Campaign commission fined firm subpoenaed by grand jury
By Johnny Brannon and Robbie Dingeman
Advertiser Staff Writers
One of the Honolulu companies subpoenaed by prosecutors looking into illegal campaign contributions was fined $31,000 this year for improper donations to Gov. Ben Cayetano, Mayor Jeremy Harris, Maui Mayor James "Kimo" Apana and gubernatorial candidate Linda Lingle.
One or more employees of Thermal Engineering Corp. have been summoned to testify next month before an investigative grand jury that will review evidence about contributions and the awarding of public contracts.
Money from Thermal Engineering improperly reimbursed members of the company's board of directors for donations they made that totalled $21,075 to Cayetano, $16,000 to Harris, $2,000 to Apana, and $200 to Lingle, according to a conciliation agreement the company signed with the state Campaign Spending Commission in February.
The commission did not allege wrongdoing by the politicians or their campaigns in connection with Thermal's contributions, and Thermal admitted no intentional wrongdoing in paying the fine.
A company attorney said the board had not believed the reimbursements were improper, but commission director Robert Watada said it is illegal for a company to give an employee money specifically to donate it to a politician.
Prosecutors declined to discuss the grand jury inquiry, and Thermal officials did not return calls.
Other companies that have been subpoenaed include R.M. Towill Corp. and Park Engineering/Paren Inc., both under investigation by the commission for contributions made to Harris and others by officers and employees of the companies and their family members.
Prosecutors have also subpoenaed Harris campaign volunteers and at least four current and former Harris Cabinet members who oversaw city contracting and money management: Department of Design and Construction director Rae Loui, Department of Planning and Permitting director Randall Fujiki, and former Department of Budget and Fiscal Services directors Caroll Takahashi and Roy Amemiya.
None of those officials have been accused of any illegal or improper conduct. Legal experts say people subpoenaed to testify before grand juries are not necessarily suspected of wrongdoing, but can be compelled to provide information that incriminates others.
Reach Johnny Brannon at jbrannon@honoluluadvertiser.com or 525-8070.
