Posted on 08/30/2005 10:26:54 AM PDT by SmithL
SAN FRANCISCO - Julie Lee, the San Francisco real estate agent charged with funneling state grant money to former Secretary of State Kevin Shelley's campaign, solicited false grant documents, arranged for laundered contributions and tried to enlist others in hiding the scheme, according to grand jury transcripts released Monday.
Lee has pleaded not guilty to eight felony counts, including grand theft, embezzlement and forgery, returned by a state grand jury. San Francisco District Attorney Kamala Harris and Attorney General Bill Lockyer allege Lee converted a state grant for a community center and proceeds from two real estate transactions into cash for Shelley's 2002 campaign. Lee, a former community activist and government official, is free on $250,000 bail.
Shelley, a former legislator and county supervisor once seen as a rising star in Democratic politics, resigned in disgrace in February.
A partial transcript of grand jury testimony released Monday describes Lee's dogged pursuit of a $500,000 state grant Shelley helped arrange from the Department of Parks and Recreation and her efforts to use others as conduits to launder the money for Shelley's campaign treasury.
And as auditors and authorities moved in during the summer of 2004, she tried to persuade others involved to cover it up, according to the transcripts.
In one instance, the FBI allegedly witnessed her pleas.
James Li, an architect who had done some planning work for what was portrayed as a home for the San Francisco Neighbors Resource Center, testified that FBI agents listened as he phoned Lee at their request.
Li said Lee told him they should stick together. "She said if, you know, we could, you know, get this one away, then, you know, we'll have a lot of business coming," Li testified. "And also, if, you know, I tell, you know, the FBI agent...
(Excerpt) Read more at sacbee.com ...
ShmelleyGate Ping
Thanks! The Shmelly Scandal lingers on.. :)
This case is locked up so tight that even the Rat DA and State AG will probably have to do what is right.
thanks for posting this. any updates on this case?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.