An attorney for a group seeking to oust East Ridge Mayor Mike Steele said Mayor Steele failed to disclose that East Ridge City Attorney John Anderson organized his business, Payroll Professionals of Tennessee, and continues to serve as its registered agent.
Attorney Charles Wright said Mayor Steele was asked last week in a deposition if he had any professional dealings with attorney Anderson, and he said he did not.
Attorney Wright said the denial amounted to "aggravated perjury" by Mayor Steele.
He asked Criminal Court Judge Don Poole to be allowed to amend the ouster petition to add the perjury count.
Mayor Steele, questioned by a reporter about the issue, said, "This is silly. I can't believe you are asking me about this."
He said his partner in Payroll Professionals, Larry Armour, asked Attorney Anderson "to get a federal tax ID for us. We never paid him a penny."
Mr. Armour said attorney Anderson has set up a number of companies for him over the years. He said after the firm was set up that Mayor Steele recommended that attorney Anderson have no more role as the firm attorney.
But he remains listed as its registered agent. Payroll Professionals was organized in April 2007.
Attorney Wright said, "The actions of Mr. Steele involved a violation of a penal statute involving moral turpitude, pursuant of the ouster provisions" of state law.
He said he wants to add another section to the ouster petition, saying Mayor Steele had sought to block access to detailed billings submitted by attorney Anderson.
He said Mayor Steele stated, "We are taking the stand that privileged information needs to stay privileged information."
County Commissioner Curtis Adams has filed a lawsuit in behalf of some East Ridge citizens seeking to obtain access to the Anderson billings. Attorney Anderson has charged the city some $140,000 since early March of last year.
Former East Ridge Commissioner Jerry Petty said he had never heard that attorney Anderson was the legal agent for the Steele business.
He said, "This blows me away. This should have been disclosed at the time we were voting on the city attorney. And Mayor Steele should have abstained from voting."
Mr. Petty cast the lone no vote, with the count 4-1, including Mayor Steele, for hiring attorney Anderson.
Mr. Petty said he had voted no "because I thought we should have an attorney from East Ridge and because I thought his charges were more than we could afford."
Mr. Petty said he first heard the name John Anderson at a February Lincoln Day dinner after Mayor Steele had come into office the previous November 2006.
He said, "Mayor Steele told me he wanted me to meet somebody. He took me out in the hall and said, "I'd like you to meet John Anderson."
Mr. Petty said the next month Mayor Steele told then-city attorney Cris Helton that he was going to be replaced.
Judge Poole is set to hear the ouster case on March 31.