SF City Attorney Subpoenas 8 Organizations As Public Corruption Investigation Widens
SAN FRANCISCO (CBS SF) -- San Francisco City Attorney Dennis Herrera on Wednesday announced that his office issued eight new subpoenas as part of the corruption investigation in the wake of the criminal charges filed against former Public Works Director Mohammed Nuru.
The move is part of a joint public corruption investigation with City Controller Ben Rosenfield. Federal criminal charges were also filed against San Francisco restauranteur Nick Bovis. The federal case against the two men was made public on January 28.
Nuru officially resigned from his position as Public Works Director on Monday.
The City Attorney issued the subpoenas Wednesday for records from eight companies and nonprofits that his office has reason to believe were involved in funneling donations to fund city programs and events, including funding Public Works holiday parties.
The subpoenas were served to PG&E, the construction firms Webcor, Pankow and Clark Construction and the recycling business Recology. There were also three nonprofits subpoenaed: Lefty O'Doul's Foundation for Kids, the San Francisco Parks Alliance and the San Francisco Clean City Coalition. A press release noted that a total of 10 subpoenas were issued because some of the companies involved have more than one corporate entity.
"We're following the facts, and we're following the money," Herrera was quoted as saying in the press release. "We are going to follow the evidence wherever it leads. We will get to the bottom of this. San Franciscans deserve no less."
PG&E Senior Manager Matt Nauman released a statement about receiving the subpoena:
"PG&E and its employees work hard every day to uphold both the letter and spirit of the law and the company's own ethical standards. We acknowledge receiving the subpoena, are reviewing it now and we will respond."
Sam Singer, spokesman for Webcor, issued the following statement:
"Webcor will comply with the city's subpoena and will fully cooperate with any investigation into this matter. It has not yet received the subpoena. Webcor made donations to the Lefty O'Doul's Foundation for Kids fully expecting that the contributions would be utilized to fulfill the charity's mission. The company made the contributions at the request of the Public Works department."
Recology officials also issued the following statement Wednesday:
"Following recent media accounts, Recology launched an investigation into contributions made to the Lefty O'Doul's Foundation for Kids, the San Francisco Parks Alliance, and the San Francisco Clean City Coalition. In addition, on Monday February 10th, Recology proactively and voluntarily contacted the San Francisco City Attorney's office and pledged to cooperate with any investigation. Recology is committed to operating with the highest ethical standards and will fully cooperate with the pending investigations in this matter."
The FBI arrested public works director Mohammed Nuru and restaurateur Nick Bovis two weeks ago, saying the men schemed in 2018 to bribe a San Francisco airport commissioner for prime restaurant space at San Francisco International Airport. The commissioner refused the $5,000 bribe.
Nuru, 57, and Bovis, 56, appeared before U.S. Magistrate Judge Sallie Kim for bond hearings last week. They are each free on $2 million bail and have started paperwork to secure those bonds with personal property.
According to the City Attorney, federal officials have accused Nuru and Bovis of attempting several other corruption schemes, including allegedly trying to steer city contracts to Bovis. In one of the schemes, federal authorities alleged that Nuru provided Bovis with inside information on a City project involving portable bathroom toilets.
Public Works ultimately awarded a $171,000 contract to a Bovis-related entity named SMTM Technology LLC. According to Herrera's office, the city has since terminated that contract.
Nuru is additionally accused of lying to the FBI, having City contractors perform free or discounted work on his vacation home, and accepting luxury travel gifts from a billionaire Chinese developer seeking help with a development in San Francisco.
In connection with its ongoing investigation, the City Attorney's Office and the Controller have identified and are reviewing additional contracts that Public Works and other City departments had with contractors that were described but not named in the federal complaint.
