[Watchdogs] PEC Board votes to seek restitution from ex-manager [Zeke MacCormack, San Antonio Express News]

[Milton Hawkins]

PEC Board votes to seek restitution from ex-manager By Zeke MacCormack
zeke at express-news.net
Published: 07:16 p.m., Monday, December 20, 2010

JOHNSON CITY — The Pedernales Electric
Co<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22Pedernales+Electric+Co%22>-operative
plans to seek court-ordered restitution from its felonious former general
manager, Bennie Fuelberg, but some ratepayers also want to end his $12,638
monthly pension and sue him for back wages.

“Hire an attorney skilled in forfeiture litigation and move aggressively to
protect our interests,” Milton
Hawkins<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22Milton+Hawkins%22>,
a co-op member from Blanco County, urged the co-op's board of directors at
its meeting Monday.

Other members demanded sharp cuts to administrative spending, saying
ratepayers have been soaked for more than $100 million in excesses begun
during Fuelberg's 32 years leading the utility.

The board voted, without comment, to have its lawyer prepare a victim impact
statement seeking restitution in advance of Fuelberg's sentencing hearing
here on Jan 14.

Before the meeting, board president Larry
Landaker<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22Larry+Landaker%22>said
of the pension, restitution and back-wage issues, “In light of the
conviction, all issues regarding this matter should be considered.”

Fuelberg, who retired in 2008, was convicted at trial Dec. 3 of third degree
felony theft, money laundering and misappropriation of fiduciary property
concerning the misuse of between $20,000 and $100,000 in utility funds.

Testimony at the two-week trial showed Fuelberg, 66, secretly funneled about
$600,000 in PEC money to his brother, Curtis
Fuelberg<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22Curtis+Fuelberg%22>,
between 1996 and 2007 for work as a legislative consultant with the
help of Walter
Demond<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22Walter+Demond%22>,
former PEC general counsel.

Bennie Fuelberg, a Dripping Springs resident, testified that he didn't know
that Demond, who is awaiting trial on identical charges, also billed the PEC
for about $84,000 paid to Bill Price, a Lampasas attorney whose father
formerly served on the PEC
board<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22PEC+Board%22>
.

The jury in Fuelberg's case recommended that he receive probation, but state
District Court Judge Dan
Mills<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22Dan+Mills%22>indicated
he intends to order restitution and to send Fuelberg to jail as a
condition of his probation term.

Testimony showed prior boards largely gave Fuelberg a free hand to run
what's now the nation's largest electric co-operative, with about 230,000
members.

But Monday the current board didn't escape the wrath of ratepayers eager to
see action to rectify problems identified in a 2008 consultant's report.

PEC member Paul
Langston<http://www.mysanantonio.com/?controllerName=search&action=search&channel=news%2Fstate&search=1&inlineLink=1&query=%22Paul+Langston%22>demanded
cuts in administrative costs and an end to subsidizing members who
can't pay their electric bills.

“You people are as guilty as Fuelberg of frittering away millions of our
dollars without permission of the owners,” Langston said.


-- 
Milton Hawkins  milton.hawkins at gmail.com
P.O. Box 1502
Johnson City, Texas 78636-1502
830-868-9075
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