01222019 - News Article - Bribery charges now are focus in Portage mayor's trial

Bribery charges now are focus in Portage mayor's trial
NWI Times
January 22, 2019
https://www.nwitimes.com/news/local/crime-and-courts/bribery-charges-now-are-focus-in-portage-mayor-s-trial/article_6de9e5cf-8839-5af7-9810-843edae0d601.html

HAMMOND —As the focus of Portage Mayor James Snyder's public corruption trial moved Tuesday from tax obstruction to bribery, his defense team attempted to paint the case as politically motivated. 

Snyder's 2016 indictment alleges he took a $13,000 bribe in return for steering more than $1 million in city contracts to Great Lakes Peterbilt for garbage trucks.

When defense attorney Jackie Bennett cross-examined Portage Clerk-treasurer Chris Stidham, questioning turned to what Bennett called "political intrigue" in the case.

"It is politically in your best interest if Snyder doesn't run again," Bennett said, referring to Stidham's run this year for Snyder's seat as mayor. Stidham is a Democrat, and Snyder is a Republican.

Snyder contends the $13,000 to Great Lakes Peterbilt was a payment for health care and internet technology consulting services he did for the Portage company.

Assistant U.S. Attorney Jill Koster questioned Stidham about the city's bidding process, and in particular, two rounds of bids for automated trash trucks.

Koster also questioned Stidham about the city's use of consultants for health care insurance and internet technology services.

Stidham testified the city hired consultants for both services and Snyder infrequently participated in committee meetings or other discussions involving the two subjects.

Stidham said he was surprised when Snyder allegedly told him Snyder was acting as a health care consultant for an outside company. He also testified Snyder had no knowledge beyond an "average person" of internet technology.

Koster also questioned Stidham filing financial disclosure forms by both Snyder and Assistant Street Department Superintendent Randy Reeder.

That questioning turned on Stidham during the cross-examination by Bennett, who asked Stidham about payments he made to three companies owned by his now-wife during 2015 and 2016. The couple were married in 2016.

Bennett said Stidham paid his then-girlfriend $50,000.

Stidham said he hired her at the time to do bookkeeping-type duties, including bank reconciliation services for his department. Stidham said that information wasn't on his own financial disclosure because the two were not married at the time.

Stidham also testified he made the payments under the city's small purchases policy, just like any other department head. He said it is not uncommon for him to hire outside contractors to help with that sort of work, and he no longer hired his now wife after their marriage in August 2016.

The only other witness Tuesday was Boyton Harrell, director of dealer network development for Peterbilt in Denton, Texas.

Harrell was questioned about the financial stability of Great Lakes Peterbilt during the time of the garbage truck purchases. The company was owned then by Robert and Steve Buha. They have since sold the company.

Harrell said the local dealership was having performance issues and was in poor financial shape for four or five years, owing the company a significant amount of money for the purchase of trucks.

Both Stidham and Harrell were also questioned about the bid specifications and whether one truck in particular met those specifications.

The specifications were drawn up with Reeder as the point person, but upon consultation with others, Stidham testified.

The bid specifications called for new, unused "current production" models.

Harrell testified one of the trucks, referred to as vehicle 412, was not a current model when sold to the city. It was a model year 2012. A new truck sold to the city in 2013 would have been a model year 2014.

Harrell said one difference between the two model years was the truck's engine. The 2012 model would have contained a 2010 emissions engine while the 2014 model would have had a 2013 engine designed to follow more strict emissions standards.

The trial will continue for a shortened day on Wednesday at 9 a.m. U.S. District Court Judge Joseph Van Bokkelen said the trial will recess at noon on Wednesday. He did not specify the reason for the shortened day.