Dallas

Witness Who Pleaded Guilty Testifies Against John Wiley Price

Witness to receive lesser sentence for testifying

Art gallery owner Karen Manning confronted Dallas County Commissioner John Wiley Price at his corruption trial Monday.[[414360543,R]]

Manning said Price displayed his art at her gallery and paid a $45 fee on each transaction. She said Price also held art sales and political campaign events at the gallery.

It supported prosecutors' claim that Price received $83,000 in income from the gallery that he never disclosed for taxes.

But Manning was reluctant to answer many questions from prosecutor Katherine Miller, repeatedly saying “I don’t recall," until reminded of documents or prior statements to the FBI.

Manning said she had been friends with Price for many years and she seemed more eager to answer defense questions.

Manning said she received about $15,000 from Price for interior design work at his Oak Cliff home. But Manning confirmed to defense attorney Shirley Lobel that Price had done much of the home renovation himself to save money.

“Have you ever met a greater tightwad on the face of the earth than Commissioner Price," Lobel asked. "No,” Manning replied.

Manning said Price was trying to help her by displaying his items at her gallery and sending other customers to her. The witness said she had no knowledge of any illegal activity by Price.

“You didn’t come here to remotely suggest you were engaged in some sort of conspiracy to hide things from the IRS," Lobel asked. “No,” Manning replied.

Art gallery owner Karen Manning confronts Dallas County Commissioner John Wiley Price at his corruption trial Monday morning.

Defense lawyers have said some of Price's unreported income was lawful repayment of loans that the government failed to discover. But supporting prosecutors on that point, Manning said money she received from Price was not a gift or repayment of loans.

Manning pleaded guilty to a single count of income tax violation for her own failure to disclose gallery income. She was promised a reduced sentence of no more than three years in prison if prosecutors are satisfied with her cooperation against Price.

Price is accused of receiving more than $1 million that he concealed from taxes from multiple sources, most of it as alleged bribes from political consultant Kathy Nealy for his influence in Dallas County business.

Dallas County purchasing official Linda Boles spent several hours on the witness stand Monday discussing procedures Price is accused of violating for Nealy. Contracts include digital imaging of county records and jail inmate telephones.

Prosecutors accuse Nealy of receiving inside information from Price that helped her clients win Dallas County business. Nealy will have a separate trial at a later date.

Price has denied all the charges he is facing. Defense attorneys claim prosecutors gathered only evidence that makes the deals look bad, overlooking information to the contrary. This trial could last through June.

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