News -> News TUE, JUL 26 9:55AM by Walter Pierce

Ethical Dilemma

Wednesday, July 27, 2011
By Walter Pierce

Could The Independent’s reporting on the Gachassin saga be criminal? Evidently ... maybe.

20110727-news-0101

Greg Gachassin

As we acclimate ourselves to our stay in Bizarro-ville complements of a mercurial developer’s billboards comes a subtle warning from the former head of the Louisiana Ethics Board, now a private attorney, informing The Independent that we could — maybe, possibly, conceivably — be in jeopardy of running afoul of a provision in state law designed to protect individuals facing investigation by the Ethics Board.

Baton Rouge lawyer Gray Sexton served four decades as the chief administrator of the board before turning his expertise in gold standards into a lucrative post-administration job defending high-profile public figures including Baton Rouge Mayor Kip Holden and others against ethics charges before the agency he once headed. If you have the money, Gray’s your guy.

Greg Gachassin has the money.

The Lafayette mortgage company owner turned low-income housing developer, a frequent flyer in the pages of this newspaper since the Lafayette Housing Authority debacle spread its sodden tail feathers last summer, has retained Sexton’s services in an apparent effort to attenuate our aggressive reporting on Gachassin’s questionable ethics.

On Monday of last week, I received a letter from Sexton on the letterhead of his firm, Sexton-Hebert, citing a section of Louisiana Revised Statue 42: “It shall be a misdemeanor, punishable by a fine of not more than two thousand dollars or imprisonment for not more than one year, or both, for any member of the board, its executive secretary, other employee, or any other person, to make public the testimony taken at a private investigation or private hearing of the board or to make any public statement or give out any information concerning a private investigation or private hearing of the board without the written request of the public servant or other person investigated.”

Sexton urges The Ind to proceed with caution: “Prior to this correspondence, you may not have been aware of the criminal statute contained in the Ethics Code,” the counselor writes. “Now that you are aware of it, I trust that you will be mindful and respectful of the confidentiality provisions contained in the Ethics Code if you report any stories in the future about Mr. Gachassin.”

Gachassin’s attorney singles out our INDreporter blog from the previous week in which Editorial Director Leslie Turk reports that the Ethics Board was scheduled to hear “at least two related complaints” against Gachassin — one filed by an anonymous Lafayette resident; the other by state Rep. Rickey Hardy, the latter of whom was instrumental in exposing the LHA’s dysfunctional and possibly criminal operations. Specifically, Sexton takes issue with The Ind quoting a portion of what Hardy wrote in his complaint to the Ethics Board urging it to investigate Gachassin.

“Some of the information that has been provided to Ms. Turk is confidential information pursuant to the Ethics Code and this information has been improperly provided to Ms. Turk,” Sexton writes.

In fact, this newspaper referenced Hardy’s complaint as early as May 9 of this year, lifting what was essentially the introduction of his letter to current board administrator Kathleen Allen.

In parsing the language in R.S. 42, we find it to be broad at best, if not vague. Sexton was cordial in a follow-up call late last week: “We don’t want to cause you guys any grief; we would just appeal to you to stop publishing articles that contain confidential and private information concerning the actions of the Ethics Board,” Sexton says. “Greg may very well take some action against the quote complainant end quote, but as far as you guys are concerned, we would just appeal to you to stop doing it.”

Our problem with the law, Sexton’s civility notwithstanding, is that this newspaper’s reporting on Gachassin has been preliminary to any hearing by the Ethics Board concerning Gachassin. Indeed, we reported that a hearing would take place, but we’ve reported nothing — no testimony, no evidence, nothing — related to a hearing or an investigation.

That, says Ryan Brown, attorney for the Louisiana Press Association, is a noteworthy distinction — with a caveat: “My recommendation would be, if you print the fact of procedurally what’s going on and you leave the reader to make their own conclusion, I think you’re OK, without getting into any invasion of privacy issues,” Brown says. “But in the legal world, a lawsuit can be filed on any day for any reason.” Hardy’s complaint to the board was the direct result of reporting this newspaper did on Gachassin based on public records, particularly those of the Lafayette Public Trust Finance Authority, for which Gachassin served as chairman at the same time he signed on as a paid consultant on housing projects being funded in part by the LPTFA — a fairly clear violation of state ethics law in our estimation and, based on his complaint, in Hardy’s as well. The state rep references Turk’s reporting in his letter to Allen. The Louisiana Code of Ethics specifies that someone who serves on a board or commission such as the LPTFA is prohibited from doing business with the entity until two years after leaving it. Gachassin, the records show, didn’t even bother to formally resign before signing on as a paid consultant for two federally funded low-income housing tax credit projects in north Lafayette: the single-family development Villa Gardens and the elderly apartment complex Cypress Trails.

But that’s old news. And so is newspapers reporting on the filing of ethics complaints. A quick Google search turns up several examples of Louisiana news media informing the public that a complaint has been filed. Our friends at The Daily Advertiser did it as recently as Tuesday of last week in a story on Gachassin.

Sexton’s successor at the Ethics Board, Allen, was of little help, pointing out that board members and staff are prohibited from discussing complaints and, moreover, it would be the district attorney who decides whether a newspaper writer or editor — or anyone for that matter — has committed a misdemeanor.

So, where does that leave us?

Evidently, reporting that complaints against Gachassin had been filed, which we did, might have been a crime. Reporting that a hearing was scheduled, which we did, might have been, too. And reporting that an investigation is under way — and we’re not saying that’s the case — could be as well.

It’s a tricky strait to navigate even for Gray Sexton, the former chief administrator of the Louisiana Ethics Board: “I guess it would be my thought that you would want to refrain from publishing articles that comment on the fact that apparently the Ethics Board is conducting an investigation of Greg and the LLC that he owns.”

He said it, not us.


Walter Pierce
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Comments (16)add
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written by Pawn in game of life , July 27, 2011 - 09:24 am
Depends on what is is as Bill Clinton would say. I see that Gachassin has lawyered up. But crap is crap no matter how any attorney may want to call it.
I quess depends on what ethics is and in Louisiana it and does not mean much. The ball is in the Ethics court, lets see if anything will be dome. Gachassin could always run for political office. Then he would not have to worry about ethics any longer.

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written by Clint Reno , July 27, 2011 - 11:15 am
Oh boo hoo...don't report things that might ruin my pristine reputation.
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written by local , July 27, 2011 - 01:24 pm
At first I thought Greg was not a crook so everything would be OK. Now it seems a guy hiring a hired gun lawyer to bully people is guilty. I hope Joey and Ricky don't back off because of this lawyer. We need justice and to stop this type of crazy stuff.
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written by yesidoknow , July 27, 2011 - 01:42 pm
I guess I'm supposed to laugh now. Gray Sexton should concentrate on his client. I wonder how much he billed Gachassin for the advice given to The Independent. My guess is that after all of this is over, Gachassin will have to pay back the ill-earned money, which will by then be in the hands of his attorney as his legal fee. The decision will be overturned by Booby Jindal's hand-picked administrative law judge on some legal super-hard-to-understand technicality.
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written by neutral party , July 27, 2011 - 01:42 pm
Please dont be intimidated or better yet bought.Walter i sense fear in your post.
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written by James Melancon , July 27, 2011 - 03:01 pm
The root of the problem is cause by government involvement in what should be a private transaction. If Gachassin did not have the opportunity to game the system (government housing) this would not happen. Until this changes, The Ind will have a endless source material for scandals.
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written by bubba , July 27, 2011 - 03:17 pm
Does this guy know he has the right to remain silent? What an idiot. He must be friends with Doc. Stewart and Company. Get a bill board and threaten the independent. Lets see how that works out for you. And I don't sense any fear in Walters post. Keep up the good work Walter.
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written by resident , July 27, 2011 - 03:36 pm

Speaking of Ethics,
THIS is what I consider UNETHICAL:

"chief administrator of the board before turning his expertise in gold standards into a lucrative post-administration job defending high-profile public figures including Baton Rouge Mayor Kip Holden and others against ethics charges before the agency he once headed."

Someone who gains a critical position on the Ethics Board should be a person who has retired from a long and ethical career with nothing gain from the position. Not someone who is going to use this political clout to get rich.

That would be my definition of UNETHICAL.

Or perhaps Mr. Sexton can explain how charging money to help people defend themselves against the Board of Ethics is Ethical?

I mean really, how much money did you make in 40 years being the CHIEF ADMINISTRATOR? Not rich enough yet? Heh.

Besides, 40 YEARS? really? The head of the department who's responsibility is to ensure that the statutory provisions of the Code of Governmental Ethics, Campaign Finance Disclosure Act and the Lobbyist Disclosure Act are upheld, has been in that position for 40 years? Am I the only one who is uncomfortable with that? I mean once this guy is your friend you are set.

Hello? Board of ETHICS? I'd like to introduce you to the concept of term limits.

Finally I've always wondered why former politicians are allowed become lobbyists. I mean don't you guys get the concept of doing a favor now for a payment later?

For example, we have Congressman Boustany. I'll make a prediction that he will become a lobbyist for the medical industry, probably a big Pharmaceutical company.
My opinion is that would be unethical. But you see it all the time.
http://www.nola.com/opinions/index.ssf/2011/02/lobbyists_like_former_louisian.html

Could ANYONE explain how the BOARD OF ETHICS has FAILED to see how this is UNETHICAL?

Because THAT is the HEART of corruption in our government and it COMPLETELY BAFFLES me as to why this continues to go on despite the fact that we have a BOARD OF ETHICS.


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written by neighbor , July 27, 2011 - 05:12 pm
Anybody who knows Greg, knows he has always been a selfish crook.
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written by Laramy , July 27, 2011 - 07:38 pm
Dear Ind: I wouldn't worry about it. It's a matter of "letter of the law" versus "spirit of the law," and clearly the spirit of the law was not to stop the media from doing its job. (No, I'm not a lawyer.)
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written by rattlesnake , July 27, 2011 - 08:47 pm
“Greg may very well take some action against the quote complainant end quote, but as far as you guys are concerned, we would just appeal to you to stop doing it.”

now he's threatening Hardy? Diggin' that hole deeper instead of putting the shovel down. Like that'll end his problems? Near every agency is investigating, fool choice of partners dealing with criminals and addicts, the history folks are mad, got an egghead doing free architect work, using a mail order blue print that's just plain ugly...... keep sharpening that shovel, buddy!
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written by truth , July 28, 2011 - 12:24 pm
If we have to raise $2,000 for you to keep telling us the truth we will raise it Walter. Don't let this person who will pay a lawyer much more then that, stop you from telling us the truth. It sounds to me like your getting to close to the real story for him to be in panic mode. The others involved are the real story. It seems he has sat down with most of our Lafayette gents running for office in the last few weeks. Wonder why. $$$$$$$$$$$$$
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written by realitycheck , July 28, 2011 - 01:08 pm
Is the FBI still in town? Where is that computer? Can you find in writing anywhere who the "target population" for LIHTC "setasides" are for JDV? (not references to "may be musicians" or "might be artists"; actual commitment for who will be placed in the downtown community?) An extensive interview with Rick Newton and his plans for this development would be great! Then there are the coming appeals...... See? There would still be plenty to report on even if you were to drop that, what with all that expensive lawyer civility asking you ever so kindly to stop doing your job.

KEEP UP THE GREAT REPORTING!!
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written by NOTORIOUS GENTLEMENS CLUB, 10 , July 29, 2011 - 10:36 pm
Chump change Walter, You do the time I'll do the Dos Grandes......Any day now would be a good time for the revolution, to begin, eh CACG and co. HERE YE,HERE YE, " JAILBUST IN THE NEW MILLENIUM.........
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written by RODEOCLOWN , July 30, 2011 - 01:45 pm
BOTTOMLINE: any statue-state/federal or local-infringing the
right of the press to report the news is a direct violation of the First Amendment's guarantee concerning the freedom of the press. This law should be challenged in the federal courts...I'm sure it would be determined unconstitutional.
EOM
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written by Ophelia 46 , August 01, 2011 - 03:15 pm
Screw the (tee-hee) Ethiks Board -- they love to intimidate people. They said the same thing when an ethics complaint was filed against Michot. Didn't stop the compainants from talking about it. And the complaint went nowhere -- big surprise.
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