Legal proceedings against the seven suspects in the Beaumont corruption probe began in earnest Tuesday, May 17, when Riverside County District Attorney Mike Hestrin announced that his office had filed 94 felony charges against them.
Much more is coming, with the expected surrender of the seventh suspect and investigations by other agencies.
ARRAIGNMENTS
Six of the seven suspects were arrested and booked into jail as of Tuesday afternoon. If they don’t bail out and remain in jail, they are expected to be arraigned Thursday, May 19.
Bail was set at $5 million for former City Manager Alan Kapanicas, former Public Works Director Deepak Moorjani, former Economic Development Director David Dillon, former City Attorney Joseph Aklufi, former Planning Director Ernest Egger and former Finance Director William Aylward.
Bail for former Police Chief Francis Dennis “Frank” Coe was set at $100,000.
Egger, the only ex-official not arrested Tuesday, is expected to surrender to authorities Wednesday.
OTHER INVESTIGATIONS
Other agencies also are investigating city finances, including the state Controller’s Office, which found earlier that Beaumont’s accounting controls were “effectively nonexistent.”
The U.S. Securities and Exchange Commission, the agency that enforces laws governing the nation’s stock and bond markets, served the city with subpoenas April 22 as part of a formal investigation.
Last month, the Beaumont City Council voted to seek a state Attorney General’s Office investigation of Union Bank, which served as trustee for city bond issues, saying the bank should be more forthcoming with bond spending records.
And the city has retained Orange-based Urban Futures to investigate how city bond funds were spent.