“The enclosed article from the Indianapolis Business Journal on April 24, 2010, outlines circumstances relating to possible conflicts of interest in real estate leases entered into by the state of Indiana in the past few years," Bauer’s letter reads. "The article specifically cites leases brokered by John M. Bales, which put a company involved in Indiana’s welfare-to-work program into two buildings owned by Mr. Bales. This letter is my formal request for your review of the facts surrounding these real estate leases to determine if an investigation by the U.S. Health and Human Services Inspector General is warranted.”
If Gov. Daniels is smart, he'll get everything out in the open immediately with these deals brokered by Bales; otherwise, this growing scandal engulfing Marion Co. Prosecutor Carl Brizzi, Bales, alleged Ponzi scheme operator Tim Durham and others associated with them could very well destroy any national political ambitions he might have. If he fails to do that, it will appear that he has something to hide. City-County Council President Ryan Vaughn and other lawyers at his firm, Barnes & Thornburg, have lobbied the Daniels administration on behalf of Bales' company, Venture Real Estate.
Speaking of Durham, one source tells me that sweeping RICO charges may soon be filed in the investigation of Durham's Fair Finance Company being conducted by Ohio and federal authorities. Brizzi had accepted appointment to Fair Finance's board of directors a short time before allegations surfaced that Durham and his business partners had been operating it as a Ponzi scheme to fund his personal business investments and lavish lifestyle. Innocent investors may have lost at least $200 million in the now-bankrupt finance company.