Land speculator granted early release

TAMPA -- Don Connolly, the land speculator whose questionable real estate tactics made national news and inspired state legislation, was granted an early release from house arrest Monday and told he could travel freely to pursue his tax deed business.

The orders were granted by Circuit Judge Debra Behnke, who warned Connolly last August that another misstep would land him in prison for 41/2 years. Monday, after hearing that Connolly was behaving as a model citizen, Behnke said she had "no problem" easing Connolly's term of probation.

The ruling came after Connolly's attorney, Norman Cannella, reported that his client had performed his community service on schedule and paid court-ordered $759-a-month restitution payments through November.

The State Attorney's Office opposed reducing the one-year house arrest.

Joe Papy, regional director for the state Department of Corrections, said after Tuesday's hearing that records show Connolly has been paying ahead, but not as far ahead as his attorney said. Papy also said Connolly had completed 571/2 hours of his community service of the 150 hours ordered by Behnke.

Connolly is the Valrico businessman who drew the enmity of dozens of local homeowners who accused him of using extortionist tactics to sell slivers of land he had bought at county tax deed auctions. In the north Pinellas neighborhood of Tarpon Woods, Connolly paid about $1,000 for a lake bottom tax deed, built a pink fence on the shoreline and demanded $450,000 from homeowners to get their view back.

Connolly was charged with perjury and violation of probation after the St. Petersburg Times reported that he had falsified a state notary application and ignored $18,927 in restitution payments while shelling out $600,000 for tax deeds in Pinellas and Hillsborough counties.

Connolly's restitution stems from a 1997 tax case where investigators determined Connolly underpaid state sales taxes by $512,714. A plea bargain led to an order that he be placed on probation for 15 years and repay the state $124,828.

Connolly's land trusts have continued to buy tax deeds since Connolly was placed on house arrest six months ago. In arguing for a relaxation of travel restrictions Tuesday, Cannella said Connolly's real estate business required him to be in several surrounding counties.

-- Jeff Testerman can be reached at 226-3422 or by e-mail at testerman@sptimes.com .

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