(San Diego) City Hall cover-up? Officials defy federal authorities at their peril

San Diego Union -Tribune ^ | 1/26/05 | Op/Ed

[NormsRevenge]

Only a few months ago, this question never would have occurred to us, but now it must be asked:

Are city officials engaged in a cover-up of incriminating information sought by federal authorities investigating San Diego's financial irregularities?

Highly disturbing evidence is mounting that some city officials have been less than cooperative with the separate civil and criminal probes being conducted by the U.S. Attorney's Office and the Securities and Exchange Commission.

In the last two weeks, an SEC lawyer found it necessary to remind city officials by letter that subpoenaed documents "within the possession, custody or control of the city of San Diego...should be produced immediately to the Commission." This stern warning came after City Attorney Mike Aguirre seized several boxes of records from acting city auditor Terri Webster, city treasurer Mary Vattimo and human resources chief Cathy Lexin. Aguirre said the records were covered by federal subpoenas but had not been turned over as required by law.

Then, U.S. Attorney Carol Lam summoned lawyers for the city and its retirement board to her office for a private meeting. Lam did not disclose the purpose of the session, but it almost certainly was to address the perceived lack of cooperation by city officials with the federal investigations.

Now, the FBI has served yet another subpoena in response to the disclosure that documents were destroyed in the city treasurer's office last month. The subpoena, issued hastily by a federal grand jury, seeks to recover files that were purged in the treasurer's financing services division, where whole files reportedly were dumped into recycling bins and e-mails were erased. The financing services office is the focus of federal inquiries into whether city officials concealed from Wall Street bond offerings damaging information about the city's troubled pension fund.

City Manager Lamont Ewell asserts that no wrongdoing has occurred. But the record plainly demonstrates that federal investigators have a different view, which is the only way to explain the intensified efforts by the U.S. Attorney's Office and the SEC to compel city officials to comply with federal subpoenas.

Mayor Dick Murphy has scheduled a City Council hearing for next Monday to discuss the situation. If the purpose of the meeting is to insure compliance – promptly and fully – with the U.S. government's demands for information, the session will serve a very worthwhile purpose. The hearing, however, should not stray from this critical objective.

It is no secret that some council members loathe Aguirre for directing a broad beam into the dark recesses of potential public corruption. In an earlier council session, for instance, Councilman Michael Zucchet pilloried the city attorney as Mayor Murphy looked on. But attacking Aguirre for exposing the hard truth is sorely misguided. Everyone at City Hall, starting with the mayor and City Council, must realize that even the appearance of stonewalling investigators will only invite harsher federal penalties in the event illegal acts are uncovered.

[G.Mason]

After learning from eight years of the Clintonista's how to circumvent, obstruct, and otherwise defy the law, is this any surprise?

[NormsRevenge]

The crop of ongoing corruption investigations seems to be a growing theme in California local government and City Halls across the state.

There may be hope yet.

[G.Mason]

"The crop of ongoing corruption investigations seems to be a growing theme in California local government and City Halls across the state."

" There may be hope yet."

I'm waiting for the day that any elected official found guilty of any criminal conduct, is sentenced to an mandatory 10 years in federal prison, without parole.

[John Jorsett]

Only a few months ago, this question never would have occurred to us

Inasmuch as a coverup has been evident for over a year, the Union Tribune has once again proven itself to be either incompetent, indifferent, or complicit. It was oblivious to the horrific stadium deal (the City Council agreed to purchase every unsold ticket for Charger games). It essentially gave a pass to the bureaucrats who run the sewer system that routinely malfunctions and dumps tens of thousands of gallons of raw sewage into Mission Bay. Now this. The UT carries so much water for the local power structure that it ought to purchase a tanker truck. And they wonder why their circulation figures are headed toward those of a local supermarket flyer.

[jrp]

Are we going to see the responsible people hauled off in handcuffs and punished accordingly or will they get a slap on the wrist and a letter of reprimand? Seems like all too often, public officials get off much more lightly than a private citizen in a similar circumstance.