LANSING (WKZO) -- How did a con-man get the MEDC to give him a $9.1 million tax break? He simply filled out the forms and gave the state everything they asked for. Richard Short reportedly studied other successful applications and used all the right catch phrases.
MEDC Director Greg Main says he apparently duped others too because they received recommendations and documents that he had the financing. Main says they are already implementing a procedure to do background checks of executives in companies they are unfamiliar with, and will add a line on the form asking for previous felony convictions.
He says the do ask applicants about their backgrounds and Short did not disclose the fact that he had been convicted of fraud 3 times. Short claims no one ever asked about his background. He claimed from the Genesee County Jail by phone that his company is legit, and he would like to see the firm and the jobs created in Flint, even if he has to step away from the Company.
His daughter, Holly Baker says her father is a liar and should not be trusted. By not informing his parole officer that he had a job as the CEO of a company, real or fictitious, Short violated his parole. Short claims he was bound to secrecy by the MEDC process. Police claim they also found items in his home that violated his parole.
Democratic Gubernatorial Candidate Virg Bernero says the only dishonest man has been locked up. That granting him the break was an honest mistake. Senate Leader Mike Bishop says he has tasked a senate subcommittee to look into the matter so they can quickly fix it and move on. But Bishop has also hinted he wants to have background checks on the other 600 applicants that have already had their tax breaks approved.
House Speaker Andy Dillon has assigned their hearing to the House oversight subcommittee. Both the House and Senate plan hearings next week.
