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Posted on October 26th, 2009 in Citizen's Digest

Langford’s finances exposed in court

By Kyle Whitmire

Prosecutors dove deep into the strange and troublesome personal finances of Birmingham Mayor Larry Langford Monday afternoon. Nearing the end of its case in chief, the government called several witnesses from financial institutions to describe the defendant’s peculiar transactions.

Former Jefferson County financial advisor Norm Davis (right) leaves the federal courthouse in Tuscaloosa.

Former Jefferson County financial advisor Norm Davis (right) leaves the federal courthouse in Tuscaloosa.

Former Jefferson County financial advisor Norm Davis testified that Langford approached National Bank of Commerce for a loan shortly after Langford named them to the county’s financial team. According to Davis, Langford at first asked for a loan of somewhere between $50,000 and $65,000. As collateral, Langford offered his share of a real estate partnership and his wife’s 401K.

The bank initially refused the loan and gave Langford a credit card instead. The card had a limit of $25,000, but bank officials granted incremental increases until the credit line topped out at $65,000. At that point, the bank converted the credit card into a personal loan, Davis said.

During Davis’ testimony, prosecutors were able to convince U.S. District Judge Scott Coogler to admit into evidence Langford’s credit reports and scores. One credit report reflected serious delinquency. In 2003, Langford’s credit score was 585, but by 2006 that number had fallen to 485.

Langford’s personal debts were a staggering $650,000, including $238,000 of credit card debt.

On cross examination, Davis said that Montgomery investment banker Bill Blount brought value to Jefferson County bond deals by facilitating discussions and making connections.

In a peculiar sidetrack, Davis said he had paid Langford $8,600 for a classic Chevrolet Corvair.

That Corvair has been the object of courtroom attention before, but not in Langford’s corruption case. Rather, in the corruption trial of former Jefferson County Commissioner John Katopodis, one witness testified that he had sold Langford a Corvair through the defendant. Langford had given him a guitar supposedly worth $4,000, the cost of the car, but when the witness had the guitar appraised, he found out it was worth only about $300. The witness complained to Katopodis, who paid him the remainder of the car’s cost with charity funds. That charity, Computer Help for Kids, received more than $1 million in public funds, much of it directed from Jefferson County by Langford.

According to Davis, Langford had told him he was charging only what he “had in the car.” On cross examination, prosecutors asked Davis if Langford had told him that Katopodis had given him the car for nothing. Davis said that Langford had not mentioned that.

Keith Anderson, an officer from BBVA Compass bank, helped prosecutors comb through Langford’s bank accounts, including a personal account he had directed to his office and not his Fairfield home.

Bank records showed money from lobbyist Al LaPierre being used to pay taxes and debts at clothing stores, among other expenses. However, there were no records showing dental bills among those expenses. Langford has said that he needed the money to pay for major oral surgery.

The bank account was separate from the joint account Langford had with his wife, Melva.

Another peculiar item showed $8,500 Langford received for a Rolex he sold to Birmingham attorney Patrick Cooper. Cooper later ran against Langford for Birmingham mayor, finishing second.

Prosecutors told the court they have four witnesses left and should be finished with their case on Tuesday.

Testimony resumes 9 a.m. Tuesday morning.

Madison Underwood contributed to this report.

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  • azikweabdullah
    politics does indeed make strange bedfellows/lagnford and cooper doing a deal for trinkets.kind of thing that makes you go hmm?birmingham's electorate will have an oppportunity post langford to do some real political soul searching and hopefully discover leadership that uinderstands integrity and honesty .hopefully this leadership will develop programs that break the back of economic apartheid at city hall and creates real economic empowerment for the majority/minority african american population that has been historically overlooked even with so-called black leadership.can you count to 7?black mayor 7 of 9 council persons black and black vendors still get less than 2% of city contracts.----------------hmmm.
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