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Fired city
official put $97,000
in son’s name,
prosecution says
Michael Kahapea, accused of
By Debra Barayuga
leading the Ewa Villages fraud,
used his son's bank account,
documents say
Star-BulletinThe state is looking into approximately $97,000 deposited in a bank account belonging to the son of former city housing official Michael Kahapea.
Kahapea's son, Mark, has been called to testify in his father's May 1 trial, according to documents filed in Circuit Court on Wednesday. He could not be reached for comment.
Kahapea is accused of masterminding a scheme in which the city was billed about $6 million for the relocation of commercial tenants to make way for city projects.
Prosecutors allege he had friends and relatives set up bogus moving companies which billed the city for moving work that was either never done or done at inflated costs.
Kahapea was former city property management branch chief from 1993 to 1997 and oversaw the relocations at Ewa Villages, Middle Street and West Loch.
Bank records have revealed that from 1989 to 1997, his son had a First Federal Savings and Loan bank account, according to documents filed by Deputy Prosecutor Randal Lee.
His son, who now lives in Washington, left Hawaii in 1989 but gave Kahapea permission to use the account. Kahapea asked to use it because he had filed for bankruptcy, the documents say.
From 1993 to 1997, Kahapea deposited nearly $97,000 into the account and "systematically" withdrew cash from it using ATM machines, the court papers say.
Kahapea and seven others were indicted in 1998 on numerous charges including theft, money laundering, forgery and unlawful operation of a business.
Facing trial with Kahapea are Claude Hebaru of Titan Moving and Hauling; Donna Hashimoto-Abelaye of Specialty Pacific Builders; David Brian Kaahaaina of American Hauling; and Steven Swift.
Three other codefendants -- Keith Ringler of Reliable Trucking; Norman Tam, the city's former fair housing officer; and Russell Williams -- have since died. Shirley and Donald Hall of A-1 Hawaii Trucking are among those who have pleaded guilty in the case and are cooperating.
From 1993 to 1997, the city paid Titan Moving and Hauling, RJ Hauling, A-1 Hawaii Trucking, American Hauling and Specialty Pacific Builders for the moves.
Bank records for these companies show that payments for the relocation were cashed or deposited into each of their accounts and that substantial amounts were withdrawn in cash, according to the documents.
Kahapea's attorney, Don Wilkerson, said yesterday the state is alleging his client stole $6 million "and won't be able to show that."
