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Tue Jan 15, 2019, 07:01 AM

Honolulu city attorney targeted in federal corruption probe

Source: Associated Press

Honolulu city attorney targeted in federal corruption probe

By JENNIFER SINCO KELLEHER
January 15, 2019

HONOLULU (AP) — The city of Honolulu’s chief legal officer received a target letter linked to an ongoing federal corruption investigation sparked by allegations that a now-retired police chief and his former prosecutor wife framed a relative for stealing their home mailbox.

The target letter sent to Corporation Counsel Donna Leong is the latest development in the closely watched saga, which has already resulted in indictments against retired Chief Louis Kealoha and Katherine Kealoha, who had been a deputy Honolulu prosecuting attorney. Current and former police officers have also been charged.

Prosecutors say the Kealohas orchestrated the framing of Katherine’s uncle in an attempt to discredit him in a family, financial dispute. They also accuse the Kealohas of funding a lavish lifestyle by bilking banks, relatives and children whose trusts Katherine controlled. The Kealohas have pleaded not guilty.

Twists in the investigation have included foreclosure on the couple’s home in an upscale neighborhood, with the house going on the market recently for $1.3 million and a guilty plea by a Big Island firefighter who admitted that he lied to federal authorities about his relationship with Katherine Kealoha. Prosecutors say trysts were funded with money stolen from her grandmother and from a second mortgage she and her husband allegedly fraudulently obtained.

Honolulu Mayor Kirk Caldwell announced Monday that Leong is taking a paid leave of absence. Her annual salary is $165,552.

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Read more: https://apnews.com/e7abeb6fbeee4841922cd3bbbde3d602

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