| March 3, 1998: Witness
Says Deters Money a "Covenant," not an "Investment"
Update by Chuck Fager
Wichita, Kansas -- Randy Littlefield remains a true believer
in Priscilla Deters' honesty and charcter. He is also convinced that she
has been persecuted by the authorities who now have her on trial.
With that background, his testimony in her trial could have been expected
to be cntentious, especially on cross-examination.
It was. The former pastor of theCherokee Friends Church in Cherokee,
Oklahoma, Littlefield sparred with prosecutors over almost every point
of his statements regarding the fate of $475,000 sent to Deters' company
from Cherokee.
Littlefield was pastor of the Cherokee Friends Church in 1992 and 1993,
when funds were collected for Deters' company, Productions Plus. He took
the stand as a key part of the defense effort. The case is expected to
turn on whether Deters intended to defraud her clients of their money;
if she can persuade the jury that she was simply an honest businesswoman
frustrated and persecuted into failure, she can expect an acquittal.
Littlefield said he first contacted Deters in 1992, in an effort to
help raise funds for a new church building and community center. At his
invitation, Deters came to Cherokee and described her program to the church
congregation and other interested persons. By making "deposits"
with Deters, he explained, "we had an opportunity to receive gifts
as Mrs. Deters' businesses prospered."
Littlefield described the agreement between Deters, Friends church members
and local citizens as a "covenant," and insisted it was established
and conducted strictly "on a spiritual basis." He said Deters
told the church of biblical examples of God making covenants with Israel
as the model for the relationship.
Asked by defense counsel Steve Gradert if the relationship offered any
guarantees of returns, Littlefield answered, "Absolutely not."
He was similarly emphatic in denying that Deters had offered "matching
gifts" for depositors' money.
After leaving Cherokee, Littlefield said, he was pastor of League City
Friends Church near Houston, Texas. When he left there, he went to California
and worked for Deters as an "independent consultant," attempting
to sell her books and advertising signs. He stated that he only actually
worked for her for about two months, and his paychecks of $600-$700 per
month were infrequent. When Gradert inquired as to why, he said he figured
it was because the company was strapped for cash. By that time, investigations
of Deters in Kansas and Calfironia were proceeding apace.
Nevertheless, asked his overall opinion of Deters, Littlefield assured
Gradert and the jury that he considered her "very honest and has a
lot of integrity."
Prosecutor Allen Metzger clashed with Littlefield from his first question
on cross-examination. He asked if it was true that Littlefield had invested
$10,000 with Deters and had persuaded his mother, Earlene Littlefield,
to invest $100,000, both with no return.
Littlefield affirmed the amounts, but insisted that these funds were
placed not with Deters but with the Houston Graduate School of Theology,
which was attempting to raise money to build a new campus. "They decided
what to do with the money," he insisted.
But Metzger was ready with a letter Littlefield had written to Deters
in 1994 about these funds, indicating plans for them, and won a grudging
admission that this indicated he did know the funds were going to Productions
Plus.
Littlefield also bridled when Metzger asked whether Cherokee Friends
had "invested $475,000 with Deters' companies."
"No," he countered, "it was not an 'investment.' It was
never called an 'investment.'"
"But the money was supposed to be kept safe?"
"That's correct."
"Wasn't it supposed to be put into a certificate of deposit?"
"No," Littlefield said, "just that it would be in an
FDIC insured account."
"Did you tell the defendant that she could spend that money on
her children and her personal expenses?" Metzger pressed. "Did
you know she had given her son money to buy a $775,000 house?"
"My question," Littlefield retorted, "is, has that been
proven?"
At this, Judge Monti Belot, who is known as a stern courtroom disciplinarian,
angrily rebuked the witness. "Mr. Littlefield, you do not ask questions,"
the judge said. "You are here to answer questions."
Metzger relentlessly reeled off what is now a familiar list of challenges:
"Would it be important to know if Mrs. Deters was going to spend
this money on payments to her children, her aged mother, and other personal
expenses?"
In each case Littlefield acknowledged that it would be important to
know.
"If she didn't tell you she was spending this money in these ways,"
Metzger summed up, "would that cause you to question her honesty?"
After a long pause, Littlefield murmured, "Yes."
Nor was Metzger ready to give up on "matching gifts" and CDs.
Showing Littlefield a prospectus for the program distributed by the Cherokee
Friends Church, he had the witness read to the jury a statement that "Productions
Plus made a FAITH COVENANT AGREEMENT TO MATCH EACH DOLLAR that's deposited...."
Metzger then had Littlefield read another statement, that the funds
would be "placed in TIME SAVINGS CERTIFICATES..." (Note: capitals
in the quotes were in the document.)
"So your committee thought CDs were going to be bought?" Metzger
asked.
"I guess so," Littlefield conceded, adding, that "this
was an evolving understanding." "
But this document reflects the community belief, after Mrs. Deters'
presentation, that their money was going to be in CDs, doesn't it?"
Again, Littlefield paused, and then said quietly, "It does."
Metzger then turned to Littlefield's work at the Friends Church in League
City, Texas, where he went from Cherokee.
"League City sent $139,000 to Productions Plus, is that right?
"I don't know the exact amount," Littlefield replied.
"If the defendant's bank deposits shows that amount from them,
would that be correct?"
"It would."
"In fact," Metzger said, "that's why you had to leave
League City, isn't it? Because they lost that money?"
"I can't say that," Littlefield protested.
"But you left League City without a job, correct?"
"That's the way it is in the Friends Church," Littlefield
said.
"But League City lost its $139,000, didn't it?"
"No," Littlefield demurrred, "it has not."
"Did it get the money back?" Metzger asked. "Did the
defendant give you any evidence that the $139,000 was in a CD anywhere?"
"No."
In addition to Littlefield, the defense brought in an artist, Jackson
Bailey, whose major work is the world's largest painting of the life of
Christ. Deters tried for several years to obtain the paintings and display
them as a fundraising effort, without success.
The court also heard from Duane Hansen, the Presiding Clerk of Mid-America
Yearly Meeting of Friends Church, the association to which the Cherokee
Friends Church belongs. Hansen told about his discovery that the yearly
meeting's former superintendent, Maurice Roberts, had misled him and other
yearly meeting officials about certain agreements he made to local churches.
Roberts had privately pledged that the yearly meeting would guarantee
the return of these churches' investments with Productions Plus, but told
Hansen no such agreements existed. After the truth was disclosed, in August,
1994, Roberts was forced to resign.
The trial continues Wednesday, and Judge Belot told the jury he expects
it to conclude by Friday.
NOTE: The outlines of the prosecution and defense arguments closely
parallel and corroborate my reporting in "Fleecing
the Faithful".
[This post is part of a detailed report on the activities of Productions
Plus, particularly among Quaker groups. Watch for additional excerpts on
this site. The full report is available now, by snailmail. To order the
complete report, send $10.00 (postpaid) to: A Friendly Letter, P.O.
Box 82, Bellefonte PA 16823.]
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Copyright © 1998 by Chuck Fager. All rights reserved.
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