EX-DEPUTY ACCUSED OF PERJURY, OPPRESSION

Fired Lawman Is Third Chambers County Officer Indicted Over Arrest Of Black Man

ANAHUAC -- Dearl Hardy, who served as the Chambers County sheriff's chief
deputy for two years until being fired in July, has become the fourth
deputy indicted in the past two months.

Hardy, 38, was released Monday on $50,000 bail after being indicted on
charges of aggravated perjury, tampering with a government record and
official oppression. Sheriff Monroe Kreuzer fired him last month, saying he
had violated unspecified department policies and procedures.

The indictment stems from an allegation that a black man, Vernon Coates of
Anahuac, was falsely accused of being intoxicated after police detained him
on Sept. 3, 2001. Hardy is the third deputy to be indicted in the case.

Coates' arrest triggered complaints of racial profiling that brought more
than 100 protesters to the Chambers County courthouse.

If convicted, Hardy faces up to 10 years in prison and a $10,000 fine on
the perjury charge; up to two years in a state jail and a $10,000 fine on
the tampering charge; and up to a year in jail and a $4,000 fine on the
official oppression charge.

"This is a sad day for the criminal justice system. I'm innocent," Hardy
said after his release. "I believe the truth will come out in court. It
will show that I never asked or ordered anybody to file a false report."
But Rod Yarbrough, the new chief deputy, said this indictment should bring
a four-month investigation by the sheriff and the Texas Rangers to a close.

"We want to police our own before we police our community," Yarbrough said.
"We want to show that we won't put up with anything. I'm glad it's over and
hope that now we can begin to heal."

Two other investigations into Sheriff's Department activities are still in
progress, however:

The FBI is probing possible civil rights violations stemming from 18 racial
profiling complaints filed by Coates and other residents.

Some have complained about harassment that they call being stopped for
"driving or walking while black." Kreuzer denies the allegations and notes
that only 29 percent of the people arrested last year were African-American.

The Texas Attorney General's Office is still looking into allegations
against former sheriff's Sgt. David Beck about a missing wallet and
showcase knives belonging to a Louisiana couple he had arrested on a
marijuana charge.

Kreuzer fired Beck this month for violating unspecified policies and
procedures.

Beck denies any wrongdoing.

Two other deputies were indicted last month on charges connected to the
allegation against Coates, a welder. Both have resigned from the department.

John Joslin, 33, of Cleveland, was indicted on charges of aggravated
perjury, tampering with a government record and official oppression. He
admitted falsely accusing Coates of being intoxicated, even though Coates
had passed a field sobriety test. He said that Hardy had ordered him to do it.

Joslin said Hardy told him that that would allow suspension of Coates'
license, and he could be arrested whenever he was seen driving.

Brett Hulsey, 32, was indicted on a charge of tampering with a government
record. He said he felt pressured and "uncomfortable" when Hardy told him
to change the offense report to say Coates "did not appear to have normal
use of his mental reason and physical capabilities."

However, he also said Hardy told him not to lie and that what he had
written was true because Coates smelled of alcohol and didn't seem fully in
control of himself when he failed to pull over for three patrol cars that
were using their lights and sirens.

Hulsey said Coates, who was stopped for having a broken tail light, also
failed to signal properly and rolled through a stop sign.

In an incident unrelated to the Coates case, another deputy, Crystal
Schoppe, also was indicted last month and fired.

Schoppe, 25, of New Caney, was indicted on a charge that she had improper
sexual contact with a prisoner at the county jail.

Hardy expressed shock at the charges against him. He denied asking anyone
to lie and said he was only reviewing deputies' reports to see that they
were complete, as he always had.

"If he were trying to make up charges, then he wouldn't have wanted the
whole incident filmed," said his attorney, Greg Caggle. "Joslin had a
camera in his patrol car, and he told him to get another hand-held camera
from the sheriff to use inside the jail."

The sheriff and District Attorney Mike Little could not be reached for comment.

No trial date has been set.