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Fri March 9, 2012
Records: Detroit contractor extorted $58.5 million
DETROIT (AP) - Federal court records claim a Detroit businessman and ally of disgraced ex-Mayor Kwame Kilpatrick obtained $58.5 million by extorting contractors and through other illegal conduct.
The allegations surfaced in a seizure warrant affidavit that was unsealed Thursday and reported by The Detroit News.
The affidavit provides the most detailed account to date of the alleged trail running through the racketeering conspiracy case against Ferguson and Kilpatrick. It says Ferguson spent a fraction of the cash on his kids' college education, his girlfriend and construction equipment.
Ferguson's attorney, Gerald Evelyn, said he hadn't read the affidavit but has challenged FBI searches in a separate bid-rigging case against Ferguson.
The 43-year-old Ferguson is awaiting trial in separate federal corruption and bid-rigging cases.