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State had accused East Valley businessman of environmental violations in Pinal project
By NICK R. MARTIN
TRIBUNE
George Johnson was once quoted as saying he had "more money than God."
But for all his money, the successful East Valley developer couldn't shoo away the ghosts of his failed attempt to turn a huge chunk of Pinal County desert into a massive masterplanned housing community known as La Osa Ranch.
Publication info
This story originally ran Dec. 21, 2007 in the East Valley Tribune in Arizona.
On Thursday, Arizona's top prosecutor announced that Johnson, whose name adorns Johnson Ranch in northern Pinal County, would pay the state $7 million to end a lawsuit accusing him of a long list of environmental violations during the attempt.
Two other companies Johnson hired in the process will pay $5.1 million in the case, bringing the total to more than $12 million and making it the largest such settlement in Arizona history.
"This resolution is a strong message to anyone who would seek to spoil our heritage," Attorney General Terry Goddard said at a news conference Thursday.
During a nearly three-year legal battle, Goddard, on behalf of several state agencies, accused Johnson of destroying ancient Hohokam ruins, bulldozing thousands of protected desert plants and contributing to the deaths of almost two dozen rare desert bighorn sheep.
For his part, Johnson will not have to pay a cent of the settlement out of his own pocket, said his lawyer, John DiCaro.
The $7 million will be paid by Johnson's insurance company, which ultimately decided to settle the suit rather than spend more money fighting it, DiCaro said.
Johnson continues to maintain he did nothing wrong, DiCaro said.
"He denies any responsibility for what happened at the ranch," DiCaro said. "We believe George's reputation is intact."
Johnson's reputation was one of many questions left unanswered by the dispute's abrupt resolution.
Last week, a judge decided Johnson's past, including runins with people throughout the state, could be used to demonstrate his character in support of the state's case.
Among the tales the attorney general's office had at its disposal was one from Apache County rancher Sarah Marge Crigler, known to many as "Wink."
In a sworn affidavit, Crigler told of a day back in July 2001 when Johnson first drove onto her ranch and announced he wanted to buy it as part of a deluxe RV park project he was working on in the area, between Greer and Springerville.
When Crigler told him it wasn't for sale, Johnson became enraged, she said in the affidavit.
"I have more money than God," Johnson told her, according to the document. "Everything is for sale."
Crigler didn't relent, though, so Johnson turned to other tactics, according to the document.
In one case, he bulldozed the road to her ranch, making it impassable, it says.
In another, she said he placed a pig pen just off the road with a sign that read: "Please do not feed Wink."
Crigler ended up suing Johnson over the matter and won.
Thursday's settlement also ends a countersuit Johnson filed against the attorney general's office and Goddard himself for defamation.
The Arizona Court of Appeals recently ruled Goddard could be personally sued in the case. Goddard's office had appealed that ruling to the Arizona Supreme Court.
Another question left unanswered by the settlement is just how much damage, in financial terms, was done to the environment.
Goddard would not speculate on a total, saying, "We would have claimed a very high amount of damages. The defense would have claimed a low amount."
Goddard was surrounded at Thursday's news conference by leaders from various state agencies that were parties to the case.
If the settlement is approved by the Legislature, Goddard said the agencies could each get a share, though it was not yet clear how much.
In all, the mood of the leaders was congratulatory. It is "unprecedented," Goddard said, "to have this many state agencies come together to support a common cause."