Danny Carroll Scammed Old Lady Out of $50,000
November 3rd, 2006 at 04:36pm Ben Weyl
In 1996 a recently elected state representative from Central Iowa sought out the land deal of the decade. What did he get? He made over $50,000 from scamming an elderly woman in Las Vegas, with the help of a local attorney (who would subsequently be disbarred), setting the stage for the biggest scandal in Central Iowa politics this side of CIETC.
Representative Danny Carroll of Grinnell is the Republican Speaker Pro Tem of the Iowa House. He was elected to the Iowa House in 1994 and was elected Speaker Pro Tem in 2003. Carroll is owner of the “Carroll Pumpkin Farm” and is a lobbyist with Iowa Telecom. An extreme social conservative, he has campaigned with GOP presidential hopefuls such as Senator Sam Brownback, Governor Haley Barbour, Senator John McCain, Governor Mitt Romney, and former House Majority Leader Newt Gingrich.
The mention of Gingrich is especially pertinent. With Democrats poised to take back the U.S. House and end the Gingrich-led Republican Revolution, the following tale of abuse of power and exploitation demonstrates that the GOP “culture of corruption” has clearly found its way into local Iowa politics, namely through Danny Carroll.
In 1999, Grinnell attorney Brian Bisbee was disbarred by the Iowa Supreme Court for “seriously violat(ing) his ethical responsibility as (a) lawyer.” Bisbee was representing Cora Creamer in the sale of her property to Representative Danny Carroll. Mrs. Creamer was an elderly widow who had fallen behind in her bills. She owed approximately $7,900 in back fees and taxes on her property and she wanted to sell her home. Typical practice is for a person to sell their home and subtract the liens and back taxes from the sale price at closing. What Bisbee didn’t disclose was that he was also participating in the transaction financially by working closely with Representative Carroll who was providing the financing for the deal. In the disbarment proceeding, an unnamed Grinnell realtor is mentioned. The Iowa Progress team has recently uncovered property records that decisively prove that Representative Carroll was the person behind the financing of the transaction as well as the holder of the deed & title.
Essentially, Bisbee & Carroll took a 50% interest in Mrs. Creamer’s Las Vegas home as payment for settling the liens and back taxes on the property.
They did not disclose to Mrs. Creamer that she only owed $7,900. The 50% interest in the home would amount to approximately $50,000. This placed Bisbee in the incredibly unethical position of both representing the interests of the seller and the buyer who was working behind the scenes to finish the deal - Danny Carroll. The liens and back taxes were all paid by Representative Carroll - as shown here. You can also search the public records on the Clark County Recorder’s site HERE.
Now, the rules relating to real estate professionals in Iowa operating out of state are shady, but for lawyers they are very clear. According to the Supreme Court opinion:
“Nothing in the record before us suggests that Bisbee disclosed to his client that the proposed financial arrangement was more advantageous for him than for her. Given this obvious conflict, it became Bisbee’s burden to establish that his transaction with Creamer was fair and equitable.”
Representative Danny Carroll participated in the scamming of a poor elderly woman for his, and Bisbee’s, own financial gain. This is what the Supreme Court said of Bisbee’s conduct:
“Bisbee’s financial entanglement with Creamer […] was costly to her. Moreover, his failure to cooperate in these proceedings has impeded the administration of justice and reflects poorly on his fitness to practice law. His disregard for his client’s interests, as well as those of the profession, demands a lengthy suspension.”
Bisbee was disbarred in 1999, but because he declined to name his partner in crime directly, Carroll largely got off the hook — though not completely: after Bisbee’s disbarment, Carroll “voluntarily” retired from Ramsey-Weeks, the Grinnell real estate firm where he had been employed. I called up Bisbee yesterday who now runs an evangelical shelter in Missouri, to see if he’d answer any questions about his relationship with Carroll. He politely declined. Remember folks, this was a sitting state representative who had also served as a County Supervisor for many years prior. He participated in a deal that “impeded the administration of justice” and bilked a poor older woman of around $50,000. This is the same Representative Danny Carroll who says he values seniors.
But talk is cheap. And unfortunately, it seems Danny Carroll doesn’t put his money where his mouth is.
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Entry Filed under: Miscellaneous, Campaign 2006, Iowa Legislature, State Politics, Republican Party
Related Searches: senator sam brownback, senator john mccain, governor haley barbour, governor mitt romney, newt gingrich
16 Comments Add your own
1. Freeda | November 3rd, 2006 at 7:54 pm
Great sleuthing. It’s important for people to know what kind of man is representing them.
2. IA-HD 75: Danny Carroll i&hellip | November 4th, 2006 at 3:25 pm
[…] Go read Iowa Progress right now. Danny Carroll — the Republican Speaker Pro Tem of the Iowa House of Represenatives — helped dupe a little, old lady out of $50k with a lawyer who got disbarred for his efforts in the scam. […]
3. Iowa Guy | November 5th, 2006 at 11:44 am
Here is a link to further details on this sleazy transaction:
http://www.dailykos.com/story/2006/11/4/12401/7767
4. John Galt | November 5th, 2006 at 11:18 pm
It would appear that a lot of allegations about an incident 10 years ago are being made without proof.
Your blog raises questions, but provides no answers to the following:
If Ms. Creamer was harmed, wouldn’t she have filed a complaint? Its been 10 years without a complaint. If Ms. Creamer had been wronged, wouldn’t she have gone to the press, the Iowa BAR, the Iowa Realtors, someone, anyone? Ten years go by, and no complaint - but now anonymous allegations with no proof from the Grinnell Campus Democrats - not exactly a nonpartisan source. Does Ms. Creamer think she was harmed?
You have no statement from Ms. Creamer. Why not?
You have no statement from Mr. Bisbee. Apparently he turned you down on your attempt to smear Mr. Carroll - why?
You have no statement from either Mr. Ramsey or Mr. Weeks - yet you invoke their names. You infer that Carroll did not leave for other, perhaps, better opportunities - yet you don’t have any comment from them. Why not? They are in Grinnell, correct?
You post a pdf file that you created, not exactly convincing. Where is your proof that Ms. Creamer lost any money?
You allege that Carroll made money on this deal. Really? Where is the proof? Any? How much did he make? How did he make it?
How do you know he didn’t lose money?
It would appear from your blog and the embedded links that Ms. Creamer was four years delinquent in her taxes. What would have happened had Carroll not stepped in and settled the tax lien? Usually when taxes go unpaid for that length of time the county will take the deed to the property, and the owner loses everything. Your blog is noticeably silent on those details. Was that the case? Why wouldn’t you publish that?
You say that Ms. Creamer was selling her home. Really? Four years delinquent and no one wanted to buy it? How long was it for sale? Was Ms. Creamer actually living in the home? Was it a vacant building? If it was a vacant building, was it insured or insurable? What was the condition of the property?
I don’t know the answers to any of these questions. All I know is, your blog raises logical questions that you don’t bother to answer. If you had the answers to those questions, I would think you would have posted those as well and not left questions unanswered….
Unless, of course, the answers to those questions would demonstrate that Mr. Carroll did nothing wrong.
Your blog says that you want to be the “premier destination for an intelligent audience” - doesn’t such an audience deserve all of the facts? Since when do the Democrats rely on innuendo? Shouldn’t you publish all the facts?
5. Sam | November 6th, 2006 at 4:46 pm
It’s bad enough that he may have scammed an elderly woman but has anyone looked into the fact that if the property was purchased by a housing authority that perhaps federal money was used and, as a result, Mr. Carroll could have profited with taxpayer money? Just a thought.
6. John Galt | November 6th, 2006 at 10:52 pm
Why can’t anyone answer these questions?
Where is the complaint? Why can’t you get any of the parties to talk? Where is the proof that Carroll made any money at all?
Can you answer one of those questions?
7. Matt Hustle | November 7th, 2006 at 6:25 am
Look at the deeds, man…the deeds. He paid $6,700 for a $42,000 piece of property. Then, he sells that property for $51,000. Seems like a profit to me.
Quit posing as a “blogger” and go back to working GOTV on the Pumpkin Farm.
8. John Galt | November 7th, 2006 at 8:43 am
Matt, how much property have you owned. Its not like the infomercials.
How long did Carroll own the property? Did he make improvements to the property? Did he incur other costs associated with ownership, cost to insure for example? Did he have to cure dificienceis?
As I said, I don’t know the asnwers to those questions - but they are logical questions that should have been answered.
Youre quite right - I’m not a “blogger”, if by that you mean someone who make accusation without fact, posts inuendo under the guise of news.
Frankly, I don’t understand all this blog stuff. The notion that anyone (the left or the right) can say anything they want and take no responsibility for accuraccy is not healthy for democracy.
What happened to truth?
9. Chase | November 8th, 2006 at 5:56 pm
“Who is John Galt?”
10. Cathy Haustein | November 15th, 2006 at 6:44 pm
And to think he ran on a family values platform. Mr. “I’m just a pumpkin farmer” has been handed his hat after ten years of scamming the voters.
11. Cathy Haustein | November 15th, 2006 at 6:45 pm
ps–can you really be a state representative AND a lobbiest!?
12. Paul Beyer | February 8th, 2007 at 9:10 am
What I find amazing about this article and many others pointing toward any Republican is the fact that, the Democrats never seem to get the same press allegations that you are making here. Where is the charges? Hilly walked by apparently the records the courts wanted for over two years on a table and didn’t know they was there. Bill openly lied over and over and even admitted it finally on TV and CBS and the New Times Times repeatedly have lied about Bush administration. But he is the liar, now you take an honest man with a record for being so and accuse him on your reporting in a slanted fashion. Where is the proof and if you have it file charges or bring all of it to the surface.Typical press and very typical Democrat–ic.
13. hcsbuiewgt | July 3rd, 2007 at 11:35 am
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14. Iowa Progress » Mik&hellip | October 3rd, 2007 at 2:30 pm
[…] will be one of his Iowa campaign legislative co-chairs. (Alons joins former State Rep and conman Danny Carroll in taking a leadership role on the campaign.) Alons has publicly advocated his theory that the […]
15. Iowa Progress » Car&hellip | March 12th, 2008 at 5:12 pm
[…] Speaker Pro Tem Danny Carroll is running for Iowa House of Representatives again. Carroll, once labeled a rising star in […]
16. Paednoch | March 17th, 2008 at 12:31 pm
Thank god he is. Eric palmer must have downs syndrome. I have never stared at such a blank face in my life. The dude is so out to lunch it isn’t even funny. He is a total dork. I gather my assessment from first hand information interacting with this moron in conversation at bike trail meetings and “appearances” at saints rest coffee shop in Grinnell.
Now that Carroll isn’t a “rising Star” we can be rest assured that the anti hetero nutcase in Colorado wont be pumping hordes of dollars into Eric “the retarded attorney” Palmer.
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