10282010 - News Article - Grimes wants Clay to suspend Drago-Hunter

Grimes wants Clay to suspend Drago-Hunter 

Post-Tribune (IN)
October 28, 2010 

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GARY -- Doug Grimes, Republican candidate for county prosecutor, wants Mayor Rudy Clay to suspend his city's community development director with pay, but Clay is standing behind Jacquelyn Drago-Hunter. 

"Right now, she's keeping her job," Clay said. 

Drago-Hunter declined to comment when reached by the Post-Tribune Wednesday. A federal grand jury charged her with wire fraud and aggravated identity theft in an indictment unsealed last week. 

Jerry Haymon, Phillip Rucker and Sheila Chandler also face fraud charges. 

Earlier this week, Clay called Drago-Hunter "a great God-fearing person from a great God-fearing family." He wouldn't say until Wednesday, though, whether she would keep her position. 

She manages millions in federal dollars as community development director, including federal stimulus money from the U.S. Department of Housing and Urban Development. 

That, Grimes said, is why Drago-Hunter should keep her income but be placed on administrative leave. 

"Clay has a responsibility to protect the welfare and assets of the city of Gary," Grimes said in a news release, "and granting her a leave of absence with pay would provide for that protection." 

Grimes is a regular critic of Clay's administration. He was one of the leaders behind a lawsuit that last year voided an initial private contract for trash collection. He is on the Nov. 2 ballot opposite Democratic incumbent Bernard Carter. 

Drago-Hunter isn't accused of mishandling the money that came through her office. Instead the grand jury said she falsified HUD-1 settlement statements, and possibly signatures, during private transactions to illegally direct money into bank accounts controlled by her and her co-defendants. 

Grimes also said he will encourage the Indiana General Assembly to pass a law that would have 

forced Clay's hand in the matter. He said the law should force public officials charged with a felony to take a paid leave of absence if their alleged crimes involve public funds.One house where Haymon is accused of committing the scheme is 4028 Tennessee St. 

Haymon has previously said he used tax money directed to him by City Councilman Ronier Scott to fix up that house.