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.Ayes: Smith, Barnes, Breedlove, Leery, Seward, Walker, Weiseman
<br /> Nays: None
<br />
<br />61~$0 - Application o£ ~eo~ge T. McLean
<br />
<br />On motion of Mr. Seward, the application was approved and by the following vote:
<br />
<br /> Ayes: Smith, Barnes, Breedlove, Leery, Seward, Walker, Weiseman
<br /> Nays: None
<br />
<br />52~60- Application of Norport Homes, Inc. and Norpert Industries, Inc.
<br />
<br />On motion of Mr. Breedlove, the application was approved and by tho. following vote:
<br />
<br /> ~yes: Smith, Barnes, Breedlove, Leary, Seward, Walker, Weiseman
<br /> Nays: None
<br />
<br /> 60~278 The election of a-member, to thoHousing Authority referred to this
<br />~eet~ng was taken up. ~x ~ ~[~1 ~ %
<br />
<br /> Motion of Mr. Breedlove to go into the election of a member of the Portsmouth
<br />Redevglopment and Housing Authority was adopted, without dissenting vo~e.
<br />
<br />Mro Weiseman nominated Eo C~ Allen
<br />Mr. Walker nominated James L. ~a~
<br />
<br />~otion of Mr. Breedlove to close nominations was adopted, without dissenting vote.
<br />Mr. Walker made the following statement:
<br />
<br /> "Mr. President, I request, that:the ~ecord show the following comments on~ the
<br />motion before us.
<br /> The election of Mr. Edward C. Allen as a Commissioner of the Portsmouth Redevel-
<br />opment and Housing Authority ms improper and illegal for the following reasons and under the following statutes:
<br /> WTitle 36, Article 2, Section 36-16. Prohibited Inter,st.
<br /> No commissioner, officer, agent, or employee of an authority shaI1 acquire aSy interests.direct or indimect
<br />in any housing proj:ect or in any property included or planned to be included in any project, nor shall he have
<br />any interes~ direct or zndzrect in any con~rac~ or propose~ ~ontract. for materials or services to be furnished or
<br />used zn connection with anyhousing project..~
<br /> As an officer and stockholder of the American National Bank, Mr. Allen has a direct and indirect.Lnterest
<br />in property, mortgages, and stock of corporations owning property in areas included, or planned to be included,
<br />in projects instigated by directioh of the Housing Authority ~(Reference - 1958 Supplement ~o Code of Virginia
<br />Section 36-19 Quote 'Under the Statute the primary responsibility of investigating the conditions in an'ares
<br />proposed for redevelopment, and determining whether it
<br />the local redevelopment authority and act to the City Council' Bristol Redevelopment. and Housing ~Authority Vo
<br />Denton, 198Va..171). As a holder of equity in such property, Mr. Allen would be $ party to any action which
<br />would include, or exclude it from the outline of any.project contemplated, or to action which would effect the
<br />value of stock owned directly or indirectly by him or his bank.
<br /> It has been said at other times, ~hat general law excepts ~anks frsm the conflict of interest statute. It
<br />is believed that this would stand up in a court of equity only if the fun~s of the Authority were equitably dis -
<br />tributed among all local banks. Mr. Allen.'s actions, for all but the pas~ few months of the last twenty years,
<br />in handling all the millions of AMthority funds through his own~bank, is unethical~ if not illegal, and precludes
<br />refuge behind this exception.
<br /> 'Title 36, Article 2, Section 36-t8. Meetings and residence of commissioners. Nothing contained in this
<br />chapter shall be construed ~o preven~ meeti~gs.o~ the comm%ssioners of a housing authority anywhere within the
<br />pe~imeter, bonndaries of the area of operation of the authority or within any additional area.where the housing
<br />authority is authorized ~o undertake m housing project, n~r .to prgvent the appointment of any person as a commis-
<br />sioner of the authority who resides within such boundaries or suqh.additional area, and who is otherwise eligible
<br />for such appointment under 'this chapter.'
<br /> Mr..Allen resides, and has ~eSide. d for years,~%n an area outside the perimeter boundaries of the Ports-
<br /> mouth Authority and Mr. Allen has shown no intent to return to within the .boundariesa~ evidence~by the exercise
<br /> of his franchise at the polls of tho. Western Branch District of Norfolk County. (Reference - Attorney General's
<br /> Opinion Concerning Section 15-487 of the Code of Va. and Section 32 of the Constitution of Virginia as set forth
<br /> in pages ill and ll2 of the Opinions of the Attorney General July 1~1957. to June 30, 1958.)
<br /> t contend that the election of Mr. Edward C. Allen to office as Commissioner of the Housing Authority,
<br /> in full knowledge of the law pertaining thereto, constitutes ~alfeasa$ce in office and therefore I oppose his
<br /> election.%'
<br />
<br /> The City Attorney-was requested by Mr. Breedlove ~o give an opinion on Mr.
<br />
<br />Allen's eligibility.
<br />
<br />A five minute recess of the Council was declared by the Chair~
<br />
<br />Council resumed session.
<br />
<br /> Motion of Mr. Breedlove that the matterbe tabled until the nex~ meeting,
<br />which rime'the Cit~ Attorney wou~d bring in a written opinion, was adopted, without dissenting vo~e.
<br />
<br /> 60-239- Motion of Mr. Bre~dlove ~.o go into the election of a member ~o the
<br />School Board was adopted, without dissenting vote.
<br />
<br /> Mr. Seward nominated J.H. Griffin
<br /> Mr. Weiseman nominated Guy M. Gaskill.
<br />
<br />On motion of Mr. ~alker, nominations were closed,
<br />
<br />
<br />
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