Kwame Kilpatrick’s nonprofit group solicited deep-pocketed donors by promising donations would not be spent on political campaigns.
Ken Hudson
Financial adviser Ken Hudson testified his firm NorthPointe Capital donated $10,000 to the Kilpatrick Civic Fund in 2007 and 2008 after being approached by a fundraiser.
In a letter, the Kilpatrick Civic Fund wrote “no funds of the Civic Fund are donated to any political campaign.”
Hudson’s firm gave $10,000, he testified. He is the latest in a parade of Civic Fund donors testifying Tuesday who also worked as advisers to the city’s Police and Fire Pension fund.
Hudson, like the others, testified he thought the money would benefit the community, not Kilpatrick.
“We were happy to support the city of Detroit based on the information we had,” Hudson testified.
Prosecutors allege the Civic Fund served as the ex-mayor’s slush fund, bankrolling exotic trips, summer camp for his kids and other personal expenses.
Donors testified Tuesday Civic Fund checks were sent via the U.S. mail, which addresses a key charge in the Kilpatrick indictment. Along with racketeering, extortion, bribery and tax charges, Kilpatrick is facing 13 counts of mail and wire fraud — 20-year felonies.
Defense lawyer James C. Thomas said donors were told in writing beforehand that the Civic Fund was involved in providing residents information about legislative and political issues.
“And the education of Detroit residents on the importance of voting, do you agree that has a political connotation?” Thomas asked.
“Yes,” Hudson said.
He later testified he probably would not have recommended donating money if he had known the cash would be spent on yoga lessons and water-park vacations.