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Election probe
catches 3 more

The three contractors admit to making
illegal donations to various politicians


By Rick Daysog
rdaysog@starbulletin.com

Three local engineering firms will pay almost $100,000 to settle charges that they made dozens of illegal political donations to several Democratic gubernatorial candidates.

The firm of Edward K. Noda & Associates agreed to a $53,000 fine for allegedly laundering $90,000 in contributions to the campaigns of former Gov. Ben Cayetano, ex-Lt. Gov. Mazie Hirono and Honolulu Mayor Jeremy Harris.

A second firm, Fukunaga & Associates Inc., will pay $24,000 for making $36,250 in false-name campaign contributions to the Harris and Cayetano campaigns, while W.A. Hirai & Associates Inc. will pay $19,000 to settle charges that it made $30,000 in illegal political donations to Harris, Cayetano, Hirono and former Maui Mayor James "Kimo" Apana.

All three firms are major city and state contractors.

The fines -- which require the approval of the Campaign Spending Commission's five-member board at its next meeting Thursday -- are the latest in a string of dozens issued by the state agency in its two-year investigation of political contributions by state and city contractors.

They also come when state legislators are considering proposals to ban political donations from businesses that receive nonbid work from local governmental agencies.

"This shows that we have to put a stop to people having to put down money to get contracts," said Bob Watada, the commission's executive director. "We also have to put a stop to candidates who solicit money from these contractors."

Under state law a donor can give no more than $4,000 to a mayoral candidate and $6,000 to a gubernatorial candidate during a four-year election cycle. Contributors also are barred from making donations in the name of others.

According to the commission, Noda's employees and their spouses made 18 contributions totaling $39,000 to Cayetano's 1998 re-election campaign. The company's officers and their spouses made another 31 contributions totaling $38,250 to Harris and 15 donations worth $26,000 to the Hirono campaign.

Political donations from the Fukunaga and Hirai firms followed a similar pattern. Fukunaga's executives and their wives made nearly two dozen political donations worth $45,750 to Harris and six contributions worth $4,500 to Cayetano, the commission said.

The Hirai firm sent more than two dozen contributions in the names of their employees to Harris, Cayetano, Hirono and Apana, the commission alleged.

Campaign officials for the political candidates have denied any connection between political donations and contract awards.



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