Saturday, November 08, 2008
By Tommy Witherspoon
Tribune-Herald staff writer
Four prominent Waco business leaders have combined forces to help Margaret Mills pay $100,000 in restitution that she has been ordered to bring to her sentencing hearing Monday before going to prison.
Insurance magnate Bernard Rapoport, former U.S. Ambassador to Sweden Lyndon Olson Jr., and law partners and businessmen Pat Beard and David Kultgen each are chipping in $25,000 to pay that portion of Mills’ restitution, Rapoport and Olson confirmed Friday.
The partial restitution of $100,000 was ordered by 54th State District Judge Matt Johnson to be paid up-front Monday as part of a plea agreement reached in Mills’ case earlier this week. She was ordered to pay total restitution of $307,968.
Mills agreed to a nine-year prison term, plus the restitution, after pleading guilty to stealing money from Downtown Waco Inc., the agency she ran as executive director for 18 years.
Mills declined an interview request Friday, saying her family has endured enough publicity. She said she has taken responsibility by her plea and her plans for restitution.
“The accusations are there. I pled. I was punished,” she said. “There’s nothing more to say.”
“There’s a beautiful quote from Maya Angelou about how the greatest agony is an untold story,” she said. “I’m going to have to live with that the rest of my life.”
She and her attorneys, Rick Bostwick and Beard, agreed to the settlement with special prosecutors from the state attorney general’s office after Johnson agreed to reconsider approving a plea offer.
Mills, 67, who is set for sentencing at 10 a.m. Monday, paid $70,000 in restitution shortly after the accusations against her surfaced.
Friends offer support
“I did contribute, and I am contributing,” Olson said. “(Mills’ husband) Coke Mills had no part in the wrongdoing that was committed here. I have known their family my entire life. My mother and Coke were raised together in Speegleville, Texas. Coke is one of the sweetest and finest human beings I have even known, and regardless of the reasons why, this family has been devastated and there are innocent people involved. Coke needed me, and I am there for him.”
Waco attorney Coke Mills has been a longtime Democratic Party power broker, as have Rapoport, Olson, Beard and Kultgen.
Rapoport, 91, who said he has known Coke and Margaret Mills for 50 years, initially confirmed that he, Olson, Beard and Kultgen had agreed to pay a portion of the restitution. Later, however, he said he preferred not to speak for the other men.
“This whole thing is very tragic and something that I certainly never expected, especially knowing the family as long as I have. All I can say is it shouldn’t have happened, but it did,” Rapoport said.
Beard declined comment when asked about the contribution, and Kultgen was said to be unavailable for comment and did not return phone calls to his home and office.
Downtown Waco Inc. and its board of directors are listed in the indictment as the victims of the majority of Mills’ thefts, although the downtown development agency was funded by a variety of sources, including funds from the city of Waco and members’ dues.
Further action uncertain
City Attorney Leah Hayes said Friday that the decision on whether the city of Waco will receive restitution as part of the criminal sentence is out of the city’s hands, and the city has not made any requests. She said the city has not decided whether to seek a civil judgment against Mills.
Michael Lemoine, a special agent with the Internal Revenue Service criminal investigation division in San Antonio, said he could not comment on whether his agency will launch an investigation into the funds Mills stole. Assistant State Attorney General David S. Glickler, the lead prosecutor in Mills’ case, has said the amount was about $500,000.
Lemoine said a Justice Department policy known as the Petite policy precludes the federal government from prosecuting a defendant who has been prosecuted by the state unless a special waiver is granted.
He said he could not address whether Mills would face IRS civil penalties.
“I can’t say one way or another,” Lemoine said. “But all income derived from whatever source is taxable, and obviously, you have to pay taxes on that. But just because you steal money doesn’t meant the IRS is automatically coming after you.”
Tribune-Herald staff writer J.B. Smith contributed to this story.
twitherspoon@wacotrib.com
757-5737






Slide show from the proceedings

Comments
By just telling
Nov 11, 2008 2:24 PM | Link to this
Like I said yesterday in the blog that is not longer there - The City of Waco did not mandate an audit from Downtown Waco - why? they do from everyone else - The board of directors did not do their financial due dillegence - why? the bank allowed deposits and checks to be cashed made out to Downtown Waco - why? The accounting firm did not due their due dillegence - why?
All of these people allowed the problem to go on too long and look at what happened - Margaret should have been stopped a long time ago - but all these responsible parties ALLOWED IT TO HAPPEN!!!
By CF
Nov 11, 2008 12:15 PM | Link to this
I feel strongly the board needs to speak. Not a word from any of them but claims of horror in the paper and a staff accountant on the witness stand who paints a much different picture. The state feels like justice has been served and the case closed? The story was not even told and I hope for many wacoans one day the truth is told. That monkey will sit in the room with many people not only socializing but doing business with banks and donating money in the future to better Waco. Once trust like that is broken with many names and speculation its so hard to rebuild.
Interesting that the Bostwick and Beard firm had a fundraiser for the States AG. The trib has done a great job in coverage. Waco wants to know why it took two years to get the ball rolling? Waco wants to know why she pretty much is getting away with it and being bailed out by friends? Waco wants to know why the board gave her free power and reign for 18 years- a woman with a known reputation of bad financial decisions for decades. Ask any house wife around Waco if they had not heard rumors of her writing bad checks and not paying bills!
I wish her no harm and think she is mentally ill. This will and has hurt waco. For a city so small and and an even small upper class the social scene will be buzzing for years. This has and will damage faith in doing business with certain respectable- or so we thought respectable people and businesses in Waco and damage in faith in donating money to better Waco- a pretty poor city who is in desperate need to begin with.
I read today Mills will unlikely be able to pay the remainder of the money. Clearly showing she had didn't think she'd have to because otherwise her house with have been sold, her car sold, and all those wonderful designer duds and jewels she has collected over the year- sold. No preparations.
It makes me so mad reading when people think these blogs are hateful. What is hateful is the crime MM did and has gone to great lengths to deceive and lie about. She swore her innocence for two years and than one day before trial- puff pleads guilty.
Waco we do just wants the truth and deserves it. I don't think 4 men coughing up $25,000 should intimidate anyone in search of the truth. For many, yes in this small town that amount is chump change. Find the answers- dig deep.
By Truth Be Told
Nov 10, 2008 6:22 PM | Link to this
So the Trib closed the dialogue on the latest of Mills... It's just a matter of time before this is eliminated as well. Don't let this slide! Keep the pressure on the Board. During the video Glickler mentioned John Hawkins (Naman, Howell...?) was receiving the check on behalf of Downtown Waco. Finally, they have professionals acting on their behalf. Interesting that it's attorneys and at this stage of the game. Naman, Howell usually don't represent staff positions... Probably to represent/insulate Board members from civil proceedings! Think this is pro bono???
Downtown Waco, Inc. Board (per Waco Tribune)
Chairman Scott Felton
Treasurer Mark Boyd
Tejas Logistics Systems president Gaylan Beavers, Wells Fargo executive Pat Millar, Insurors of Texas president George Chase, American Football Coaches Association executive director Grant Teaff, MCYC executive director Doug McDurham, Baylor University economist Tom Kelly, Quinn Campus executive director Jewel Lockridge, David Hicks of Compass Bank, Stewart Kelly of Kelly Realtors, McLennan Community College executive Danny Uptmore and Bayloręs vice president for finance and administration, Reagan Ramsower.
By krista Duncan
Nov 9, 2008 10:32 PM | Link to this
We just have different opinions on what we think is hateful ! This has received more press than people that hurt children. I think that is really sad.
By EG
Nov 9, 2008 5:53 PM | Link to this
Ridgewood- If you enjoy being so hateful & airing all this information so readily, why don't you put your REAL name on the blog instead of hiding behind the Ridgewood name?
By living in waco
Nov 9, 2008 5:40 PM | Link to this
Who is the loser here ?????? there has been a lot of words thrown in the last months of this big mess ,who will cast the first stone ????? Mills took ,yes ,how much we will never know.My hat is off to the Trib for their coverage ,but my prayers will also have Matt Johnson in them ,the waco DA office bailed out on this one, the States AG office tucked tail also .Judge Johnson is left holding this mess .The AG office made comment that some wanted her to go and others to stay,waving the drop charges from a year ago when she was hit with first degree .So lets all back off and let it be,there's nothing we can do about it except type a few words on this comment page.Wrong is Wrong,Right is Right and the sun will rise tomorrow .
By Waco merchants
Nov 9, 2008 5:24 PM | Link to this
Are Waco merchants HEB, Tuesday Morning, the Beauty Salon (serendipity made her pay cash for years due to hot checks), Dillards are they allowing her to write checks? Just curious.
By Ridgewood Member (OAK ROOM)
Nov 9, 2008 4:33 PM | Link to this
Designer Dress (stolen from Leons) 940.00
Gucci Handbag (hot check to Dillards) 459.00
Jimmy Choo Shoes (hot check to Neiman Marcus) 754.00
Loser Son's wedding reception (thanks DWI, inc)$20,000
Deadbeat son's 4 dwi's , and house downpayment $50,000
Restitution due on Monday $100,000
Soap on a rope for Camp (prison), $0.00 consider it a gift from Tuesday Morning's
The Look on "Queen Margaret's" face when she realized her friend were going to throw her under the bus, and she will go to prison next week-----------PRICELESS!!!!!!!!
Thanks for allowing us to watch the train wreck that is the MILLS Family CIRCUS!!! I have it on good authority "Little Ricky" is negotiating the rights to the Mills family saga to the JERRY SPRINGER SHOW
GOD SAVE THE QUEEN
By anonymous
Nov 9, 2008 1:25 PM | Link to this
The bailout could have been pulled off in a perfectly clandestine fashion. There was a reason for the publicity beyond the friendship factor.
Maybe there's an elected judge that needed to be bullied a bit before Monday.
I hope they realize they are all friends for life now. She's a shopper and everyone should now know who to go to when she goes on a spree. Are 'ya listenin' Tuesday Morning and anyone else who got hit over the past few days?
Oh yeah, they can give her a checking account and require all their signatures on the checks. That'll work!
She will certainly go into the DT's from withdrawal from "stuff" when locked up and I am sure it will be pitiful. She is sick and her friends would have done better to help her with counseling fees a long time ago.
By Who's Who?
Nov 9, 2008 12:21 PM | Link to this
To Do the Crime Do the Time POST
Nice to see the side of a honesst hard working citizen that has been affected by this womanęs deceitful actions. Well said, it shows that it does matter who's you are and who your friends are. The point she made regarding her liberal bailout friends made a excellent point. I do know who you are but I respect you honest attitude. Ever think about running for office. I would sure vote for you.
To Krista Duncan POST
What this women did was hateful and self serving. You state people don't leave their names???? It is quite obvious why they don't. The rich bias is so blatantly outlined here. I pray for all sinners and I even pray for you too. These comments are not hateful they are just honest. Something Margaret obviously knows and cares nothing about.
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