The Battalion. (College Station, Tex.) 1893-current, January 18, 1988, Image 4

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Page 4/The Battalion/Monday, January 18,1988
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June 27-August 6, 1988
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The University of Southwestern Louisiana will offer its Third Annual
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COST OF THE PROGRAM $3,500-including airfare, tuition, fees, lodg
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A LONDON PRE-STUDY TOUR-is available at an additional cost of
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DEADLINE FEBRUARY 29, 1988
For futher information and application forms contact:
Dr. Frans Amelinckx
Department of Foreign Languages
University of Southwestern Louisiana
Lafayette, LA 70504-3331
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O
Clear Lake deal drowns in sea
of allegations of forgery, fraud 1
Democratic officeholders involved in mess
HOUSTON (AP) — Clear Lake
area land deals involving some top
state Democratic officeholders de
generated into a multimillion dollar
mess amid allegations of forgery,
fraud and misapplication of project
funds, the Houston Chronicle re
ported Sunday.
The projects were among those
put together by former state Rep.
William J. Caraway and unsuccessful
Houston mayoral candidate E.W.
“Bill” Wright III and their partners.
Both turned to real estate devel
opment in the wake of political
losses.
Texas Land Commissioner Garry
Mauro’s business manager and a
Clear Lake attorney claimed that
Mauro and the lawyer never signed
bank notes totaling $5.5 million that
bear their purported signatures and
were used to fund the real estate
ventures. A handwriting expert sup
ported their claims.
Caraway and Wright, now the
deputy director of the Democratic
Party’s presidential fund-raising ef
fort, denied anyone other than the
investors had signed the notes.
“Nobody would sign anybody’s
name for them,” Wright said.
The developers, who packaged
and sold tax shelter investments to a
who’s who of Democratic officehold
ers, including Mauro, Lt. Gov. Bill
Hobby and U.S. Rep. Mike An
drews, have since seen their business
fall apart.
Their company. Intertec Finan
cial Group, has collapsed, plunging
Wright and another partner into
bankruptcy and causing embarrass
ment for a number of politicians
who have lost money in the unsuc
cessful projects.
Allegations of fraud at Intertec
have attracted the attention of the
FBI and the Harris County District
Attorney’s Office. Their business
dealings are the subject of a flurry of
lawsuits, including one by a former
partner who accuses the developers
of misrepresenting their land deals
and fraudulently mismanaging pro
ject monies.
Glimpses of their business deal
ings include:
— Caraway and Wright were di
rectors at banks that made several
million dollars in loans to their pro
jects. After Wright was elected to the
board of directors at Western Bank-
Downtown, the bank made the
$850,000 loan that Mauro now disa
vows. “I never signed anything,”
Mauro said, referring further ques
tions to his business manager and
cousin, Don Mauro.
— The developers bought a 14.5-
acre cow pasture for $436,000 and
then sold it ten weeks later for $1.3
million to a partnership they
formed. The loan that Mauro says
he didn’t sign financed $850,000 of
the transaction.
— Kenneth D. McConnico, a
Clear Lake area lawyer who was one
of Caraway’s first partners, said his
name was forged on two mortgages
totaling $4 million for earlier pro
jects.
A handwriting expert confirmed
that McConnico never signed the
documents.
Caraway, Wright and another
partner, David A. Frasier, defended
Ex-Brazoria commissioner
recollects his fullfilling history
WEST COLUMBIA (AP) — If
variety is the spice of life, D.E.
Grandstaff has had a flavorful one.
The 89-year-old has worked at a
wide range of professions from
coaching football to building oil rigs
to raising cows to teaching school.
He has even been involved in
politics and served as a Brazoria
County commissioner for 10 years.
He spent most of his high school
years in Louisiana where he had to
ride nine miles every day on a horse
or a mule to get to school.
“I alternated between the mule
and the horse,” he said. “It just de
pended on which one needed the
rest. With the mule, I spent about
half the time pulling it.”
The summer of 1916 he worked
for a company in Louisiana making
$3 a day.
“That’s $3 a day, honey, not an
hour,” he reiterated.
They had talked about getting
married and he had written her fa
ther asking for permission.
The girl’s father had told Grand
staff that it was okay with him but
he would have to get his daughter’s
permission.
“I don’t remember ever propos
ing," he said.
Olive’s family was moving to
West Columbia from Humble and
it seemed like a long way to have to
go to visit, he said.
It was pretty good money back
then, and with his “investments,” he
bought an extra suit of clothes, a
jersey milk cow and a jersey heifer.
About that time his family de
cided to move, and in the long jour
ney, Grandstaff learned a valuable
lesson.
“I never will forget it,” he said.
“We’d been on the road about two
weeks and we’d been making pretty
good time. We stopped and were
drinking a cup of coffee, and I
bragged to Dad about what good
luck we had been having.”
“There’s many a slip between
cup and lip,” GrandstafFs father
wisely replied.
“When we started up again, my
jersey cow wouldn’t get up. She was
so tired, she just laid down and
died,” Grandstaff said. “Five miles
down the road, my jersey heifer
laid down and died. A whole sum
mer’s work, gone. Dad was right.
There’s many a slip between cup
and lip.”
In 1917, the year he was to grad
uate from high school, the United
States entered World War I and
Grandstaff wasted no time enlisting
in the Marine Corps.
But upon returning, he went
right back to school and graduated
in Humble.
Grandstaff was dating his high
school sweetheart at the time.
Her name was Olive Stokely and
she later became his wife.
“We asked him if he
would marry us, but he
said wed have to wait till
the meeting was over. It
was about 11 when he was
through. He asked us if
we wanted to get married
that month or the next.
We told him that month,
but he had to hurry to
make it by midnight. ”
— D.E. Grandstaff
So, one night they just decided to
get married.
Grandstaff had won a race in
high school and had received $2.50
for a prize.
Olive exchanged it for a quarter
eagle, which was a small gold coin
about the size of a dime, and they
had kept it to buy their marriage li
cense.
On Sept. 30, 1920, Ringling
Brothers was having a circus, but it
was sold out.
“So, I said, ‘Let’s get married.’”
And they did.
They went to a “picture show”
with each of their best friends, and
when it was over, they sought out a
former pastor who was in a meeting
in Houston.
“We asked him if he would
marry us, but he said we’d have to
wait till the meeting was over,” he
said. “It was about 11 (p.m.) when
he was through. He asked us if we
wanted to get married that month
or the next. We told him that
month, but he had to hurry to make
it by midnight.”
West Columbia the next morning to
tell her family.
They were not upset, but were
not quite sure what to think about
the young couple.
“We lived in West Columbia be
cause it set in raining,” he said.
“The roads were all dirt roads back
then and we couldn’t leave town.”
The Grandstaffs lived in West
Columbia off and on for nine years
before moving there permanently
in 1929.
He taught school and coached in
West Columbia for four years be
fore he was “voted out.”
It was not his record that cost
him his job, he contends, but petty
politics.
The first year his football team
only won one game and the next
year was not much better, but in
1931, it won the county
championship.
“None of tne teams in our county
even crossed my goal line,” he said.
After working for the school,
Grandstaff worked for area oil
companies until World War II
broke out.
He tried to re-enlist in the Ma
rines but was told he would not be
eligible for foreign service.
“I told them if I couldn’t go with
the rest of them, I’d just go on
home and work in a defense plant,”
he said.
He worked at the Dow Chemical
Co. until 1944, when he was elected
county commissioner.
Grandstaff and his wife, Olive,
had three children. His youngest
daughter, Kathryn, married Bing
Crosby, but Grandstaff said the fact
that his son-in-law was famous
never affected him too much.
“He was a top-notch fellow as
long as I knew him,” Grandstaff
After the death of his first wife,
Olive, Grandstaff married his sec
ond wife, Clair.
Most of his time now is spent
ba
Grandstaff said they went to They’re big fis
hunting, fishing and watching ball-
games.
Recently he took a hunting and
fishing trip to British Columbia
where he hoped to kill a grizzly
bear but did not.
“We caught some pretty big
trout, though,” he said. “Dolly Var-
den trout. That’s Varden not Par-
ton. They weigh 15, 17, 20 pounds.
“sh.”
O*
i
MSC
MSC DISCOVERY
WEDNESDAY, JANUARY 20, 10:00 am. to 3:00 p.m
ioI Me
ol. Ci
lU JA,
larsal i
IDENT
Kind ap
their business dealings, sayiflDENT
investors, including the Maun
McConnico, were well aware
involvement in the projects
said that the signatures on tlii|
guarantees that Mauro and
nico now disavow, were colli
the banks involved, notbytheict 3 J
m
opers.
The developers say that
the same investors who nowaifc
ing to distance themselves fi iGGIES f
financially ailing land dealsf^
sent federal income tax sta:r,P^
and other correspondence th;&| _ '
vided details about the pj
They produced certified maigfjhip dr
eipts that they said showedthtfal busin
tors were informed about thtlWTK for
ject. 0 let? 1
\riame
The developers’ attorney]^
Holland said that some of
disgruntled investors have Jjk
other complaints to the state
ney General’s Office, the dar#*
torney’s office and the FBI Ip
nothing has come as a resultof’i
ili
Dallas Ballet|j c
offers merger^
to Fort Woif
DALLAS (AP) — The a£ORPU
ridden Dallas Ballet has talk st Poin
formally with its Fort th
counterpart to the west abor s, claim
possibility of creating a revihe acai
company, a spokesman for Me fre:
Dallas group said. )n Jan,
“I believe firmly that, betwjnd,
Dallas and Fort Worth, weej.T Mil
together create a ballet corrjistmas
that would be of major iir:*i dismi
tance,” Jay Vogelson, a ‘pfe
man for trustees of the fmancHanj
troubled Dallas Ballet said.
“The Fort Worth Ballet A
done some great things w^MTlOl
cally,” Vogelson said,
the two of us there is anaude ,
that could support a balletc/Joke
pany of that scale.” |||„ r /
Serious finacial problems:^,
plagued the Dallas comparj-f/) f)
recent months, threatenintjl;^,,.
troupe’s existence. Several tc
companies around the countr^ThtCt
similar straits have merged it
cent years, with varying detnrnmmam
of success.
Merging the troupes Edward
would combine donors, crea: de poii
greater financial stability, Vcjsed be
son said. Bssni
A study of the Dallas Ballet! 1 acade
nancial problems urged tem.'
troupe to ask its creditors to ^’s son
f ive its $ 1.8 million debtandtJzing.’
1 million immediately to insfHe ha
the opening of programs sc® fit t!
uled for February and Marc!) »nien
Vogelson said the comp® psyc
existing debt would not besfe'vanls ;
by the Fort Worth Ballet infe des
case of a merger. bating
“It’s best to start out wit, VC)Vvec
combined company that do«^L Foil
have the burdens of either# 0 his i
rate company, but has theadr^dwarc
tages ancl attractions of both, * u ppei
said. ^ a»'oi
But merging the smaller 1 ^equh
nancially stable Fort Worth ctfhon, r
pany with the larger Dallas ctH like
pany would involve niiJstanth
accommodations, Vogelsonsa remer ^
Officials of the Fort Worth:*
let did not immediately reii| ,
telephone calls by the AssociaEj|T| I
Press on Sunday.
The artistic styles of the c(V *
panics vary considerably. T| | (O
Fort Worth Ballet stages mode ^
dance works, while Dallas is w
classical. HAR
jJF h ‘
SCHULMAN THEATBI#,fc
th
2.50 ADMISSION* *e
1. Any Show Before 3 PM
2. Tuesday - All Seats
3. Mon-Wed - Local Students V
Current ID s
4. Thur - KORA "Over 30 Nile
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