Wednesday, October 31 2012 8:21 PM EDT2012-11-01 00:21:19 GMT
Diane Hathaway is the target of a federal grand jury. The Michigan Supreme Court justice is house rich, but did her property dealings put her on the wrong side of the law?
She's a real estate agent, who's also one of the state's top judges, and now she's the target of a federal grand jury. Michigan Supreme Court Justice Diane Hathaway is house rich, but did her property dealings put her on the wrong side of the law?
By Charlie LeDuff Fox 2 News Investigative Reporter
BIRMINGHAM, Mich. (WJBK) -- Remember we told you about Michigan Supreme Court Justice Diane Hathaway and her property shell game? It involved four houses, her stepchildren, a mortgage on a Grosse Pointe house she didn't want to pay anymore and now a federal grand jury.
She's not the only Judge Hathaway who's got problems keeping her houses straight because now we've come to find that her daughter, Dana Hathaway, who was just elected to the Third Circuit Court, has her own issues with shuffling property and shorting the tax man.
Dana Hathaway move to Grosse Pointe Farms last year, which is in Wayne County and made her eligible to be a Wayne County Circuit Court judge. But she's been claiming a house as her primary residence on Catalpa Drive in Birmingham for the last three years. That makes the property taxes cheaper, but it's illegal because you have to live in the house that you claim as your primary residence, and as we just said, she lives in Grosse Pointe Farms.
As it turns out, back in 2010 when they bought that great, big, new house on Catalpa and moved into it and claimed it as their primary residence, they were also claiming another house as their primary residence, a second, smaller house that they were renting out. You can't do that, but they did, and then they moved to Wayne County where almost any lawyer with the last name Hathaway can become a circuit court judge. Confused? Me, too. So I went to talk to Andy Arena, the former head of the Detroit FBI.
"Never worked for the IRS, but there's issues here, but honestly you're going to have issues with the state claiming the homestead exemption, so it could be a federal issue, but it's definitely going to be an issue with the State of Michigan," he said. "There's certain cannons of ethics that the lawyers and judges and quite frankly when I was with the FBI, I mean, you're held to a little higher standard."
When my brother Frankie fell on hard times a few years ago, the bank took his house and he paid his property taxes.
"It's ridiculous is what it is. I don't understand how the little man has to play by the rules, but a judge or somebody that is affluent does not," said Frankie Parker.
Judge Hathaway and her husband didn't want to talk to us on camera, but let me tell you a funny little story. Last week when I went to Birmingham city hall to check the property tax records, they judge and her husband beat me there by four minutes. And guess what they did? They filed an affidavit that says, okay, you caught us. The big house on Catalpa was never our primary residence even though we got a tax break for three years. So now they owe tens of thousands of dollars to the Birmingham tax man and they owe the public an explanation because that's what judges do.
Friday, May 17 2013 5:25 PM EDT2013-05-17 21:25:50 GMT
Following Minister Louis Farrakhan's message on Friday, Fox 2's Charlie LeDuff hit the streets to scrounge around for some available investment properties, and guess what he found?
Following Minister Louis Farrakhan's message on Friday, Fox 2's Charlie LeDuff hit the streets to scrounge around for some available investment properties, and guess what he found?
Thursday, May 16 2013 7:45 PM EDT2013-05-16 23:45:45 GMT
Fox 2's Charlie LeDuff attended a Detroit City Council meeting. On the agenda, some questions about a developer who is being allowed to take his time paying back a $19-million dollar loan.
On Thursday, Fox 2's Charlie LeDuff attended a Detroit City Council meeting. On the meeting agenda, some questions about a developer with connections to city hall who received a letter that told him he was allowed to take his time paying back a $19-million dollar loan.
Wednesday, May 15 2013 11:16 PM EDT2013-05-16 03:16:04 GMT
Dave Bing might run for Wayne County executive, but a condition is the officer holder must be a county resident. Charlie LeDuff decides to help his old buddy out with a few options on where he can live.
Dave Bing might run for Wayne County executive, but a condition is the officer holder must be a county resident. Charlie LeDuff decides to help his old buddy out with a few options on where he can live.
Tuesday, May 14 2013 7:06 PM EDT2013-05-14 23:06:18 GMT
It has been six weeks since two Detroit police officers were wounded and a suspect killed during a shootout. Now some questions have arisen and they involve Detroit EMS. Fox 2's Charlie LeDuff reports.
It has been six weeks since two Detroit police officers were wounded and a suspect killed during a shootout. Now some questions have arisen and they involve Detroit EMS. Fox 2's Charlie LeDuff reports.
Thursday, May 23 2013 10:06 AM EDT2013-05-23 14:06:33 GMT
Authorities say two New York City men and a New Jersey man kidnapped another man off a Queens street in broad daylight and held him for over a month, demanding $3 million from his family.
Authorities say two New York City men and a New Jersey man kidnapped another man off a Queens street in broad daylight and held him for over a month, demanding $3 million from his family.
Thursday, May 23 2013 9:07 AM EDT2013-05-23 13:07:03 GMT
The NYPD arrested a suspect in the latest anti-gay attack in the city, said police.
The NYPD arrested a suspect in the latest anti-gay attack in the city, said police. The incident Monday night involved two men, who police say, had met at the Bowery Mission and went out drinking together in the East Village. Roman Gornell, 39, was arrested on Wednesday.
Thursday, May 23 2013 9:05 AM EDT2013-05-23 13:05:21 GMT
Hollywood superstar Brad Pitt made a trip to the birthplace of Frank Sinatra on Wednesday night to promote his new movie, "World War Z."
Hollywood superstar Brad Pitt made a trip to the birthplace of Frank Sinatra on Wednesday night to promote his new movie, "World War Z." Pitt stunned the crowd at the Clearview Cinemas when he walked in just before the start of the special screening.
Thursday, May 23 2013 7:23 AM EDT2013-05-23 11:23:09 GMT
New Jersey officials have seized inventory and demanded records from 29 bars and restaurants, nearly half of them TGI Fridays, that they say sold low-quality liquor to patrons who thought they were buying premium brands.
New Jersey officials have seized inventory and demanded records from 29 bars and restaurants, nearly half of them TGI Fridays, that they say sold low-quality liquor to patrons who thought they were buying premium brands.
Thursday, May 23 2013 6:28 AM EDT2013-05-23 10:28:29 GMT
The parolee shot and killed along with a Hofstra University student by police won praise from a state parole panel in 2011 before his conditional release from prison.
The parolee shot and killed along with a Hofstra University student by police won praise from a state parole panel in 2011 before his conditional release from prison.
Wednesday, May 22 2013 10:08 PM EDT2013-05-23 02:08:29 GMT
A bus chaperone is accused of going on a profanity-laced tirade towards a group of 12 and 13-year-olds and a piece of candy may be what started the incident.
A bus chaperone is accused of going on a profanity-laced tirade towards a group of 12 and 13-year-olds and a piece of candy may be what started the incident.
Wednesday, May 22 2013 9:46 PM EDT2013-05-23 01:46:23 GMT
The New York City Police Department says it is beefing up security at the British consulate, military recruiting stations and other locations due to an apparent terror attack in London.
The New York City Police Department says it is beefing up security at the British consulate, military recruiting stations and other locations due to an apparent terror attack in London.
Charlie LeDuff: Off The ChainCharlie LeDuff: Off The ChainMore>>
Friday, May 3 2013 6:10 PM EDT2013-05-03 22:10:10 GMT
LeDuff: Let me offer a short list of things acting Bob Mayor Warfield can accomplish in his few remaining days in office. Things that could cement his legacy as one of Detroit's greats.
LeDuff: Let me offer a short list of things acting Bob Mayor Warfield can accomplish in his few remaining days in office. Things that could cement his legacy as one of Detroit's greats.
Sunday, April 21 2013 9:33 AM EDT2013-04-21 13:33:35 GMT
Coverage of the Boston Marathon bombings has been equally breathless and embarrassing. Spot reports from media outlets who once prided themselves on accuracy and reliability have been little better than Twitter feeds.
Coverage of the Boston Marathon bombings has been equally breathless and embarrassing. Spot reports from media outlets who once prided themselves on accuracy and reliability have been little better than Twitter feeds.
Monday, April 15 2013 7:21 AM EDT2013-04-15 11:21:31 GMT
I went to the dentist Friday morning and got my tooth drilled. My head was numb from the Novocain. I needed a place to hide where nobody would notice. I found it: Detroit city hall!
I went to the dentist Friday morning and got my tooth drilled. My head was numb from the Novocain. I needed a place to hide where nobody would notice. I found it: Detroit city hall!
Friday, April 5 2013 8:43 PM EDT2013-04-06 00:43:42 GMT
Unknown to the citizens, the police officers and even the emergency manager himself, Interim Detroit Police Chief Chester Logan was quietly conferred full chieftain status.
Unknown to the citizens, the police officers and even the emergency manager himself, Interim Detroit Police Chief Chester Logan -- as he has been called for the past five months since Chief Ralph Godbee was bounced from office -- was quietly conferred full chieftain status.
Monday, April 1 2013 9:07 AM EDT2013-04-01 13:07:47 GMT
Emmett Moten owns the Hotel Fort Shelby in Detroit. He owes $170,000 in back property taxes. He has until Monday at 5 p.m. to pay a portion of the back taxes or face foreclosure.
Emmett Moten owns the Hotel Fort Shelby in Detroit. He owes $170,000 in back property taxes. He has until Monday at 5 p.m. to pay a portion of the back taxes or face foreclosure.
Monday, March 25 2013 9:52 AM EDT2013-03-25 13:52:46 GMT
Imagine Captain Edward Smith of the Titanic summoning his pursers to the wheelhouse after his ill-fated ship struck the iceberg. "Quickly gentlemen!" he shouts. "Rearrange the deck chairs. Perhaps no one will notice!"
Imagine Captain Edward Smith of the Titanic summoning his pursers to the wheelhouse after his ill-fated ship struck the iceberg. "Quickly gentlemen!" he shouts. "Rearrange the deck chairs. Perhaps no one will notice!"
Monday, March 18 2013 10:12 AM EDT2013-03-18 14:12:24 GMT
Many people are concerned about Belle Isle's future. The EFM is promising not to make any hasty decisions and to review the numbers first, but that could be a problem. There is no Belle Isle budget.
Now that Detroit has an emergency financial manager, a lot of people are concerned about the future of Belle Isle. Kevyn Orr is promising not to make any hasty decisions and to look over the numbers first, but that could be a problem. There is no Belle Isle budget.
Tuesday, March 12 2013 2:19 PM EDT2013-03-12 18:19:44 GMT
LeDuff: I don't know if an emergency manager can work in the city of Detroit. If anyone says different, they are lying. But I have to agree with one Detroiter's view, "Anything's better than what we've got right now."
LeDuff: I don't know if an emergency manager can work in the city of Detroit. If anyone says different, they are lying. But I have to agree with one Detroiter's view, "Anything's better than what we've got right now."
Thursday, May 23 2013 12:28 PM EDT2013-05-23 16:28:22 GMT
One week after appearing via satellite on the American Idol season finale the Queen of Soul has rescheduled next month's planned performance at the DTE Energy Music Theatre.
One week after appearing via satellite on the American Idol season finale the Queen of Soul has rescheduled next month's planned performance at the DTE Energy Music Theatre.
Thursday, May 23 2013 11:48 AM EDT2013-05-23 15:48:50 GMT
Former Detroit Mayor Kwame Kilpatrick is dropping his longtime lawyer. Kilpatrick told a judge Thursday that his relationship with James Thomas deteriorated long before his conviction.
Former Detroit Mayor Kwame Kilpatrick is dropping his longtime lawyer. Kilpatrick told a judge Thursday that his relationship with James Thomas deteriorated long before his conviction two months ago on corruption charges.
Thursday, May 23 2013 10:59 AM EDT2013-05-23 14:59:53 GMT
Bugs are important to our environment and can even tell us about our water quality. That's why dozens on local students have been taking part in bug hunts.
Bugs are important to our environment and can even tell us about our water quality. That's why dozens on local students have been taking part in bug hunts.
Thursday, May 23 2013 7:58 AM EDT2013-05-23 11:58:41 GMT
New U.S. Census Bureau estimates say Detroit's population remained just above 700,000 last year. The figures show Detroit lost residents between 2011 and 2012, but the decline was at a slower pace than in previous years.
New U.S. Census Bureau estimates say Detroit's population remained just above 700,000 last year. The figures show Detroit lost residents between 2011 and 2012, but the decline was at a slower pace than in previous years.
Wednesday, May 22 2013 11:44 PM EDT2013-05-23 03:44:19 GMT
Find out how you can help the victims of Monday's deadly tornado that ripped through the Oklahoma City suburbs, killing two dozen and flattening neighborhoods, schools and businesses.
Find out how you can help the victims of Monday's deadly tornado that ripped through the Oklahoma City suburbs, killing two dozen and flattening neighborhoods, schools and businesses.
