Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, March 5, 1991 TAG: 9103050388
SECTION: VIRGINIA PAGE: B-1 EDITION: NEW RIVER VALLEY
SOURCE: LESLIE TAYLOR STAFF WRITER
DATELINE: LENGTH: Medium
Government prosecutors alleged that Neely - who faces charges of conspiring to defraud the U.S. government by disclosing secret grand jury information to one of his clients - violated one condition of his bond by contacting witnesses or potential witnesses.
Jerry Whitaker, a former pastor who was convicted of several state and federal offenses - testified Monday that Neely visited him at a federal penitentiary in Morgantown, W.Va., last month and asked him to get information from Michael Giacolone, a fellow inmate and potential witness in Neely's case.
Whitaker initially testified that Neely's visit was the first contact he'd had with him in several years. But under cross-examination by Neely's attorney, Ed Jasie, Whitaker said he'd made a collect call to Neely in January to discuss a personal injury matter.
When Assistant U.S. Attorney Karen Peters objected to Jasie's questioning, Judge Jackson Kiser erupted.
"He conveniently forgot the phone call," Kiser said. "I think it makes you out to be a liar," he said, addressing Whitaker.
In denying the government's motion to revoke Neely's bond, Kiser said he had "serious doubts" about what actually happened.
"I cannot for the life of me believe that [Whitaker] could not recall that conversation with Neely, like it was something out of the blue," he said. "He's putting his own spin on the events."
Neely testified that he had arranged to meet Whitaker and discussed his meeting with Jasie beforehand. He didn't view the meeting as a violation of his bond conditions, he said.
"I have tried to abide by that while at the same time properly defending myself," Neely said.
But Peters argued that the meeting was a "deliberate, thought-out plan."
"He knew it was forbidden by the magistrate to contact Michael Giacolone," she said.
Neely was indicted last year on allegations that he, Evelyn Marie Cotton of Lynchburg and Shirley Stanley Bassett of Roanoke conspired from March 1989 to September 1990 to defraud the U.S. government. The indictment alleged that Cotton, the court reporter for the grand jury during the alleged offenses, disclosed secret information on three occasions to her friend and substitute reporter Bassett, who in turn passed the information on to Neely, her friend and sometime employer. The information involved testimony that implicated Giacolone and Neely.
A second count charged Neely, Cotton and Bassett with obstructing justice because it was known their disclosures would reach the targets of federal investigations.
The third count charged the three with violating rules that require certain people, such as the grand jury reporter, to keep grand jury matters secret. By violating that rule, the three committed a criminal contempt of court, the indictment charged.
Cotton and Bassett have pleaded guilty to the contempt charge. The two other charges against them were dismissed.
Neely's trial is scheduled to begin March 25. In allowing Neely to remain out on bond, Kiser said he thought it was important for Neely to be available to prepare for the trial.
by CNB