If you think Kathy Tyler was naughty for taking the state job of Democratic House caucus secretary right after leaving her District 4 House seat (and Republicans certainly thought so), then what would you think of a sitting legislator taking another job apparently prohibited by the same constitutional clause on which Tyler was skewered?

On December 17, 2013, Governor Dennis Daugaard appointed Royal River Casino general manager Chuck Jones of Flandreau to fill the District 8 Senate seat left vacant the previous summer by the resignation of Russell Olson. On November 4, 2014, District 8 elected Democrat Scott Parsley to replace the Governor's Republican appointee. On December 2, 2014, the Moody County Commission appointed Jones to fill the two years remaining in the term of Tom Peper, who resigned November 6.

Two years in a row, Chuck Jones gets a government appointment for Christmas? Now there's a guy who knows how to make Santa's list!

But are you sure you were looking at the right list, Santa? When the Moody County Commission appointed him to their august ranks, Chuck Jones was still a state senator. He was a member of the Legislature's Tribal Economic Development Task Force, which held its first meeting of the 2014 interim on December 9 (a month before the end of the interim—priorities, anyone?). But Senator Chuck Jones skipped that meeting so that Commissioner Chuck Jones could attend his first Moody County Commission meeting to, among other things, set the county employee appreciation dinner for December 30.

Technically, Jones was Senator and Commissioner until Scott Parsley took his oath in January. And technically, that double duty could be read as a violation of Article 3, Section 12, of the South Dakota Constitution:

No member of the Legislature shall, during the term for which he was elected, be appointed or elected to any civil office in the state which shall have been created, or the emoluments of which shall have been increased during the term for which he was elected, nor shall any member receive any civil appointment from the Governor, the Governor and senate, or from the Legislature during the term for which he shall have been elected, and all such appointments and all votes given for any such members for any such office or appointment shall be void; nor shall any member of the Legislature during the term for which he shall have been elected, or within one year thereafter, be interested, directly or indirectly, in any contract with the state or any county thereof, authorized by any law passed during the term for which he shall have been elected [South Dakota State Constitution, Article 3, Section 12].

Now I think I can read Chuck out of trouble, but who cares what I think. let's think like the Republicans who lit into Tyler. One would think those constitutionally vigilant Republican leaders would have immediately demanded that Jones resign one of his offices.

But we know better than that. We know that Republican fealty to the letter of the law is a matter of convenience.

8 comments

Nathan Fluit and other honest folks whom Preventive Health Strategies stiffed on thousand-dollar raffle tickets are still waiting for an honest response from Annette Bosworth and her husband/non-profit partner Chad Haber on when PHS might issue refunds on the Moody County land raffle that never was.

I hate to throw cold water on anyone's hopes for justice, but those refunds might be a long time coming. I've heard conflicting reports on how many tickets Bosworth and Haber sold: maybe 250, maybe just 30. But even if it was 250, it wasn't enough to pay for the land.

According to the purchase agreement, Preventive Health Strategies bought the southeastern 1/4 of Section 35-106-49, Moody County, South Dakota, for $424,000.

clip from purchase agreement, Moody County land for Preventive Health Strategies raffle, signed April 18, 2012

clip from purchase agreement, Moody County land for Preventive Health Strategies raffle, signed April 18, 2012

Preventive Health Strategies signed this purchase agreement on April 18, 2012, just six days after raffling off a portion of Annette Bosworth's family farm in Aurora County. PHS advertised the southern half of this quarter for raffle, with an alternative cash prize for the Moody County land of $250,000. Apparently the hope was to raffle off the first 75 acres, make back the initial investment, then raffle off the other half of the quarter for pure profit.

But let's do some math on what happened:

  1. By April 12, 2012, Chad Haber and Annette Bosworth raked in $500,000 in their first land raffle. That Aurora County prize was family land, so Haber and Bosworth may not have had any previous purchase price to recoup.
  2. Six days later, they committed $424,000 to another land purchase.
  3. That leaves just $76,000 in the kitty to do the actual medical mission work of Preventive Health Strategies.
  4. PHS's 990 form says PHS spent $317,087.25 on medication alone in 2011.
  5. Exercising classic Ponzi-logic, Haber and Bosworth gambled $107,000 more on a land purchase than they spent on medicine to directly serve patients the year before.
  6. At best, had they sold 500 tickets, PHS would have gotten an 18% return on this raffle.
  7. PHS made deals with at least one other entity, FIRE Missions of Michigan, to help sell tickets and split proceeds, reducing PHS's slim return even further.
  8. They sold no more than 250 tickets, not enough to recover 60% of their loss on the land, let alone help PHS offer more real services.
  9. If Chad and Annette had left the country for Haiti on April 13, 2012, they'd have had $500,000 in their pockets to help sick kids.
  10. Instead, even if we let them leave the country without refunding the Moody County raffle tickets, Haber and Bosworth would make off with no more than $326,000.

BosworthRideConclusion: even if the Preventive Health Strategies raffles have been complete scams (and we haven't even factored in the Harley motorcycles for which they sold tickets in Sturgis last year but which have mysteriously disappeared... where? into Annette's garage?), Haber and Bosworth can't even make their scam math add up.

And now that ticketholders are speaking up and the press is watching, paying back those failed raffle tickets and suffering a loss of reputation that should put the kibosh on any future PHS raffles will probably set them back to zero.

Annette, let me speak as your financial advisor: cut the crap. Quit selling raffle tickets. Close Preventive Health Strategies. Tell Chad no more long trips to Haiti. Quit running around the state pretending to be a Republican Senate candidate. Just go to your clinic every day and do the job you're good at. You may not know math, but you know medicine.

Besides, I hear honest doctors can make good money.

What's next in the Chad and Annette Traveling Medicine Show? Who knows?

4 comments

On Monday, Nathan Fluit (pronounced like "Floyd" but with a "t" on the end) posted a question on Annette Bosworth's Facebook page about the status of her Moody County land raffle. The Harrisburg man claimed he had purchased a $1,000 raffle ticket from Bosworth and was wondering where his money had gone.

Today, Fluit produces documents. First, here's the e-mail receipt he received from Bosworth's non-profit Preventive Health Strategies (I have edited out the credit card information and identity of a co-buyer):

From: preventivehealthstrategies@gmail.com
Subject: Land raffle receipt
Date: Thu, 25 Oct 2012 12:58:54 -0500
To: nfluit@[...]

Nate and [...]

Thank you for your land raffle purchase. Your ticket number is 2509B. Feel free to make additional purchases to increase your chances of winning the land at https://heroes.meaningfulmedicine.org/ or calling us. We will notify you when the drawing will take place.

Thanks

Peggy Craig
PHS (Preventive Health Strategies)
preventivehealthstrategies@gmail.com
www.annettebosworth.com
phone (605) 368-1741

Begin forwarded message:

From: PREVENTIVE HEALTH STRATEGIES <support@roamdata.com>

Date: October 25, 2012 12:50:23 PM CDT
To: PREVENTIVEHEALTHSTRATEGIES@GMAIL.COM
Subject: Vantiv Receipt

PREVENTIVE HEALTH STRATEGIES
1401 W 51ST STREET
SIOUX FALLS, SD 57105
(605) 368-1741Payment Type: CREDIT
Card Type: [...]
Account Number: XXXXXXXXXXXX[...]
Transaction ID: 2023587
Auth Code: [...]
Receipt

10/25/2012 1:50:23 PM EST

Order Total:
1000.00

Billed to:

,

I AGREE TO COMPLY WITH THE
CARDHOLDER AGREEMENT
Seller's Notes:
Nate fluit and [...]Buyer Phone:
Buyer Email:
Roam Data

Fluit says he and his co-purchaser bought this ticket after seeing this October 24, 2012 KDLT report by Breanna Fuss, which stated Bosworth's PHS had sold a half dozen tickets and had a goal of selling 500 by the end of the following month. Bosworth said the funds raised would be used to send members of the 114th Fighter Wing and their families on a fishing trip to Alaska, much like the one she took her purportedly impoverished family on in spring 2012, just a couple months after raising $500,000 with her first land raffle.

November 2012 passed with no drawing and no news. In February 2013, Fluit received this letter and this flyer from Preventive Health Strategies. PHS told Fluit many things:

  • The Department of Defense had ordered PHS to cease and desist their raffle. PHS said the order had something to do with rules against private groups raising funds for active duty soldiers.
  • PHS still planned to raffle the Moody County land as soon as PHS sold 500 tickets.
  • PHS said refund requests had to be submitted to their office by March 29, 2013.

Fluit says he called PHS and was told by a PHS staffer that the organization had sold 250 tickets. He decided not to ask for a refund at that time.

As reported here on the Madville Times, no drawing took place by the extended deadline of July 15, 2013. Fluit says he called PHS and asked for a refund last summer. The staffer who answered the phone told him PHS would issue his refund the next time they cut checks.

It's November, and Fluit still has received no refund. Fluit says his calls to PHS go unanswered. He says he has called the number for Meaningful Medicine, Bosworth's clinic, and even considered making an appointment just to get a chance to talk directly to Dr. Bosworth. However, he says that the clinic receptionist who spoke to him on the phone told him that she had handed a note to Dr. Bosworth with Fluit's name and number and told him the doctor would call him back. Fluit has still received no such call.

So let's review the facts:

  • Nathan Fluit and a co-buyer paid Annette Bosworth's non-profit $1,000 for a raffle ticket.
  • PHS told Fluit in February that about 250 other people had bought similar tickets.
  • Jennifer Warren of PHS partner FIRE Missions told me this summer that PHS had sold no raffle tickets.
  • PHS has not given any ticket holder the promised prize.
  • PHS said it would refund Fluit's money.
  • PHS has not refunded Fluit's money.

Clearly someone is not telling the truth. And if that someone is Annette Bosworth, then Annette Bosworth and her husband Chad Haber could be sitting on (or, more likely, have already spent) $250,000 that they gained under fraudulent circumstances.

It's time for answers, Annette and Chad. Where is Nathan Fluit's money? And who else is holding a raffle ticket for land you never gave away?

75 comments

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