Tennessee Waltz sting produces another arrest
Cotton, 58, was led from his home handcuffed and was released on his own recognizance hours later after U.S. Magistrate Susan Lee told him he should hire a permanent attorney before another hearing Oct. 14. Cotton, a Democrat, declined comment as he left the courthouse with two attorneys who told the judge they were representing him temporarily.
The FBI sting involves E-Cycle, a bogus computer company set up to seek legislative favors in return for payoffs. Besides Cotton, the investigation has led to bribery and conspiracy charges against five current or former state lawmakers and a Shelby County commissioner.
Even though Hamilton County officials have said the commission never took any action related to E-Cycle, Cotton was charged with taking money with an intent to affect public policy-making.
Cotton was arrested at his home after leaving Thursday’s regularly scheduled commission meeting complaining about flu-like symptoms. A caravan of unmarked patrol cars followed the commissioner home and he was led away handcuffed.
FBI resident special agent Tim Burke said the Tennessee Waltz is “still an ongoing investigation even though the undercover aspect has concluded.” He said the FBI and federal prosecutors were “still pursuing any and all public officials who accepted bribe payments from the undercover agents.”
One of the officials charged in Tennessee Waltz, former state Rep. Chris Newton, has pleaded guilty. Two men identified in the indictment as bag men for the officials also have pleaded guilty, including lobbyist Charles Love of Chattanooga.
An affidavit from an FBI agent says he gave an envelope containing $3,500 to Love when they met for lunch at a Chattanooga restaurant on Jan. 20. The agent said he saw Cotton accept $1,750 that Love, who has since pleaded guilty in the case, took from the envelope.
The affidavit says Cotton later telephoned Love and told the undercover agent, who was posing as an executive of the phony company, “I appreciate your help. You have a friend for life, doc.”
The affidavit says that five days later Love and Cotton had a telephone conversation about Cotton setting up meetings with other county officials to advance the business of E-Cycle and Cotton said: “You go ahead and tell your boys to get ready to bring their package in here. I hope it is bigger than the first one.”
The affidavit says the undercover agent gave Love $6,000 to give Cotton on Feb. 21 and Cotton received $3,000.
The agent said Cotton told him after getting the $3,000: “I want to thank you very much for everything you have done. I’m looking forward to working with you and getting your proposal through as soon as I get it. We can move on from there.”
The affidavit also describes a Jan. 29 telephone conversation between Love and Cotton in which Cotton warns Love not to take any more money at a restaurant table.
“The next time that guy wants to do what he did last time at the table, don’t take it that way, Charles” the affidavit shows Cotton said. “Go to the bathroom or whatever, get in the car and ride or whatever. That was too open. They should have did it before you sat at the table. If they say anything like that, just say, well, the commissioner is very funny about things being passed around.”
Commission Chairman Larry Henry said that if Cotton is innocent he should fight the charge but if not “I would hope he would go ahead and step down.”
Henry said he never heard E-Cycle discussed by the commission.
Love resigned from the Hamilton County school board after he pleaded guilty, but the Tennessee Waltz case did not involve that office.
All the others charged in the case are current or former state lawmakers.