Hughes hopes past won't hinder chances
Published on September 9th, 1998
STONEHAM, MA - The lives of many are marred by difficulties whether they be personal or financial.
J. Michael Hughes, candidate for state representative in the 35th Middlesex District, is not immune to such difficulties as his record shows.
The business career of the Melrose resident has been filled in the last 10 years with financial obstacles, beginning with troubles with the Internal Revenue Service in 1989 and ending with a 1995 lawsuit in which he was charged with defaulting on a $1.45 million mortgage loan.
Hughes, 56, told the Independent that his difficulties began with his son's diagnosis with leukemia in 1988. His son, Michael, died in November of 1990 at the age of 16 after undergoing a bone marrow transplant, Hughes said.
"My whole problem started when my son got ill," he said. "My family went through some very emotional and financial hard times."
His problems with the IRS eventually ended in 1993 when he had accumulated a total of over $39,000 in debt. That debt was repaid to the federal government this past May through a settlement, Hughes said.
"That was kind of the essence of the situation," he said of the situation surrounding his debt. "I worked with them (the IRS) for two or three years to get that back in order."
His financial troubles continued in 1992 and 1994 when liens totaling over $56,000 were filed by the IRS for debt owed by Diversified Travel Planners Inc., of which he was a part owner.
In 1995, Hughes was named in a lawsuit by New Hampshire resident Frederick Quebec who stated that, after winning a lottery, he had placed $95,000 in Hughes' hands for investment. In the lawsuit, Quebec stated that he never received any dividends from the investment or record of investments made by Hughes with his money.
Quebec eventually won the lawsuit in Superior Court and Hughes was ordered to pay $162,321 in restitution to the man.
Hughes explained that he did not contend the lawsuit because, at the time, he did not have the money for legal representation. Although he lost the lawsuit and agreed to pay back Quebec, which he has yet to do, Hughes says he did nothing wrong.
"I really didn't have the money to go to trial," he said. "(The debt) will be dealt with in time.
"I totally disagree (with the court's finding.) He was an investor in projects along with many, many, many other people. There was never any wrong doing."
Also in 1995, a suit was brought to court claiming that Hughes, who was acting as a trustee for Melrose Properties Trust, he defaulted on a 1984 loan of $1.45 million. The West Wyoming Avenue condominium complex on which the loan was placed was foreclosed in 1996.
He now says that he and his family are in the process of financial recovery.
"We, as a family, chose not to run away from our problems," Hughes said. "We faced up to them and continue to do so.
"We're proud to say that we're getting back on our feet."
He is set to square off with his fellow Republican, Paul O'Neill, in the September 15 primary and, according to Hughes, he is prepared to take on the challenge of the primary, the election and the office of state representative.
"I think, because of all the difficulties I've gone through, I'm the right person for the position," he said. "I'm a tremendous community activist. I have a wonderful record as an alderman (in Melrose). I'm a very responsible and qualified individual and I'm also aware of the difficulties that other people have."
O'Neill also came under scrutiny recently for allegedly claiming the endorsement of State Senator Richard Tisei.
Tisei had originally endorsed Hughes after Patrick Guerriero resigned from the 35th District seat in the spring to center his attentions on his duties as Mayor of Melrose. Tisei explained that he backed his fellow Republican at the time because he believed a special election was going to be held for the vacant seat.
Once it was determined that no special election would be held, and once Paul O'Neill entered the race, he withdrew his endorsement.
"I've been pretty neutral on the candidates," Tisei said of his latest stance. "I feel we're (Republicans) fortunate to have two very strong candidates. They've both run very spirited campaigns and whoever wins the primary I'll be 110 percent behind.
"The most important thing for the party is that we're all united after the primary.'
Hughes said that he is no longer claiming Tisei's endorsement.
"He's letting the primary process go," he said of the state senator. "He's always supported me. At this point, another candidate has jumped in and I respect (Tisei's) decision."
In terms of the primary and the election to follow, Hughes said he is ready to represent the people of Stoneham and Melrose in the House.
""I'm a seasoned individual," he said. "I have the life experiences to really be a good legislator. I have a great record in helping people.
"Nobody is perfect. I don't think my opponents are perfect.
"I'm just proud with the way myself and my family have dealt with these difficult situations."
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