Oak Hill retains attorney to investigate City Manager Bill Kraus

VolunteerVoters reports the City of Oak Hill has retained legal counsel to investigate the legal impact of City Manager Bill Kraus’s criminal history. Word of the city retaining Mark Peters of Waller, Lansden and Dortch came at last night’s Oak Hill Board of Commissioners meeting.

Questions raised at the meeting included how Kraus’s legal status could affect the city’s insurance, the validity of its city audits, and whether according statute a convicted felon could legally continue to serve as City Manager.
[Oak Hill Board Of Commissioners Declare The Need For Further Study On Fate Of City Manager - VolunteerVoters - 11-15-07]

The city of Oak Hill issued a statement earlier this week stating they were unaware of Kraus’s criminal past as revealed in a 1998 L.A. Times article when they hired him in 2003.

It has come to the CIty’s attention that its City Manager Bill Karus did not discuss certain real estate legal events, which occurred over 20 years ago in California, when he was hired in 2003. At the time of his hiring in 2003 adequate references and credentials were checked and satisfactory responses were obtained. At the time of his hiring Dr. Kraus was already teaching at Austin Peay State University and Vanderbilt University.
[The City Of Oak Hill Confirms City Manager Did Not Discuss Past Legal Trouble During Hiring - VolunteerVoters - 11-12-07]

Oak Hill Mayor Alsup then issued a statement in support of Kraus as city manager.

Dr. William Kraus has made enormous contributions to the City of Oak Hill since he came here in 2003. In that time, thanks to his outstanding management skills and fiduciary responsibility, the City’s financial reserves have increased significantly, the City’s business is conducted more efficiently and professionally, and security measures to protect both privacy and assets have been enhanced. He works tirelessly on behalf of the City, and I have complete confidence in him. 
[The Oak Hill Redemption: Mayor Alsup Reaffirms Support For City Manager - VolunteerVoters - 11-14-07]

Information about Kraus’s criminal history was recently brought to light by News 2’s Adam Kleinheider. Kraus is a vocal opponent to an expansion at the Governor’s Oak Hill residence. The Governor’s office has denied any role in sharing information about Kraus’s criminal record. Tennessee Republican Party Communications Director Bill Hobbs has publicly called for VolunteerVoters to reveal its source.

“How did the info surface? Did you find it on your own or did someone point you to it, and if it is the latter, who?”
Bill Hobbs - November 12th, 2007 at 12:43 pm

UPDATE 9:30a.m. - Channel 5 (WTVF) reports on this story saying the cause of the investigation is an ”undisclosed legal issue involving the city manager.” Kraus’s daughter works as an investigative reporter at WTVF.

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