Testimony continued Wednesday, January 27 in the trial of David Brooks, a former standardbred owner accused of illegally using funds from publicly-traded DHB Industries to finance personal expenditures. The trial is taking
place in federal district court in Central Islip, Long Island, New York.
According to reports from Newsday, Wednesday’s testimony included that of Mark Burton, owner of a Wisconsin equine dietary supplement company, who testified that cheques from various manufacturing companies controlled by Brooks paid for tens of thousands of dollars in products for Brooks’ stable of standardbreds. Horses formerly owned by Brooks are now owned by family members.
Newsday has reported that testimony was also heard regarding hundreds of thousands of dollars of jewelry purchased and worn by Brooks and alleged by federal prosecutors to have been bought illegally with DHB funds.
Brooks was arrested two years ago on charges that while the head of DHB Industries, he allegedly engaged in illegal practices for his personal gain.
Brooks’ attorney, Kenneth Ravenell, continues to assert that his client is not guilty of the charges that led to him gaining nearly $200 million by selling stock in 2004 and that he had a 1997 employment contract that allowed for personal expenditures at company expense.
Testimony is expected to continue today from retired four-star Army general Larry Ellis. Ellis earlier testified that although Brooks recruited him for the DHB board and he became president of the company, major financial decisions were still made by Brooks. Ellis said that because of problems with the company's operations, he eventually joined in a board decision to remove Brooks as chief executive.
This story courtesy of Harness Racing Communications, a division of the U.S. Trotting Association. For more information, visit www.ustrotting.com.