STATE COLLEGE, Pa. (AP)—Former Penn State head football coach Joe Paterno had business ties with board members of The Second Mile, the charity founded by alleged child molester and former Penn State assistant coach Jerry Sandusky, The Daily is reporting.
The Daily (http://bit.ly/vwE2vC ) reported Monday that Paterno and three fellow investors, including longtime Second Mile board chairman Robert Poole, secured financing to build a $125 million luxury retirement community around 2002, according to public records.
The publication also reported that Paterno was partnered with the same team of investors in developing a golf resort and nearby restaurant and inn. Paterno also joined with other current and former Second Mile board members on a bottled water company, a coaching website and a chain of convenience stores.
Pinnacle Development, one-half of the developer team that built The Village at Penn State, included Paterno, Poole, William Schreyer—a Penn State trustee whose daughter is a longtime board member of The Second Mile—and local developer Philip Sieg.
Each partner stood to make an estimated $590,000 in fees and 15 percent annual interest on a $125,000 initial investment if the project was successful enough to get funding for a second phase, according to The Daily. The retirement community was built in State College, which has a non-student population of about 42,000, near the university.
But the project did not flourish and the Village’s nonprofit owner filed for bankruptcy on Wednesday. The filing indicated that Pinnacle was never repaid its initial investment, and that $18.8 million was owed to residents who moved out and demanded refunds on their entrance fees.
Paterno could not comment because he is “undergoing chemo and radiation every day” for lung cancer, his wife, Sue, told The Daily. Paterno’s attorney, Wick Sollers, declined comment when contacted by The Associated Press.
Sandusky, who founded The Second Mile in 1977, is accused of assaulting eight boys over 15 years. He maintains he is innocent and told his charity’s board in 2008 he was being investigated. The charity says it subsequently barred him from activities involving children.
The 84-year-old Paterno, major college football’s winningest coach, was fired in the turbulent aftermath of Sandusky’s arrest as many questioned why Penn State officials didn’t do more to stop alleged abuse, including an accusation that Paterno forwarded to his boss, athletic director Tim Curley, in 2002.
As the retirement community project struggled to rent its apartments and cottages—with entrance fees approaching $500,000—Paterno appeared in a 2005 ad promoting the hillside complex with a view of the football stadium as a place he could see himself retiring.
Penn State President Graham Spanier, who also was fired after a grand jury report detailing the allegations against Sandusky was released last month, conceived the project in 1995.
Since the project was being built on Penn State property, a nonprofit was created to act as its owner and operator. Former Second Mile board member Peter Weiler was its president; Penn State’s former senior vice president for finance and business, Gary Schultz, was its treasurer. Both men declined to comment.
The Village at Penn State did not live up to its anticipated success. Occupancy was lower than expected, and two years ago, officials admitted they could not pay off the bond holders—which public documents indicate needed to happen in order for Pinnacle to get its developer fee.
The Village’s executive director, Marianne Hogg, said Pinnacle has not been involved in the project since she started around 2007. Village tax forms indicate the developer team was paid $2.3 million prior to construction in 2000, but Hogg declined to say whether that was part of $4.7 million the developers expected to make as the project moved into its second phase.
Ed Lauth, a local businessman who is close friends with both Paterno and Poole, owned Aqua Penn, the bottled water company that Paterno invested in and helped build.
He said Paterno was more motivated by bettering the community than reaping profits from his business ventures. Two months after Aqua Penn sold for $112 million to a French company in 1998, Paterno reportedly donated $3.5 million to Penn State.
Asked for comment on The Daily story, The Second Mile released a statement saying, “The Second Mile will continue to adhere to its legal responsibilities throughout this process. As always, our thoughts and prayers are with the victims and their families.”
SAN FRANCISCO (AP)—All week long, Frank Gore(notes) had a quick, supportivemessage to ease Jim Harbaugh’s mind whenever he sensed his coach was unnerved:“Coach, we got this.”
“He came up to me probably a half dozen times,” Harbaugh said. “Ibelieved him. I trusted him.”
Gore made good on his mantra, all right. He’s headed to the playoffs for thefirst time, and as San Francisco’s career rushing leader to boot.
The two-time Pro Bowler and his 49ers trounced the beat-up St. Louis Rams26-0 on Sunday to become the NFL’s second team to secure a playoff berth behindunbeaten defending Super Bowl champion Green Bay.
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YSP.use('node','event', function(Y) { Y.on('load', function() { var imgs = YAHOO.Sports.article_carousel_lazy_images; Y.Array.each(imgs, function(el,index){ var img = Y.one('#photos-carousel-' + index); if(img) img.setAttribute('src', el); }); }); }); 1 of 64 StL-SF Gallery function prev_photo() { if (YAHOO.Sports.article_carousel_current_index > 0) { goto_photo(YAHOO.Sports.article_carousel_current_index - 1); } else { goto_photo(YAHOO.Sports.article_carousel_last_index); }}function next_photo() { if (YAHOO.Sports.article_carousel_current_index Harbaugh’s team, in command since Week 1, wrapped up that long-awaited NFCWest title with four games to go. This has been quite the resurgence for aonce-proud franchise determined to return to the glory days of Jerry Rice andJoe Montana, Steve Young and Roger Craig.
Gore waved a giant 49ers flag all the way back to the celebratory lockerroom.
The 49ers are division champs and back in the playoffs for the first timesince 2002.
“It’s sweet to clinch it, especially at home,” said Smith, the 2005 No. 1overall pick who has been beaten down time and time again during a rocky sevenyears in the Bay Area only to prevail under Harbaugh’s guidance. “It’s thefirst step. We talked about it all week—win the division. Obviously it hasn’tbeen done around here in almost a decade. We’ve talked about it since I’ve beenhere, and it’s no different this year.”
Harbaugh delivered exactly what the 49ers hired him for back in January:immediate success, a major transformation in a matter of months. So much for thelockout slowing him down.
Left tackle Joe Staley(notes) delivered the Gatorade dousing on Harbaugh’s head inthe closing moments—sneaking up on the coach at the 2-minute warning. Or so hethought. Harbaugh, a 15-year NFL quarterback himself in his day, dodged out ofthe way to avoid being fully soaked.
“This step, this game today is for all those strong and mighty men who havebeen carrying the flag for this many years,” Harbaugh said. “Each year thatthey’ve been here, thinking that was going to be the year, the year we go to theplayoffs … and there’s disappointment when you don’t make that.”
Gore helped run San Francisco (10-2) right into the postseason, passing lateHall of Famer Joe Perry and finishing with 73 yards to become the franchiseleader in yards rushing at 7,417.
Smith threw second-half touchdowns of 52 and 56 yards to Michael Crabtree(notes)and Kyle Williams, respectively, and David Akers(notes) kicked four field goals to helpHarbaugh join George Seifert (1989) and Steve Mariucci (1997) as the only rookiecoaches in franchise history to win the division.
The only downer came when Willis left the game in the first half with aright hamstring injury that Harbaugh afterward said he didn’t consider serious.
Rams quarterback A.J. Feeley(notes) struggled in place of injured starter SamBradford(notes) for the reeling Rams (2-10), who watched several more key players godown.
Even Feeley needed X-rays afterward on his right thumb.
“It’s kind of the same story we’ve had all year. We just can’t seem to putanything together,” he said. “It’s like a clock where everybody’s got to be insync. When that doesn’t happen you put yourself in a tough situation.”
The 49ers bounced back from a discouraging 16-6 loss at Baltimore onThanksgiving night against the Ravens and Harbaugh’s big brother, John, withanother methodical victory. Smith was sacked nine times in that game and fourmore Sunday.
Despite further problems converting in the red zone early, San Franciscoshut out an opponent for the first time since a 35-0 home win at CandlestickPark on Oct. 4, 2009. That was also the Rams’ last shutout.
The Inners also avenged a late-season loss from 2010 that was still plentyfresh. They had won five straight before losing at St. Louis in thesecond-to-last week. It was after that game when coach Mike Singletary wasfired. That led to the high-profile hiring of Harbaugh in January. And the49ers’ transformation began in earnest.
San Francisco’s impressive season might help shed that “NFC Worst” stigmafrom the West.
“It’s not a Hollywood team,” Harbaugh said. “It’s a blue-collar team.”
Smith, who didn’t start that last game against the Rams, completed 17 of 23passes for 274 yards with no interceptions to finish with a career-high 142.3quarterback rating. He gave way to rookie backup Colin Kaepernick(notes) midway throughthe fourth.
Gore ran for 2 yards early in the second quarter to give him 7,345 careeryards rushing, moving him past Perry (7,344) for most in franchise history.
The 28-year-old Gore, a two-time Pro Bowl selection in his seventh NFLseason, has said it was a goal for this season to become the career rushingleader—though getting to the playoffs for the first time has always been thetop priority.
“There’ve been some tough years here,” Gore said. “To get an opportunityto get to the postseason and to get it early, that’s a blessing.”
Gore and his teammates are wearing No. 34 helmet decals this season in honorof Perry, the first player with back-to-back 1,000-yard rushing seasons andnicknamed “The Jet” for his sensational speed. He died in April at age 84.
Willis watched the second half on the sideline in a sweat suit.
The four-time Pro Bowler landed awkwardly after missing a tackle on fullbackBrit Miller(notes), who grabbed an 18-yard completion from Feeley with 4:28 left in thefirst quarter. Willis’ body twisted as he fell to the ground and he stayed downfor a short time as trainers ran out to check on him, then helped him limp offthe field.
Akers kicked field goals of 36 and 19 yards then booted a 28-yarder 1:41before halftime for his 31st of the year, topping Jeff Wilkins’ single-seasonfranchise mark of 30 set in 1996.
The 49ers certainly hope there’s more to come.
“We want to make it to the championship. It’s something we’ve been wantingfor a long time,” Davis said. “This is the reason why I’m here. It means a lotto me.”
Notes: Rams LG Jacob Bell(notes) (right knee) left and didn’t return. … TheNiners are unbeaten in their last 10 home games vs. NFC West. … Rookie AldonSmith(notes) also had two sacks. … Rams DE Chris Long(notes) has a sack in six straightgames.
have been a niner fan since Brodie took over the Qtr. back duties from W.A. Im not sure of Smith as the man for the job 3or 4 more field goals sacked 4 more times. Hope I am wrong, but with Smith in there I am pretty worried the boys in red are going to get there jocks knocked off in the play offs, if we win the super bowl with Smith I just might change my mind.
This is an even better stat the niners could get kicked out of the league and the jets will never pass them in Lombardi trophies...talk about green mile...
SF beat Giants 27-20, GB beats Giants 38-35 at the buzzer in 4th quarter. I give SF a real good chance aginst GB if the game is not played in below zero conditions.
great stats san fran. point is you cant rack 13 against good team. you have no offense, your not bad but lets face the gas chamber shall we? walk the green mile, its been fun. get out.
Your right I have no clue what I'm talking about the lions havent won a thanksgiving day game since 2003...my mistake...but the saints losing to the rams and bucks not a mistake...
I love the haters that know nothing about football...let's let's give credit to the patriots There division is so tough the bills,jets,and Miami...no wait they smoked the colts and lost to the giants...even better the packers division is even tougher the lions who haven't won a thanksgiving day game since 2004,the bears,and Vikings,those teams wow so tough...even better the cowboys they played awesome yesterday...the cardinals...but your right the eagles giants,and redskins so so tough...all this tells me is that evey team is playing weak teams...but I guess tru facts mean nothing today....
@The Authority "First, the 49ers won the NFC West. News Flash - Holy Cross University could win the NFC West"
The weak NFC West has more wins compared to 3 other divisions in the whole NFL! Another idiot who don't know what he's talking about.. Rhoda, my best friend's mom made $229705 so far just working on the computer for a few hours. Read about it here LazyCash7.com
The Saints are a different team away from their Dome. I like the 49ers chances to make it to the NFC championship game if they earn homefield and bye...
Sorry, I have to be the Voice Of Reason here. The Niners have been flat horrible for nearly a decade. Before you guys start chanting, 'Dynasty!', remember that. Your team has been good for about ten minutes. Calm down. Not quite a dynasty just yet....sorry
Pat yourselves on the back for the rest of the day boys...then get start getting ready for AZ! Is there any reason that the offense can't open the playbook from here on out to try somethings they may not otherwise try (practice them in game day conditions) now that they're in the playoffs? They won today, but 2 TDs and 4 FGs isn't good red zone offense especially against the Rams...they lost to the Ravens because the offense was not that good. Do they still have to worry about seeding?
Wait a @#$% minute. The SECOND team to clinch a playoff berth? Uh uh pal. The Niner game ended BEFORE the Packer game, making them the FIRST team to clinch a playoff spot and the first to clinch their division. Get you accolades straight.
It is nice to see that 49ers have won the NFC West. It is first step towards the final goal of Super Bowl.It is tough road ahead and to overcome this 49ers need lot of improvements to be the real contender. Offence needs to come up with a TD and not FG when entering Red Zone.Needs lot of improvement in converting 3rd down because right now it is very very poor. Offensive line is very poor and shaky to protect the QB need to improve.Also Alex Smith should not keep the ball too long needs quick release.Offensive scheme should add more of slants and screen passes, right now they are almost nil.Add more play action pass. On defence side everything is in order except coverage by the secondary and to stop giving up 3rd down conversions.
Best thing to see all day was the receivers blocking downfield on Williams' TD. Smart hustle, everyone knowing where the line is and how to help out. Harbaugh has it working.
Seems to me it might be time for coach Harbaugh to give QBs Kapernick and Tolzien some playing time. In my opinion, one or both of them is going to be the future of the Niners. My bets are on Tolzien, but who knows. Kapernick might surprise, but for now he's not doing so well. Anyway, congratulations Niners!!! The battle cry now should be: Beat the Steelers and Seahawks!!
@ Jill. You have posted that Green Bay and The Saints are the cream of the crop in the NFC. And that the NFC West is no good. Here are some facts for you. The RAMS beat the Saints, Are you kidding me!! The Niners beat and held the Giants to less points than the Mighty Packers. Your a tool from Indiana, which reminds me, how are the colts doing? You just got owned!!!!
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Expert Picks Mike Silver
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