
As a federal probe into the former Easley Administration seems to be getting rolling questions have risen about a land deal and the appointment of Randy Allen to the Wildlife Commission.
Former North Carolina Governor Mike Easley is being investigated by federal authorities, as a past real estate deal brokered through a friend as well as use of cars provided by a political donor to his family are being examined.
No charges have been filed yet as a result of the investigations.
The Carolina Journal newspaper of Raleigh published by the conservative John Locke Foundation first reported the real estate deal irregularities back in 2006.
Then serving as Governor of North Carolina, Mike Easley purchased waterfront property in the Cannonsgate subdivision in Carteret County that abuts the Intracoastal Waterway near the Atlantic Ocean.
The Journal said that that Governor Easley paid $549,880 for his vacant lot at the end of 2005, even though one year later, the property had a tax value of $1.2 million.
Currently, due to the crash in the real estate market, according to the Campbell Property Group’s Cannonsgate website, lots at the site are in “liquidation” and are being listed for prices that range between $707,834 and $534,590. However, not all of the remaining lots front the Intracoastal Waterway like the one sold to Easley.
According to reports in the Carolina Journal as well as the (Raleigh) News & Observer and Charlotte Observer, the people involved in the real estate deal a the time were all political appointees under Easley, triggering the investigation into whether favors were potentially traded for .
According to the articles, the waterfront community was developed by Randy and William Allen, who were named by Governor Easley to the NC Wildlife Resources Commission.
At the time there were some questions about this apparent sweetheart deal here is an excerpt from a June 2006 news story.
Easley paid $549,880 for the one-third-acre lot in Cannonsgate, a development of million-dollar homes in Ocean, about 16 miles west of Morehead City.
The price was 3 percent above the lot’s assessed tax value. But 49 adjacent waterfront lots in the same development sold for an average of 20 percent to 36 percent above tax value, the Observer reported.
“The governor paid the listed asking price for the lot,” Easley spokeswoman Cari Boyce said. “The price was set and non-negotiable.”
Raleigh broker Mcqueen Campbell, a longtime friend and contributor, told Easley about the property and insists the governor got no discount or favors.
“Those lots are on a first-come, first-serve basis,” he said. “Everybody’s got a shot at every lot.”
But Ronnie Watson, an Emerald Isle real estate broker who helped negotiate the sale of the development last year, disputed that.
“You wouldn’t have been able to buy the lot, I’ll tell you that,” he said. “In other words, he had first choice.”
Boyce said Easley bought the property as an investment.
The developer is R.A. North Development of Matthews, run by Allen’s brother, Randy. Last June, while his own purchase was pending, Easley named Randy Allen to the state Wildlife Resources Commission.
Boyce denied any connection between the sale and Randy Allen’s appointment.
Democracy North Carolina, an advocacy group that tracks campaign money, said Gary Allen and his family have contributed at least $197,000 to the state Democratic Party since Easley began running for governor in 2000. Randy Allen also has been a major contributor.
To anyone that has followed the North Carolina Wildlife Commission it’s no secret that many are big political donors appointed to the Commission. Did the former Governor do something wrong? I guess we’ll learn as the probe continues but it sure does look fishy.
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