Staff Report
The Third Court of Appeals has ordered a new hearing for former high-ranking PEC officials found guilty of funneling hundreds of thousands of dollars to relatives of Pedernales officials.
The Marble Falls newspaper, www.dailytrib.com, broke the story Tuesday announcing that the Third Court of Appeals ruled a judge did not apply the proper standard in determining whether State District Judge Dan Mills should have heard the criminal cases against former Pedernales Electric Cooperative general manager Bennie Fuelberg and general counsel Walter Demond.
The defendants argued Mill’s membership in PEC and potential financial gains should have disqualified the judge from presiding over their criminal cases. But Judge Bert Richardson denied the men’s motions to remove Mills from the bench, according to the newspaper. Mills rebuffed calls to voluntarily recuse himself, the newspaper reported.
Fuelberg was found guilty in December 2010 of third-degree felony theft of co-op funds, misappropriation of fiduciary property and money laundering for allegedly arranging for hundreds of thousands of dollars in co-op funds to be paid to his lobbyist brother, Curtis Fuelberg, and Bill Price, the son of a former PEC board member, through Demond’s law firm.
Mills sentenced Fuelberg in February 2011 to 300 days in county jail, five years of probation, 1,000 hours of community service and $126,000 in restitution.
Demond was found guilty in May 2011 of felony theft, misapplication of fiduciary property and money laundering for helping arrange payments to relatives of PEC officials.
He was sentenced to 500 days in jail, 10 years probation and $212,000 in restitution.
Following their convictions, the former PEC officials appealed Richardson’s ruling dismissing the men’s motions to remove Mills from hearing their cases.
The appellate court agreed with Richardson’s determination that Mills would not have a financial interest in the outcome of the case, but further asserted that the judge should have considered a different standard when deciding whether to recuse Mills, the newspaper reported.
“Instead, Judge Richardson should have determined whether a reasonable person would doubt Judge Mills’ impartiality,” the appellate court’s decision stated, according to the dailtytrib.com
The appellate court has ordered a new recusal hearing and set an Oct. 28 deadline.









