Federal Bureau of Investigation

KENT PAULIN was the Special Agent in Boston, Massachusetts investigating the fraud and criminal activity at ComFed Bank. Rhetta Sweeney met with him on numerous occasions, cooperating and supplying much evidence to assist the FBI in their investigation of ComFed.
Kent Paulin and the FBI were well aware of the "Obstruction of Justice" by Attorney John Hanify and the fraudulent activities of the ComFed Bank officers, James Baldini, Dennis Furey, William Porter, Fred Maloof, appraiser Peter Reilly and many others.
Special Agent Paulin is currently working for the FBI in Indianapolis, IN.




The letter below is from the White Mountain News Association to the FBI's Special Agent Brendan Cleary in Boston, dated July 3, 1997, concerning the Sweeney situation.


WHITE MOUNTAIN NEWS ASSOCIATION

N. Scott Stevens
P. O. Box 1358
Lebanon, NH 03766
Telephone 603-469-3856

July 3, 1997

Faxed (617-223-6327)
Certified Copies Follow
P 546 263 587

Special Agent Brendan Cleary
Room 900
JFK Building
Boston, MA 02203

Dear Agent Cleary:

You are likely aware of the dangerous situation evolving in Hamilton Massachusetts at the property of John and Rhetta Sweeney. Because of my family connection with the Bureau and my continuing faith in the professionalism of many of those within the organization today, I thought it would be worthwhile to call your attention to several specific issues relevant to this matter. Like many other activists of varying political backgrounds, I have taken a personal interest in the plight of the Sweeney family.

Rhetta Sweeney has kept impeccable records of the long chain of events leading to the current impasse. My review of the case indicates that within the time frame between January 30, 1991 when State Court documents (case number 89-2424) were hastily removed by ComFed attorney John Hanify, and the eventual assignment of the case to Massachusetts Federal District Court Judge Edward Harrington, serious wrongdoing occurred. Hanify reported to the Attorney General of Massachusetts that Judge Katherine Izzo and/or clerks of her court may have falsified docket entries. The Sweeneys allege that Hanify had no authority to remove the records. Either way, this issue should have been thoroughly investigated by the Attorney General’s Office. It has not. Judge Douglas Woodlock was the first Federal Judge to hear this case, and he recused himself because of his professional association with John Hanify, and his membership in a country club to which the Sweeneys belonged. The case was then "assigned" to (not drawn by) Judge Harrington, who has denied the Sweeney’s motion for his recusal. Harrington, Woodlock, and Hanify all served in the U. S. Attorney Office at the same time and Edward Hanify, father of John Hanify, went to Washington to testify on Edward Harrington’s behalf when Senator Kennedy nominated him for the federal bench. Harrington’s failure to recuse himself is a very serious matter that subsequent federal proceedings have simply ignored or downplayed.

According to the record the officers of ComFed were eventually sued pursuant to allegations of racketeering. The case was brought before Massachusetts State Superior


Special Agent Cleary
July 3, 1997
Page 2

Court as case number 90-6712. A criminal investigation, with which the Sweeneys cooperated, was headed up by Special Agent Kent Paulin out of the Boston FBI office. The Sweeneys indicate that Agent Paulin thought the case might lead to charges under RICO for a number of major players in the banking and legal professions. Eventually the case was dropped, the record was sealed, and Agent Paulin was reassigned. Whether these events are related is unknown but the Sweeneys contend that they are.

Officials at the FDIC including the Inspector General and Acting Chairman Andrew Hove maintain that they are charged with protecting the taxpayers interests. They have as much as said that the costs to individuals such as the Sweeneys, who have been caught up in bank failures, is an unavoidable, acceptable circumstance that cannot be helped. They have resolutely refused to acknowledge the criminality of powerful individuals that ran the S&L’s generally, and ComFed in particular. They have intentionally tried to balance the financial burden imputed to taxpayers by these events on the backs of innocent people such as the Sweeneys that have been seriously harmed. Many of the bank officers that ran ComFed are even now occupying prominent positions running Massachusetts Banks and lending institutions. The FDIC will not acknowledge their failure and complicity in this matter because they are fully aware that the Sweeney case could establish a precedent that aids those individuals that have been wrongfully damaged, and make it necessary for the agency to begin the difficult task of investigating and removing well positioned, powerful, white collar criminals and mobsters from our nations banking and legal infrastructure.

FDIC Chairman Hove has lately escalated his hostile rhetoric, and continues to issue public statements based on half truths and outright lies. The FDIC has never made the "reasonable" offers cited in recent press accounts to the Sweeneys in writing. The written record shows that the agency has from the start, intended to confiscate the Sweeney property. The FDIC has spent nearly $3,000,000 of taxpayer funds in their effort to evict the Sweeneys. Their ultimate goal is to erase the facts of the Sweeney case.

Those of us who have supported the Sweeneys at their Hamilton property have done so in an individual capacity, and not as members of any organizations or groups. No one on the property is armed, and our efforts have been geared to comforting and aiding the Sweeneys in a peaceful manner. We generally concur with their position, if they leave their property they will never see justice served in this matter.

It is entirely possible that Federal Marshals will attempt forcible eviction in the next several days. We intend to offer peaceful resistance to this process. I have done everything in my power to assure that those present do not over-react to an escalating Federal Law Enforcement presence. Unfortunately, because the information regarding the Sweeneys


Special Agent Cleary
July 3, 1997
Page 3

situation is so widely available, one cannot be certain what might happen if the Sweeneys are hurt.

The Sweeneys remain willing to arrive at a quiet, peaceful settlement of this matter with the FDIC, providing their safety and security is assured in writing, and the Marshall’s order to evict is suspended pursuant to the conclusion of talks.

Please contact my answering service at 603-469-3856 and leave a number where I can reach you. I will check my messages hourly. I hold out hope that you or someone in your office will rise to protect the Liberties of the Sweeneys on this the two hundred and twenty first anniversary of the signing of the Declaration of Independence.

Respectfully,



N. Scott Stevens

cc: John and Rhetta Sweeney
Attorney General Harshbarger
Special Agent (Ret) David W. Miller
United States Senator Bob Smith
Congressman Charles Bass
Massachusetts State Senator Bruce Tarr