Xenia Twp. trustee denies ‘frivolous’ allegations of corruption

The chairman of the Xenia Twp. Trustees said in court papers that corruption allegations against him are "frivolous," and that he may seek sanctions and counter-claims against the Xenia businessman who filed a civil lawsuit containing the charges.

The suit filed in Greene County Common Pleas Court in late June claims James Reed abused his position and engaged in intimidation and extortion. David Coterel Jr., owner of Kil-Kare Raceway and D&D Harley Davidson dealership, alleges Reed violated the Ohio Corrupt Activities Act, engaged in tortious interference with business relations, breached the public trust and his official duties, violated of the state Sunshine Act and defamed Coterel.

In his answer to the suit, filed July 24, Reed denied all the allegations. The filing goes on to claim, among other things, that some of the allegations were filed after the statute of limitations had expired; that Reed has immunity under state law; that he acted in good faith and within the law; and that an individual cannot violate the Sunshine Act.

“Plaintiffs have made claims in their complaint which are frivolous and Defendant reserves the right to pursue sanctions,” according to Reed’s filing.

Attorneys involved in the matter did not return phone calls seeking comment. Coterel has declined to comment through his attorney. Reed has not returned numerous phone calls seeking comment.

Among allegations in Coterel’s lawsuit:

  • That Reed demanded campaign contributions from a contractor and architect hired for a project at Coterel's Buckminn's D&D Harley Davidson dealership. He intimated that without a "little loving" and a "sales commission", their employment would be in jeopardy.
  • That shortly after Coterel purchased the Kil-Kare Raceway, Reed demanded Coterel hire Reed's wife "in order to pay him back for past favors." Coterel eventually hired the woman because, the lawsuit said, he "felt obligated to Reed for … past favors and hired her." The lawsuit does not specify what the "past favors" included.
  • That Reed held up improvements at Kil-Kare through numerous frivolous investigations.

The township is not party to the suit, according to Alan Stock, the township administrator. Stock said the township is looking to see if Reed was acting on his own or as a township representative in any of the allegations.

“It is too early in the litigation for us to determine,” he said Friday. “The process will clarify the question whether he was acting on his own or in an official capacity that would be approved by the board of trustees.”

Reed and Coterel were once friends, but in November Reed filed a felony complaint against Coterel, claiming Coterel threatened him during a break in a trustee’s meeting, according to a sheriffs deputy’s report.The county prosecutor who declined to file charges, saying the alleged threat was too vague.

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