
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, March 15, 1991                   TAG: 9103150916
SECTION: VIRGINIA                    PAGE: C2   EDITION: EVENING 
SOURCE: Associated Press
DATELINE: CHESAPEAKE                                LENGTH: Medium

FBI PROBING LINKS BETWEEN BUILDERS AND PUBLIC OFFICIALS

The FBI has obtained personal and campaign finance records of four former and three present City Council members, including Mayor William E. Ward, as part of an investigation of links between builders and public officials, a newspaper reported today.

On March 8, agents visited the offices of City Clerk Betty J. Callaway and Voter Registrar Iris Crumpler, The Virginian-Pilot reported. Callaway gave them financial disclosure forms dating to 1986 for Ward, former Mayor David I. Wynne, present councilmen Robert G. "Buddy" Bagley and Lionell Spruill, and past council members Gary W. Markham, Nora W. Davenport, and Cecil Y. Jenkins. Crumpler gave them finance reports for the same people dating back to 1984.

Tom Love, a spokesman for the FBI's Norfolk office, said Thursday that the bureau had no comment.

"The bad thing about this is the FBI won't likely make any comment," Ward said. "If you go to press with this, it casts a shadow of suspicion over the council until the investigation comes to a conclusion."

The FBI has refused to acknowledge the inquiry for more than a year, the newspaper said.

Councilman Arthur L. Dwyer confirmed the investigation. He said agents asked him for help more than a year ago, just months before his May 1990 election.

FBI agents gave only a vague description of their suspicions, Dwyer said.

But he said that in one of the first meetings in February 1990, an agent asked him about "possible bribes or inappropriate actions of council members regarding rezonings."

"It was their opinion that there had to be ulterior motives for the council to approve rezonings that had strong citizen opposition as well as strong staff opposition," Dwyer told the newspaper.

On Nov. 26, 1990, FBI agents visited the engineering firm of Hassell & Folkes and interviewed owner S. Grey Folkes Jr., the newspaper said. The firm has been the leading representative of major developments over the past five years.

Agents did not present a search warrant. But with Folkes' permission, they took several files with them, the newspaper said.

The seven council members whose records the FBI obtained all served together between 1988 and 1990.

They said Thursday they didn't know why the FBI is investigating.

"From a personal perspective, I don't have anything to hide," Ward said. "I welcome any investigation the FBI deems appropriate."

Spruill said, "What everybody is scared about is how it's going to look."

Bagley was out of town and unavailable for comment, the newspaper said. Wynne and Jenkins were unavailable for comment, the paper said.

Davenport said, "I don't even know what they're investigating. Do you?"

Markham said, "I believe there's a political motivation involved. I do not believe the FBI would be looking at anything if someone had not pointed a finger."

by CNB