kallon, an Obama appointee, is about to step down from his lifetime position -- a move so unusual, almost unheard of -- that it raises this otherworldly question: Are Matrix LLC and its allies creating a peculiar kind of purgatory in Alabama?

That's a heavy idea straight out of Roman Catholic doctrine, and Publisher K.B. Forbes explains in a post at banbalch.com why it seems to apply in "The Heart of Dixie." Writes Forbes:

When the news story broke in June that Matrix agents allegedly spied on a journalist in Florida, our first reaction was, what’s the big deal? This is nothing compared to what happens in Alabama.

Less than three weeks from today, Federal District Judge Abdul K. Kallon will step down.

The presiding judge of the North Birmingham Bribery Trial appears to be another carcass in the long history of “use, abuse, and dispose of” mentality of Alabama powerbrokers.

Kallon will join the elite ranks of disgraced ex-U.S. Attorney Jay E. Town, former U.S. Senator Luther Strange, former U.S. Attorney General Jeff Sessions, disgraced ex-EPA administrator Trey Glenn, ex-Probate Judge Alan L. King, ex-State Representative Oliver Robinson, along with numerous other carcasses of agents and stooges that have stacked up over the past five years for having allegedly danced tango with one or more of the Three Stooges (Alabama Power, Balch and Drummond).

Like the slasher movie franchise Friday the 13th, how many more idiots will drive up to Crystal Lake just to be murdered? How many more idiots will “bow down and kiss the ring” of one or more of the Three Stooges just to eventually be turned into burnt toast?

Forbes has reason to be in touch with such issues. His public charity and advocacy group, CDLU (Consejo De Latinos Unidos) has been in touch with officials at the highest level of the U.S. Department of Justice as the "Matrix Meltdown" has grown in the press to include recent coverage by The Guardian and al.com. 

How does this tie to the political consulting firm Matrix LLC and its allies? Forbes explains, giving special attention to Matrix founder Joe Perkins:

“Sloppy Joe” Perkins created a living purgatory when he published a rambling statement on yellowhammernews.com in late June outlining a criminal enterprise involving 18 tax-exempt entities that allegedly laundered over $50 million, only to have it deleted 8 days later

Then the bombshell revelation exploded last week that Alabama Power executives were spying on Southern Company CEO and Chairman Tom Fanning and his then-girlfriend.

Alabama Power denied the allegation, but why would the esteemed attorneys for “Jittery Jeff” Pitts, Perkins’ ex-CEO and once-protégé, put that in a pleading?

Sources tell us that Pitts allegedly has irrefutable and rock solid evidence of Alabama Power Chairman and CEO Mark A. Crosswhite’s alleged involvement in the surveillance of Fanning who is to retire this year.

The Fanning story almost was as stunning as Kallon's resignation, and details appear in Jefferson County court documents, writes Forbes: 

AL.com reported more details of the surveillance:

The listed “target” of the surveillance was Kimberly Tanaka, a fitness club owner and then-girlfriend of Fanning, but private investigator Derek Uman surveilled Tanaka and Fanning at her work and at his home.

Tanaka said she was in a serious and public relationship with Fanning that ended abruptly in 2017. She was unaware of the surveillance until recently.

“This was all news to me and I still don’t know why,” she told AL.com…. “It’s a little unnerving.”

She said she had no idea why anyone would think following her would put pressure on Fanning.

Uman, founder of Clear Capture Investigations of Gainesville, Fla., staked out Fanning’s Atlanta home and photographed him running on a wooded hill on a cul-de-sac leading to his secluded house. Uman followed and videoed Tanaka, gathered photos and billed then-Matrix CEO Pitts $6,881.55 for surveillance, travel, meals and more. 

Unbelievable!

So if true, did Crosswhite find out if his boss Tom Fanning wears boxers or tighty whities? Did the surveillance cause the relationship in any way “to end abruptly?” 

This brings us back to the North Birmingham Bribery Trial, over which Abdul Kallon presided:

Although the media has not mentioned this, the spying on Fanning occurred in 2017,  at the time of the  anticipated and eventual indictments in the North Birmingham Bribery Trial. Was Crosswhite concerned Fanning was going to cooperate with federal authorities? 

Perkins’ Purgatory could also  seriously impact Drummond Company and their “confused” general counsel Blake Andrews. 

What revelations does Pitts know about the coal company?

Will Pitts’ deposition in the Matrix Meltdown bring to light secret operations, an orchestrated campaign, and the alleged set-up of “Fall Guy” and ex-Drummond executive David Roberson?

All this to consider as federal investigators quietly probe the alleged misconduct stirred by “Sloppy Joe’s” big mouth, big ego, and big mistake.

Mark Crosswhite (right) and Jay Town

What fallout might Alabama Power (APCO) executives face in the wake of reports about surveillance of Tom Fanning, CEO of Southern Company, the power company's parent firm? Publisher K.B. Forbes addresses that question -- especially as it pertains to APCO CEO Mark Crosswhite -- in a post at banbalch.com. You might say it creates "bad optics" for Crosswhite. Writes Forbes:

The allegation that Alabama Power Chairman and CEO Mark A. Crosswhite authorized the spying on and surveillance of Tom Fanning, the Chairman and CEO of Alabama Power’s parent company, Southern Company, and Fanning’s then-girlfriend has rocked the utility sector.

Although Southern Company is attempting public relations damage control to prevent further fallout, the facts speak for themselves and Crosswhite appears to have made a mockery of Southern Company.

For decades, Alabama Power has run uncontrolled.

What kind of environment has that created at Alabama Power? It appears to have led to some hot water:

Crosswhite, a former Balch & Bingham partner, has funneled millions of dollars to the embattled and alleged racist law firm, subsidizing the firm. The firm has lost millions as money-making partners leave and numerous clients dump the firm.

He appears to have directed millions a year in secret contracts to the Oompa Loompa of Alabama, “Sloppy Joe” Perkins and his affiliated companies with no invoicing needed. Perkins and friends are accused of engaging in alleged unsavory if not criminal misconduct.

While Perkins is in a heated fight with his once-protégé Jittery Jeff Pitts, criminal investigators are looking at election violations, money laundering, and abuse of bogus tax-exempt entities among other matters tied to the Matrix Meltdown.

The Perkins-Pitts legal battle could lead to more unsavory revelations about Big Power in Alabama:

Although Alabama Power was unmentionable during the North Birmingham Bribery Trial, the jaw-dropping photos of Crosswhite chugging cocktails with U.S. Attorney Jay E. Town allegedly at the height of the criminal trial appear to confirm a secret deal was cut.

Crosswhite’s downfall appears to be a culmination of uncontrolled hubris, unlimited arrogance, and the need to be in absolute power.

Last week, we asked: Did Crosswhite find out if his boss Tom Fanning wears boxers or tighty whities?

Now, today we present a possible answer and another satirical cartoon addressing Crosswhite’s surveillance scandal. Click here to download image.

Mark Crosswhite

Mark Crosswhite's allegiance to the Balch & Bingham law firm and the Matrix LLC consulting firm has become a liability as his tenure as the head of Alabama Power appears to be teetering, according to a report at banbalch.com. Writes Publisher K.B. Forbes, from his base as CEO of the Consejo De Latinos Unidos (CDLU) public charity and advocacy group:

Mark A. Crosswhite, the former Balch partner and current CEO of Alabama Power, is burnt toast and sources involved in the energy sector are whispering that Crosswhite is definitely out.

Crosswhite’s departure is expected to be announced after Federal Judge Abdul K. Kallon  officially steps down next week.

Other business leaders are saying Crosswhite is done career-wise because of the alleged spying and surveillance scandal in 2017 of his boss, Tom Fanning, and his then-girlfriend.

Does Crosswhite find himself caught in a web of complex financial and political maneuvering? That appears to be the case, Forbes reports:

While Southern Company has attempted (like Florida Power and Light) to say they did not pay for or direct the alleged nefarious misconduct allegedly involving Matrix and related entities and individuals, the reality is the money laundering and smoke-and-mirrors schemes are hidden behind attorney-client agreements and third-party pay-through entities.

Remember, the $360,000 in bribes to ex-State Rep. Oliver Robinson during the North Birmingham Bribery Scandal were laundered through the entity Alliance for Jobs and the Economy (AJE), a Balch-created entity.

Has Southern Company audited or verified every expenditure made to Balch & Bingham? How about each and every invoice paid to Crosswhite’s pal and white-collar attorney Mark White at White, Arnold & Dowd?

How should Southern Company move forward? Forbes offers a suggestion:

Better yet, Southern Company should demand invoices and conduct a line by line forensic audit of the millions paid to Sloppy Joe Perkins and his related entities. The secret contracts between Sloppy Joe and Alabama Power did not require invoicing, a stunning revelation for a publicly-traded company.

Sloppy Joe revealed in June that 18 tax-exempt entities laundered over $50 million. How much of that, if any, came from Alabama Power?

Tom Fanning may not want to turn a stone as he prepares to retire, but federal investigators have the capacity to do so.

The bottom line is Crosswhite is done, burnt toast because of his million-dollar religious devotion to Balch and Matrix, both of which have become enormous liabilities.

After Crosswhite departs, Alabama Power must terminate Balch and Matrix and clean out the rusty septic tank.