The Franklin Cover up (AKA ‘Conspiracy of Silence’)


Screenshot_2019-12-08 The Franklin Scandal A Story of Powerbrokers, Child Abuse Betrayal Nick Bryant 9781936296071 Amazon c[...]


Nick Bryant has posted three of Gary Caradori’s video/interview excerpts on the forum and all three are posted on this archive page. is an invaluable Franklin-research message board moderated by Nick, and fellow researchers are welcome to join there and share.

Source files:

Gary Caradori’s interview of Alisha Owen

Duration: 1:25:49
Bit rate: 64kbps
Dimensions: 320×240
Size: 291mb

Gary Caradori’s interview of Troy Boner

Duration: 1:26:14
Bit rate: 64kbps
Dimensions: 320×240
Size: 291mb

Gary Caradori’s interview of Paul Bonacci


Homosexual prostitution inquiry ensnares VIPs with Reagan, Bush ‘Call boys’ took midnight tour of White House

A homosexual prostitution ring is under investigation by federal and District authorities and includes among its clients key officials of the Reagan and Bush administrations, military officers, congressional aides and US and foreign businessmen with close social ties to Washington’s political elite, documents obtained by The Washington Times reveal.

One of the ring’s high-profile clients was so well-connected, in fact, that he could arrange a middle-of-the-night tour of the White House for his friends on Sunday, July 3, of last year. Among the six persons on the extraordinary 1 a.m. tour were two male prostitutes.

Federal authorities, including the Secret Service, are investigating criminal aspects of the ring and have told male prostitutes and their homosexual clients that a grand jury will deliberate over the evidence throughout the summer, The Times learned.

Reporters for this newspaper examined hundreds of credit-card vouchers, drawn on both corporate and personal cards and made payable to the escort service operated by the homosexual ring. Many of the vouchers were run through a so-called “sub-merchant” account of the Chambers Funeral Home by a son of the owner, without the company’s knowledge.

Among the client names contained in the vouchers – and identified by prostitutes and escort operators – are government officials, locally based US military officers, businessmen, lawyers, bankers, congressional aides and other professionals.

Editors of The Times said the newspaper would print only the names of those found to be in sensitive government posts or positions of influence. “There is no intention of publishing names or facts about the operation merely for titillation,” said Wesley Pruden, managing editor of The Times.

The office of US Attorney General Jay B. Stephens, former deputy White House counsel to President Reagan, is coordinating federal aspects of the inquiry but refused to discuss the investigation or grand jury actions.

Several former White House colleagues of Mr. Stephen are listed among clients of the homosexual prostitution ring, according to the credit card records, and those persons have confirmed that the charges were theirs.

Mr. Stephen’s office, after first saying it would cooperate with The Times’ inquiry, withdrew the offer late yesterday and also declined to say whether Mr. Stephens would recuse himself from the case because of possible conflict of interest.

At least one highly placed Bush administration official and a wealthy businessman who procured homosexual prostitutes from the escort services operated by the ring are cooperating with the investigation, several sources said.

Among clients who charged homosexual prostitutes services on major credit cards over the past 18 months are Charles K. Dutcher, former associate director of presidential personnel in the Reagan administration, and Paul R. Balach, Labor Secretary Elizabeth Dole’s political personnel liaison to the White House.

In the 1970s, Mr. Dutcher was a congressional aide to former Rep. Robert Bauman, Maryland Republican, who resigned from the House after admitted having engaged in sexual liaisons with teen-age male prostitutes. Mr. Dutcher also worked on the staff of Vice President Dan Quayle when he represented an Indiana district in the House.

A charge also was discovered against the credit card of a former White House staffer who prepared the president’s daily news summary in the Reagan administration. Todd A Blodgett said he had not made the charge.

One of the ring’s big spending clients is Craig J. Spence, Washington socialite and international trade consultant, according to documents and interviews with operators and prostitutes who say they engaged in sexual activities with Mr. Spence.

Mr. Spence spent upwards of $20,000 a month for male prostitutes who provided sex to him and his friends, said to include military personnel who also acted as his “bodyguards.” It was Mr. Spence who arranged the nocturnal tour of the Reagan White House. Repeated attempts to reach Mr. Spence by telephone, fax machine and personal visits to his home, were unsuccessful.

Credit card vouchers confirm that Mr. Spence charged thousands of dollars on American Express and Visa cards, sometimes making $600 charges against his cards several times a day, drawn in behalf of an escort service called Professional Services Inc.

Members of major news organizations also procured escort services from the ring, credit card documents show. These include Stanley Mark Tapscott, who was an assistant managing editor of The Washington Times.

Mr. Tapscott, whose resignation on June 20 was accepted, said he had not procured homosexual escorts or sexual services of any kind. He said in an interview that he had talked to two women he arranged to meet through the escort service as part of an investigation of a dial-a-porn services he had initiated a year earlier when he was editor of the newspaper’s Money section. The charges were made against his company American Express card. His editors knew of no such investigation.

Before joining The Times, Mr. Tapscott worked for the Office of Personnel Management in the Reagan administration.

Managers of the escort ring said that “a few women” were used for clients who called with specific requests but that the regular stable was altogether male.

The documents show that a number of clients – lawyers, doctors and business executives – used corporate credit cards to procure escort services and that a number of military officers from the United States and allied countries – including one foreign officer using a “Department of Defence” credit card – charged male escort services.

One former top-level Pentagon officer said that for the past eight years, military and civilian intelligence authorities have been concerned that “a nest of homosexuals” at top levels of the Reagan administration may have been penetrated by Soviet-backed espionage agents posing as male prostitutes, said one former top-level Pentagon official.

A major concern, said the former official with longtime ties to top-ranking military intelligence officers, was that hostile foreign intelligence services were using young male prostitutes to compromise top administration homosexuals, thus making them subject to blackmail.

“We have known for many, many years that there is a department of the KGB [Soviet intelligence] whose job it is to prey on sexual deviants,” said retired Lt. Gen. Daniel Graham, former head of the Defense Intelligence Agency.

Because “closet” homosexuals in government service can be easily “turned” through blackmail for espionage purposes, Gen. Graham said, “we have always in intelligence tried very hard not to be giving classified information to known homosexuals.”

Those interviewed by The Times confirmed that there were blackmail attempts by male prostitutes who wanted money and other favors to protect clients’ sexual lives.

The clients interviewed say a Feb. 28 police raid on a house at 6004 34th Place NW was set off by reports of blackmail and possible credit-card fraud complaints and by District hotel operators about prostitution activities.

In the raid, spearheaded by the Washington Field Office of the U.S. Secret Service, authorities found a telephone switchboard operation serving a half-dozen homosexual escort services.

Secret Service agents and District police vice investigators confiscated financial records, as well as ledgers, photos, diaries, telephone records, Rolodexes and client lists of the prostitution network, during the raid and with subsequent subpoenas issued by D.C. Superior Court.

Although the confiscated material was turned over to District police on the scene, witnesses and law enforcement agents say the Secret Service kept one box containing names and other information about high-level government officials who were clients of the male escort business.

District police officials say that, to their knowledge, this is the first time the Secret Service has ever become involved in such a raid in this area.

Initially, the Secret Service denied it was involved in the raid, but after a second raid of the 34th Place house on May 18, the agency acknowledged its involvement in the investigation.

Secret Service spokesman Bob Snow said the agency participated in the search and seizure operation because of its jurisdiction over credit card fraud. “We come into such operations usually at the request of a U.S. attorney … if the fraud involves $10,000 or more … We are not involved in any local prostitution investigation,” said Mr. Snow.

Witnesses to the February raid said 12 Secret Service agents in blue parkas entered the house and spent several hours collecting and removing boxes of files.

Federal and District investigators have since interrogated several prostitutes working for the ring, as well as clients of homosexual escort services operating under such names as Jovan, Man-to-Man, Metrodate, Ultimate Models and Ultimate First Class.

In addition to credit-card fraud, the investigation is said to be focused on illegal interstate prostitution, abduction and use of minors for sexual perversion, extortion, larceny and related illicit drug trafficking and use by prostitutes and their clients.

One of the chief operators of Professional Services Inc. and a regular client of the service speculated in separate interviews that the investigation would be restricted because “big names” were involved.

“Henry Vinson [the operator] said a high level official is going to try to block the investigation and may succeed,” said Mr. Balach, the labor secretary’s liaison to the White House. Mr. Vinson said he believes a highly placed federal official, whom he would not name, is working to derail the investigation, but he would not elaborate.

Authorities have been investigation possible credit card fraud by the ring operators since last fall.


Operators of the ring told The Times that videotapes, audio tapes and still photographs were made of sex acts performed by clients and the call boys, including perverted acts.

Documents show that customers were charged for “videotapes” from the operation

Spence Arrested in N.Y., Released; Once-Host to Powerful Reduced to Begging, Sleeping in Park

by Jerry Seper and Michael HedgesThe Washington Times, 8/9/89NEW YORK — Craig J. Spence, the once-powerful Washington lobbyist under scrutiny by the Secret Service for late-night White House tours and theft from the presidential mansion, was arrested here last week for carrying a loaded gun and crack cocaine.

Mr. Spence hinted the tours were arranged by “top-level” officials, including Donald Gregg, national security adviser to Vice President Bush and now ambassador-designate to South Korea.

“Who was it who got Felix Rodriguez [the CIA’s former Costa Rica station chief, who became embroiled in the Iran-Contra affair] in to see Bush?”


Mr. Spence, who has spent recent weeks prowling this city’s finest hotels, cutting deals with inmates to protect himself in jail and eventually sleeping on a bench in Central Park, faces up to eight years in prison.

Monday, in a tense eight-hour interview with The Washington Times at a friend’s apartment where reporters had tracked him, Mr. Spence said the discovery in 1986 that he had AIDS triggered his descent into using call boys and crack.

In a conversation that plumbed the depths of morbidity and self-pity, Mr. Spence caressed a shiny, double-edged razor blade he said he would ultimately use to kill himself and alluded frequently to his impending suicide, a move he said he would take before AIDS debilitates him.

Asked how he thought he would be remembered in Washington, he quoted Carl Sandburg: “Does it matter in the dust and the cool tombs . . .”

Mr. Spence said he left Washington early in July after becoming aware – through news accounts – of the Secret Service investigation. He spent several nights in expensive hotels in New York, rapidly spending his diminishing funds, according to hotel records and his account.

He was arrested July 31 at the Barbizon Hotel on East 63rd Street in Manhattan. According to police records, police took Mr. Spence into custody after a disturbance there. A loaded 9mm pistol was seized, along with a small amount of crack.

He spent parts of the next three days in jail before being released on personal recognizance Aug. 2. He faces another hearing Aug. 28. Maximum sentences for the charges against him total eight years in prison.

Mr. Spence’s account of the episode considerably colored the drab prose of police reports. He said he had set up a meeting with a call boy who arrived with drugs.

When the male escort attempted to steal $10,000 in cash and traveler’s checks from his room, according to Mr. Spence and police reports, Mr. Spence started the ruckus that led to the arrest.

“They put me in the Tombs [slang for the New York jail] for three days without a phone call,” Mr. Spence said. “I survived by offering to be the valet to the biggest thug there, a man appropriately named Heavy, and giving him half my bologna sandwich. I had to teach him not to pronounce it ‘val-ay’ like some parking attendant.”

Mr. Spence, who is central to an investigation into the theft of Truman administration china from the White House and a male call-boy ring raided in February by D.C. police and federal agents, has eluded Secret Service agents and reporters since his dealings were first reported by The Times on June 29.

Mr. Spence, 48, who is being sought by the Secret Service to testify early next week before a grand jury empaneled by U.S. Attorney Jay Stephens, said the late-night tours could not have been set up by uniformed Secret Service Officer Reginald deGueldre. Officer deGueldre and another officer were suspended without pay last week as a result of the ongoing White House investigation.

“Reggie couldn’t have arranged anything,” Mr. Spence said. “Poor Reggie is a nice guy. I gave him a Rolex watch unsolicited, and he later gave me this little ‘dish,’ as Rosalyn Carter would say, out of the Truman china. I didn’t ask for it.

“Reggie’s like an elevator operator pushing the buttons. But he is not the guy who can clear it for you to get in the elevator.”

Mr. Spence hinted the tours were arranged by “top-level” officials, including Donald Gregg, national security adviser to Vice President Bush and now ambassador-designate to South Korea.

“Who was it who got Felix Rodriguez [the CIA’s former Costa Rica station chief, who became embroiled in the Iran-Contra affair] in to see Bush?” Mr. Spence asked when pressed to say who got him inside the White House. He agreed that he was alluding to Mr. Gregg.

Mr. Gregg yesterday dismissed the allegation as “absolute bull.” Vacationing in Delaware, Mr. Gregg said the only time he met Mr. Spence – at an April party the lobbyist arranged for former South Korean Prime Minister Nam Duc Woo – he found him to be “a thoroughly unpleasant character.”

“It disturbs me that he can reach a slimy hand out of the sewer to grab me by the ankle like this,” Mr. Gregg said. “The allegations are totally false.”

Mr. Spence said all of the parties he held at his Kalorama home were bugged by “friendly” intelligence agents.

He described in detail how he rigged his apartment with listening devices in electrical outlets in the walls after he was approached by an intelligence agency that he refused to identify.

“They basically just wanted to be sure that nothing was being said that shouldn’t be said,” he said.

He boasted that he had “created” important Japanese politicians, conducted covert operations for Central American governments and traveled in a circle of high-ranking closet homosexuals in Washington. He said he would not identify homosexuals in the Bush administration.

“I’m not going to smear the Republican Party,” he said.

Mr. Spence described other midnight White House tours, including one he said he arranged for a group of powerful Japanese businessmen who, he said, photographed themselves in the Oval Office.

He alluded frequently to even deeper mysteries. “All this stuff you’ve uncovered, to be honest with you, is insignificant compared to other things I’ve done. But I am not going to tell you those things, and somehow the world will carry on without knowing,” he said.

After he became aware of Secret Service interest in his activities, Mr. Spence said he destroyed audio tapes and hundreds of photographs, many obtained surreptitiously during his parties. By the time the Secret Service raided his apartment in July, he said all that was left behind was his AZT anti-AIDS medicine.

A Secret Service source confirmed that the agency served a search warrant at the Massachusetts Avenue apartment and that agents did in fact find vials of AZT.

Careening from the wit that had won him powerful friends to glum resignation that “my life is over,” Mr. Spence reserved his deepest bitterness for former acquaintances who he said have now forsaken him. “I’ve had the world at my house and now they don’t know who I am,” he said. “But they did come, didn’t they?”

Mr. Spence said that he frequently used call-boy services and that he liked “handsome young blond, 19-year-old boys,” but he said he had not spent $20,000 a month for them, as reflected in credit card documents obtained by The Times. These charges were inflated illegally by one escort service manager, he said. He declined to elaborate but said he fired his accountant over the matter – although it was never turned over to authorities.

During his hour as a Washington host, Mr. Spence dressed in Edwardian finery and lived extravagantly, affecting touches such as scarlet-lined capes and stretch limousines.

Among those who frequented his parties were journalists Eric Sevareid, Ted Koppel and William Safire; former CIA Director William Casey; the late John Mitchell, attorney general in the Nixon administration; conservative activist Phyllis Schlafly; then-Ambassador to Korea (now to China) James Lilley; and Gen. Alfred M. Gray, commandant of the Marine Corps.
Arnaud de Borchgrave, editor-in-chief of The Times, said he went to dinner once at Mr. Spence’s home, to honor Mr. Lilley.

Even in recent months, Mr. Spence insisted, he retained enough cachet to set up large business negotiations such as one between the Washington law firm of Bishop, Cook, Purcell and Reynolds – represented by former U.S. Attorney Joseph diGenova – and a major computer manufacturer, Compaq.

He said influential persons such as Mr. diGenova, although aware of his increasing use of drugs, courted him for his network of business connections.

Mr. diGenova was in Hawaii yesterday and could not be reached for comment. A secretary, told of the nature of the inquiry, said she could not divulge Mr. diGenova’s vacation telephone number. In earlier interviews, the former federal prosecutor said he went to Japan with Mr. Spence and Mr. Bishop in 1988 on business.

“When I got back from Japan, some anonymous person suggested that [Mr. Spence] might be using cocaine. Well, of course, my antennae went up right away and I checked those rumors out . . . and found much to my surprise that people suspected the worst,” Mr. diGenova said.

At that point, Mr. diGenova said, he severed his relationship with Mr. Spence. “When you compared it to his other eccentric behavior, it made sense. But I had no evidence whatsoever,” he said.

Mr. diGenova said he never took his concern that Mr. Spence might be using drugs to authorities and said he had never witnessed cocaine use by Mr. Spence or others at the parties.

A spokeswoman for Compaq, which is based in Houston, said yesterday that the firm had no record of any contact with Mr. Spence. She said, however, that there had been dealings with Mr. Bishop’s law firm, but she declined to say what they were.

By Monday, Mr. Spence’s flash had been replaced by the grim residue of his recent three-day stay in a New York City jail and a fitful night on a Central Park bench during which, he said, muggers had lifted the last few dollars he’d borrowed from a friend.

Located by reporters at the stylish apartment of a friend near Central Park, Mr. Spence first resisted, then relished describing his career.

After initial jobs in Massachusetts politics and as a correspondent for ABC News in Vietnam, Mr. Spence began focusing on Far Eastern affairs, he said.

Mr. Spence said his “genius” was in recognizing before other U.S. observers that Japan was headed for economic greatness and in being able to identify and help Japanese Diet members on the way up.

“I became a very significant intellectual force in Japan,” he said with typical braggadocio. “I created three members of the Japanese Diet. It’s called perspicuity. I saw a future prime minister in an obscure little man named [Yasuhiro] Nakasone when all our spastics here didn’t see that.”

Mr. Spence claimed he coached Mr. Nakasone on dealing with the United States, advising him to buy President Reagan a saddle for a present rather than golf clubs and always to mention the former president’s movies just before the press was admitted for photo opportunities to ensure the two would be engaged in animated conversation.

Among his achievements, Mr. Spence said, was producing a “brilliant” position paper that persuaded the Japanese to allow the Palestine Liberation Organization to open an office in Tokyo.

He also said he greatly enhanced the reputation of Motoo Shiina, a powerful member of the Diet, Japan’s parliament, who is considered Japan’s top expert on defense issues and a likely future prime minister.

“Motoo’s father, Etsusburo, who was a great man, asked me to help his son, who he saw as playboy,” Mr. Spence said. “I made Motoo Shiina in the United States, then he sued me.”

The lawsuit over a house on Wyoming Avenue NW, in a fashionable neighborhood of homes of senior diplomats, began when Mr. Shiina sought the return of $345,000 he had lent Mr. Spence to purchase the property. Eventually, the suit would be dropped on the day Mr. Shiina was to give a sworn deposition.

The settlement terms led to Mr. Spence’s company’s getting $68,000 from the Policy Studies Group headed by Mr. Shiina. Mr. Spence agreed to repay Mr. Shiina $379,000 at 5 percent interest.

The money was repaid when Mr. Spence sold the house for $900,000, and he kept the approximately $500,000 profit.

Mr. Spence said yesterday that he had forced Mr. Shiina’s attorneys to drop the suit by threatening to reveal that the money was “hot.”

“The money came into the country illegally from Hong Kong, and I knew it,” he said. “That’s why I could be so sarcastic in my deposition. I knew they wouldn’t push it.”

Mr. Shiina has denied any wrongdoing in the case. He has specifically denied any violations of currency exchange laws.

Mr. Spence said he later turned his lobbying talents to China, with the intention of establishing high-level influence there. “They have no money. What were they going to pay me with – rice?” he asked. “I did it to make contacts.”

Throughout this period, Mr. Spence admitted to leading a dual-level existence, with separate but strong excitements.

On the surface, he threw dazzling parties and weighty seminars, ensnaring Washington celebrities.

A profile of Mr. Spence in The New York Times in January 1982 was headlined “Have Names, Will Open Right Doors.” The article quoted a Washington Post columnist saying of Mr. Spence in 1980: “Not since Ethel Kennedy used to give her famous Hickory Hill seminars for great minds of our times during the days of Camelot has anyone staged seminars successfully on a continuing social basis in Washington. That’s what Craig Spence has been doing.”

Mr. Spence was described in The New York Times as “something of a mystery man who dresses in Edwardian dandy style, a former television correspondent who now wears many hats, including international business consultant, party host, registered foreign agent and something called ‘research journalist.’ ”

One former friend, William Harben, said of those days: “He conned people into going to parties – big people, Cabinet members, and personalities and so forth. Everybody likes to go to a free party around here.”

That description eerily paralleled Mr. Spence’s depiction of the guests at his soirees. “The town [Washington] is full of phonies,” he said Monday. “All of these people I helped have turned on me.”

The business was lucrative. Mr. Spence earns $200,000 a year as a consultant for Becton, Dickinson & Co., a New Jersey-based firm that makes health care products for physicians, laboratories, pharmacies and the general public. He has worked for the firm since the fall of 1981 and, according to a Becton, Dickinson spokesman, is under contract until March 1990.

In documents filed with the Justice Department, Mr. Spence said he made $666,774 working for the Policy Study Group, a company of which Mr. Shiina was president between 1979 and 1983.

He made many thousands more for other foreign and domestic companies but said Monday that he had no access to money. He said his accounts had been “frozen” but refused to elaborate.

Mr. Spence admitted Monday to a second lifestyle he kept hidden from most, in which he pursued young “military-looking” men. He bragged of many sexual conquests of otherwise straight men, including several servicemen stationed in the Washington area.

Mr. Spence said he discovered he had AIDS “about three years ago” after going to Johns Hopkins Medical Center on the advice of his doctor.

King is Transported to Minnesota

April 5, 1990 (article text)

Lawrence E. King, Jr., manager-treasurer of the failed Franklin Community Federal Credit Union, was taken Wednesday to a federal prison hospital in Minnesota to undergo court-ordered psychiatric treatment.

U.S. Marshal Thomas O’Hara said Kind was transported by car and under guard to the U.S. Medical Facility at Rochester, Minn.

A second federal prisoner was placed in the car with King and was to be taken to another institution on the way to Rochester, O’Hara said. He declined to identify the other prisoner or institution.

U.S. District Judge William Cambridge ordered King to Rochester after ruling Tuesday that King was mentally incompetent to stand trial on 40 felony charges arising from the failure of Franklin.

King is expected to undergo therapy and receive medication for a condition a psychiatrist said in a court document is “delusional paranoid disorder, grandiose type.”

The treatment is expected to delay King’s trial on charges of conspiracy, fraud, and federal tax evasion. The trial had been scheduled to begin June 4.

King was indicted last may along with his wife, Alice, who was named in 12 felony counts of conspiracy and fraud. Both were freed without bond after their arrests May 19.

King was taken into custody Feb. 7 at the order of a federal magistrate and sent to the U.S. Medical Facility at Springfield, Mo. for a mental health evaluation.

After being returned to Omaha March 18, King was held at Emmanuel Medical Center until his removal Wednesday to Rochester.

Man, 23, on Tape Told Caradori He saw 16 or 17 Sex Incidents

A 23 year old man said in a video-taped interview with an investigator for a legislative committee that he decided to talk about his homosexual experiences because he wanted to see the men he was involved with pay for what he said they did to him and other minors.

The man told the investigator, Gary Caradori, that he saw at least 16 or 17 young boys or girls sexually abused by the men.

The allegation was included in excerpts shown on KETV – Channel 7 Tuesday night of taped interviews conducted by Caradori for the legislative committee investigating the matters stemming from the failure of the Franklin Community Federal Credit Union.

The man said he committed homosexual acts with adults for three years when he was a teenager.

The man is the one who said in a telephone interview with the World-Herald in February that he was paid to perform the homosexual acts with adults in Omaha and other cities so he could get cocaine.

He said on the tape that he would be willing to talk “because I would like to see them all burn in hell. It is sick. I’ve been living with it for quite a few years.”

Caradori asked the young man why he hadn’t told his story sooner. “I’m really scared of these guys,” the main said.

Caradori: “You do fear for your life, don’t you?”

Young man: “I know these are the kind of people who are totally capable even now to eliminate my life and get away with it.”

The Man wasn’t identified, and his face was made unrecognizable on the KETV report.

Earlier, a person who spoke on condition of anonymity told the Lincoln Journal that the 23 year-old and another young man weren’t truthful in their videotaped statements to Caradori. That person said the two had “failed” lie detector tests conducted by the FBI.

Three other people later told the World-Herald that one or both of the young men hadn’t passed the FBI’s lie detector tests or that at least one of the men may have changed his account in some respects. All three spoke on condition they not be identified.

The 23 year-old man is one of the three people who told Caradori on videotape that they were sexually abused when they were minors.

The tapes became key parts of investigations that have been conducted by the FBI and State Patrol, and they were to be viewed by the Douglas County grand jury investigating the sexual abuse allegations.

Paul Bonacci Debriefing

On May 14, 1990, Paul Bonacci was interviewed on video tape at the Douglas County Correctional Center in Omaha, Nebraska, by Gary A. Caradori, Franklin Legislative Committee Special Investigator.  Also present was Karen J. Ormiston.  The interview was conducted in the “training room” of this facility.

Paul Bonacci indicated that he was arrested in November of 1989 for Sexual Assault On A Child.  He has been incarcerated since that time and to date, has not gone to court.  He stated that the accusations against him were made by Mike Durham, age 13, who told Paul that he “would be sorry for making him mad” by not letting him go home after hearing several ghost stories.  This incident occurred at Paul’s grandmother’s house located at 1002 North 40th Street, Number 1, Omaha, Nebraska.

Paul stated that he has had his arraignment and hearing and that Scott Slavic, Public Defender, is his attorney.  He stated that he is charged with four counts of Sexual Assault On A Child.  He stated that he has not been contacted by his attorney for approximately one month.

Paul went on to state that he was first abused at the age of 6 years old by a 13-year old boy.  Paul then told his mother, however, she did not respond to him. He does not remember where this happened.  He stated that the perpetrator’s name was Jeremy.

His first adult homosexual encounter occurred in 1976 at which time he was sexually abused by Walter Carlson.  He described Carlson as being in his 30’s or 40’s at that time.

Paul stated that he was also abused in 1978 by a Catholic priest identified as possibly a Father O’Malley.  He stated that Father O’Malley may have been from Sacred Heart.  He explained that he and a friend of his named Shawn, and Shawn’s younger brother were at Shawn’s  house during which time the priest came  over.  The priest then asked Paul if he would like to come to his church.  Paul did go to the church, during which time the priest began to fondle him and stated that he  was “blessing” him.  The priest fondled his penis and performed oral sex on him.  Paul then performed oral sex on the priest.  Paul stated that he met with this priest approximately seven times.

He stated that he knows Alisha Owen, Troy Boner, and Danny King.  He stated that his encounters with Peter Citron and Alan Baer occurred prior to his meeting the other three individuals.  Hestated that the met Peter Citron on 1979.  Adults that he has sexual encounters prior to his involvement with Peter Citron were Todd, Walter Carlson, Joe Burke, Anderson, and Kent Verner.

Anderson: Paul stated that he met Anderson at Walter Carlson’s residence in 1977.  Anderson asked Paul if he would like to “take a ride.”  Anderson then took him into the bedroom and Paul performed oral sex on Anderson.  He stated that he called Anderson “Harry.”  He describes him as being approximately 50-53 years of age, gray hair, glasses, white, and a “big  guy.”  He stated that he thought Anderson was a reporter or journalist.

He described Walter Carlson as small, white, approximately 50 years old currently, whose address is located in the area of 50th and Miami Street, Omaha, Nebraska.  He describes this residence as an older frame house, two-story, and white or cream colored.  He said that Carlson introduced him to Anderson initially while at this residence.

Paul stated that Anderson told him that Paul “looked like his son used to look.”  On another occasion, Anderson and another individual tied Paul up and burned him with cigarettes.

He stated that he met with Anderson until approximately 1985 and that he met with him approximately forty times.  He said that he was 9 years old when he met with Anderson the first time.

During the first encounter, Anderson gave him ten dollars and later took him to Peony Park.

Anderson would sometimes pick Paul up from school.

Anderson usually gave him some money.

Anderson wanted to be called “Harry.”

Paul and Anderson had sexual encounters in motels, one of which was the Red Lion Inn, and at Walter Carlson’s house.

Other people present during some of these sexual encounters that Paul could remember and identify were Carlos Sanchez and an Indian boy from Boys Town (“Joe” is identified as the houseparent for the Indian boy.)

He stated that his last sexual encounter with Anderson occurred on January 2, 1984, at which time Anderson asked Paul, through Paul’s friend, Doug, to meet him at a motel.  Paul had just parted ways with his “boyfriend”, identified as Steve Stevenson who is still in Omaha and who works in the kitchen of a retirement home.  For this reason, Paul agreed to meet with Anderson.

Paul stated that the following activities would occur during their sexual encounters: anal sex (as Paul got older), oral sex, the use of sexual aids such as a vibrator, and other boys present who would watch them and masterbate and/or take photographs.

He stated that Anderson called him his “pet.”

In the year of 1980, Anderson informed Paul that he wanted Paul to find other kids who would participate in sexual encounters. Anderson told Paul that he would give him $500.00 for this.  Paul then asked two boys identified as Ricky and Brook who lived on the same street as Paul did. Both boys are described as being white.  The boys agreed, and they went to the Red Lion Inn during which Anderson was there with an old-fashioned movie camera.  They played “truth or dare” reference sexual activities and Anderson also used the movie camera while the boys were engaging in sexual activity.

Paul stated that Anderson would sometimes grab him by the hair and threaten him verbally if he did not want to have anal sex with Anderson.

Off camera at 11:59 AM for lunch. On camera at 12:15 PM.

Paul stated that Anderson would tell him he (Paul) would get into a lot of trouble if he didn’t cooperate.

He stated that at various times, Anderson would tie him up with his legs spread apart while he was lying on his stomache. Anderson would then have anal sex with him.  He would also gag Paul and whip him with a stick.  Anderson would then say, “This is fun,” while Paul would cry.

Paul stated that Anderson threatened to “cut off his dick” or “have him taken care of, along with his friends.”

He stated that when he was tied up, other adults would have sex with him also.  He identified some of these individuals as Joe Burke and an individual named “Tank” who Paul described as large, fat, bald man.  He stated that he thought Tank worked in a store.

Paul stated that he was tied up almost every time he and Anderson would be together.  Handcuffs, rope, or strips of bed sheets were used for this. Anderson would also cut him with a knife on his arm and leg.  (Paul showed Mr. Caradori a scar from an encounter with a knife used by Anderson.)

Paul stated that he has talked to several of his friends who had indicated to him that they had also been victims of Anderson.

Paul stated that in 1982 he had told the Omaha Police Department about being sexually abused. The police officers had come to his school.  (This will be further explained.)

He stated that in 1982 Anderson threatened to “cut his dick off” because Paul did not want to see him anymore.  He said that he did not want to see Anderson anymore because he (Paul) was then seeing Alan Baer for sexual encounters.  On this occasion, two boys held Paul down while Anderson used a knife to threaten him.

He said that his last sexual encounter with Anderson occurred in 1984.

He stated that he spoke with Anderson on the telephone in 1986 during which time Anderson called him at home and said that that he’d kill Paul if Paul talked against him.  Several days later, Anderson telephoned Paul again at this residence and said that he’s also kill his friends if he talked against him.

He also received a threatening letter from Anderson.

During this time, Paul was also seeing Walter Carlson, Joe Burke, Larry Petta (sp), Alan Baer, Peter Citron, and Larry King.

Peter Citron: Paul stated that he met Peter Citron in 1979 at Peony Park.  At that time Paul was there with his friends, John
Camp (age 10) and Paul (age 12). Citron asked him if he wanted to go to a movie, wnicn they 3T3.  Paul and Citron then went to Citron’s house.  Paul stayed all night, however, nothing sexual occurred at this time.

On another occasion he had met Citron during a time when several boys were playing soccer.  He stated that an individual named Russell was taking pictures of the soccer game. Paul stated that at this time, John Camp was with Citron.  After the game was over, Citron and John Camp told the other boys that they would stay behind to put things away.  Paul later went to where they were sitting and discovered that they were engaging in sexual activity.

Paul stated that in 1980 he was at Citron’s house with another boy named John or Jay engaging in sexual activity while Citron took photographs.  After Citron took the photographs, he then joined the two boys in their sexual activities.  All three participated in oral sex and fondling.

Paul stated that he had sexual encounters with Citron from 1979 to 1987.  From 1979 to 1980 he would meet with Citron approximately three times per month.  From 1981 to 1985 he would meet with Citron occasionally.  Also, on various occasions Citron would fly Paul to California because at that time Citron was living in California.

In 1981 Paul went to Kansas City with Citron, John Camp, Anderson, and a boy named Dan.  They drove a silver van to Kansas City.  They arrived there at approximately 8 PM and then had dinner in the hotel restaurant.

While later engaging in sexual activity, Citron took photographs of Dan, Paul, and John Camp.

Paul stated that at one time, Citron had threatened a friend of his (Paul’s) by telling him that he would tell his parents.

Paul said that Citron had told him that he “thought of him as a son. ”

Sexual activities with Citron included sexual activity with two or more boys at a time.

Paul described Citron’s home, and also stated that there were many video tapes of sexual activities involving boys in the home. He stated that most of the sexual activity occurred on the bed in Citron’s bedroom.

He said that Citron often picked up boys at The Run Bar.

He said that he went to California three times with Citron and made approximately ten trips to California to meet Citron.  He    flew commercially  on Delta, American, or United, and used the name Michael Philips.  He said that Citron would usually fly under his own name.  When Paul was age 13 through age 16, he would meet with Citron in California.

When asked how he could miss so much school, he said that a doctor in Omaha identified as Cabe or Cay of McCabe would write doctor’s excuses for him to explain his absences.  He indicated that he had also engaged in sex with this doctor.

Paul said that while in California he would stay at Citron’s apartment.

Paul stated that Citron would take him to Godfather’s in the Old Market and the French Cafe to eat.  He said that parties with adults and kids were held at the French Cafe and that sexual activity would occur in the bathroom and in a back room.  Adults present at these parties were Larry King, Alan Baer, Peter Citron, and Harry Anderson.

Paul stated that he has sex with a police officer in late August of 1985.  He stated that the officer was named John with a long, Polish last name.  He described John as being 6’4″,  250 pounds, short black hair, square glasses, approximately 40 years old, with a scar on his face. He said that they engaged in sex activity in the Drake Apartment complex located on 23rd and Leavenworth Street, Omaha, NE, after the police officer’s shift was over.  He stated that the officer was driving a 1974 brown, two-door Nova.

Paul indicated that the Drake Apartments are often used for sexual encounters between young boys and male adults.

He said that Citron would occasionally take him to Council Bluffs, Iowa, for sexual encounters. They would eat at a restaurant and then go to a house which he described a large, wooden house with a chandelier in it.  He stated that in the house were many games and pictures of kids.

He noted a boy named Paul Peterson in this house also.

He stated that Citron would burn him with cigarettes.  He stated that Citron would also burn other kids with cigarettes.  This game was called “burnout.”

He said that Citron would direct Danny King to tie Paul up.  He stated that this usually occurred at the Twin Towers or at the house in Council Bluffs, Iowa.  Also present while this activity would occur were Alan Baer Larry King, Bob Moreno, Troy Boner, and Larry (the enforcer, who he describes as being a black male.

Off camera at 1:20 PM to change tape. On camera at 1:32 PM.

Paul stated that pornographic movies would be shown in the house in Council Bluffs, Iowa.  He stated that John Camp had also gone with him to see Citron in California.  He stated that John Camp went to Bellevue High School and graduated in 1988 or 1989.  He has seen him recently at The Run Bar in Omaha, NE.

Paul stated that he had approximately fifty cigarette burn scars on his body, including his genitals.

He said that his last encounter with Citron was in January or February of 1989 at Citron’s house during which time a German boy was also present. He said that the German boy tried to grab his penis, however, Paul pushed him away. Paul stayed in the guest room that night, during which time Citron came in and they engaged in sexual activity.

He said that Citron had bought him (Paul) flowers for Valentine’s Day.

Paul stated that his last homosexual encounter was with Alan Baer on November 15, 1989.  He stated that in January of 1989 he was at Citron’s residence where he witnessed Citron performing oral sex on a young boy with the last name of Bagley who was approximately 13 years old.  He stated that this occurred in Citron’s living room.

When asked about a boy named Andy, Paul became extremely upset.

He said that he knew of two boys by this name and that one of them lived in South Omaha and attended Bryan Jr. High. He stated this boy’s last name may be Jankowski.  No further information was related reference the other boy named Andy.

Paul stated that he had been interviewed by Detective Hoch of the Omaha Police Department approximately one month prior to the arrest of Citron.  He related that Hoch had informed him that Citron had been a neighbor of his (Hoch’s) for many years and why would he want to destroy a good man?  Hoch also informed him that he had interviewed Alisha Owen and that she was lying,

Paul then described Anderson’s anatomy:  He stated that he has a very hairy chest, two scars on his midsection, possibly from surgeries,  and that his penis was small, approximately 6″ long.  He stated that Anderson is not circumcised and that his penis looked “deformed” in that it is “bent.”

Alan Baer: He stated that he met Baer in 1979 at The Run Bar.  He said that Baer was driving a Mercedes Benz and asked him if he wanted to ride in his car.  Paul said yes and they had oral sex in his car while parked under a bridge in the downtown Omaha area near the river.

He next saw Baer in 1981.  Baer had invited him to a party at the Twin Towers, apartment #406.  Paul spoke with the security guard at the Twin Towers prior to gaining entrance to Baer’s apartment.  Paul was approximately 13-14 years old at this time.

He said that the first 10 to 15 times that the met with Baer, that Baer would masterbate while Paul massaged him.  Baer would usually give Paul $60.00.  Baer also asked him if he used drugs.  When Paul said that he did, Baer then arranged for Paul to obtain drugs.  At one point, Baer gave Paul a shot in the arm of a drug.

Paul stated that in 1983 on a few occasions, Baer’s wife would pick him up so he could meet with Baer.  Baer also said that he would pay him $5,000 if he would have sex with his wife.  Paul refused.

Paul also said that Baer would have him engage in sexual activity with Baer’s son, Ted.  Ted was approximately 22 years old at this time and he engaged in sex with Ted at the Twin Towers.

Paul stated that he has had several hundred sexual encounters with Baer.  Baer would give him jewelry, money, and drugs for these encounters.

Paul attended approximately 100 parties at the Twin Towers from 1981 to 1986.  Some of the individuals attended these parties were Larry King, Peter Citron, Bob Moreno, Ted Baer, Troy Boner, Danny King, Larry (the enforcer), Jason Derr, Jeff Hubbell,    Paul Peterson, Steve Stevenson, David Billings, and John Blount.  He indicated that Larry King had given Bob Moreno money to start a business.  He also stated that two runaways from Minnesota would attend these parties, Josh and Troy.

An activity occurring at these parties was Paul giving oral sex to five adult males in succession.  Another activity wa tying Paul and other minors up.  Two or more minors were tied up at a time.  Paul stated that he had been tied up with Danny King, Jeff Hubbell, Troy Boner, Alisha Owen, and a black female named Jamie.

He stated that there were usually approximately 12 minors at these parties.  He said that pornographic movies would be shown which had been brought to the party by Baer.  He said that there were many drugs at the party and the drugs would be brought by various people who attended the parties, including Baer.  Some drugs  available were alcohol, cocaine, and LSD.

He indicated that he had received several thousand dollars to having sex with Larry King.  He said that he had received $500.00 for stripping for Larry King.

Paul stated that he went on “scavenger hunts” for Baer.  (These are “hunts” for other kids to become involved in these activities.) He stated that he would receive $500.00 for each kid he got involved.  He indicated that he been to California, Washington, Arizona, Kansas, Oklahoma, Texas, Florida, Minnesota, and Colorado, at the direction of Baer.  He stated that he would either go alone, or be accompanied by another adult.

Paul stated that he had gone to California and attended a party during which Alisha Owen, Troy Boner, and Danny King were also present.

Paul went on to state that a boy was murdered in Sacramento, CA.  He describes this boy as being from Idaho, approximately 12 years old, and named Jeremy.  (This occurred in June or September of 1985. )  Paul flew to California in a private plane with Larry King. They departed from the other side of Bppley Airfield.  They made stops in Grand Island, NE (to pick up camera equipment), Aurora, Colorado (to pick up a boy named Nicholas, age 13), and in Las Vegas, Nevada (to refuel).  They then arrived in Sacramento, CA.

Upon arriving in Sacramento, they were met by “a little Italian guy” who may have been a producer, however, Paul indicated that he “more of a murderer.”

They proceeded to a wooded area where the “producer” told Paul that a boy named Jeremy, who was also in the wooded area, had been kidnapped.  The “producer” forced Paul and Nicholas to have sex with Jeremy.  Jeremy was also put into a cage in the wooded area.  Paul described the cage as being approximately 5′ x 5′.

Jeremy was then let out of the cage and directed to run. Paul and Nicholas were directed to chase him and catch him and drag him back.    (Please note that the pilot of the plant that Paul and Larry King flew out on was also present at this time. Larry King was also present at this time.)  Paul had sex with Jeremy as the “producer” directed him.  Nicholas also had sex with Jeremy. People with the “camera crew” kicked and beat Nicholas and Paul. They also beat Jeremy, who was bleeding from the rectum. An adult male then drug Jeremy around the area while having sex with him. This individual was kicking Jeremy in the face. Jeremy was then shot in the head with a handgun.

Paul stated that he tried to slit his wrists when they arrived back at the hotel in Sacramento.

Please note that Paul stated that he had told Detective Hoch of the Omaha Police Department about this incident but Hoch stated to Paul that, “Those types of things don’t happen.”

Also, Paul indicated that while Jeremy was in the cage, he had told Paul that he was from Idaho. He described Jeremy as having blond hair, brown eyes, and approximately 12 years old.  He also indicated that Jeremy had two silver filling in his teeth and braces on his teeth.

He again stated that he was forced to beat Jeremy.

Also after arriving back at the hotel, the pilot then engaged in sex with Paul in the hotel room.    The pilot is described as having brown/blond hair, one brown eye and one blue eye, a scar on his left arm, a tattoed eagle on his chest, and always talked about being in the Air Force.  He stated that the pilot may have been a captain in the Air Force.    Paul said that he last saw the pilot in
1986 at Baer’s apartment in the Twin Towers.

Paul stated that they flew home the next day.

Paul indicated that he stopped seeing Larry King after the above- described incident.

When asked, Paul stated that he had seen Alisha Owen at Baer’s apartment, at a party at a farmhouse, and that he had also seen her with Bob Wadman.    He stated that he had attended a party in June or July of 1985 at Baer’s apartment and that Alisha Owen and Bob Wadman were at this party.    Paul also witnessed Wadman at two parties at a farmhouse located toward Oakland, NE.

When asked the chronological order of seeing Wadman, Paul indicated that he first saw him at a farmhouse which IF located toward Oakland, Nebraska.  Present also at this farmhouse were Alan Baer, Peter Citron, Dr. McCabe, Bob Morino, and Ted Baer.

The next time Paul saw Wadman was in August of 1986.  Paul was picked up by OPD for soliciting, however, Wadman told the OPD officer to let him (Paul) go.

Paul notes here that he saw Wadman coming out of a bedroom at the farmhouse. In that bedroom were two young females, one black and one white. He also saw Wadman snort cocaine at this time. Also present were Troy Boner, Alisha Owen, Danny King, Jason Derr, Mark, Todd, Mike Heveron, and Mr. Welty (whose wife is a teacher at a school in Carter Lake, Iowa).

Off camera at 304 PM due to the noise of the guard shift change. Back on camera at 307 PM.

(When asked about Mike Heveron, Paul indicated that he likes young boys.  He said that Paul first met Heveron in 1980 at which time Heveron filmed he and some other boys urinating.  He indicated that he fondled his students.  Some of the students he fondled were Mark, Troy, and Mike.

Paul also indicated that Heveron performed oral sex on young boys and that he (Paul) and Heveron participated in oral sex at Heveron’s residence. His last encounter with Heveron was in 1985.  Paul then mentions an individual named Mark Bailey or Mark Bagley. He indicated that this individual was sexual involved with Heveron and Peter Citron.)

Paul next saw Wadman at a party at Baer’s apartment at the Twin Towers.  He stated that he witnessed Wadman grabbing Alisha Owen’s chest.  Also present at this party were Alan Baer, Troy Boner, Ted Baer, Larry King, Larry (the enforcer),  Harold    Anderson, Bob Morino, and Benny Ross” Paul also stated that Alisha Owen left the party with Wadman.  He stated that they went out the backdoor of the Twin Towers.

Paul    next    saw    Wadman    at    the    farmhouse    again.    Wadman    was    with Alisha Owen.    Paul stated that he saw Alisha Owen and Wadman having sexual intercourse on a bed at the farmhouse.

Paul next saw Wadman at a Mormon Church service, where Paul had gone with one of his friends.
Paul stated that Alisha Owen had discussed Wadman with him.    She had    stated    that    Wadman    was    getting    paranoid    and    thought    that someone was “watching him.”

Please note that Alisha Owen told Paul that Dr. McCabe would also give her doctor’s excuses so she could be excused from school. She also told Paul that Wadman would pick her up at a bus stop.

Paul stated that he thought Wadman was a friend of James Davis because Davis was also at some of the parties in Baer’s apartment and he and Wadman would visit.

Paul    stated    that    in    the    summer    of    1984    or    1985,    he    accompanied Alisha Owen to California so she could swim.    Paul was directed to
“test Alisha Owens’ loyalty” on this trip.

He stated that he had sex with Troy Boner at Baer’s apartment, and that he also had sex with Baer and Troy Boner together in Des Moines, Iowa, and Omaha, Nebraska. Paul stated that he has had sex with Troy Boner approximately 30 times.

Paul attended a party at the Woodman Tower, which was a catered party.    Among    the    guests    there    were    Alan    Baer,    Larry    Kingf    and Harold Anderson. Oral sex occurred between minors and adults at this party.    Troy Boner engaged in sex with Baer, and Troy also engaged in sex with Chris.

He went on to state that Alan Baer’s wife gave him money which was from Alan Baer.

Paul participated in “golden showers” with Troy Boner.  He stated that Larry King forced them to do this in New Orleans.  This occurred in a hotel shower in New Orleans.  Paul had sex with various minors males while adults watched the activity.  He stated that Troy Boner urinated on him, as did several other minors.  He in turn would urinate in other boys’ mouths.  He stated that, “Larry King liked to have kids piss on him.”  Also, Paul urinated on Larry King in Baer’s apartment at the Twin Towers.

He stated that Bob Moreno liked kids to ejaculate on him.

He stated that he last saw Larry King in 1986.  He also said that Larry King gave him a gold ring with an inscription inside it, however, Paul has sold the ring in order to purchase drugs.

Paul indicated that he made between 50 and 100 flights with Larry King.  He then stated that he had made approximately 300 flights between the years of 1980 and 1986.

He saw Baer again in 1989.

He stated that he saw Wadman in Grand Island, Nebraska, and in Des Moines, Iowa.  Both times, Paul was with Baer.  He saw Wadman at a hotel in Grand Island, and the first time he saw him in Des Moines was when he was in a hotel room (possibly a Holiday Inn) with a round bed in the room. Paul was with Baer.  He stated that Wadman came into the room and Baer gave Wadman a package of cocaine.  This occurred in 1986.  The second time he saw Wadman in Des Moines, Wadman was with his family.  This occurred in 1985. Again, Paul was with Baer.

Paul stated that he has had sex with Dr. McCabe in Baer’s apartment.  He stated that McCabe wore a wedding band at that time. He thought that McCabe may live in southwest Omaha.

When asked what schools he had attended, Paul stated the following:

Shilo Christian

These are listed in the order of attendance.

When asked when he had met Alisha Owen, Troy Boner, and Danny King, he stated that he met Alisha in late 1983 or early 1984 at Bae”P”s apartment.  He stated that he met Troy in 1984, or possibly slightly prior to that. He met Danny at the same time as he met Troy.

Paul stated that in 1987, Troy Boner told him about two kids being dropped off in California. He stated that Troy told him about this at a party.

Paul said that he last saw and spoke with Alisha Owen in 1987, with Troy Boner in 1987, and with Danny King on August 1, 1986.

Paul received a letter, unsigned, in January of 1990, threatening him and Janet Stoops.  He stated that Janet has four children and Paul did not want anything to happen to them.  He stated that Baer is the only one who knew how much he cared about Janet Stoops.  Paul then mailed the letter to a friend of his who is in the Air Force, Duran Compton, Duran, however, never did receive the letter.

Paul was interviewed by Detective Hoch approximately 12 times between December of 1989 and March of 1990.    They discussed Harold Anderson, Peter Citron, and Alan Baer.  At times, Detective Bovasso
accompanied Detective Hoch.  Hoch told Paul to recant his store because, “Nothing makes sense” and “Nobody exists named Troy, Danny, or Jeff Hubbell.”  Hoch also told him that the statute of limitations had run out reference Baer.  Paul knew, however, that it had not.

An individual named Ken, who was with Hoch seemed to believe Paul’s story, however.

He stated that he has not talked to the FBI or the Douglas County Attorney about these matters.

Paul stated that he did filed a report with the Omaha Police Department reference his being a victim of sexaul assault on April 21st or April 22nd. He did not state the year, however, he was attended Northwest High School and the assistant principal, Mr. Bell, had contacted OPD. During Paul’s statement to the police officers, Mr. Bell, and the high school counselor were present.  A school guidance counsellor was also present.

Paul was admitted to the Nebraska Psychiatric Institute shortly after he made a statement to OPD at his school.  OPD officers told him that they would talk to him in the hospital, however, they never did.

Paul stated that Scott O’Hare, who is now a deejay was also a victim of sexual abuse when he was young.

Paul went on to state that he was polygraphed by an OPD officer.  Detective Hoch then informed him that the results  were  “Inconclusive.”  Hoch also inferred that charges could still be brought against him.

Paul stated that he gave a pornographic photograph of he and Alan Baer to OPD.  The photo depicted Baer fondling    Paul’s    penis.    He stated that this photograph was in the diary that he also gave to OPD.  Paul indicated that Detective Hoch has the photo because he saw Hoch with it.

When questioned about Boys Town, he stated that Boys Town kids would “just go into town,” or “guys that worked there would bring them in.” He stated that some dorm parents were bought off and would drop kids off at Baer’s apartment and then pick them up later.  Some of these boys’ names were Troy, Mark, Steve, Rick Sanders, and Robert (Robbie). Paul did see dorm parents picking up various kids, and stated that sometimes the dorm parents would give him (Paul) a ride home also.

He stated that one person who would bring kids to parties at Baer’s and then pick them up was a male individual who worked at the Boys Town gradeschool swimming pool. He is described as a young guy and possibly named Dewayne or Dave.

Off camera at 5:51 PM to change tapes.

Back on at 5:58 PM.

Paul went on to describe Dewayne/Dave as being in his mid thirties.

Other information gained reference people dropping off Boys Town kids at Baer’s apartment and then picking them is as follows:

Several of these individuals would also give Paul a ride home.

Larry King would sometimes come outside to meet with with driver (houseparent) and give them an envelope.

Larry The Enforcer would sometimes come outside to meet with the driver/houseparent and give them an envelope.

Paul stated that he saw one of the individuals open the envelope and in it were 30 to 40 one-hundred dollar bills. He said he knows this because one of the drivers/houseparents counted the money when Paul was there.

Other school officials who were involved in the sexual abuse of minors were as follows:

*A male who taught History or English at Burke High School.    He is described as having gray hair, older, solomn, 5f9″, and balding. Paul saw this individual at the house in Council Bluffs, Iowa, in 1985.

*Mike Heveron

*Mr. Valentino who taught at Bancroft Junior High School.  Paul stated that he knew kids who were having sex with Mr. Valentino in 1982 and 1983.

Paul went on to state that he thinks Charles Miller killed Richard Chadek.  He stated that Miller also sexually molested he and many other kids.

He stated that James Witt, who was in the Douglas County Jail for three days, was also a victim of sexual abuse perpetrated by these various people.  Paul stated that Witt had talked with OPD, however, he didn’t tell them anything.

He stated that a male individual with the last name of Carter had been sexually molested by Larry King, Alan Baer, etc. when he was younger.

At this time Paul stated that had remembered that the counsellor who was present at the school when he talked with OPD was named Mr, Weidemeyer, and that this occurred in 1986.

He stated that another murder occurred in 1984 in the country near Waterloo, Nebraska.  At this time, Paul and Troy Lubewitz were in a barn during which time adults were forcing a male child to have sex.  He was bleeding and crying, and the adults were whipping and slapping him.  They were also dropping bags of sand onto the boy’s head.  Paul also said that Troy Lubewitz had seen someone stick a pitchfork into the boy.  The boy was approximately 13 years old.  He said that he later saw the boy being dragged out of the barn and not moving.  Paul stated that during this time at the barn, Troy Lubewitz was “protecting”  him.  He also stated that Troy’s mother had dropped them off at this location.  Please note that Paul    thought this barn may have been located on Charles Miller’s farm.

Paul stated that he thinks Troy Lubewitz may currently reside in San Diego, California.

Reference Alan Baer, Paul stated that Baer’s wife had given him several thousand dollars, which was from Alan Baer to Paul.    Paul estimated that over the years Baer had given him approximately $60,000 in money and gifts. Paul estimated that he had received approximately $150,000 from various individuals in money and gifts from 1981 to 1986.

Paul stated that Rusty Nelson took pornographic pictures for Peter Citron. He stated that Nelson filmed him (Paul) with other kids at Citron’s request.

When asked to describe Jay Derr, Paul described him as in his 30’s or 40’s.

He stated that the individual named Harry Anderson has a scar, possibly from a gallbladder or appendix operation.
Paul stated that Tom Harvey had given him money which was from Larry King. He stated that he thinks Harvey is gay, and that he saw him having sex at Baer’s apartment and also at the French Cafe. He had no knowledge of Tom Harvey’s mother.

Paul stated that he saw Joe Caniglia at a party at which sexual activity was occurring. He also said that Caniglia participated in sexual activity with several kids.  Paul indicated that he had had sex with Caniglia at the Red Lion Inn.

He has no knowledge of Noel Seltzer.

He again states that Rusty Nelson takes pornographic photographs of kids.

He has no knowledge of Casey Randall. He didn’t however, know of an individual identified as “Case” who he had sex with at the Holiday Inn located on 72nd Street in Omaha, Nebraska.

He stated that it is rumored that Willie Theisen supplies cocaine for the parties.  He stated that he has seen Gene Mahoney at parties at Baer’s apartment.  He stated that hi had sex with Mahoney at Baer’s apartment in 1985.

He had no knowledge of Jim Hilliard.

He had no knowledge of Alice King except that he had only met her.

He had no knowledge of Sandy Rhode.

He stated that Shelia Calder provided space (the back room) in the French    Cafe    where    parties    occurred    at    which    sexual    activity occured.  He stated that she would also provide kids for these parties, and would introduce kids to the people at the parties. He stated that she introduced other kids to him (Paul).

Paul indicated that he stayed in the basement of the Franklin Credit Union for approximately three days in 1984. He stated that various bank employees would visit him during the day, including Tom Harvey.

He had no knowledge of P.J. Morgan, except that he had written several letters to him.

He stated that he has taken charter flights (prop plane) to Sioux City, Iowa, to parties there. He engaged in sexual activity in a hotel on the river there.

He stated that Alan Baer introduced Dick Mueller to him.    He stated that he (Paul) had sex with Mueller at Baer’s apartment in 1984 or 1985.

He stated that he thought Fat Freddy was an airline pilot.

He stated that he thought the name Omar Tinsley sounds familiar.

He has no knowledge of Rocky Davis.

He stated that he met and saw Deward Finch at Baer’s apartment and also at the house in Council Bluffs, Iowa.

He has seen Kent Miller at parties.

He has seen Gary Kerr at parties.  He stated that Kerr has had sex with Chris, John Blount, and Paul Peterson.

He stated that he has seen Jim Flannery at parties, at which time he associated with Peter Citron and Harold Anderson.

He has no knowledge of Pino Caseblano, Gary Randall, Lisa Webb, Anita Adams, Shawnetta Moore, Florence Davis, or Mike Lewis.

Paul stated that he does know the McChristian kids, and that their parents would have them “used” sexually.

When asked which bar establishments serve minors he stated the following:

*The Run

*The Diamond – He stated that there was a “chicken house” upstairs which Paul indicated was a “holding area” for runaway kids.

*The Max – He stated that Bob Moreno could “fix you up with anybody” in this establishment. He stated that there were “a lot of chickens there.”

He stated that there is an old, vacant building located by Commercial Federal in downtown Omaha where runaways would stay, and also engage in prostitution.

He has no knowledge of Joel Rogers.

He stated that he knows a couple of attorneys from Lincoln, Nebraska, who are involved in these activities, and that one of these individuals is an attorney for Baer.

The name Sharon Von Butzel sounded familier to Paul.

Paul said that he had engaged in sexual activity at what he thought was the Cafe Carnivale.    (Paul did not, however, know for sure the name of this establishment.)

At this point, Paul describes his diary and how there were pages missing from his diary which had been intact when he turned the diary over to OPD.  He stated that the missing contained the telephone numbers of Alan Baer and Peter Citron.

THe April 20, 1983, diary entry refers to Mr. Anderson.

In Paul’s diary he would also rate various other individuals he had had sex with. He would note their penis size and age.  A + met that they are not gay, a circle with a line through it indicates that they are still gay, a star indicates that he liked them very much, a square met that he did not meet the individual at a party, and a circle with a star inside it met that he met the kids in other cities.

At this point, Paul then explains that he had remitted a photograph of Peter Citron and John Camp, however, the portion of the photo depicting Peter Citron had been cropped off. Again, Paul stated that the photo had been intact when he turned it over to OPD.

We took a break at 7:13 PM. Back on camera at 7:18 PM.

Paul then explains his written notes on camera.  End of interview.

Caradori’s Partner

The following is an transcription of the investigative report written by Caradori’s investigative partner, Karen Ormiston.

The document, titled “Investigative Report,”  was transcribed from a JPG image copy of the original document (which I believe was made public online by Nick Bryant, author of The Franklin Scandal).   I am transcribing these to HTML so that these pages may be indexed in Google’s search results, thereby allowing more people to find this information.  The original file can be seen here, and it should be noted that typos were copied as they appear in the original.


Investigative Report

Case Name:  Franklin Credit Union/Investigation

Report Date:  August 14, 1990

Report By:  Karen J. Ormiston, Private Investigator

On the above date this writer telephoned Jody, Senator Schmit’s assistant, reference Wally Magnuss reviewing the reports generated by Jerry Lowe after his interview with Wally.  Jody indicated that having Wally read the reports would be fine.

This writer then proceeded to Omaha, Nebraska, in order to meet with Wally Magnuss.  Upon arriving at the pre-arranged location, this writer conducted general conversation and then gave Wally the report to read.  After Wally read the report, he indicated that everything in the report was true and that he really didn’t have anything else to add.  I informed Wally that any information he could gain reference this investigation would be very helpful.  He stated that he was moving to Council Bluffs, Iowa, later this week, but that he would continue to cooperate with this writer.  I did ask Wally if he remembered a body guard which fits the description of Larry the Kid.  He stated that he was pretty sure that he did, and that he would be able to find out who this individual is.

This writer then proceeded to Blair, Nebraska, to visit with a former police officer of Boys Town, Nebraska, identified as [DETACTED]. address [DETACTED], Blair, Nebraska, telephone [DETACTED].

Upon arriving in Blair, this writer telephoned [DETACTED] and requested that he meet me at a local Pizza hut.  After [DETACTED] arrived the following information was gained.  Please note that I do have a resume of Mr. Kupres who had remitted his resume in hopes of obtaining an investigative position with Caracorp, Inc.

[DETACTED] indicated that he had worked as a police officer for Boys Town for approximately three years.  He stated that he had run the license plates on a vehicle which was registered to Larry King several times, but that his superiors had directed him to “leave it alone”.

[DETACTED] went on to state that he had been “framed” for sexual assault on his daughter, who was residing with him at Boys Town at the time.  He stated that Boys Town officials gave him a choice between jail or resigning.  He stated that he then resigned.  He also stated that he had been charged with a Misdemeanor reference this matter.  This occurred in the latter part of 1987.

[DETACTED] went on to state that his former partner, Steve Obradovich, had also resigned, and that other officers at Boys Town knew that he had been framed for this charge.  He stated that he would talk to his partner and arrange a meeting between his partner and this writer.

He indicated that his supervisor at Boys Town was Chief Robert Allbreight.

[DETACTED] also stated that his mother worked at Boys Town for approximately 9 1/2 years and that she would have information reference questionable activities at Boys Town.  A meeting will also be set up between myself and [DETACTED]’s mother.

This writer then returned to Lincoln, Nebraska.

End of report.

Caradori Report – 4/20/1990

The following is an transcription of  Gary Caradori’s written description of several phone calls he made on April 20th, 1990.

The document, titled “Investigative Report,”  was transcribed from a JPG image copy of the original document (which I believe was made public online by Nick Bryant, author of The Franklin Scandal).   I am transcribing these to HTML so that these pages may be indexed in Google’s search results, thereby allowing more people to find this information.  The original file can be seen here, and it should be noted that typos were copied as they appear in the original.



Case Name:  FCU/Investigation

Report Date: April 20, 1990

Report By:  Gary A. Caradori, Special Investigator

On the above date this writer spent several hours receiving telephone calls.  One call was from Laura Edwards advising this writer that Larry wanted to visit with me in the near future.  I informed her I would make arrangements for Saturday.

Further this writer received a telephone call from Cindy Craig, sister of Gary Sorgenfrei.  Briefly, Cindy told this writer that the FBI and a member of the State Patrol were harassing her brother and trying to get him to talk about things he just didn’t know about.  She stated that her brother is extremely scared.  He wants to tell the truth, however, he felt extremely uncomfortable with the FBI and the State Patrol Investigators.  She stated that a Phillips and FBI Agent Coulter were very harsh with her brother.  Prior to ending the conversation, Cindy stated that she would help this writer anyway she could and she told me to give her a call sometime around April 25th.  She indicated that she would make arrangements to come to Omaha and arrange to this writer to take a statement from Gary, her brother.

At approximately 1415, this writer received a telephone call from Alisha Owen.  She talked about the FBI hinting to her that if she changed her story that they would insure that they would “go after” this writer and Mike Casey for “fabricating” an investigation.  She informed me that she had not fabricated any part of any story and that she was sticking to the story she told me, and that she wished me well.  For my own protection, I tape recorded the conversation which lasted approximately 30 minutes.

It should be noted that the name that Senator Loran Schmit had given this writer as being the individual working at Classic Foods, should be Jeff Coffee and not Scott Coffee as previously noted.

End of report

Caradori’s Investigative Notes – 2/19/1990

The following is an transcription of  Gary Caradori’s notes on several topics related to the Franklin Investigation.

The document, titled “Investigative Notes,”  was transcribed from a JPG image copy of the original document (which I believe was made public online by Nick Bryant, author of The Franklin Scandal).   I am transcribing these to HTML so that these pages may be indexed in Google’s search results, thereby allowing more people to find this information.  The original file can be seen here, and it should be noted that typos were copied as they appear in the original.



February 19, 1990


1. Joanie Gregory: She is a social worker for DSS.  She is responsible for investigating families who are applying for foster care licenses  Her duties also include on-site checks when renewal of a foster care license is needed.

Approximately 2.5 years ago she was inspecting the home of Jarrett and Barbara Webb for a renewal of their license.  She felt the environment was not right (specifics not available) and wrote a letter to DSS in Lincoln.  She received no response.  After a couple of months, she wrote a letter to the Omaha Police Department regarding the same situation with the Webb’s.  She was then contacted by the FBI.  In the meantime she had tried to do some research on her own, but evidently some files were missing.  To this writer’s knowledge, a letter was not written to the FBI.  The FBI informed Joanie Gregory that it would probably be in her best interests if she “forgot this information.”

Ms. Gregory is a long-time employee of DSS.  She evidently was abused as a child.   She related this abuse to a potential foster care couple within the past few weeks.  It is recommended that we contact Prudy within the Nebraska Children’s Home, as she did witnessed this. She also may be able to shed some light on Ms. Gregory’s emotional state at this time.  Prudy may also have further information.

2. I was informed that LK [Larry King] was sent to Missouri for observation because the Secret Service had discovered that he had purchased a ticket to Governor Orr’s breakfast with President Bush.  LK was approached at a local florist shop, and was rushed to court by the Secret Service, or at their demand.  This was so sudden that LK’s attorney’s were unaware of what was going on.

3. It was reported that LK is receiving money from a black Baptist Church in Omaha, during this investigation.  The setup is that six individuals are donating 600.00 to the church each month for a total of 3,600.00.  The church in turn donates 3,000.00 per month to LK and keeps 600.00 for the church.  It was reported that LK’s usual church, a Presberterian church, was approached to do this, however, they refused to cooperate.

4. Charles Miller: Mr Miller was and still may be involved in a program developed by the state Games and Parks Commission.  It is a “hunting and safety” class.  Young people who are not old enough to obtain hunting licenses can attend this six to eight hour class and receive a permit to hunt.  This program is underwritten by the state and run by volunteers.  Miller was a volunteer in this programe.  The percentage of students going through his class was very high, compared to the other volunteers.

Notes 2/19/90

Caradori’s Interview: Sky Harbor Employee-Witness

The following is an transcription of  Gary Caradori’s written account of his meeting with Sky Harbor Air.

The document, titled “Investigative Report,”  was transcribed from a JPG image copy of the original document (which I believe was made public online by Nick Bryant, author of The Franklin Scandal).   I am transcribing these to HTML so that these pages may be indexed in Google’s search results, thereby allowing more people to find this information.  The original file can be seen here, and it should be noted that typos were copied as they appear in the original.



Case Name:  FCU/Investigation

Report Date: April 13, 1990

Report By:  Gary A. Caradori, Special Investigator

On the above date this writer met with Miss Evelyn Littlejohn at the Garden Cafe located in the Old Market of downtown Omaha.  Evelyn Littlejohn would only list her telephone number as 422-1506.

During the conversation, Miss Littlejohn indicated that there was a white female she described as having long, red, shaggy hair who drove an older light gray Datsun (or something similar), who would travel with Larry King.  Ms. Littlejohn indicated that she could never put together why someone who was so wealthy would bother to associate with an individual “looking like that.”

In reference to her prior employment at Sky Harbor Air Service, Miss Littlejohn stated that she was employed sometime, she thought, around 1985-1986.  She was employed there for several months.  She stated that she would see Larry Kind fly out of Sky Harbor on the average of at least once a week, and that every time he would depart, there would be young adult males on those flights.  She stated that these young males were very good looking, attired in fancy suits, gold chains, watches and rings, and were very clean cut and clean shaven.  She stated that it was very odd to her in that none of these young adults would talk.

She stated that at the most, she had seen at least five young people at one time depart from Sky Harbor.  She stated that many times she would be there when they returned.  She did recall a black male, approximate age 16, who when she went to the Franklin Credit Union to conduct some business, would recognize from the flights and who worked as a teller at the Credit Union.

She further stated that there was a white female by the name of Carol (last name unknown), who had blond hair and worked with her on the line and who eventually married a mechanic from Sky Harbor.  They have apparently moved out of state.  Miss Littlejohn stated that Carol stayed there approximately a year after she left her employment.

Again, prior to ending the conversation, Miss Littlejohn stated that the strange thing about these young good-looking males was that they never spoke when they came to the airport.  She stated again that they were very well dressed.

Miss Littlejohn stated that she didn’t want to get together again with this writer for fear of being seen with me, and possibly creating the idea that she may have information related to Franklin.  I did tell her that I would like to get together with her one more time and show her some photographs of different individuals who worked at the Franklin Credit Union.  I told her I would contact her in the next few weeks.  Miss Littlejohn was extremely reluctant at this but I reiterated that I would be contacting her again.

End of report

Notes from Gary Caradori’s Widow

The following is an transcription of  Sandi Caradori’s written account of her dealings with Troy Boner and the FBI following the death of her husband. 

The document, titled “Investigative Notes,”  were transcribed from a JPG image copy of the original document (which I believe was made public online by Nick Bryant, author of The Franklin Scandal).   I am transcribing these to HTML so that these pages may be indexed in Google’s search results, thereby allowing more people to find this information.  The original file can be seen here, and it should be noted that typos were copied as they appear in the original.


Investigative Notes

The following is a written account of the happenings on July 11, 1990, and July 12, 1990, regarding telephone calls and conversations with Troy Boner.

I need to preface this writing by explaining that in the course of the Franklin Credit Union investigation, many calls were received at our home from Troy Boner.  I was familiar with the individual’s voice and can be 100% assured that I did, in fact, receive the telephone calls from him.  In the early evening of Wednesday, July 11, 1990, several telephone calls were received at our home by an individuals identifying himself as “Troy.”  Difference individuals answered the telephone and took the message from him.  I was either talking to other visitors at our home or in no shape to come to the telephone.  In any event, if necessary I can supply names of the parties who can attest to the fact that a “Troy” called for me during that evening.

Later in the evening, Troy again called and I was able to go to the telephone.  It should be noted that I did not initiate the call, nor did I know what, if anything he wanted to speak to me about.

The following is a synopsis of the conversation:

SC: Sandi Caradori

TB: Troy Boner

SC:  This is Sandi Caradori… Troy, what do you want to say?

SC:  Troy, that is the least of my worries.  How are you?

TB:  I am so sorry.  I am so sorry.  He shouldn’t have died.

SC:  What are you saying Troy?  What are you trying to tell me?

TB:  Gary wasn’t lying.  He didn’t tell me what to say.  What I told him was the truth.  (He spoke very rapidly as if fighting back tears.)  They made me take it back.  The threatened me.

SC:  Troy,  you should tell someone… Do you want me to call Senator Schmit?  You need to come out with the truth once and for all.  Troy, what has happened?

TB:  You don’t understand, they threatened me.  They made me take it back.  I was so scared.

(At this point I felt I needed someone else to hear this so I asked Troy to tell what he had just told me to our son, Sean.)

SC:  Troy, I want you to talk to Sean, Gary’s 16-year old son.  Please tell him, alright?

TB:  Yeah, sure.

Sean:  Yeah, man what do you want?

I, along with the ten to 15 other people in our kitchen/family room heard Sean’s portion of the conversation as follows:

Sean:  Okay buddy, you need to do it for my Dad, man.  Okay… Okay…

(I got back on the telephone and told him I would try to contact Senator Schmit or Karen.  He said he’d be at 341-3031 but only for a short time.  He said he was going to be “on the move” or something to that effect.  He further stated, “I’ll go to anyone who’ll listen.  I’ll go without my lawyer.  I’m gonna come clean.”

He then asked if I would talk with his mother.  She wanted to talk.  I said, “Of course”.

Troy’s mother’s voice was familiar.  She had called our house several times for Gary.  One time she wanted to know if she could get reimbursed for collect telephone calls from Troy.  She even said that Gary told her he’d pay for it, etc.  Gary was home but didn’t want to speak with her so I took the call and listened to what she had to say.  She said that the telephone company was going to disconnect her telephone.  Later, Gary said it was just a ploy and he was disturbed that she said that Gary had told her that he would take care of the telephone bill.  Troy’s mother related the following:

Mrs. Boner:  Mrs. Caradori, I am so sorry.  I’m so sorry.  This is such a tragedy.  I knew something happened to Troy.  He got so scared just before he changed his story.  They were threatening him.  I knew he shouldn’t have backed away from the truth (or some similar expression).

Troy then got back on the telephone and I repeatedly asked that he would promise me that he would come through for me, for Gary, and for A.J.  He said. “I promise… Tomorrow… To anyone who will listen… the FBI, the news — anyone.”

I was unable to reach Senator Schmit and it was almost 11:30PM.  I thought that I should let Troy do this on his own in the morning.

The next day I did not hear anything on the television or the radio and I really felt that Troy had probably backed away.  That evening he called me again.  He said, Sandi, I tried, I tried.  I went to Mickey Mott and ______ (FBI Agents).  They laughed at me.  They said they spent too much time and money on this case now for me to change my story.  I also went to Frank Brown but he said he didn’t want to take a statement because of my Grand Jury testimony.”

Troy sounded very down and disappointed, as was I.  I related that I would let Karen know as well as Senator Schmit and that maybe they could help.  Troy agreed.

The next day we planned a short meeting at the office to confirm our standing in the business for our Lincoln staff.  I arrived at the office at approximately 9:30 AM and found out that the FBI was in Karen’s office service Caracorp, Inc. with a subpoena.  I was extremely upset because the timing certainly left much to be desired.  I opened the closed door and noted two FBI agents, Karen Ormiston, and our security director, Joe Hebenstreit.  They were all seated in the office.  I said, “I don’t think I need to introduce myself.  What are you doing here?  I can’t believe this.”

The smaller individual stammered a bit and looked at Karen and said, “Who… who is this?” “She’s Gary’s widow.”  He then halfway stood up and extended his hand as if to shake mine and expressed his/their sympathy.  The whole ordeal was extremely unprofessional.  He then looked over his shoulder at the other agent, gave him a smirk, and shook his head.  He identified himself as Micky Mott.  I again voiced my outrage and they indicated that Gary had been expecting this subpoena.  The said that they were trying to deliver the subpoena when they received the news about the airplane crash on the radio.  I sincerely question this.

I then asked them directly whether Troy Boner had tried to speak with them on the previous day.  Mr. Mott said, “We can’t confirm or deny that.”  I indicated that I did deserve an answer.  Mr. Mott then said, “Yeah, he came to the office but we can’t waste our time with him.  He has lost all credibility.”  I said, “Gentlemen, he is still a US citizen and deserves to be heard.”

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