When it’s the Taxpayer’s Dime; Crime Pays Just Fine

Plea Agreements it didn’t Stop Kapanicas’ Salary, the Crooks Pensions, or Prevent the Crooks From Embezzling Money thru Another Company

On December 19, 2017, The Riverside County District Attorney’s Office accepted Plea Agreements from Beaumont’s former Finance Director William Aylward, City Manager Alan Kapanicas, Economic Development Director Dave Dillon, and Planning Director Ernie Egger for Fraud and Embezzlement of $42 Million TUMF road taxes from the Western Riverside Council of Government.

Under the Plea Agreement a total of $8.1 Million will be paid to the Western Riverside Council of Government, which is enough to cover the County’s Legal Fees. Former Public Works Director Deepak Moorjani Paid $3 Million. They Crooks get to keep the other $30 Million of TUMF money that was Embezzled.

No Prison Time will be Served, only home confinement, which begs the question: which of Ernie Egger’s Multimillion Dollar Homes will he be confined to?

Former City Manager Alan Kapanicas Still On Beaumont Taxpayers’ Payroll

On May 26, 2017 Riverside Judge Mac R. Fisher granted Kapanicas a “Temporary Restraining Order for Protective Relief Necessary to Preserve Property and Asset”. The Order gave Kapanicas $1,800/month starting 05/26/2017 plus an additional $7,500.

There is no end to the Payments. “..totaling $75,600..” was lined-out of the Judge’s Order. No one representing the City of Beaumont attended the Hearing to protest continuing Kapanicas’ Salary. On July 12, 2017 the City of Beaumont Issued Check #95530 for $101,269.29 to the Law Firm of Gresham Savage Nolan Tilden to pay Kapanicas.

The Plea Agreement with the Riverside County D.A.’s Office prevents the Crooks from holding Public Office, but it did not stop Kapanicas’ Salary Payments nor does it prevent the Crooks from receiving Pensions or continuing to Embezzle Taxpayer Money by using different Private Sector Companies.

To this day Not One Person has been fired for their decades-long participation in Beaumont’s Bond and Construction scam. Alan Kapanicas is still receiving a Salary from the City of Beaumont. Council continues to gift No-Bid Contracts to direct Associates of the past Crooks.

What About the Other $350 Million?

$400 Million is missing from the City of Beaumont, $350 Million of which was Embezzled from the Mello Roos CFD Bonds. The Indictments and Plea Agreements are only for the $42 Million in TUMF money stolen from the Western Riverside Council of Governments.

So what about the other $350 Million that was embezzled instead of building Fire Stations, Roadways, or a Recycled Water Facility? Why did the Riverside County District Attorney’s Office only Indict for stealing the $42 Million from the WRCOG?

The answer is simple; the City of Beaumont never filed a Complaint with the D.A.’s Office.

In response to the November 3, 2015, California State Controller’s Investigative Report; Beaumont promised to account for the missing money and File Complaints with the proper State and Federal Officials.

The Beaumont City Council choose instead to cover up past Fraud and Embezzlement in order to continue the same Bond and Construction Scam. Hundreds of thousands of dollars have been wasted on Lawyers to ‘Fight the S.E.C.’, but not one penny has been expended to file Criminal Charges to hold anyone accountable.

Nearly two years later in response to the S.E.C. Cease and Desist Order; the Beaumont City Council’s response was to ‘Neither Admit Or Deny’ that any Fraud or Embezzlement Occurred.

CFD Property Taxes Still Charged For Embezzled Money

Beaumont Citizens living in the CFD Development Areas are still being charged additional Mello Roos Property Taxes to pay off the $350 Million in Bond Debt even though it has been proven that the Bonds were illegally acquired and all the money was Embezzled.

To add insult to injury; the City also continues to charge every CFD Property Owner an additional $360.00 ‘Services Tax’ to pay staffing and maintenance for the Fire Stations and Recycled Water Facility that do not exist.

State Officials Intervene to Stop Illegal Sewer Increase

On November 7, 2017 Beaumont Staff and Council attempted to Illegally Increase Sewer Fees. This would have been the 3rd Illegal Sewer Fee Increase in the last Decade.

Beaumont City Council was told that Prop 218 prohibits their ability to ‘Approve’ Sewer Fee Increases without Voter Approval, but refused to listen to the Citizens or read State Law for themselves.

California State Authorities had to intervene in order to stop Beaumont’s Staff and Council from illegally increase Citizens’ sewer fees.

And why did ‘Council Approve’ another Sewer Fee Increase?

Beaumont needs more money to build the Sewer Infrastructure that was never built. Instead of Filing Civil Claims and Lawsuits to recoup the Taxpayers’ Money; the City just wants to charge the Citizens again. It is unfair and unrealistic to burden the Citizens of Beaumont with additional Taxes and Fees that continue to be wasted.

In the last two Election Cycles every Incumbent Beaumont City Councilman was voted out of Office. Citizens have pleaded with the new City Councilmen to stop the housing scam and to follow State and Federal Laws, but the Citizens are ignored.

As long as Elected and Appointed Officials are allowed to steal Taxpayer money without recourse; the fleecing of Beaumont Citizens will continue.