MUSKOGEE — Former District 17 state Rep. Mike Mass, D-Hartshorne, testified today that he went to the office of former state Sen. Gene Stipe in January 2000 and asked him for a loan.
Mass said he received $32,000 that day but he never expected to pay it back. Mass said Gene Stipe had asked him to sign some documents for his records. Mass said he didn’t learn that Gene Stipe was carrying a mortgage on his property until six years later, when he got a phone call telling him Francis Stipe was wanting to purchase insurance on the property.
Mass, and Gene Stipe’s former longtime secretary Charlene Spears, were among witnesses who testified during the third day of the Francis Stipe trial at the Eastern District of Oklahoma U.S. Courthouse in Muskogee, where Francis Stipe is being tried on charges of conspiracy, mail fraud, witness tampering and illegal monetary transactions.
Mass also said today that he had received a $48,000 check at Gene Stipe’s McAlester office in October 2002 — when the McAlester Foundation purchased Gene Stipe’s property from the National Pet Products dog food plant.
Mass said he received the payment after directing the Kiamichi Economic Development District of Oklahoma to direct state money to the McAlester Foundation for the dog food project.
Also today, Spears testified that Francis Stipe had been aware that Gene Stipe had an ownership in National Pet Products.
Spears said she had called Francis Stipe and asked permission to use the Hawk Boat building, which Gene and Francis Stipe owned, to temporarily store some MPP equipment.
She said Francis Stipe gave her permission to do so. She also recalled the day when the closing was made for the McAlester Foundation to purchase the land owned by Gene Stipe so the dog food plant could be located at the site.
Spears said she overheard a conversation between Steve Phipps and Francis Stipe. She testified Phipps had asked Francis Stipe to get Gene Stipe to quit talking so much about the former senator’s part ownership in the dog food plant.
Spears said Francis Stipe replied “It’s the worst kept secret in McAlester.”
As a board member of the McAlester Foundation, Francis Stipe voted for the Foundation to purchase his brother’s land and was also among the Foundation members who signed the check for the purchase, according to court testimony.
More prosecution witnesses are expected to testify later today as the trial continues.
Contact James Beaty at jbeaty@mcalesternews.com.
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