Ex-stadium security official admits shakedown

An ex-state employee pleads guilty in a federal case involving payoffs from bars

The former chief of security at Aloha Stadium has admitted to conspiring to extort a bar owner out of thousands of dollars in exchange for not issuing liquor citations.

Herbert N. Naone, 67, pleaded guilty yesterday in U.S. District Court to conspiracy with Honolulu Liquor Commission inspector James Rodenhurst to extort cash payments from the owner of Volcanoes Night Club and Sin City prior to May 2004 and through January 2005.

In return, Naone allowed the clubs to operate without a liquor license or beyond the 2 a.m. restriction on its license. Naone also warned the clubs of pending inspections by the Liquor Commission and threatened to shut down the clubs or send inspectors if he and Rodenhurst were not paid, according to a plea agreement.

The two were indicted in April as a result of a wiretapping investigation into alleged drug trafficking and cockfighting. Corey Kaowili Jr., who owns both nightclubs, was arrested as part of the investigation.

Naone declined comment afterward, but his attorney, Chris Evans, said his client accepted responsibility for his role in the matter.

He also wanted to assure the public that Naone's conduct in this case had no bearing on his previous role as security chief at Aloha Stadium.

"Mr. Naone operated Aloha Stadium to the best of his ability -- he did so in a bang-up fashion -- there was never any incident whatsoever at the stadium while under his watch," Evans said.

Acting Stadium Manager Kenneth Lum agreed.

In the three years he has been there, he never saw Naone involved in any improper activity. "My observation was that he did a good job," Lum said.

Naone retired from the post effective Sept. 1. He held the position of security chief for 16 years, Lum said.

Evans said Naone, a former Honolulu police officer, has devoted many years to security, and he expects to emphasize that at Naone's sentencing in February. "He assisted with Ferdinand Marcos when he was in the islands -- he's done a lot of things for security for our state and with law enforcement."

Naone faces a maximum of 20 years in prison when sentenced. Federal sentencing guidelines could result in Naone getting probation, Evans said. "I'm hoping that will be the case, but it will be up to the court in the last analysis."

Evans also disputed allegations by the FBI that Naone is linked to organized crime. "There was no ties to organized crime, period."

According to the plea agreement, Naone admitted:

» On May 22, 2004, he accepted $1,000 in cash from Volcanoes Night Club for allowing the nightclub to operate beyond what was specified on its license.

» On June 10, 2004, Naone called Volcanoes Night Club and passed on information he received from Rodenhurst that the Liquor Commission had received a complaint about Volcanoes and that the club could not serve alcohol that night. Naone essentially was warning Volcanoes that they could expect to be inspected that evening.

» On Oct. 21, 2004, Naone called Rodenhurst and told him Sin City would "go renegade" -- a term they both understood as the club serving liquor beyond what their license allowed. Rodenhurst in turn told Naone, "Tell 'em to send money down," which Naone understood meant that Sin City would have to make another payment.

Rodenhurst is currently on paid leave from the Liquor Commission until an internal investigation conducted by a private investigator is completed, said Dewey Kim Jr., administrator for the commission.

Kim declined further comment, citing the pending investigation.