Land sale questioned

03/14/2008

By Ramon Bracamontes / El Paso Times

County Attorney José Rodríguez has begun legal proceedings to possibly nullify the county's nearly 5-year-old sale of about 305 acres in East El Paso.

The action is being taken because a former county commissioner pleaded guilty to accepting bribes in exchange for her vote in settling a lawsuit that allowed the sale to be finalized.

As part of the legal action, Rodríguez is also asking a judge for permission to depose five prominent El Pasoans -- a lawyer, three land developers and a Texas Department of Transportation commissioner -- who Rodríguez alleges in court documents have knowledge or ties to the settlement.

"I am attempting to gather as much information as I can so I can then advise the Commissioners Court about any additional action needed to protect their interest," Rodríguez said.

The county commissioners last month authorized Rodríguez to begin pre-litigation efforts to protect the county's interest in the land sold in December 2003 for $3.04 million to Catalina Development as part of the settlement.

Rodríguez said he doesn't know what the next step will be and said it will determined after he gets the depositions and knows exactly what happened in that land sale.

In a court filing called a "petition to take deposition before suit," the county attorney alleges that former County Commissioner Elizabeth "Betti" Flores accepted money and other benefits in exchange for her vote in the sale of 305 acres south of Vista Del Sol and east of Loop 375.

Rodríguez bases his argument on federal court documents outlining six bribery counts to which Flores pleaded guilty in July 2007. Those pleas were a result of the FBI's public corruption investigation.

"The lawsuit in which Elizabeth 'Betti' Flores ... took money to settle is believed to be Catalina Development Inc. and Gregory W. Collins v. the County of El Paso, Texas," the document states.

Among those Rodríguez wants to depose are:

David Escobar, a lawyer who served as the trustee for the joint venture composed of Carefree Homes Inc. LP and Tropicana Homes Inc., a Texas corporation.

Gregory W. Collins, individually and as president of Catalina Development Inc.

Robert L. Bowling III, president of Tropicana Homes Inc.

Sally Thomas, aka Sarah J. Thomas, president of Carefree Homes Inc. LP.

Ted Houghton, a Texas Department of Transportation commissioner and local businessman.

The court documents say county officials want to talk to Houghton because in 2003, Flores contacted him to talk about conveyance procedures of public land.

"Shortly thereafter David Escobar and/or Luther Jones sent written correspondence to Ted Houghton concerning his discussion with Betti Flores and making reference to potential claims of tortious interference with contract," the documents state.

Neither Houghton, Escobar or anyone else could be reached for comment late Thursday. Court records show all five were notified this week of the county's plans to seek their depositions.

Rodríguez's request for depositions is pending in County Court-at-Law No. 5 with Judge Carlos Villa.

In addition to testimony from the five people regarding the sale of the land and the settlement of the Catalina Development lawsuit, Rodríguez is asking the court for permission to obtain any written communication they have related to the Catalina lawsuit and any information with regard to the corporation they set up during the transaction.

In July, Flores, a former county commissioner pleaded guilty to six counts of mail fraud and accepting money, according to federal documents.

In count six of that federal document, Flores plead guilty to accepting "money and other benefits in exchange for her vote in her official capacity É to settle a lawsuit against the County of El Paso over a tract of land owned by the County of El Paso and to sell the land to clients of another known by not named herein," court records state.

The county attorney's office alleges in its court filing that count six against Flores involves the sale of Catalina Development.

Although Flores plead guilty in the public corruption case, she was not arrested and has not been sentenced.