Ex-liquor inspector, city reach settlement
By Treena Shapiro
Advertiser Staff Writer
City attorneys have agreed to pay a former Liquor Commission inspector $387,500 in damages to settle a lawsuit that accused the city of violating his civil rights for helping with a federal investigation that led to a federal indictment against eight fellow inspectors.
Charles Wiggins filed the lawsuit in September under the Hawai'i Whistleblowers Protection Act, alleging that after assisting the FBI, he was told that his life was in danger and advised by his doctor to go on stress leave. However, the city fought his ability to receive workers' compensation while on leave, his attorney Andrew Winer said.
The lawsuit named the city, Liquor Commission chairman John Spierling, commission administrator Wallace Weatherwax, city workers' compensation administrator Thomas Riddle, the eight indicted investigators and others. Under the settlement terms, the city did not admit liability.
The settlement was filed in U.S. District Court on Monday, but still needs to be approved by the City Council. The city declined comment.
According to Winer, Wiggins approached the FBI in September 2000 after observing what he believed to be corruption among investigators. "Over several months he taped dozens of conversations that implicated at least eight investigators," Winer said. By the end of 2001, he had gathered enough evidence for the FBI to step up its investigation and begin talking to the investigators Wiggins had recorded.
At that point, Wiggins was told by other inspectors that any informants would be killed. Fearing for his life, he went on stress leave in December 2001. However, despite a doctor's note, the city terminated his workers' compensation benefits three months later, Winer said.
Of the eight inspectors indicted for taking bribes from club owners, five pleaded guilty and three are set to go to trial in November, Winer said.
Winer said Wiggins has left Hawai'i and prefers to keep his location secret.
Reach Treena Shapiro at tshapiro@honoluluadvertiser.com or 525-8070.
