The Bureau of Prisons is not looking at the empty jail in Hardin, Montana -- which was recently at the center of the American Police Force con -- as a potential site for Guantanamo inmates, contrary to an AP report today, a spokesperson for the bureau tells TPMmuckraker.
PERMALINK | COMMENTS (2) | RECOMMEND RECOMMEND (0)The Billings Gazette in Montana has the latest from now-admitted conman Michael Hilton: asked to hand over four works of art to help pay a $700,000 judgment in a California real estate fraud case, Hilton claimed he had the flu and couldn't make it.
PERMALINK | COMMENTS (4) | RECOMMEND RECOMMEND (1)"I'm out of the game. I'm done," Michael Hilton has told the Associated Press in a phone interview.
The California grifter had just testified in court that he's broke, is struggling to pay rent on his apartment, and recently borrowed money from his girlfriend. And he appeared to come close, perhaps for the first time, to admitting that he had deceived local officials in Montana about his effort to take control of an empty jail.
PERMALINK | COMMENTS (16) | RECOMMEND RECOMMEND (5)Michael Hilton, the shadowy figure behind the unsuccessful attempt to take over a rural Montana prison, failed to show in a California court Thursday in an unrelated years-old case about duping investors in an elder care home that was never built. A bench warrant has been issued. This from the San Francisco Chronicle.
"Captain" Michael Hilton first appeared on our radar when his private security firm, American Police Force, struck a deal to turn a 464-bed jail in Hardin, Montana, into a law enforcement training facility for operations as elaborate as defending cruise ships. The contract has since been canceled but Hilton apparently is still on the lam.
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Becky Shay, the beleaguered spokesperson for the American Private Police Force who as recently as last week was a true believer in her company and its felon leader, never received a paycheck for her work and is now gunning for a job as the chief of the Hardin, MT, agency that made the jail deal with APPF in the first place.
The AP reported Friday, in an article that refers to APPF's Michael Hilton as a "con artist":
PERMALINK | COMMENTS (7) | RECOMMEND RECOMMEND (5)We posted an investigative piece Monday about the back story on the empty jail in Hardin, MT, explaining how a consortium of companies made millions on the project that has netted exactly nothing for the struggling town.
But what about the $27 million in high-risk municipal bonds that were issued to fund the construction of the speculative jail in 2006 and 2007?
PERMALINK | COMMENTS (2) | RECOMMEND RECOMMEND (5)The attorney general of Montana has suspended a short-lived probe of the American Private Police Force, saying that "Captain" Michael Hilton's failure to answer the AG's questions "speaks volumes about his company's legitimacy."
Attorney General Steve Bullock released this statement last night:
PERMALINK | COMMENTS (5) | RECOMMEND RECOMMEND (5)In the least surprising development of the day, American Private Police Force has declined to answer the Montana attorney general's questions seeking information about its (supposed) business and (supposed) past clients.
Attorney General Steve Bullock sent a letter two weeks ago demanding the information, before the deal for APPF to run a jail in Hardin fell apart.
KTVQ in Billings reports:
PERMALINK | COMMENTS (16) | RECOMMEND RECOMMEND (7)With the unraveling of the deal for the shadowy American Private Police Force to take over and populate an empty jail in Hardin, Montana, it's pretty clear that the small city got played by an ex-con and his (supposed) private security firm.
But an investigation by TPMmuckraker into how Hardin ended up with the 92,000 square foot facility in the first place suggests that, long before "low-level card shark" Michael Hilton ever came to town, Hardin officials had already been taken for a ride by a far more powerful set of players: a well-organized consortium of private companies headquartered around the country, which specializes in pitching speculative and risky prison projects to local governments desperate for jobs.
The projects have generated multi-million dollar profits for the companies involved, but often haven't created the anticipated payoff for the communities, and have left a string of failed or failing prisons in their wake.
"They look for an impoverished town that's desperate," says Frank Smith of the Private Corrections Institute, a Florida-based group that opposes prison privatization. "They come in looking very impressive, saying, 'We'll make money rain from the skies.' In fact, they don't care whether it works or not."
PERMALINK | COMMENTS (68) | RECOMMEND RECOMMEND (24)The end has come...
Controversial private security contractor American Private Police Fore has officially backed out of a deal with Hardin, Montana, to run a local prison, APPF spokeswoman Beck Shay announced this afternoon. (Watch Shay's press conference here.)
PERMALINK | COMMENTS (30) | RECOMMEND RECOMMEND (4)Here's a nice get by the Billings Gazette, which went to court to pry another document from the hands of Hardin, MT, officials on the town's deal with the shadowy American Private Police Force.
The August 18 agreement, signed by APPF's Michael Hilton and Hardin economic development chief Greg Smith, who resigned this week, makes clear that Smith wanted APPF to provide a police force for the town, which doesn't have its own department. Read the whole thing here.
PERMALINK | COMMENTS (12) | RECOMMEND RECOMMEND (3)Just when we thought the American Private Police Force saga might be over, a putative APPF "investor" has come forward -- anonymously.
KULR in Montana reports on a "California man" who claims, under condition that his name not be used, that he is one of several private individuals who gave APPF money for the Hardin jail project.
PERMALINK | COMMENTS (20) | RECOMMEND RECOMMEND (3)And the first cable news personality to take on the story of a private security firm taking over an empty Montana jail is ... Glenn Beck!
Here's the surprisingly fact-based segment from last night, in which Beck approaches the American Private Police Force story with relative calm, interviewing a local reporter:
PERMALINK | COMMENTS (20) | RECOMMEND RECOMMEND (0)It's been a rough couple of weeks for Becky Shay, the spokeswoman for the American Private Police Force.
Amid it all -- the tearful press conference, the confrontations with a conspiracist shock jock who parachuted in from Texas, the media scrutiny of her abrupt career shift from Billings Gazette reporter covering APPF to the public face of APPF, and, above all, the persistent charges that her new company is a fraud -- Shay has kept her eye on the ball.
And, she told TPMmuckraker in an interview today, she's damn proud of it.
PERMALINK | COMMENTS (20) | RECOMMEND RECOMMEND (10)We told you this week the contract between Hardin, Montana and American Private Police Force gave the shady security contractor the chance to take over the town's policing needs, in addition to running Hardin's prison. It appears to have been this potential law enforcement responsibility that led APPF to roll into town late last month in three Mercedes SUVs bearing the words "City of Hardin Police Department," setting off a panic that soon spread far beyond Hardin.
Now that the APPF deal seems to have been on hold, you'd think local officials might now be wary of doing anything that might re-open the police force issue. But yesterday, Big Horn County commissioners nonetheless went ahead and voted to allow the city to create its own police department - though only after making assurances that APPF won't get the job.
PERMALINK | COMMENTS (6) | RECOMMEND RECOMMEND (7)Why was a private security firm given control of a jail in Hardin, Montana, before a lease agreement with the town was finalized?
Hardin officials, who yesterday put a deal with American Private Police Force on hold, are having a hard time answering the question.
A bank that is trustee on bonds used by Hardin to build the Two Rivers Detention Facility -- now in default -- never signed off on the APPF deal, which was first announced in early September.
PERMALINK | COMMENTS (14) | RECOMMEND RECOMMEND (7)How did American Private Police Force convince the town of Hardin to put it in charge of a 464-bed prison, despite having essentially no proven track record with such projects? The complete answer isn't yet clear. But could the mysterious private contractor have dangled a job for the wife of a top city official to seal the deal?
Let's lay out the evidence...
PERMALINK | COMMENTS (19) | RECOMMEND RECOMMEND (5)One of the abiding mysteries of the American Private Police Force story is who, if anyone, provided the financial backing the private security company claims to have.
As the project unravels and more of APPF's claims are shown to be dubious, it seems like the key question is not who the parent company is, but: does it actually exist?
PERMALINK | COMMENTS (11) | RECOMMEND RECOMMEND (4)A Hardin, Montana official who has been the public face of the town's controversial prison contract with American Private Police Force (APPF) is now expressing serious concerns about the deal.
Yesterday, Al Peterson of the Two Rivers Authority (TRA), the city's economic development agency, sent an email to Michael Hilton of APPF and to the TRA's board members, declaring:
PERMALINK | COMMENTS (16) | RECOMMEND RECOMMEND (3)Spooked by a man who turned out to be a convicted felon and who appears to have repeatedly lied on his way to acquiring a lease for an empty jail in Hardin, MT, town leaders yesterday put the deal with American Private Police Force on hold.
Last week, the state attorney general launched a probe of the deal that was pushed through by a man calling himself "Captain" Michael Hilton.
The AP reports on the Hardin board meeting yesterday that put a stop to the whole project:
PERMALINK | COMMENTS (47) | RECOMMEND RECOMMEND (5)We've known since last week that the story surrounding a deal that handed an empty jail in Hardin, MT, to shadowy private security company American Private Police Force just wasn't adding up. Today, it became still more clear that APPF has a lot of explaining to do.
Let's review the developments:
PERMALINK | COMMENTS (48) | RECOMMEND RECOMMEND (6)American Private Police Force has hired a director of operations for the Hardin jail project who will not be publicly named until next week but who is a "highly qualified" retired U.S. military person doing training in Afghanistan, a Hardin official tells TPMmuckraker.
"I've got his resume and it looks pretty nice," says Al Peterson of the Hardin economic development agency, which brokered the jail deal with APPF.
Peterson wouldn't say who the director of operations is, but confirmed it was not a Hardin local.
PERMALINK | COMMENTS (12) | RECOMMEND RECOMMEND (1)The head of a California defense contractor says that American Private Police Force brazenly copied information from its Web site and that it's considering legal action against APPF.
CEO Edward Angelino of Allied Defense Systems told TPMmuckraker that APPF's "Mike Hilton came to us for our help looking for supplies and equipment" for the mysterious project at an empty jail in Hardin, Montana.
After a bit of due diligence, Angelino deemed that Hilton and APPF were not fit to do business with -- but not before referring APPF to Allied Defense Systems' Web developer.
PERMALINK | COMMENTS (3) | RECOMMEND RECOMMEND (3)Maziar Mafi, the California lawyer who had been variously identified as American Private Police Force's legal affairs director, president, and a "major" in the company, on Friday severed his ties to the Hardin, MT, jail project until he sees "more concrete action."
Mafi's practice, like APPF, is based in Santa Ana, California. As a specialist in personal injury, immigration, and business law, he had seemed an odd choice of counsel for a firm that claims to play a critical role in filling the United States government's "homeland security needs."
Mafi told the AP: "For the time, I'm pulling out. I need to see more concrete action before I can be involved."
PERMALINK | COMMENTS (6) | RECOMMEND RECOMMEND (3)We knew that American Police Force, the shadowy private security company that has taken over an empty jail in a small Montana town, has a history of making outlandish and flat-out bogus claims. And it now appears that the company is taking some of the criticism to heart.
The firm, which is now calling itself American Private Police Force (feel better?), has toned down -- ever so slightly -- some of its colorful Web site's claims. (Old version here, current version here.)
APPF has deleted a reference to a training facility which it had earlier claimed to control, but which is in fact owned by Xe, aka Blackwater,
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