Saturday, May 3, 2003

Grand jury seeks records of racing commission head



The Associated Press

FRANKFORT - Kentucky Racing Commission Chairman Frank Shoop has been subpoenaed by a Franklin County grand jury for records to determine whether his lobbying firm actually worked for the $145,000 it received in state fees.

The attorney general's office released seven grand jury subpoenas to the Lexington Herald-Leader on Thursday.

Shoop told the newspaper he was "real anxious" to cooperate and clear his name.

"We said we had all the information ready and we're real anxious to get started and get our name cleared," Shoop said.

"By focusing on the subpoenas, it makes me look criminal, and I'm not."

Shoop said he received the subpoena in late March.

"I sent the attorney general a letter telling him we had our records ready," Shoop said. "My attorney said this is standard procedure."

In March, the attorney general's office said it would investigate the $145,000 worth of payments made to Goldsmith Ratcliff & Shoop LLC.

The subpoena is for records surrounding the firm's work for a state-government created public corporation, the Kentucky Wood Products Competitiveness Corp.

Earlier this year, a state audit did not find evidence Shoop's firm did any work for the money it received.

Shoop said he has supplied the grand jury with evidence justifying the deal his firm had with the wood-products agency.

Shoop's firm collected $10,000 a month from the state wood-products agency between November 2000 and last January 2003, according to the state audit. During that time there was no written contraction or documentation, according to the audit.

State Auditor Ed Hatchett said without extra documentation, he thought the arrangement was illegal.

Hatchett referred the matter to Chandler's office.

Bennet Ratcliff, Shoop's partner, on Thursday released a March 4 letter he sent to Attorney General Ben Chandler.

Ratcliff said he also sent "a detailed description of the services provided by our firm to Kentucky Wood Products, including our work in securing $700,000 in grants."

Ratcliff said he sent the same information to Hatchett.

The Franklin County grand jury started issuing subpoenas in March.

A subpoena issued to Goldsmith, Ratcliff & Shoop asked for copies of correspondence, contracts and lobbying activity documents.

It also wanted reports of its expenses for the wood agency.

On Tuesday, the grand jury issued its latest subpoena to the Alliance of Kentucky Wood Manufacturers, a wood manufacturer association based in Frankfort.

That subpoena was seeking various records by May 5.

Additional subpoenas were also sent to a Cincinnati bank that holds accounts for the lobbying firm, Central Bank & Trust in Lexington, and Republic Bank in Louisville.