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Thursday, August 3, 2000



Kahapea faces
similar charges in
unrelated case



By Gordon Y. K. Pang
Star-Bulletin

Michael Kahapea, convicted of 43 counts related to the Ewa Villages scandal yesterday after a two-month-long jury trial, may still be spending a lot more time in the Circuit Court building.

Ewa Villages trial That's because city Deputy Prosecutor Randal Lee wants Kahapea to stand trial on charges that he bilked relocation money from another city project -- this one involving the TheBus' bus barn and headquarters on Middle Street.

No trial date has been set but Circuit Judge Michael Towne is set to hear a motion to dismiss the case filed by Donald Wilkerson, Kahapea's attorney, on Aug. 15.

The charges against Kahapea in the Middle Street case are similar to the Ewa Villages trial, except that the alleged misdeeds were on a much smaller scale and took place during an earlier time frame.

Prosecutors say the city spent $950,000 to move Hawaii Meat Co. and Consumer Auto and Tire Service Center, but only about 25 percent went to legitimate moving companies.

The rest, they say, went to fictitious moving companies, which then funneled a portion of the money to Kahapea.

In contrast, jurors yesterday convicted Kahapea of masterminding a scheme that took $5.8 million from the city's Ewa Villages commercial relocation fund.

Wilkerson said the case should be dismissed because the statute of limitations has run out. Wilkerson said the alleged wrongdoing took place before 1992 and that a six-year statute period was over when the charges were made in 1998.

But Lee said his interpretation of the law allows for a nine-year statute period.

As in the Ewa Villages trial, key defendants in the Middle Street case have pleaded out and agreed to cooperate in the case against Kahapea.

Among them are Richard Chung and Shiro Aoki, the two men who created and ran the bogus RC Movers company that billed and received payments for moving Hawaii Meat and Consumer Auto when no moves were made.

Prosecutors say they may also still try Kahapea on charges tied to the theft of relocation money from the West Loch Estates project.

Kahapea was sent back to Oahu Community Correctional Center after yesterday's verdict. It was the first time he has been behind bars since being granted supervised release in June 1998.

He is scheduled to be sentenced on the Ewa Villages counts by Judge Rey Graulty on Sept. 28. Lee said he will ask for extended and enhanced sentencing, which could leave Kahapea, 57, imprisoned the rest of his life.



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