Who are the shareholders of US Construction? by gimleteye

It is a fact of Miami life that even within legitimate business activity there is a shadow economy that ties back to the stronghold of local politics. Miami International Airport, the region's largest employer, is the prime example. County commissioners, stretching back decades, figured out ways to reward campaign contributors through lucrative airport concessions. It was standard practice by some of the biggest political players who have fallen on hard times. Sergio Pino, comes to mind who obtained for many years the minority share of ownership of airport concessions. Pino parlayed that fortune into US Century Homes, that raced to build an empire from suburban sprawl in west Dade farmland and wetlands (tracking the housing boom and then bust), and US Century Bank.

But unlike ordinary people who find themselves drowning and in panic when the banks foreclose on their homes, there is no shortage of breathing room for the big borrowers who cannot pay their mortgages; and who may or may not be shareholders or just 'friends of family' with banks that also have the letters, "U.S." in their name. (The attached graphic, from the June 30, 2010 Bauer Financial Report shows the extent to which insiders at US Century Bank benefit, compared to its peers. There is no disclosure regarding loan terms for these specific insiders, but the relative deviancy speaks volumes.)

Which brings me around to US Construction, the source of income for Pepe Diaz, county commissioner, and a company recently featured in the Miami Herald as jumping to the head of the line of contracts at Miami International Airport. Who are the shareholders of US Construction?

There is a rumor floating around, that former county mayor Alex Penelas is involved in US Construction; either directly or indirectly through one of his longtime proxies. This wouldn't be much of a surprise if it were confirmed. Penelas' rise in Miami-Dade County was directly through Miami International Airport: an entire squadron of lobbyists led by Chris Korge, Rodney Barreto, and later-- his chief of staff, Brian May-- generated wealth through the airport.

Penelas was the bright star of Democratic politics, much like Marco Rubio is today for the Republicans, until he crashed and burned in the aftermath of the 2000 presidential election when, during the recount of Miami-Dade ballots, Penelas and his cohort, Herman Echevarria, were reportedly "in Spain on business". Ah, Spain and its shadowy bankers in Miami. Now that is another hidden story that might be revealed in the fullness of time.