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Commissioner, auditor, prosecutor, township trustee, GOP leader pulled into Dynus scandal
Former Dynus Corp. president Jim Smith told a jury in federal court this morning, Aug. 3, how he lied, forged documents, paid elected officials and concealed information from other officials to over-inflate his company’s success.
Smith said he forged the name of former West Chester Twp. administrator Dave Gully to make it look like he had a contract with the township that didn’t exist.
At the same time, he was trying to secure a deal with Butler County that he had told the bank already existed. In the process, he said he worked with former Butler County commissioner Michael Fox and former auditor Kay Rogers to conceal details of a deal between the county and company from other county officials.
Smith said he was introduced to Rogers and Fox through West Chester Twp. Trustee George Lang. Smith said he met Fox and Rogers at Jags, a restaurant owned by Lang, to discuss the necessity to hide the details of the deal from the county administrator, deputy administrator and Commissioner Charles Furmon.
“They would stop or slow down the deal,” Smith said.
For giving them access to county officials, Lang was paid $300,000, Smith said, roughly $100,000 of which was given back to Smith in a “kickback.”
Smith said the company also paid $50,000 to Scott Owens, then executive director of the Butler County Republican Party and campaign manager for both Lang and county Prosecutor Robin Piper.
The hope, Smith said, was that Owens would use his connections to get Piper to sign an opinion of counsel letter that said a deal with the county indeed existed.
Smith said he had already signed on behalf of Butler County for a $2.5 million loan from National City Bank for equipment to utilize the county’s fiber optic ring to build a telecommunications company in the county.
“Who told you to go ahead and do that, to sign for Butler County,” asked Richard Chema, assistant U.S. attorney.
“Kay Rogers,” replied Smith.
He later took out another $4 million loan from National City on the promise that he would produce the opinion of counsel letter.
The web of lies soon collapsed under its own weight, Smith said.
Permalink | Comments (15) | Post your comment | Categories: Dynus


Comments
By Jim
August 3, 2009 1:13 PM | Link to this
Where is Scott Owens working now?
By CB
August 3, 2009 1:16 PM | Link to this
It’s beginning to sound like our fine county prosecutor is up to his neck in this along with Rogers, Fox and Lang.
By Nic
August 3, 2009 1:20 PM | Link to this
Next question, who are all the county officials who received campaign contributions from these people?
By GOP hopeful
August 3, 2009 1:27 PM | Link to this
And whom from the public will call for George to resign? Shame on Scotty, although he already knew he was toast when he quit his position on the GOP. Now all we need is Ellis, Owen and Lang to drop out of sight of the GOP.
By juneg
August 3, 2009 2:37 PM | Link to this
Why do you think Lang is recruiting candidates for fall to run against Wong and Stocker, he wants to stack the deck, so no one can question what he is doing.
By Richard
August 3, 2009 3:32 PM | Link to this
Carter by going to trial has opened a window on the criminal conduct of the GOP Power Brokers in Butler County. If the voters fail to see this corruption and make changes now, just go ahead and throw the dirt in on top of all of us.
By kit
August 3, 2009 4:57 PM | Link to this
WHAT A MESS !
By William
August 3, 2009 5:25 PM | Link to this
Will Kay Rogers take the stand? How much hot water is Mike Fox in now?
By William
August 3, 2009 5:28 PM | Link to this
Good job, Josh. Keep up the good work.
By Fascinated!
August 3, 2009 8:51 PM | Link to this
You know what they say about houses of cards…
By Just Ice
August 3, 2009 11:30 PM | Link to this
Has anyone checked as to why Jim Smith was released from his previous employer???????
By Bill
August 4, 2009 10:13 AM | Link to this
Scott Owens moved on to the LNE Group, has anyone checked to see if the county has been paying the LNE Group for any so called “Services”. Bet they have.
By simply amazed
August 5, 2009 4:52 PM | Link to this
There is no doubt the Republican Party has been a good ole boy network for years. Look where you are now boys! Surely this won’t hurt Mr. Piper’s run at the 12th District Court of Appeals!
By simpley amazed
August 5, 2009 4:58 PM | Link to this
Hey Nic, I am sure we can count on our head of the Rep.Party or the Butler County Pros. Office to enlighten us on who received the contributions. Their word is as good as gold!!!!
By JMB
August 7, 2009 1:19 PM | Link to this
It’s rumored that Mike Fox is being investigated beyond the Dynus affair and includes questionable activities both as a State Rep and County Commissioner concerning his many company’s associations with government agencies and as expected possible tax evasion. Also rumored, a Hamilton city councilmember close to Fox may also be under investigation.