Document text
Medford planner arrested By Jessica Smith A Medford planning commissioner and his business partner face multiple felony charges of theft and forgery after a six-week police investigation into the pair�s dealings as building contractors. Police arrested commissioner Dennis Michael Nielsen, 51, and Lee Milton Greenstone, 50, of Shady Cove, Thursday morning at their homes. Both were charged with first-degree aggravated theft and seven counts each of forgery and theft, also in the first degree. Several members of the Medford City Council said they could not comment specifically on the charges against Nielsen, nor would they speculate on his future as a public official. "When we have the facts, we can answer that question straightforwardly," said Councilman Bob Strosser. Still, Nielsen�s arrest is "very, very troubling news," Strosser said. Medford police say Nielsen and Greenstone, who apparently run First Choice Construction together, bilked more than $40,000 from one of their clients. A complaint about billing discrepancies from Western Beverage Co.�s main office in Eugene prompted the police investigation. According to reports, First Choice allegedly altered or faked subcontractor invoices sent to Western Beverage on Mason Way in Medford to increase the amount billed to the client. Nielsen and Greenstone are accused of paying subcontractors for their work, then pocketing the rest of the money. Though industry standards allow contractors to jack up their prices 10 percent over cost, the contract between First Choice and Western Beverage stipulated a flat rate for all work done at the Mason Way building, police said. "The long and short of it is they (First Choice) were passing on false charges," said Medford police Lt. Mike Moran. In addition, police have learned that neither Nielsen nor Greenstone are licensed contractors, as required by state law. That�s contrary to what Nielsen, who also publishes the "Contractor�s Job Finder," said in a Voter�s Pamphlet statement about himself when he ran unsuccessfully for the City Council. Nielsen listed "general contractor" as one of his occupations. Police also say that Nielsen applied for a contractor�s license after his company was hired by Western Beverage in February. Nielsen and Greenstone were lodged Thursday on $87,000 and $83,000 bail, respectively, at the Jackson County Jail. It was unclear late Thursday whether either would stay locked up overnight. The case was forwarded to the Jackson County District Attorney�s office for review, Moran said. The arrests follow a tumultuous year for Nielsen, one of the planning commission�s most outspoken members. Nielsen earlier this year was admonished by the council for his allegedly "obtrusive, argumentative and disruptive" behavior as a commission member. And in November, Nielsen lost a second bid for a City Council seat to Bill Moore. According to council and planning commission members, Nielsen has applied for re-appointment to his seat on the planning commission. His current four-year term ends Jan. 31. The council is expected to review applications for the commission in January and appointments will be made Feb. 8.Nielsen also serves on the city�s Site Plan and Architectural Commission, where he has two years remaining on his term. Most council members were reluctant to discuss whether Nielsen�s arrest would hurt his chances for re-appointment to the planning commission. But Sal Esquivel, council president, said the arrest won�t "cloud" his judgment. "I�ll just have to go with what I�ve seen Dennis perform," Esquivel said. " ... He�ll have to stand on his past record with me." Reach reporter Jessica Smith at 776-4481, or e-mail [email protected] Mail Tribune Home | Ottaway Newspapers, Inc. | Dow Jones & Co., Inc. | Privacy | Contact Us Copyright � 2000 Mail Tribune, Inc.