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MSNBC Dateline September 14, 2019 07:25:00

reporter: right away steve rushed over to carol s house. a detective had a recorder rolling. you can hear charlotte sobbing. and steve talking. the last time i was out here was i don t know. i m sorry. i don t know. it s been a while. reporter: someone else talked to the detectives, too. a man who showed up just minutes after the deputies got there. jim knapp, carol s boarder. the man who had been living in the guest house. i can t remember the month i moved in. reporter: and jim knapp had a lot to say about carol, but he didn t stop there. it was certainly a gruesome scene. blood drops. shoe prints. the clues tell a story. she died a violent death. the man in the guest cottage has a story too. when date line continues. ....

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MSNBC Dateline September 14, 2019 08:03:00

Drug ring out of phoenix had been trying to collect money or seek some retribution against jim knapp for involvement in a prescription drug ring. reporter: the attorneys arranged for a meeting. an opportunity for steve to tell law enforcement what he heard so they could investigate it. they showed him the mysterious e-mail. listen to his reaction. i m sorry. well, i almost hate to ask you this, but can you explain why you re emotional here today? because i spent a year not knowing what happened to carol and being accused of it. that s what s happened right now. reporter: there was more than the e-mail to go on. remember the dna the medical ....

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MSNBC Dateline September 14, 2019 08:42:00

But he doesn t know if he kept them. he said, i never keep any shoes for more than six months. he ran all the time. no shoes lasted more than six months. and he bought them a couple years earlier, is that right. yeah. the bicycle tire, that s the tire that s on 80% of all the mountain bikes in the u.s. it s the most common tire. so there s nothing very distinctive about that. they wanted to be able to tell the jury that it was a match. they were not allowed to do that because as the experts said, we have no idea if it s a match or not. something that has more or less. reporter: the defense called its own forensic pathologist to ask if the medical examiner was correct in his conclusion that the murder weapon was a golf club. with regards to saying, ah, specifically this weapon, i can t. i think the golf club is a, as alfred hitchcock used to say, it s the mcguffin, okay? it s the magic device to tie it ....

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MSNBC Dateline September 14, 2019 08:19:00

reporter: so, had the insurance paid out or hadn t it? sechez took another look, a much harder look at the money trail. not only was the insurance paid out, but it was paid to the two daughters who then transferred it to several accounts, including wire transfers to mr. democker s parents account in new york, who then wire transferred it back to mr. democker s defense team. reporter: remember steve democker was a highly-paid financial adviser. the prosecutors now believed he was using that expertise to try to get away with murder. here is a person that murdered his ex-wife then collected her life insurance of over $750,000 and is using that life insurance to pay his defense team in the murder prosecution. so then prosecutors added fraud to the charges steve was facing. ....

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MSNBC Dateline September 14, 2019 08:34:00

Information out? i sent an anonymous e-mail. reporter: anonymous. so that it could not be traced back to her or her father. her older sister katie wasn t aware the e-mail had come from charlotte. but, she was at the center of the story about life insurance. steve had signed a disclaimer saying he would not benefit from the proceeds of carol s life insurance. but, katie was forced to testify that wasn t true. my father was asking me for various things related to that money. reporter: once carol s life insurance paid out, katie transferred her share to her grandparents. but you knew that your grandparents were going to use that money for attorneys fees? that was my understanding, some or all of it. reporter: the prosecution called close to 50 witnesses to portray steve democker as a man who plotted to kill his wife. plotted his escape. and used his own children to ....

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