Sterling, a longtime Greenville businessman, is the final criminal defendant in what state Attorney General Henry McMaster has called “the largest and most complex” white-collar investigation in state history.

The case involves the collapse of Pickens-based Carolina Investors Inc., a 40-year-old firm whose closing and subsequent bankruptcy cost about 12,000 people an estimated $278 million.

Sterling, 70, has pleaded not guilty to three criminal counts, including two for securities fraud and conspiracy. The trial is expected to last three weeks.

In all, six people, including Sterling, were indicted by a state grand jury. Five have pleaded guilty to various charges or were convicted by a jury, including former Lt. Gov. Earle Morris Jr. and Ronald Sheppard, HomeGold’s former chief executive.

Now, many see the future quickly fading as well.

A proposal by Gov. Mark Sanford would shutter the campus of the University of South Carolina Salkehatchie, which for more than four decades has provided students in this poverty-stricken corner of the state a chance at higher education. Along the way, advocates say the school has become more and more important to the region.

“I think in a lot of ways a lot of people have written Allendale off,” said the Rev. Carol Holladay, who for 12 years has served as associate pastor of First Baptist Church of Allendale. Closing the campus would be “cutting off any opportunity for Allendale to come out of poverty. They are just limiting the amount we can change.”

In South Carolina, which has the third-highest unemployment rate in the nation, Allendale is ground zero for economic turmoil. Jobless rates chronically have been in the double digits, hitting 19.7 percent in December. Mortgage foreclosure rates are the highest in the state. A textile plant shut down about 14 months ago, and two others in neighboring Barnwell County will close by June, robbing the area of hundreds more jobs.

Dawson’s announcement clears the way for potential chairmen to campaign ahead of May’s state GOP meeting, when party members will elect a new leader.

Dawson narrowly missed winning an election to chair the Republican National Committee nine days ago, and said that the campaign was draining and that it was the right decision to step down.

“It has been seven years. It is time,” Dawson told a meeting of the S.C. GOP executive committee. “It’s time for a small break from everyday politics.” Dawson said he would serve until May, and had other public affairs opportunities.

Dawson told members how difficult, and at times lonely, the campaign for national chairman had been. He said that he was proud of the better than 80 percent winning record GOP candidates had in the latest election and that he helped maintain the state’s first-in-the-South presidential primary.

The House Ways and Means Committee will meet this week to hash out a draft spending plan.

Budget committee members said they expect the state budget could be cut an additional $500 million, in additional to the $1 billion in cuts already taken. It is likely those cuts will not spare health care or education. This year’s budget could roughly equal state spending levels in 2005.

Here are a few things to watch this week:

The number

Camden state Sen. Vincent Sheheen took his first steps toward entering the 2010 Democratic gubernatorial campaign, filing paperwork Friday to begin raising money for the race.

And another Midlands Democrat, Rep. James Smith, said he will not run for governor.

The first Democrat to launch a campaign, Sheheen said his ability to raise money over the next few months will determine whether he becomes a full-fledged candidate.

Three Republicans — U.S. Rep. Gresham Barrett, Lt. Gov. Andre Bauer and Attorney General Henry McMaster — are weighing bids and considered the GOP front-runners.

Or a basic failure to communicate.

Or both, said Jerry Kershner, a Hartsville steel mill manager.

The state does not bring in enough money to pay for the unemployment checks it is writing as more companies lay off workers.

“We’re paying out more money than we’re taking in,” said Ted Halley, executive director of the S.C. Employment Security Commission, making the case for simple math. “There’s a national recession, and South Carolina is not immune to it.”